1996 (6) TMI 312

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....HAH MOHAMMED QUADRI, J.-The petitioner seeks a writ of mandamus for a declaration that the action of the respondent in collecting the compounding fees of Rs. 4,000 and penalty of Rs. 30,600, is illegal and arbitrary and for a consequential direction to refund the said amounts. The petitioner is a dealer registered under the Andhra Pradesh General Sales Tax Act, 1957 (for short, "the Act"). He i....

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....e circumstances the petitioner has approached the court for the writ indicated above.   This writ petition was filed on June 3, 1992. But, on August 17, 1993 notice before admission was ordered. Till today, no counter-affidavit is filed by the respondent. Sri Raji Reddy, the learned counsel for the petitioner, submits that though the petitioner seeks relief of refund of both the compoun....

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....close the turnover or to furnish correctly any particulars and shall make such enquiry as he considers necessary." From a perusal of the provision extracted above, it is evident that before issuing any direction for the payment of any penalty under sub-sections (2), (3) and (4) of section 14 of the Act, the assessing authority is bound to give the dealer a reasonable opportunity to explain the ....

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....as not wilful." The proviso to sub-section (8) of section 14 affords a defence to a dealer in a case where the failure to comply with the requirements of the abovesaid provision is due to bona fide mistake on the part of the dealer in which case the dealer cannot be made to pay the penalty. In view of the above position in law, it is incumbent on the assessing authority to issue notice because ....