PUNANGADI FLOUR AND OIL MILLS Vs. ASSISTANT COMMISSIONER

JUDGEMENT

(1.) PETITIONER challenges the penalty orders which were finally confirmed by exhibit P5 order imposing penalty of Rs. 9,340. The penalty imposed was Rs. 9,340. It is not disputed that the petitioner's goods in question during the relevant time were exempted. Therefore, even though there were some irregularities in the account, there was no evasion of tax. If there is no evasion of tax or tax evaded cannot be quantified, the maximum amount of penalty is Rs. 5,000. Therefore, only Rs. 5,000 should have been awarded as penalty. The penalty orders which finally merged in exhibit P6 order are modified and maximum Rs. 5,000 need be paid by the petitioner as penalty. Excess amount, if any, paid by the petitioner may be refunded to the petitioner. The original petition is disposed of. Petition disposed of. .