TMI Blog2003 (11) TMI 645X X X X Extracts X X X X X X X X Extracts X X X X ..... Tax Act. Petitioner filed return on 2.5.83 for the year 1983-84. When the accounts were called for and checked, the assessing authority found that a sizable amount was left out and that was pointed out to the assessee. Pursuant to the directions of the assessing authority, the petitioner filed a revised return on 10.5.85. By Ext. P4 the assessing authority imposed a penalty as he has filed incorr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 12(3) of the Madras General Sales Tax Act, 1959 on the ground that the dealer has submitted an incomplete or incorrect return only if the assessment had to be made to the best of his judgment by the assessing authority. Supreme Court in that case also found that the monthly return was filed with some bona fide mistakes. But there was no mistake in the final return and penalty was not leviable a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... here is no best judgment assessment. We note that, the above judgment of the learned Single Judge was held to be not correct by a Division Bench of this Court in T.K. Balan v. State of Kerala and Ors. (1999) 7 KTR 437 (Ker). The Division Bench held that in order to impose a penalty under Sub-section (2) of Section 19, the assessing authority should have passed an assessment order to the best of it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nalty under Section 45A also . 3. In this case, the petitioner even though aware that the turnover ought to have been included, intentionally suppressed the turnover. Even after the party received the payment, it was not informed. Only when the assessing authority pointed out the mistakes he filed a revised return and penalty was not imposed under Section 19(2) of the Kerala General Sales Tax A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the turnover intentionally. There is clear mens rea. Only when the assessing officer pointed out the mistakes, he filed a revised return. For imposing penalty under Section 45A(1)(d) of the Kerala General Sales Tax Act, a best judgment assessment need not be a condition and the decision reported in 1990(2) KLT 117 : (1991) 80 STC 177 is thus overruled. The penalty was rightly imposed and reasona ..... X X X X Extracts X X X X X X X X Extracts X X X X
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