SOUTHERN AGRIFURANE INDUSTRIES LTD. vs COMMERCIAL TAX OFFICER .

The Supreme Court ruled on the applicability of interest on sales tax dues under Section 24(3) of the Tamil Nadu General Sales Tax Act, 1959, in light of the deferment provisions under Section 17A(2) of the same Act. The Court held that the appellant was exempt from paying interest on the deferred sales tax for the period from 1.10.93 to 30.9.94, as the deferment was sanctioned by the State Government and approved by the BIFR. Consequently, the appeals were allowed, affirming the exemption from interest liability.