https://www.taxtmi.com/caselaws?id=164552 Penalty under section 16(2) of the Tamil Nadu General Sales Tax Act, 1959 could not be sustained without material showing mens rea, wilful non-disclosure, or other blameworthy conduct by the assessee. The stock difference noticed on inspection was treated as an estimate, and the tax addition by itself did not supply incriminating material to justify penalty. As no finding had been recorded that the assessee had wilfully suppressed taxable turnover or acted with culpable intent, the statutory precondition for penalty was not met. The deletion of penalty was therefore consistent with the requirement that discretion be exercised only on evidence of deliberate escapement. en-us Fri, 18 Dec 2009 00:00:00 +0530 Fri, 25 Apr 2014 18:13:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=164552 Penalty under section 16(2) of the Tamil Nadu General Sales Tax Act, 1959 could not be sustained without material showing mens rea, wilful non-disclosure, or other blameworthy conduct by the assessee. The stock difference noticed on inspection was treated as an estimate, and the tax addition by itself did not supply incriminating material to justify penalty. As no finding had been recorded that the assessee had wilfully suppressed taxable turnover or acted with culpable intent, the statutory precondition for penalty was not met. The deletion of penalty was therefore consistent with the requirement that discretion be exercised only on evidence of deliberate escapement. Case-Laws VAT and Sales Tax Fri, 18 Dec 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=164552