https://www.taxtmi.com/caselaws?id=154102 Penalty for excess collection of sales tax was held not leviable because the assessee had collected tax at 4 per cent in the course of a bona fide dispute over the applicable rate. The Department had itself consistently treated cloth bags as taxable at 4 per cent until the Tribunal later ruled the correct rate was 2 per cent, and the collection was made before that ruling after the assessee's lower-rate claim had been resisted. On these special facts, the Court treated the collection as having been made by abundant caution and found no intentional violation of the Act, so the penalty provision did not apply. en-us Wed, 02 Nov 1983 00:00:00 +0530 Tue, 06 Aug 2013 18:47:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=154102 Penalty for excess collection of sales tax was held not leviable because the assessee had collected tax at 4 per cent in the course of a bona fide dispute over the applicable rate. The Department had itself consistently treated cloth bags as taxable at 4 per cent until the Tribunal later ruled the correct rate was 2 per cent, and the collection was made before that ruling after the assessee's lower-rate claim had been resisted. On these special facts, the Court treated the collection as having been made by abundant caution and found no intentional violation of the Act, so the penalty provision did not apply. Case-Laws VAT and Sales Tax Wed, 02 Nov 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=154102