LexThe Nagaland Purchase Tax Act, 1993
Nagaland · state statute
Open in Lexace · Ask the AI about this act THE NAGALAND PURCHASE TAX ACT, 1993
(THE NAGALAND ACT NO. 5 OF 1993)
Received the assent of the Governor of Nagaland on 28-8-93 and published
in the Nagaland Gazette extraordinary dated
10th sept, 1993.
An
Act.
To provide for the levy of tax on the purchase of certain commodities in Nagaland.
Whereas circumstances exist which render it necessary and expedient to impose a tax
on purchase point of certain commodities in Nagaland in lieu of the last point tax
under Nagaland Sales Tax Act, 1967.
It is hereby enacted in the forty fourth year of the Republic of India as follows
Short title, extent and commencement
1. (1) This Act may be called the Nagaland purchase Tax Act, 1993.
(2) it extends to the whole of Nagaland.
(3) It shall conic into force on such date as the State Government may by
notification in the official, gazette appoint.
Definitions:-
2. In this Act, unless the context otherwise requires
(1) “appointed date” means the date appointed for the commencement of the
provisions of this Act under sub-section (3) of section 1
(2) “ business” includes
(i) any trade, commerce of manufacture or any adventure of concern in the
nature of trade, commerce or manufacture whether or not such trade,
commerce, manufacture, adventure if carried on with the motive to make
gain or profit and whether or not any again or profit accrues therefrom,
and
(ii) any transaction in connection with or incidental or ancillary to such trade,
commerce, manufacture, adventure or concern.
(3) “Commissioner” means a person appointed to be the Commissioner of Taxes
under sub-section (1) of section 3
(4) “company” means a company as defined under section 3 of the Companies
Act. 1956 (1 of 1956)
(5) “dealer” means any person who for commission remuneration, or otherwise
carries on business of buying taxable goods in the State and includes —
(i) Government and local authority,
(ii) a co-operative society or a club or any association which supplies goods to
its members or which sells goods supplied to it by its members.
(iii) a factor, a broker a commission on agent delcredere agent, an auctioneer
or any other mercantile agent whatever names called and whether of the
same description as herein before mentioned or no who carries on the
business of purchasing goods who has, in the custom of business authority
to purchase goods for and on behalf of or belonging to principal whether
residing within or outside the State, and includes a person delivering
goods on hire purchase or any system of payment by installment.
Explanation: Notwithstanding anything contained elsewhere in this Act or in any other
Law for the time being in force, every person holding a formal document or instrument in
powering such a specified person to act for and in the name of local Naga authorized by or
under ‘Power of Attorney’ or any other authorization, document by whatever name called,
executed or signed carries on business as aforesaid in the State shall be considered to be a
dealer along with the local Naga shall he jointly and severally subject to the provisions of this
Act.
(6) “declared goods” means goods declared under section 14 of the Central Sales
Tax Act, (74 of 1956) to be of special importance in inter state trade of
commerce and the sale of which is taxable under this Act.
(7) “director” means in relation to a company has the meaning assigned to it in the
Companies Act, 1956 (1 of 1956).
(8) “firm, partner and partnership” has the meanings respectively as assigned to
them in the Indian Partnership Act, 1932 (9 of 1932).
(9) “manufacture” with all its grammatical variations and cognate expressions means
producing making extracting, altering, ornamenting, planting, finishing or
otherwise processing, trading or adapting any goods “but does not includes such
manufacture, or manufacturing process as may be prescribed.
Explanation: for the purpose of this clause the cutting, sawing, shaping, sizing or hewing
of timbers, shall be deemed to be manufacture.
(10) “month” means the month according to the English calendar
(11) “official gazette” means the official gazette of the government, of the State.
(12) “prescribed” means prescribed by rules made under this Act.
(13) “person means” any individual or association or body of individuals and includes
a department of any government or Hindu- Undivided or Joint Family, a firm
and a company whether incorporated or not.
(14) “purchase price” means the amount paid or payable by a dealer for any purchase
of taxable goods including any sum charged for
(i) anything done by the seller with or in respect of the goods at the time of or
before delivery thereof,
(ii) containers or other material for the packing of such goods.
(15) “quarter” means a period of 3 months ending on 31st March, 30th June, 30th
September or 31st December in any year.
(16) “registered dealer” means a dealer registered under the provision of this Act,
(17) “rules” means the rules framed under this Act,
(18) “State” means the State of Nagaland;
(19) “section” means section of this Act;
(20) “schedule” means the schedule to this Act
(21) “tax” means a purchase tax, turnover tax or additional tax as the case may be
payable under this Act
(22) “taxable goods” means goods specified in the Schedule:
(23) turnover of purchase means the aggregate of the amounts or purchase of taxable
goods made by him during any return period after deducting the amount of
purchase price, if any, refunded to the sealer in respect of any taxable goods and
their containers purchased from the seller and returned to him within a period of
three months from the date of delivery of goods:
(24) “year means the financial year.
Taxing authorities
3. (1) The State Government may, for carrying out he purposes of this Act appoint,
a person to be the Commissioner of Taxes together with such other persons
to assist him as it considers necessary
(2) Persons appointed under sub-section (1) shall exercise such powers as may
be conferred and perform such duties as may be required under this Act.
(3) All persons appointed under sub-section (1) shall be deemed to be public
servants within the meaning of section 21 of the Indian Penal Code, 1860
(Act 45 of 1860)
(4) Any proceedings under this Act before any authority referred to in sub-
section I shall be considered to be a judicial proceeding within the meaning
of section 193 and 228 and for the purpose of section 196 of the Indian Penal
code, 1860 (Act 45 of 1860).
(5) Additional Commissioner:
(a) State Government may appoint Additional Commissioners of Taxes who
shall have jurisdiction over the whole of the State or where the State
Government so specifies over coy local area thereof.
(b) An Additional Commissioner shall, save as otherwise directed by State
Govermrient9 have and exercise within his jurisdiction all the powers
and perform all the duties conferred on the Commissioner under this
Act.
(c) The Commissioner may transfer to or withdraw to himself from an
Additional Commissioner of Taxes any case or matter or may transfer
any such case or matter from an Additional Commissioner of Taxes to
deal with the same to another Additional Commissioner of Taxes.
(d) An Additional Commissioner of Taxes shall be deemed to be a public
servant within the meaning of section 21 of the Indian Penal Code (Act
45 of 160).
Levy of tax
4. (1) Subject to the other provisions of this Act. every dealer liable to pay tax
earlier under the Nagaland Sales Tax Act, 1967, shall with effect from the
appointed day for the purpose of this section, he liable to pay tax on his
turnover of purchases at such rate as may be specified in the schedule.
Provided that the State Government may by notification in the Official Gazette add, or
amend any entry in the schedule and notify different rates when so requires; and thereupon
the said schedule shall he deemed to he amended accordingly.
Provided further that the rate of tax on any class or classes of goods shall not exceed fifty
per-centum.
(2) For the purpose of this section “Taxable turnover” means the gross value of
taxable goods purchased during the year as reduced by
(i) The turnover during such year of goods which is shown to the
satisfaction of the assessing officer to have been subjected to tax in the
State
(ii) Such other amounts as may be prescribed
(iii) From the resultant balance the amount arrived at by applying the
following formula-
Rate of tax X Resultant balance after
deduction as mentioned above
100 + Rate of Tax
Explanation:
Where the taxable turnover of a dealer is taxable at different rates the aforesaid formula shall
be applied separately in respect of each such part of the turnover.
(3) Incidence-the tax under sub-section (1) shall be levied at the point of last
purchase of the taxable goods in the State by a dealer
Provided that when the tax has been levied under this Act in respect of the purchase
within the state of any declared goods and such goods are sold in the course of inter-state
trade or commerce the tax so levied shall be refunded to such person in such manner and
subject to such conditions as may he prescribed;
Provided further that where any dealer claims that any purchase of taxable goods by him
is not the last purchase of the goods in the State the burden of proof of the same shall he
on the dealer.
Registration :
5. (1) No dealer shall carry on business as a dealer unless he has been registered
and possess a certificate of registration;
(2) Every dealer required by sub-section (1) to be registered shall apply for
registration to the Commissioner in the prescribed form and obtain a
certificate of registration.
(3) On receipt of an application under sub-section (2) the Commissioner shall if
he is satisfied that the application is in order register the applicant,
(4) The Commissioner may, in addition to taking any other action under the
provisions of this Act, compel any dealer .who in his opinion, is liable to
registration hut has not made in application in this behalf, to apply for
registration and register him. The Commissioner shall register a dealer who
fails to apply for registration within a specified time:
Provided that no section under this sub-section shall be taken unless the Commissioner
has given notice of one month to the dealer.
(5) The Commissioner shall register any dealer who been convicted under
section 28 or has Paid composition money under section 31 in respect of any
contravention of sub-section (1) of this section.
(6) Registration made under sub-section(5) shall take effect as if these had been
made on the dealers application under sub-section (2).
Certificate of Registration
6. (1) A dealer registered under section 5 shall be granted a certificate of
registration in such form as may be prescribed
Provided that Commissioner may for good and sufficient reason to be recorded in writing
demand from a dealer who has been registered or a person who has applied for registration
under section 5 (2) or a person who has been required to get himself registered under
section 5 (4), reasonable security for proper payment of the tax.
Provided further that such dealer, firm or person shall be given an opportunity to present
his or their case to the Commissioner before any amount is realized as security.
(2) The Commissioner may, on petition or otherwise, cancel at any time any
certificate of registration if he is satisfied that:
(a) the business in respect of which the certificate was issued has been
discontinued or transferred, or
(b) the liability to pay tax in respect of such business has ceased under
this Act
Returns
7. (1) Every registered dealer shall furnish such returns to taxable goods purchased
by him in such form, for, such periods by such date and to such authority as
may be prescribed.
(2) In case of any other dealer, who in the opinion of the Commissioner, is liable
to pay tax for any return period or part thereof, the Commissioner, may serve
at any time within eight years of the expiry of the returns period as notice in
the prescribed form upon him requiring him to furnish a return of taxable
goods purchased and such dealer shall thereupon furnish the return within the
period and to the authority mention in the notice:
Provided that in computing the period of eight years specified in this sub-section , the
period during which the Commissioner is restrained by an order of the State Government
or any Court form serving the notice under this section be excluded.
(3) If any dealer discovers any omission or other error in any return furnished by
him .he may furnish revised return at any time before assessment is made on
the original return:
Provided that no return submitted under this section shall be valid unless it is
accompanied by a treasury receipt showing payment of the tax due as provided in sub-
section (2) or sub-section (3) as the case may be of section 20.
Assessment:
8. (1) If the Commissioner is satisfied that a return furnished by a dealer under
section 7 in respect of any quarter is correct and complete , he shall , by an
order in writing , assess the dealer and determine the tax payable by him on
the basis of such return.
(2) If the Commissioner is not satisfied that a return furnished under section 7 is
correct and complete , he shall serve on the dealer, a notice, requiring him on
the date and hour and place specified which therein either to attend in [person
or to produce any evidence on which he may rely in support of his return.
(3) On the day specified in the notice, under sub-section (2) of as soon
afterwards as may be, the Commissioner, after hearing such evidence as the
dealer may produce and such other evidence as the Commissioner may
require shall, by an order in writing, assess the dealer and determine the tax
payable by him on the basis of such assessment.
(4) If a dealer fails to make a return as required by sub-section (1) or sub-section
(2) of section 7, as the case may be, or having made the return, fails to
comply with all the terms of the notice issued under sub-section (2) of this
section, the Commissioner shall by an order in writing, assess to the best of
his judgment the dealer and determine the tax payable by him on the basis of
assessment.
Provided that before making the assessment, the Commissioner may allow the dealer such
further time as he thinks fit to make the return or to comply with the return of the notice
issued under sub-section (2) of this section.
Cancellation of Assessment
9. Where a dealer in the case of an assessment completed under sub-section (4) of
section 8, satisfies the Commissioner within one month from the date of issue of a
notice of demand as hereinafter provided that he was prevented by sufficient
cause from making the return required by section 7 or that he did not receive the
notice issued under sub- section (2) of section 7, or sub-section (2) of section 8 of
that he had not a reasonable opportunity to comply, or was prevented by sufficient
cause from complying with the terms of the notice, the Commissioner may cancel
the assessment and make a fresh assessment in accordance with the provisions of
section 8.
Assessment in case of evasion and escape :
10. (1) If an information comes to his knowledge and if the Commissioner is
satisfied that any taxable goods chargeable to tax had escaped assessment in
any return period or have been under assessed, he may at any time within
eight years of the expiry of the return period, serve a notice on the dealer
liable to pay tax in respect of such goods a notice, requiring him to furnish
within such period as may he mentioned in the notice, a return of taxable
goods purchased and may proceed to assess or reassess the dealer under
provisions of this Act.
Provided that the tax shall be charged at the rate at which it would ordinarily have been
charged, had there been no escape or under assessment.
Provided further that in computing the period of eight years specified in this sub-section,
the period during which the Commissioner is restrained by an order of the Government or
any Court from serving the notice under this sub-section shall be excluded.
(2) The Commissioner may authorize any person appointed under section 3 to
assist him in investigating any case or points in any case at any stage and to
make a report thereon to the Commissioner or any prescribed authority in
respect of all or any of the assessment made in relation to the case in order to
prevent the evasion of tax, After considering the report of the investigating
officer, the Commissioner may proceed to take action under sub-section (1)
besides initiating any other action under this Act, against the dealer
concerned.
Rectification of assessment
11. (1) The authority which made an assessment or passed an order on appeal or
revision in respect of any, at his own motion, rectify any mistake apparent
from the record of the case and shall within the like period, rectify any such
mistake as has been brought to its notice by a dealer,
Provided that no such rectification shall be made having the effect of enhancing the
assessment unless the authority concerned has given notice to the dealer of its intention to
do so and has allowed him a reasonable opportunity of being heard.
(2) When such rectification has the effect of ~ the assessment, a refund shall be
due to the desire
(3) Where any such rectification has the effect the enhancing the assessment, a
notice of demand such be issued for the sum payable.
Penalty for non-submission of return and evasion of taxes :
12. (1) if the Commissioner, in the course of any proceeding under this Act, is
satisfied that any dealer,
(a) has, without reasonable cause, failed to furnish the return which he was
required to furnish under section 7 or 10 or has, without reasonable
cause, failed to furnish it within the specified time or,
(b) has without reasonable cause, failed to comply with a notice under sub-
section (2) of section 8, or
(c) has, concealed the particulars of taxable goods purchased or deliberately
furnished inaccurate particulars of such purchase;
(d) has evaded in any way the liability to pay tax, he shall direct that such
dealer shall pay by way of penalty in addition to the tax payable by him,
a sum not exceeding one and half of that amount,
(2) No order under sub-section (1) shall be made unless the dealer has been
heard or has been given a reasonable opportunity of being heard.
(3) Prohibition to collect excess tax.
(a) No person shall collect from any other person any sum by way of or on
account of tax under this Act in respect of any goods or which no tax is
payable under this Act.
(b) No person, who is not a registered dealer under this Act, and liable to
pay tax thereunder in respect of any goods shall collect from any other
person any sum by way of or on account of tax under this Act and no
registered dealer shah collect any amount by way of or on account of tax
in excess of the amount payable by him under this Act.
(4) Forfeiture of excess tax etc:
if any person
(i) not being a registered dealer is liable to pay tax under this Act,
collects any sum by way of or on account of tax or (being a
registered dealer collected any sum by way of or on account of tax
in excess of the tax payable by him, or
(ii) otherwise collects tax in contravention of the provision of sub-
section (3)
(a) any sum so collected by that person by way of or on account of tax shall
be forfeited to the State Government and when any order of forfeiture is
made, the Commissioner shall publish or cause to be published a notice
thereof for the information of the persons concerned giving such details
and in such manner as may be prescribed.
(b) Where the Commissioner has reason to believe that any person has
willfully contravened the provisions of sub-section(3) the Commissioner
may impose upon such person a penalty of an amount not exceeding two
thousand rupees or double the sum collected by such person by way or
on account of tax in contravention of the provisions of subsection (3),
whichever is less.
Provided that no penalty shall be imposed in respect of any such contravention which
occurred on a date prior to the publication of this act in the official Gazette,
(c) If the Commissioner in the course of any proceeding under this Act or
otherwise has reason to believe that any person has become liable to
forfeiture of any sum under sub-section (a), or both forfeiture of any sum
under sub-section (a) and penalty under sub-section (b) he shall serve on
such a person a notice in the prescribed form requiring him on a date and
at a place specified in notice to attend and show cause why forfeiture or
both forfeiture and penalty of any sum as provided in sub-section (a) and
sub-section (b) should not be imposed on him.
(d) The Commissioner shall thereupon hold an enquiry and shall make such
order as he consider necessary.
(e) No prosecution for an offence under this Act shall be instituted in
respect of the same facts on which a penalty has been imposed under this
section.
(5) Payment of sum forfeited etc :
(a) The amount of penalty (if any) levied under sub-section (4) and the sum
(if any) forfeited to the State Government under sub-section (4) shall be
paid by the dealer or the person liable therefor in Government treasury
by such date as may be specified in a notice issued by the Commissioner
for this purpose being a date not earlier than thirty days from the date of
service of the notice.
Provided that the Commissioner may, in respect of any particular dealer or person and for
reasons to be recorded in writing extent the date of payment, or allow him to pay the
penalty (if any) imposed under sub-section (4) or the sum forfeited by installments.
(b) Any penalty imposed or sum forfeited under sub-section (4) which
remains unpaid after the date specified in the notice for payment or after
the extended date of payment and any installment not duly paid, shall he
receivable as an arrear of land revenue.
(c) Notwithstanding anything contained in this Act, or in any other law for
the time being in force where any sum collected by a person by way of
or an account or tax in contravention of sub- section (3) is forfeited to
the State Government under Sub- section (4) or is recovered from him
such payment or recovery shall discharge him, of the liability to refund
the sum to the person from whom it was so collected.
(d) A refund of any such sum or any pa1t there of may be claimed from the
State Government by the person from whom it was realised by way of or
on account of tax provided such tax was not passed on by him in any
form or manner to some other person the claim for refund may be made
by such other person only.
(e) An application for such claim shah he made in writing in the prescribed
form to the Commissioner within one year from the date of the order of
forfeiture.
(f) On receipt of an application under sub-section (e) the Commissioner
shall hold such inquiry as he considers necessary and if the
Commissioner is satisfied that the claim is valid and admissible and that
the amount so claimed as refund was actually paid in Government
treasury or recovered, and no drawback, set off, refund or remission in
respect or that amount was granted he shall refund the sum of any part
thereof, which is found due to the person concerned.
Assessment not to bar prosecution or penalties.
13. Any assessment made under this Act, shall be without prejudice to any
prosecution or penalty instituted or imposed under the provisions of this Act.
Tax of deceased payable by representative:
14. (1) Where a dealer dies after assessment hut before payment of the tax, his
executor, administrator or other legal representative shall he liable to pay out
of the estate of the deceased, to the extent to which it is capable of meeting
the charge, the tax assessed as payable by such dealer.
(2) Where a dealer dies without having furnished the return enquired by section
7 or 10 or after having furnished the return hut before assessment the
Commissioner may proceed to make an assessment and determine the tax
payable by the deceased arid for this purpose he may require the executor.
administrator of other legal representative, as the case may he, of the
deceased to perform all or any of the obligations which he might under the
provision of this Act, have required the deceased to perform. The tax thus
determined shall he payable by the executor, administrator of other legal
representative of the deceased to the extent to which toe estate of the
deceased is capable of meeting the charge.
Tax when payable by transfer
15. When the business or stock of a registered dealer passes onto any person or
persons, whether by sale inheritance, gift, possession or otherwise, the liability
so Pay any tax payable in respect of any purchase of taxable goods and
remaining unpaid as the time of such passing on shall be jointly and severally on
the dealer and such person or persons shall, within 30 days of such passing on
apply for registration under Section 5.
Assessment of dealers likely to transfer assets to a void tax:
16. (1) Notwithstanding anything contained in this Act, if it appears to the
Commissioner during any current return Period that any dealer is likely to
change, sell, transfer dispose of or otherwise port with any of the assets with
a view or avoiding payment of any liability under the provisions of this Act,
the purchases of taxable goods of such dealer for the period from the expiry
of the previous return or retain period to the date when the Commissioner
commences proceedings under this section shall be chargeable to tax in that
period.
(2) For the purpose of making an assessment under sub-section (1) the
Commissioner may serve a notice upon such dealer requiring him to furnish,
within such period as may be specified in the notice, a return in the manner
and form in which a return under section 7 is furnished.
Liability of agent of non-resident :
17. Where here the business in respect of which tax payable under this Act, is owned
by a non-resident person the tax shall he levied upon and recoverable from the
agent of such non-resident person in like manner and to the same extent as it
would he leviable upon and recoverable from the owner if he were resident in the
State and conducting the business therein and all the provisions of this Act shall
apply accordingly.
Liability of discontinued firm or association:
18. Where the business carried on by a firm or an association of persons, other than a
company as defined in the Indian Companies Act, 1956( (Act. 1 of 1956) and in
respect of which tax is payable under this Act. is discontinued or the association
of persons is dissolved, the tax shall he levied upon and recovered from jointly
and severally every person who. at the time of such discontinuance or
dissolution. was a partner of such firm or member of such association. and all the
provisions of this Act, shall apply accordingly
Notice of demand:
19. When any tax or penalty or other dues is or are payable in consequence of any
order passed under or in pursuance of this Act, the Commissioner shall serve
upon the person liable to pay such tax or penalty or other dues a notice of
demand in the prescribed form specifying the sum so payable.
Tax when payable
20. (1) Tax payable under this Act, shall he paid in the manner hereinafter provided.
(2) Before any registered dealer furnishes the return required by sub-section (1)
of section 7, he shall in the prescribed manner, pay into a Government
treasury the ful1 amount of tax due from him under this Act on the basis of
such return, and shall furnish along with the return a receipt from such
treasury showing payment of such tax.
(3) Where a revised return is submitted by a registered dealer under sub-section
(3) of section 7 and if the revised return shows a greater amount of tax to he
due than was payable on the basis of original return, the dealer shall pay the
excess amount of tax in the manner provided in sub-section (2) and shall
furnish along with the revised return a receipt in token of payment of such
excess tax.
(4) The amount of tax due under the provisions of the Act
(a) in excess of payment already made under sub-section (2) and (3), or
(b) Where no Payment has been made, shall be paid by the dealer by such
date as may be specified in the notice of demand and where no such date
is specified, it shall be paid within thirty days from the date of service of
the notice.
Interest Payable by dealers:
21. (1) If any dealer does not pay into Government Treasury the full amount of tax
payable by him under this Act, by the due date, simple interest at the rate of
twelve per annum per annum from the first day of the month next following
the said date shall be payable by him on the amount by which the tax paid, if
any by the due date falls short of the tax payable. No interest under this sub-
section shall be payable if the amount of tax paid by the due date is not less
then ninety per annum of the tax payable.
(2) If such tax is not paid within a period of sixty days from the due date, then in
addition to interest payable under sub- section (1), the dealer shall be liable to
pay simple interest at the rate of twenty four per centum per annum from the
day commencing after the said period of sixty days on the amount by which
the tax paid, of any, before the expiry of the said period falls short of the
amount of tax payable.
(3) Interest under this section shall be payable till the payable is paid in full.
(4) Where any interest becomes payable under this section, the officer competent
to assess the dealer under section 8 shall record and order to that effect
specifying the amount of interest payable and the amount of which and the
period for which the interest is payable . Notwithstanding any thing
contained in this Act, an order under this sub-section can be issued at any
time when interest under this section is found to be due.
(5) Where an order is passed under sub-section (3) of section 23 in respect of any
dues any interest relatable to the same dues and accrued under this section
upto the date of such order and any further interest accruing after such date
shall be recovered in eh course of proceeding initiated in accordance with
the said sub-section (3) in respect of the said dues and for that purpose no
order under sub-section (4) of this section or notice under section 19 shall be
necessary in respect of such interest.
Explanation A. For the purpose of this section, “tax payable” means the amount of tax as
finally assessed under this Act.
Explanation B. For the purpose of this section, tax payable shall be deemed to be due for
payment as follows:
For any period –
(a) from 1st April to 30th June….by 31st , July
(b) from 1st July to 30th September…by 31st Oct.
(c) from 1st October to 31st December …by 31st Jan
(d) from 1st January to 31st March …by 30th April.
Other Dues When Payable:
22. Any dues , other than the amount of tax, payable under this Act shall be paid by
the person concerned by such date may be specified, in the notice of demand and
if no such date is may specified , it shall be paid within thirty days from the date
of the service.
Mode of recovery:
23. (1) if the demand in respect of any dues under this Act is not paid on or before
the date specified as aforesaid, the dealer shall be deemed to be in default.
Provided that the Commissioner , may in respect of any particular dealer and for reasons
to be recorded in writing extend the date of payment of the dues or allow such dealer to
pay the same by installments and in that case the dealer shall not be deemed in default.
(2) Where dealers is in default the Commissioner may in his discretion, direct ,
that in addition to the amount dues a sum not exceeding that amount shall be
recovered form the defaulter by way of penalty.
(3) Where a dealer is in default, the Commissioner may order that the amount
due shall be recoverable as an arrear of land revenue and may proceed to
realize the amount due a such.
Bar of proceeding:
24. It is hereby declared that the provisions of section 9 and 10 of the Bengal Public
Demand Recovery Act, 1913 shall not apply to any proceedings for recovery of
any tax or penalty referred to in section 19 or of any interest referred to in sub-
section (1) and (2) of section 21 or any other dues referred to in sedction22
Special mode of recovery:-
25. 1 The assessing authority may at any time or from time to time by notice in
writing (a copy or which shall be forwarded to the dealer at his last address
known to the assessing authority) require any person from whom money is
due or may become due to the dealer or any person who holds or may
subsequently hold money for or on account of the dealer to pay to the
assessing authority, either forthwith upon the money becoming due or being
held at or within the time specified in the notice (not being before the money
becomes due or is held) so much of the money as is sufficient to pay the
amount due by the dealer in respect of arrears of tax or other dues under this
Act or the whole of the money when it is equal to or less than the arrear of
tax or such other dues.
2. The assessing authority may at any time or from time to time amend or
revoke any such notice or extend the time for making any payment in pur-
suance of the notice.
3. Any person making any payment in compliance with a notice under this
section shall be deemed to have made the payment under authority of the
dealer and the receipt of the assessing authority shall constitute a good and
sufficient discharge of the liability of such person to the extend of the amount
referred to in the receipt.
4. Any person making any payment to the dealer after receipt of the notice
referred to in this section shall be personally liable to the assessing authority
to the extent of the payment made or to the extend to the liability of the
dealer for the amount due under this Act, whichever is less.
5. Where any person to whom a notice under this section sent objects to it on
the ground that the sum demanded or any part thereof is not due by him to
the dealer or that he does not hold any money for or on account of the dealer
then nothing contained in this section shall be deemed to require such person
to pay the sum demanded or any part thereof to the assessing authority.
6. Any amount which a person is required to pay to the assessing authority or
for which he is personally liable to assessing authority under this section if it
remains unpaid, shall be charged on the proper ties of the said person and
may be recovered as if it were an arrear of land revenue.
Explanation :- (A) For the purpose of this section, the amount due to a dealer or money
held for or on account of a dealer by any person shall be computed after taking into account
such claims, if any, as may have fallen due for payment by such dealer to such person and as
may be lawfully substituting.
Explanation :- (B) In this section, “assessing authority” means any authority competent
to assess the dealer under Section-8.
Refunds
26. (1) The Commissioner shall, in the prescribed manner refund to a dealer any sum
paid by such dealer in excess of the sum due from him under this Act, either
by cash payment or at the option of the dealer by set off against the sum due
from him in respect of any other period.
(2) If a fund, not being a refund under the proviso to sub- section (3) of Section 4
is not made within ninety days of such refund being due, the State
Government shall pay to such dealer simple interest at the rate of six
percentum per annum on the amount refundable.
(3) Refund under this Act shall be deemed to be due.
(a) In cases where the tax assessed has been reduced on appeal or revision,
from the date of the order of the appellate or revisional authority comes
to the knowledge of the assessing authority and
(b) In other cases, on the date an application for refund is made by the Party
claiming the refund.
Remission:
27. The State Government, for good and sufficient reasons to be recorded in writing,
may remit the whole or part of the amount of the tax or penalty payable in
respect of any period by any registered dealer as may be prescribed.
Offences and penalties:
28. Any person who while being liable to pay tax under the provisions of this Act.
(1) fails to register himself as a dealer as required under section 5 or;
(2) fails, without reasonable cause, to submit in due time any return as required
by or under the provisions of this Act or submits a false return, or
(3) fails, when required by or under the provisions of this Act, to keep account
and records of purchases of taxable goods, or
(4) Fails, when required by or under the provisions of this Act, to produce any
accounts, evidence or documents or to furnish any information; or
(5) Knowingly produces incorrect accounts registers or documents or
knowingly furnishes incorrect information; or
(6) Fraudulently or willfully evades the payment of any tax due under this Act,
or conceals his liability to such tax; or
(7) fails to pay within the time allowed, any tax assessed or any penalty levied
on him; or
(8) Fails or neglects to comply with any requirement made of him under the
provisions of this Act; or
(9) Prevents or obstructs inspection or entry by any Officer acting under the
provisions of this Act; or
(10) Prevents or obstructs any Officer in-charge of Check post or Barrier from
making any entry or inspection of goods or intercepting detaining or
searching any vehicles, boat or ship earring taxable goods; or
(11) acts in contravention of any 01 the provisions of the Act; or rules made there
under.
Shall on conviction before a Magistrate, and in addition to any tax or penalty or
both that may be due from him be punishable with imprisonment which may
extend to six months or with fine not exceeding one thousand rupees or with both
and when the offence is a continuing one with a daily fine not exceeding fifty
rupees during the period of the continuance of the offence.
False statement is declaration
29. Whoever makes a statement in a verification or declaration in connection with
any proceedings under this Act which is false, and which he either knows or
believes to be false, or does not believe to be true shall, on conviction before a
Magistrate, be punishable with simple imprisonment which may extend to one
months or with fine which may extend to one thousand rupees, or with both.
Cognizance of offence:
30. (1) No court shall take cognizance of any offence under this Act, or under the
rules made there under except with the previous sanction of the
Commissioner, and no court inferior to that of a Magistrate of the First Class
shall try any such offence.
(2) Notwithstanding anything contained in the Codes of criminal Procedure,
1989 (Act V of 1989), all offenses punishable under this Act shall be
cognizable.
Compounding of offenses:-
31. (1) Subject to such conditions as may be prescribed, the Commissioner may,
either before or after institution of criminal proceedings under this Act,
accept from the person who has committed or is reasonably suspected of
having committed an offence under this Act or the rules made thereunder, by
way of compounding of such offence.
(a) Where the offence consists of the failure to pay, or the evasion of any tax
recoverable under this Act, in addition to the tax so recoverable a sum of
money not exceeding one thousand rupees or double the amount of the
tax recoverable, whichever is greater; and
(b) in any other case a sum of money not exceeding one thousand rupees in
addition to the tax recoverable.
(2) On payment of such sum as may be determined by the Commissioner under
Sub-section (1), no further proceedings shall be taken against the person
concerned in respect of the same offence.
Disclosure of Information by a Public Servant.
32. (1) All particulars contained in any statement made, return furnished or accounts
or documents produced in accordance with this Act, or in any evidence given
or affidavit or deposition made in the course of any proceedings under Act,
other than proceedings before a Criminal Court in any record of any
proceedings under this Act, shall, save as provided in sub- section (3) be
treated as Confidential, and notwithstanding anything contained in the Indian
Evidence Act, 1872, no court shall, save as aforesaid, he entitled to require
any public servant to produce before it any such statement, return, accounts,
documents, or record or any part of there of or to give evidence before it in
respect thereof.
(2) If, save as provided in sub-section (3), a public servant discloses any of the
particulars referred to in sub-section (1), he shall be punishable with
imprisonment which may extend to six months and shall also be liable to
fine.
(3) Nothing in this section shall apply to the disclosExcerpt shown. Open the full act in Lexace.