COMMISSIONER OF SALES TAX Vs. PRAKASH TRADING CO

JUDGEMENT

(1.) Dissatisfied with the setting aside of penalty orders passed under Section 15-A(l)(g) of the U. P. Sales Tax Act for carrying on business without registration under Section 8-A in the assessment year 1973-74 to 1976-77 by the revising authority and the appellate authority, the Commissioner of Sales Tax has filed these revisions and raised an issue of wider impact of competency and jurisdiction of honour of penalty orders.

(2.) To hammer the point Sri V.D. Singh, the learned standing counsel, has compared Sub-clause

(3.) Imposition of penalty under taxing statutes for defaults without element of mens rea is now firmly established. In R.S. Joshi, Sales Tax Officer v. Ajit Mills Ltd. 1979 UPTC 171 (SC), the Honourable Supreme Court while upholding the constitutional validity of forfeiture provision in the Gujarat Sales Tax Act observed :