https://www.taxtmi.com/caselaws?id=233410 Interest under the VAT law was not leviable where the assessee tendered tax with the return through crossed cheques, an accepted mode of payment, and the delay in encashment was not attributable to the dealer. Section 31(5) applies only when tax is not paid within time because of default by the assessee, so delayed realisation after receipt of the cheques did not satisfy that condition. The Court also noted that, if the payment had been defective, a demand notice should have been issued under Rule 22(7), which was not done. Rule 98 could not be invoked on the facts to fasten interest liability, and the levy failed to that extent. en-us Thu, 08 Nov 2012 00:00:00 +0530 Mon, 21 Jul 2014 13:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=233410 Interest under the VAT law was not leviable where the assessee tendered tax with the return through crossed cheques, an accepted mode of payment, and the delay in encashment was not attributable to the dealer. Section 31(5) applies only when tax is not paid within time because of default by the assessee, so delayed realisation after receipt of the cheques did not satisfy that condition. The Court also noted that, if the payment had been defective, a demand notice should have been issued under Rule 22(7), which was not done. Rule 98 could not be invoked on the facts to fasten interest liability, and the levy failed to that extent. Case-Laws VAT and Sales Tax Thu, 08 Nov 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=233410