https://www.taxtmi.com/caselaws?id=364457 An application for compounding under the KVAT scheme remains an offer until sanctioned by the assessing authority; filing the application and paying advance tax do not create a concluded arrangement, so withdrawal before sanction is permissible and the assessee may revert to regular assessment. Where a compounding arrangement has already come into existence, a later supervening restraint on business operations may attract frustration under Section 56 of the Contract Act for the period performance becomes impossible. Relief was confined to future liability, and tax already remitted under the scheme was not refundable. en-us Mon, 02 Jul 2018 00:00:00 +0530 Mon, 04 Feb 2019 15:34:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=364457 An application for compounding under the KVAT scheme remains an offer until sanctioned by the assessing authority; filing the application and paying advance tax do not create a concluded arrangement, so withdrawal before sanction is permissible and the assessee may revert to regular assessment. Where a compounding arrangement has already come into existence, a later supervening restraint on business operations may attract frustration under Section 56 of the Contract Act for the period performance becomes impossible. Relief was confined to future liability, and tax already remitted under the scheme was not refundable. Case-Laws VAT and Sales Tax Mon, 02 Jul 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=364457