- If a registered dealer has filed his return of sales truly and bonafidely, there would be no default on his part to meet his statutory obligation and the Assessing officer shall not be eligible to charge interest, if his turnover has been enhanced at the time of assessment.
- If the dealer has furnished full particulars in respect of his business, without willfully omitting or withholding any particular information which has a bearing on the assessment of tax, which he honestly believes to be correct and complete, it would be difficult to hold that the dealer had not acted bonafidely in depositing the tax due on that information before the submission of the return.
- The provisions relating to filing of return and deposit of tax according to return are in the nature of self assessment. The important requirement is that whatever be the amount of tax due on the basis of self assessment, it must be paid along with the filing of the return, which constitutes self assessment. The law doesnot envisage the assessee to predict the final assessment when he files the return and expact him to pay tax on that basis to avoid the liability to pay interest.
- Where the assessee had submitted returns accompanied by receipts evidencing the payment of tax on the basis of the returns by not including amount of freight charges realized in the quantum of taxable turnover, but later on, when the law was settled by the Apex Court holding that the freight charges are liable to be included in the turnover, he filed a revised return including freight charges in the quantum of turnover and also paid the additional tax, he is not liable to pay interest.