https://www.taxtmi.com/caselaws?id=430365 Departmental circulars may bind tax but cannot override statutory discretion or control the Tribunal or Court. In a case concerning concessional purchases used in dyeing activity, the Court noted that penalty under Section 23 of the Tamil Nadu General Sales Tax Act, 1959 is discretionary and that bona fide doubt existed about the nature of the activity. Because the assessee had repaid the tax benefit availed, the reduced penalty imposed by the first appellate authority was sustained. The Appellate Tribunal's restoration of the maximum penalty was quashed, and the reduced penalty remained in force. en-us Mon, 31 Oct 2022 00:00:00 +0530 Fri, 18 Nov 2022 10:32:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=430365 Departmental circulars may bind tax but cannot override statutory discretion or control the Tribunal or Court. In a case concerning concessional purchases used in dyeing activity, the Court noted that penalty under Section 23 of the Tamil Nadu General Sales Tax Act, 1959 is discretionary and that bona fide doubt existed about the nature of the activity. Because the assessee had repaid the tax benefit availed, the reduced penalty imposed by the first appellate authority was sustained. The Appellate Tribunal's restoration of the maximum penalty was quashed, and the reduced penalty remained in force. Case-Laws VAT and Sales Tax Mon, 31 Oct 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=430365