1993 (9) TMI 325

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....ed against the order dated February 18, 1987, of the Rajasthan Sales Tax Tribunal, raising the following two questions of law arising out of its order: (1) Whether, in the facts and circumstances of the case, the Tribunal was justified in setting aside the levy of penalty under section 16(1)(e) of the Rajasthan Sales Tax Act? (2) Whether, in the facts and circumstances of the case, the levy ....

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....e under section 16(1)(e) of the Rajasthan Sales Tax Act. It was submitted before the assessing authority that the assessee has not charged tax on the said chemical fertilizers and the same has been sold as tax-paid and, therefore, it was under bona fide belief that there was no liability of tax and therefore, penalty was not leviable. The assessing authority has also found that in respect of trans....

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.... been sent to the assessing authority, therefore, the revision petition was dismissed. In the second appeal before the Rajasthan Sales Tax Tribunal, it was held that there was no mens rea attributable in the facts and circumstances of the case and the levy of penalty was set aside. With regard to liability of interest, the Tribunal came to the conclusion that the winnowers are exempted under se....

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....explanation appears to be plausible. In these circumstances, I am of the view that the Tribunal was justified in coming to the conclusion that no offence under section 16(1)(e) has been made out and, therefore, it is not a case where any interference should be made. Regarding liability under section 11B of the Act, I have considered over the matter. The liability of interest could be created if....