https://www.taxtmi.com/caselaws?id=218820 Goods such as coal, alum, caustic soda and other consumables used in a captive power plant were treated as input under the Orissa Value Added Tax Act because the electricity generated was an essential, directly connected intermediate in the manufacture of aluminium products; input tax credit was therefore available and the disallowance was set aside. Penalty under Section 43(2) was treated as consequential to escaped assessment under Section 43, so liability to penalty arose once such assessment was made and no separate enquiry into reasonable cause was required. The commentary notes that the assessee obtained relief on input tax credit but not on penalty. en-us Tue, 09 Oct 2012 00:00:00 +0530 Tue, 05 Aug 2014 11:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=218820 Goods such as coal, alum, caustic soda and other consumables used in a captive power plant were treated as input under the Orissa Value Added Tax Act because the electricity generated was an essential, directly connected intermediate in the manufacture of aluminium products; input tax credit was therefore available and the disallowance was set aside. Penalty under Section 43(2) was treated as consequential to escaped assessment under Section 43, so liability to penalty arose once such assessment was made and no separate enquiry into reasonable cause was required. The commentary notes that the assessee obtained relief on input tax credit but not on penalty. Case-Laws VAT and Sales Tax Tue, 09 Oct 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=218820