https://www.taxtmi.com/caselaws?id=26980 Section 18(2A)(b) of the Karnataka Agricultural Income-tax Act permits penalty for inaccurate returns within a structured statutory framework: final assessment, a prescribed tax-shortfall threshold, statutory limits and safeguards for small assessees. Its permissive wording and deterrent purpose provide guidance that addresses concerns of arbitrary power under article 14. Penalty remains discretionary, not automatic. The assessing authority must give notice, consider the explanation and independently evaluate the relevant facts under principles applicable to penal provisions. A mechanical penalty imposed solely because of a tax shortfall is legally unsustainable and requires fresh consideration through a judicial exercise of discretion. en-us Tue, 10 Sep 1985 00:00:00 +0530 Tue, 09 Feb 2010 18:25:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=26980 Section 18(2A)(b) of the Karnataka Agricultural Income-tax Act permits penalty for inaccurate returns within a structured statutory framework: final assessment, a prescribed tax-shortfall threshold, statutory limits and safeguards for small assessees. Its permissive wording and deterrent purpose provide guidance that addresses concerns of arbitrary power under article 14. Penalty remains discretionary, not automatic. The assessing authority must give notice, consider the explanation and independently evaluate the relevant facts under principles applicable to penal provisions. A mechanical penalty imposed solely because of a tax shortfall is legally unsustainable and requires fresh consideration through a judicial exercise of discretion. Case-Laws Income Tax Tue, 10 Sep 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=26980