https://www.taxtmi.com/caselaws?id=169037 Penalty under the Tamil Nadu Value Added Tax Act for wilful non-disclosure could not be sustained because the statutory precondition of escaped turnover was not established. The assessment records showed no original assessment accepting the return and no best judgment assessment on an incomplete or incorrect return, so Section 27(1)(a) was not properly triggered. Since the dealer had admitted the stock variation and paid the tax during inspection, no escaped turnover or unpaid balance remained to support penalty under Section 27(3). The Madras HC upheld the view that, without a legally sustainable assessment of escaped turnover, the penal provision could not be invoked. en-us Wed, 03 Sep 2014 00:00:00 +0530 Sat, 19 Sep 2015 17:30:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=169037 Penalty under the Tamil Nadu Value Added Tax Act for wilful non-disclosure could not be sustained because the statutory precondition of escaped turnover was not established. The assessment records showed no original assessment accepting the return and no best judgment assessment on an incomplete or incorrect return, so Section 27(1)(a) was not properly triggered. Since the dealer had admitted the stock variation and paid the tax during inspection, no escaped turnover or unpaid balance remained to support penalty under Section 27(3). The Madras HC upheld the view that, without a legally sustainable assessment of escaped turnover, the penal provision could not be invoked. Case-Laws VAT and Sales Tax Wed, 03 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=169037