https://www.taxtmi.com/caselaws?id=164380 Penal interest under section 27(3) of the Pondicherry General Sales Tax Act, 1967 is compensatory and arises only when tax assessed under the relevant assessment order remains unpaid within the time specified in the notice of assessment. Where a best judgment assessment and related penalty were cancelled, a fresh assessment was made under section 16(1), and the differential tax had already been paid before the fresh order, no unpaid amount remained within the prescribed time. The provision could not be applied by importing the broader Tamil Nadu approach, because the Pondicherry wording is different. On these facts, the levy of penal interest was unsustainable. en-us Tue, 15 Jun 2010 00:00:00 +0530 Sun, 05 Oct 2014 16:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=164380 Penal interest under section 27(3) of the Pondicherry General Sales Tax Act, 1967 is compensatory and arises only when tax assessed under the relevant assessment order remains unpaid within the time specified in the notice of assessment. Where a best judgment assessment and related penalty were cancelled, a fresh assessment was made under section 16(1), and the differential tax had already been paid before the fresh order, no unpaid amount remained within the prescribed time. The provision could not be applied by importing the broader Tamil Nadu approach, because the Pondicherry wording is different. On these facts, the levy of penal interest was unsustainable. Case-Laws VAT and Sales Tax Tue, 15 Jun 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=164380