1970 (8) TMI 74 - HC - VAT and Sales Tax

Summary

The High Court of Madhya Pradesh ruled that the penalty imposed on the applicant under section 43(1) of the Madhya Pradesh General Sales Tax Act was not justified as the applicant did not furnish a false return. The court held that claiming an item as exempt from tax in the return, even if later deemed taxable, does not constitute a false return. The penalty of Rs. 900 was deemed illegal and unjustified.