Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: VAT Audit :: VAT RATES :: articles on VAT and GST in India :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: cpt :: list of goods taxed at 4% :: form 3cd :: due date for vat payment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
VAT (Value Added Tax) »
 Cenvat Credit Of Additional Duties Of Customs [Cvd] On Imported Coal
 Excise Dept puts VAT refund on fast track
 Consumer fora receive 18 VAT plaints
 Appointment of Assistant VATO - F.3(14)/Fin(Rev-I)2012-13/DSVI/334
 Bio-diesel body seeks VAT relaxation
 HC seeks Delhi, centre reply on restaurants charging excess VAT, service tax
 Shakti Autos booked for evading VAT, bogus sales
 VAT sops to IOCL Paradip refinery hits Odisha revenue growth
 Government to announce new VAT rates in October
 World Wide Gst, Vat, Sales Tax Rate
 Article on Transition Process of Registrations under VAT / Service Tax Laws to GST Law

HC quashes penalty provision in VAT Act
January, 07th 2009
In a major relief to dealers, the Karnataka High Court has struck down section 72 (1) of Karnataka VAT Act, 2003, as unconstitutional and unreasonable. Allowing a batch of petitions filed by Philips Electronics India Limited and others, Justice D V Shylendra Kumar has said that frequent tinkering in the said Act shows that there is lack of clarity in the legislative policy. Levy of penalty on tax liability is nothing but tax on tax. The court has ordered the authorities to refund the penalty collected so far under the said provision. The complainant challenged the provision which enabled the authorities to impose penalty at the rate of 10% of the value added tax payable in addition to a daily penalty of Rs 50 and interest of 1.25% if there is delay of even one day in furnishing the monthly tax returns. It termed this provision as oppressive and unreasonable. "The huge penalty on smaller dealers and small liability of tax assumes gigantic proportions when the delay is 3-5 years as seen in some cases. A penalty based on extent of delay which sometimes exceeds the liability is grossly disproportionate. An arbitrary penalty which is also an irrational levy automatically loses nexus achieving the object of correcting mischief sought to be prevented by the legislation and therefore renders itself as unconstitutional. Any penalty should be in reasonable limits to act as sufficient and mere deterrent and not reaching level of confiscation," the judge has observed.
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Integrated Software Solutions Integrated Software Development Integrated Software Services Integrated Software Solutions India Integrated Softw

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions