The SIKKIM SALES TAX ACT,1983

----I
THE SIKKIM
( ACT
AN
SALES
NO. 4
ACT
TAX ACT,
OF 1983)
1983
(3. 3. 83)
to consolidate and amend the law relating to the levy of tax on sale
of goods in the State of Sikkim,
Be it enacted by the Legislature of Sikkim in the Thirty-fourth year of the
Republic of India as follows: -
CHAPTER 1
PRELIMINARY
1. (1) This Act may be called the Sikkim Sales Tax Act, 1983. Short title, extent
and commencement.
(2) It extends to the whole of Sikkim.
(3) It shall come into force on such date as the State Go-
vernment may, by notification in the Official Gazette, appoint.
2. In this Act unless there is anything repugnant in the sub-
ject or context,-
(a) "business" includes any trade. commerce or manufac-
ture or any adventure or concern in the nature of trade,
commerce or manufacture carried on with or without a
motive for profit whether or not any profit accrues from
such activities and any transaction ancillary or incidental to
or in connection with such trade, commerce or manufacture
or adventure or concern;
Definitions.
(b) "commissioner" means the Commissioner of Commer-
cial Taxes appointed under sub-section (1) of Section 3 ;
(c) "dealer" means any person who carries on business
of buying and selling of goods for commission, remuneration
or otherwise and includes any firm, Hindu Undivided
Family, company, corporation, a department of Government.
society, club or association, I L the incorporation of such
society, club or association] ;
Explanation 1.- A factor, broker, commission-agent,
del-credere agent, auctioneer or any other mercantile agent,
by whatever name called" who carries on the business of
1. Inserted by the Sikkim Sales Tax (Amendment) Act No. 4 of 1986 w.e.f.I14j86

:
buying or selling of goods and who has, in the course of
his business, authority to sell goods belonging to their ow-
ners, shall be deemed to be a dealer for the purposes of
this Act;
Explanation 2.- The manager or agen t of a dealer
residing outside the State, and who sells or purchases
goods in the State, shall in respect to such business, be
deemed to be a dealer for the purpose of this Act;
(d) "declared goods" means the goods declared by section
14 of the Central Sales Tax Act, 1956 to be of
special importance in inter-State trade or commerce;
(e) "goods" means all kinds of movable property in solid,
liquid or gaseous form, and includes all materials, com-
modities, articles and also electricity but does not include
newspapers, actionable claims, stocks, shares and securities;
Explanation.-Materials, commodities and articles attached
to or forming part of immovable property which are agreed
to be severed under the contract of sale, shall be deemed
to be goods within the meaning of this clause;
(f) "manufacture" with all its grammatical variations and
cognate expressions, means producing, making, extracting,
altering, ornamenting, finishing or otherwise processing or
adopting, any goods but does not include such manufacture or
manufacturing process as may be prescribed;
(g) "notification" means a notification published in the
Official Gazette;c.
(h) "place of business" includes-e-
.•
(I) in the case of any dealer who carries on business
through an agent (by whatever name called), the place of
business of such agent;
(2) a warehouse, gorlown or other place where a dealer
stores his goods; and
(3) a place, where a dealer keeps his books of accounts;
(i) "prescribed" means prescribed by rules made under
this Act;
74 of 1956.

(j) "prescribed authority" means such author-ity as may be
prescribed:
(k) "registered dealer" means a dealer registered under
section 10;
(I) "rules" means the rules made under tbis Act;
2 [(m) "sale" with its grammatical variations and cog-
nate expressions means any transfer of property in goods
by one person to another for cash or for deferred payment
or for any other valuable consideration and includes the
'transfer, delivery or supply of goods by one person to an-
other person in any of the following ways, namely:-
(a) the transfer, otherwise than in pursuance of a contract, of
property in any goods for cash, deferred payment or other
valuable consideration;
(b) the transfer for property in goods (whether as goods or in
some other form) involved in the execution of a works
contract;
(c) the delivery of goods on hire-purcbase or any system of
payment by instalments;
(d) the transfer of the right to use any goods for any purpose
(whebher or not for a specified period) for cash, deferred
payment or other valuable consideration;
(e) the supply of goods by any unincorporated association, or
body of persons to a member thereof for cash, deferred
payment or other valuable consideration;
(f) the supply, by way of or as part of any service or in any
other manner whatsoever, of goods, being food or any ot-
her article for human consumption or any drink (whether
or not intoxicating), where such supply or service is for
cash, deferred payment or other valuable consideration,
does not include a mortgage or hypothecation of or a pledge
on goods."]
3 [Explanation 1.- Transfer of goods 00 hire-purchase or
other system of payment by instalments shall be deemed
to be a sale if and when there is a transfer of property
or goods from the seller to the buyer;]
2. Inserted by the Sikkim Sales Tax (Amendment) Act No.4 of, 1986 w.e.f.I/4/86
3. Omitted by the Sikkim Sales Tax (Amendment) Act No. 4 of 1986 w,e.f.l/4/86

(3·
5
(2) The Executive Committee may open such accounts, in such banks, as-it
deems fit, to deposit and operate the moneys belonging to the Board's
Fund referred to in section 9 and any other funds and moneys belonging
to the Board, including the TNA Capital Fund referred to in section
(0 (I) (Subject to the restrictions and stipulations, if any, made by the
Government regarding the said fund), and may operate such accounts on
behalf of the Board at its discretion for the benefit of the school and the
Board and for giving effect to the provisions of this Act.
Subject to the powers and functions assigned by it to him, the Executive
Committee may delegate, from time to time, through written orders,
any or all, part or whole, of its powers stated ill sub-sections (I) and (2)
above to the Secretary.
Powers may be dele-
gated to the
Secretary.
Executive Committee
to operate Bank
Accounts.
(a) The Executive Committee shall ensure that propel' accounts are Accounts and audit.
maintained in respect of all financial transactions of the Board,
and that the auditor is enabled to audit all such accounts
effectively and in proper time.
The Executive Committee may also cause internal audit to be
conducted as and when it deems fit.
(b)
CHAPTER V
Executive Committee
Every year, at its Annual Meeting, the Board shall' constitute an Execu-
tive Committee consisting of persons referred to in sub-section (3), in
order to carry out the purposes of this Act and run the school on behalF
of the Board.
(2) The tenure ofthe Executive Coml,llittee shall be only for the period start- Tenure.
ing with the date of its constitution and ending with the date of the cons-
titution of the next year's Executive Committee in the next Annual
Meeting.
(3) Subject to sub-section (4), the Executive Committee shall consist of Constitution.
five members, one of whom shall be named as its President, who shall
be an ex-officio member of the Board (other than the Principal/Secretary)
and the remaining members shall consist of another ex-officio
member of the Board (other than the Principal/Secretary), the Principal
(who shall be named its Secretary), and two experts in the field of educa-
tion to be nominated as hereinafter provided, who mayor may not be mem-
bers of the Board.
Executive Commttsse
to be constituted
every year.
Notwithstanding the provisions of Sub-Section (3), the Chairman may Nominating of
nominate not more than two additional members of his choice to function member.
as members of the Executive Committee as and when he considers it
(s)
necessary.
One of the experts in the field of education nominated as members of the
Executive Committee shall be the Principal/Headmaster ofany residential
public school of good standing located in Sikkim or Northern Ben.gal, and
the other shall be an educationist of high standing who normally resides
or works in any part of North Eastern India, including the State of West
Bengal.
The initial constitution of the Executive Committee in the year in which
this Act comes into force shall be the following;-
(i) Secretary, Department of Educatiop , Government of Sikkim-
President;
Secretary, Departmeut of Finance, Government of Sikkim;
Secretary, Establishment Department,
Two experts in the field of education to be nominated by the
Chairman ;
Initial Constitution.:
I
Experts ill field
of Educatton,
(6)
(ii)
(iii)
(iv)

Members in ex-officio
capacity.
Existing Executive
Committee to conti-
nue in certain cases.
Chairman to issue
orders.
Consultative Commi- )4-.
ttee,
Procedure to .fill in 1r;.
Faeancy of nomina-
ted member.
Procedure for the 16.
meetings of the
Executive Committee.
Powers and Functions I 7.
in addition to those
enumerated in Section
J:?
Review and Advice
onseveralmatters
concerning school.
Sub-Committee for
appointmentetc.
.•.
(v) The Principal, who shall be the Secretary of the Executive Com-
mittee.
The members of the Executive Committee (other than the two expe, in
the field of education) shall hold office only in an ex-officio capacity, and
shall cease to be members once they cease to be members of the Board.
If no new Executive Committee is constituted, or there is delay in its
constitution, the existing Executive Committee shall continue to func-
tion till a new Executive Committee is constituted.
The Chairman shall issue all orders, on behalf of the Board, constituting
the Executive Committee .
.(I) The President may constitute a Consultative Committee consisting of two
representatives of the members of the teaching staff of the school and
two representatives of the parents or guardians of the students of
the School. .
(2) The nomination of these representatives and their tenure shall be 'such as
may be prescribed. . .
(3) The members of the Consultative Committee shall have right only to
attend the meetings 01 the Executive Committee if and when inivited
to do so, and to tender their advice or express their views but shall have,
no right to vote. They also shall have right to attend only those parts
of the proceedings to which the President has invited them.
(4.) Nothing contained in this Act shall bar the President from seeking the
advice from experts in the field of education, law, etc, and allOWingthem
to take partin the proceedings of the Executive Committee, but they shall
have no right to vote.
If any vacancy arises in the Executive Committee due to resignation, death or
such other causes of anominated member of the Executive Committee, the Chair-
man shall, in consultation with the remaining members of the Executive Committee
fillin the vacancy, and such new member shall be in office till the term of the said
Executive Committee expires.
(I) The Executive Committee shall meet as often as required by exigencies,
provided that there shall be not less than four meetings in a year.
(8)
(2) At least ten day's notice shall be given to all members of the Executive
Committee and the Agenda shall be circulated among them at least seven
days in advance of the meeting:
Provided that in fit cases the above time' limits 'may be reduced
at the discretion of the President.
(3) The quorum shall be a majority of the members.
(4) Other rules of procedure of the meetings shall be such asmay be prescribed.
CHAPTER VI
Powers and Functions of the Executive Committee
The Executive Committee shall have the following powers, functions and duties,
and those shall be in addition to those enumerated in section 12.
(a) To review and advice in the proper care, upkeep and administration of the
school, its staff, finances, land, buildi~gs, furniture and equipment and
maintenance of necessary records and accounts.
Every appointment, termination of service, dismissal, retirement, exten-
sion of servic~ or re-employment of any of the employees of the school
other than its Principal, and every case of disciplinary action against any
such employee where, according to the relevant service rules, the maxi-
mum punishment involves dismissal or compulsory retirement, shall be
considered and decided by a Sub-Committee consisting of the President,
Secretary, Establishment Department of the Government and Principal/
Secretary which shall make recommandations to the Chairman.
(b)

(c)
~ (e)
(f)
(g)
(h)
(i)
(j)
(k)
(e)
~
" (m)
(n)
18.
'7
(i) The Principal and the Vice-Principal of the school shall
appointed by the Board.
be Appointment of
Principal etc.
(ii) All matters regarding the service of the Principal including any
discipl inary proceeding; against him and his dismissal, discharge,
extension of service etc., shall be considered and decided by the
Board.
(d), To frame service rules governing the Principal and staff of the school: Service rules.
Provided that when such rules are Framed for the first time they
shall be placed before the first Annual Meeting of the Board taking place
after that, and any amendments in those rules :111de in any year shall be
recorded in the Annual Report submitted to the immediately follOWing
Annual Meeting.
To sanction or refuse to sanction any leave (with or without pay) of more
than three months or any extension of such leave beyond three months.
To sanction or refuse to sanction any study leave ( with or without pay).
To prescribe scales of salary and allowances as may be necessary from time
to time.
To sanction new posts or abolish existing posts or upgrade existing posts.
To sanction expenditure on major repairs and purchase of furniture and
equipment beyond the powers delegated by the Executive Committee
to the Principal.
To negoti ate and carry through all transactions relating to property
on behalf of the Board. '
To approach and negotiate with Government or any local authority or
any individual or body, whether incorporated or not, for grants, sub-
ventions, donations and gifts and loans on behalf of the Board.
To sanction openlng of bank accounts by the Principal/Secretary and
prescribe procedure for operation of such bank accounts.
To consider the yearly budgets, supplementary budgets and revised
estimates submitted by the Principal and pass such budgets and estimates.
To define the powers and functions of the Principal, delegate to him
any of the powers vested in it under this Act and regulations made
thereunder and to amend those from time to time.
CHAPTER VII
Powers, Functions and Duties of the Principal.
(I) The Principal shall be the ex-officio Secretary both of the Board and the Powers, Functions
Executive Committee. and Duties of the
Principal.
(2) It shall be the duty of the Principal, in his capacity as Secretary, to
convene meetings of the Board and the Executive Committee, to record
their proceedings, clrculatc the minutes and keep records of the
Board and Executive Committee.
(i) He shall be in overall charge of the School, exercising imme-
diate control and supervision of all staff, and all powers not
specifically reserved for the Executive Committee or the Board
elsewhere in this Act shall be exercised by him on behalf of the
Executive Committee and the Board.
(ii) In particular, he sha]] be, subject to the powers ilnd functions
delegated to him by the Executive Committee, responsible for
the planning and execution of the academic and co-curricular
activities of the school and discipline among staff and
students.
(+) The Principal shall have power to incur expenditure llpto such extent
as may be determined by the Executive Committee from time to time.

Removal of dijJicul-
ti:s.
Power of Board to
n.ake regulations,
Procedureregarding 21.
resolution etc.
Member of Board
Of Committees IIOt
It> 1'01(' ill certain
ccses.
19
20.
Acts or Proceedingsof 23.
Board and Executive
Committee 110t to be
invalidated.
Repeal.
8
CHAPTER VIII
Miscellaneous
(<J.)
If any difficulty arises in giving effect to any of the provisions of this
Act, the Government may, by order, remove such diFficulty.
The Board may, from time to time, make regulations consistent with this
Act;
In particular, and without prejudice to the generality of the foregoing
provision, such regulations may be made on the following matters, namelv i-
procedure for election of members referred to in clauses (i) and (j)
of section 4;
(b)
(c)
(
procedure for holding meetings of the Board;
(d)
nomination and tenure of members of Consultative Committees referred
to in section 14;
rules and procedure of the meetings of the Executive Committee other
than those enumerated in sub-sections (I) to (3) of section 16;
procedure for prefcring appealsto Executive Committee by members of
staff of the school; ,
any other matter which has to be, or may be, prescribed,
Till such time as regulations regarding the terms and condition of service
of the school employees and finance and money matters are made under
the provisions of this Act, the corresponding rules of the Government may
be followed, or followed to the extent the circumsta.nces permit:
Provided that this is without prejudice to any provisions already incor-
porated in this Act relating to such matters.
All decisions may be made, and resolutions passed, by the Board and the
Executive Committee as far as possible unanimously, and where there
is disagreement, a simple mojority of members present and voting shall
decide the issue. In case of equality of votes, the presiding officer sh "
have a second and casting vote.
A member of the Board or Executive Committe who has any dircct or
indirect pecuniary interest in any matter coming up for consideration
at a meeting of the Board or Executive Committee shall as soon as possi-
hie after relevant circumstances have come to his kno~ledge, disclose the
nature of his interest at such meeting, and the disclosure shall be
recorded in the minutes of the Board or Executive Committee, as the
case may be, and the member shall not take any part in any deliberation
or decision of the Board or Executive Committee with respect to that
matter.
No act or proceeding of the Board or the Executive Commi-
ttee shall be invalidated merely by reason of-
(e)
(a) any vacancy in, or 'any defect in, the constitution of the Board
or Executive Committee;
(b) any defect in rhe appohi.tment of a person acting as a member
of the Board or Executive Committee; or
(c) any irregularity in the procedure of the Board' or Executive
Committee not affecting the merits of the case.
On ilnd from. the appointed day, any law, proclamation, order, t: --les,
regulations or notifications in relation to the Tashi Namgyal Academy,
Ganglok, shall stand repealed,
B.R. PRADHAN,
Secretary to the Government of Sikkim
Law Department,
F. No. 10(28)/LD/83.
PRINTED AT THE SIKKIM GOVERNMENT PRESS, GANGTOK.

SIKKI~1
"\
GOVERNMENT GAZETTE
EXTRAORDINARY
PUBLISHED BY AUTHORITY
.•_,.•,-_.-----.....-..---...--....-.....,.~.---,------------~.--.---.--,--------------------------------Gangtok Tuesday, 29th September 1992 No. 119
GOVERNMENT OF SIKKIM
LAW DEPARTMENT
GANGTOK
No: 8/LD//1992. Dated Gangtok, the 28th September, 1992
NOTIFICATION
The foilovl'ing Act 0[' th~ Sikklm Legislative Assembly having received the assent of the Governor
on 2FJ day of September, 1992, is hereby published for general irilo rrnation j-
THE SIKKIM SALES TAX (AMENDMENT) ACT, 1992.
(ACT No.8 OF 1992)
AN
ACT
Further to amend the Sikkim Sales Tax Act, 1983,
Be it enacted hy the Lcgislatiyc Assembly of Sikkim in the Porty-third year of the Republic of
Indi••,IS follows:-
Short title
extent and'
commence-
ment.
(I) This Act may be called the Sikkim Sales Tax (Amendment)
Act, 1991.
(2) It extends to the whole 01'Sikkim.
(3) It shall he deemed to have come tnto force with effect from
first day of April, 1992.
Amendment 2.
of scction r.
In section 5 of the Sikkim Sales Tax Act, 1983 in sub-sect ion,
(I), in clause (c), for the words "five paise", the words "ten
pai>c'~ shall be substituted.
By order of the Governor.
B. R. Pradhan

GOVERNMENT GAZETTE
EXTRAORDINARY
PUBLISHEDBYAUTHORITY
Gangtok Friday, 22nd April, 1994 NO. 39
GOVERNMENT OF SIKKIM
LAW DEPARTMENT
GANGTOK
No. 2jLD/1994. Dated Gangtok the .llth April, 1994.
NOTIFICATION
The following Act of the Sikktrn Legislative Assembly having received the assent of the Governor
on 29th March, 199+ is hereby published for general information:-
THE SIKKIM SALES TAX (AMENDMENT
( ACT, NO. J OF '99+)
AN
ACT
further to am~lld the SilJcim Sale. Tax Act, J 98 3.
Be it enacted by the Legi,lature of Sikkim In the Forty-fifrb Year
of the Republic 01' (ndla as fhllow. ;-
ArnGlldmmcof
sectJon 2.
I. (I) This Act Mlay be called the Sikkim S~les Tax (Amend-
ment) Act, I ~H' ,.
(1) It SiNH come into force ~_~_'9H-
2. III section 2 of the Slkkim Sales Tax Act, I 'IS} (ht,reinaf[1!r re-
ferred to a¥ the prindpal Act) ,-
(a) after clause (a), the following Explanation shall be inser-
ted, namely ;-
Short tll1••• oJ
~mmm~mmt.
"Explanat!on.- Transfer, delivery, .upply, sales-or dispoaal of goods
in ~nyof the manner referred to Inclause (rn) shall be deemed to be in-
cluded within the meaning of this exp r-ession;""
(b) after clause (bJ the following clause shall be inserted namely:-
"{ba) "contractor" me-ans anv dealer who undertakes auv
works - coctract for cxecutlon and includes a sub-contractor ;" '
<c) in clause ('1). after Expl.nation 2, the following Explanation shall
be inserted, namely ;-
"Explanation j •• Any person as aforesaid who transfers, delivers,
supplies, sells or otherwise disposes of goods in any of the manner referred
to io clause (rn) for commission, remuneration or otherwise, for cash,
deferred payment or ether valuable coris ideration , shall be deemed to be
a dealer fpr the purposes of this Ac-t."
(d) Explanation below clause (~) shall be deleted i
(e) in clause rr) ,-
(I} for the existing Explanation, the following Explanerion shall be
substtruted, namely .,
"Explanation .• The turnover in each year sball (r.elude-
(a) the amounts realised by a dealer by sale of surplus, unservicca-
ble and discarded ~oods, fixed or other assets, of the business, by.
products and subsidiary products ormamJ.cture Or processing. and
(b) the aggregate amount lor which goods are transferred, delivered.

2
supplied, sold cr ctlierwise disposed of in any "f in the manner referred
to in clause (rn) by a dealer ;
but ,hall'not include sales in a canteen owned and run bv a dealer for the
benefit of his workmen or labourers ;" .
~r) after clause (r), the following clause shall be insert ed, narnclv .-
"(re) "works contract" means and includes any agreement
for carrying out, for cash, deferred p~ym~nt cr other valuable
convide rat ion, the construe tlon, fitting out, improve-
ment or repair c-f any bui lding, road, bridge or other immovable proper!)'
or the installation, fitting out, improvement or repair of any movable pro-
perty.
Explanation. - A sub-contract for carryinr; out .ny or all of the
aforesaid works shall be deemed to be a works coot;acl."
insertionif new 3. After section 4- of the principal Act, the follOWing sections shall be
'actions +11 aad inserted, namely
+8.
Leyy oj t01 011
tram!.r of pro-
per~, in Bood"
'nvoJved in the
!xecarionif
worksCOMracts.
Lev)' J tax (1n
the traoifer uf
right tc use any
900d"
Amendmentoj
stct/oo13.
"+A. (I) Notwithstanding <'nylhing conr atned in,~ction +, but sub-
ject to other provisions of this Act, evcr.v de aler shall pa;' fur each ,,"'ar,
a r.ax under this Aet on his taxable turnover fer t ransicr Or prop("rtv in
suods (whethe •. as goods or in some other form) involved in the execuvion
"f works cor.tract, dctcrrmned at ,he rates end in the monncr sp"dfieJ by
or under <ecuon ~.
(2) [( a contractor pro yes to the satisfaction of the Commissioner
that tax on the turnover or goods supplied in the course of execution of
works contract has been paid by his sub-contractor, the contractor shall
not be liable to pay tax again Oil the turnover of such goods,
(3) If a sub-contractcr proves to the satisfcct lcn of the Commissioner
that the tax has actually been paid by his prmcipa l contractor on the turnover
of goods supplied in the course of execution of works contract, the sub-
contractor shall not be liable to pay tax again on the turnover of such goods,
Explanation I. For the purposes c f this Act, the transfer of propen;
in goods involved in the execution of a works contract shall be deemed to
have taken place in Sikkim, if the goods so transferred arc wichio thlt State
at the time of their use, application Dr appropriation. for t hr- execution ot
the works contract, irrespective of the place where the agr~ement for rhr
works contract is made . nd whether the consent of the other partv, prior or
subsequent to such use, application Or appropriation has been 0 brained or
not.
Explanation 1. The levy of tax under this section shall be made whether
ihc works contract is executed fully or partly during a Year, or abandoned
or terminated before completion,
+B, Notwithstanding mylhing contained in section +, but subject to
the other provisions of this Act, Hery dealer shall pay for each vear, a tax
under this Act on his taxable turnover in respect or th e right to use any
goods (whether OJ" not Ior a specified period) at tho rarcs specified by or
under section t; applicable to rhe sales 01 the same goods, had they been sold
otherwise than by the transfer of the right to use rhern
Provided that if the transfer of the right to use any goods is made
hy a dealer on more than one occasion in r, year !O the same or different
party. the tax shall be leviable on each such occasion
Explanation.- For the purposes of this Act, the transfer of the right to
use any goods for any purpose (whether or not for a specified ,period) shall
deemed to have taken place in Sikkim, if such goods <0 transferred ate
in the State at the time of such transfer irrespective of the place where the
agreement for the transfer of right to use the goods is made ."
4, In section I 3 of the principal Act, after sub-section (4). the
following sub-section shall be tnsertcd, namely ;-
"(+a) If a registered dealer fails to pr0ve to the satisfaction of the pres-
cribed authorttv, the correctness of the sale price of the goods transferred,
delivered, supplied, sold or otherwise disposed of in allY of the manner
referred to in clause (m) of section 2, the said authority may determine
the said price according to the best of its judgemeut subject to such rules
as may be prescri bed. "

3
Insertion otne« S. After section ,+of the principal Act, the following section shall
rectionlfA. be inserted, namely
D~duct1onof [ax "I+A. (I) Notwithstanding anything contained ill sectious 14 aDd
at soure.frow IS, the Stare Government may prcsrlbe that every person or any specified
uu.oj contrac- class of persons, making any payment to contractors as valuable consideration
rers. for the transfer of property in goods. whether as goods or in some ether
form, involved in the execution of works contracts, shall deduct such amount,
as may be prescribed. not exceeding [our perccntum of the said payment.
towards tax payable under this Act and remit the amounts so deducted
to the State Government,
Amendmen[oj
section28.
(2) The manner in which the deduction under sub-section (I) shall
he made, the period within which the amounts so deducted s~"1J be remitted
to the State Government, the form in which the cerrrficatc of deduction
should be issued to the contractors and other incidental and ancillary matters
shall be such as may be prescribed. .
(3) If a,ny person i';]ilsto deduct. or having deducted. f~ils to remit
to the State Government within the prescribed time, the amount dcduLti-
ble under sub-section (I), he shall be liable for a penalty of a sum not excee-
ding twice the amount deductible.
(4) The amount deductible end actuallydeducted under sub section
(I) and penaltv levied under sub-section (l) sha ll be deemed to be" tax for
the purpose of the Sikklm (Collection of Tans and PreHnticn ol' Evasion ul' <:/7
Payment of Taxes) Act. '9~7, 1987
6. In section 18 of the principal Act, aftu sub-section (I), the follow.
ing sub-section shall be inserted, namely :-
"(Ia) Every f('glstered dealer who transfers, delivers. <upplk'.
sells or otherwise disposes of goods in any of the manner referred to in sub-
clauses (b), (c) end (d) of claus« (m) of seer ion I shall keep and maintain in
his place of business, rhc origJn~1copies 01all the agreem~nls or contracts
entered into bv him which are under operation rnd starcrncnt of expendi.
ture involved ill 0nl' such work contract :
Provided 'Ihat the Commissioner mil)'. un applicar ion ,~o<' for
reasons to be recorded. permit Jlly SUd1 dcakr 10 keep cad m.tilltain the
aforesaid do cumerus at aD:' other place in the Stall' of Slkkim ur keep and
maintain xerox or other copies thereol unly in the place orbusiness. the
originals being made a,ailable on demand by the prescribed "uthnity under
this section.
7. In section lS of the principal Act, in sub-section (4), after clause
(f), the following clauses shall be inserted, namely :-
"(tal the manner in which the price is to b,· determined unde r
sub-section (4a) of section '3 i
(Ib) prescribing the rate 01 tax , the manner of its deduction,
the time w+rhin which the amount is 10 be rcmln ed and the Iorrn of cert ifi-
care of deduction co be issued to rhe contractors and other incidental aad
ancillary matters under section 14A ; "
Amenrlment ifsection 18.
Byorder of the Governor
B.R. Pradhan
Secetarv to the Government of Sikkim,
. Law Department.
F. No. 16(4-o)LDj85'-9+.
PRINTED AT THE SIKKlMGOYT, PRESS, GANGTOK.

GAZETTE-
EXTRAORDiNARY
._. .__.__. . . ..R_UBLIS RED BY A UTHO R.ITY
Gangtok Thursday 15th May, 1997 No. 75
GOVERNMENT OF SIKKIM
LAWDEAPRTMENT
GANGTOK Dated: the 30th Anr il. 199].
NOTlFJCATION
The following Act of the Sikkim Legisltive Assembly having received the assent of the Governor on
24th day of April, 1997 is hereby published for general information'-
THE SIKKIM SALES TAX (AMENDMENT) ACT, 1997
(ACT NO 4 OF 1997)
AN
ACT
furtherto amend the Sikkim Sales Tax Act, 1983_
Be it enacted by the Legislature of Sikkim in the Forty-eighth Year of the Republic of
India as follows>
Short title and
commencement
1. (1) This Act may be called the Sikkim Sales Tax (Amendment) Act, 1997
Amcnd me nt or
section 5.
(2) It shall come into force on such date as the State Government may, by
notification in the Official Gazette, appoint
2. Insection 5of the Sikkim Sales Tax Act, 1983 (hereinafter referred to as the
principal Act), in sub-section (1),in clause (c), for the words "ten paisa" the words
"fifteen paisa" shall be substituted.
3 Tn section 26 of the p rinci pa l Act, after sub-section (2). the
.foflowing sub-sec t ion vhall be added. na rne ly ;-
Amendment of
section 26.
"(3 )(a) If', on a search conducted under su b -s ccr i on (l), 01" On a.
scrutiny of the d oc umcr-ts , declara tio n s or other proof
i11ed !l11ller sub-section (2), or on in fo rma t io n otherwise
received, the pre scr i bc.d authority under section 13 or the
a nt horitv in ch arge of the check post, is sa.ti sficd that
t h c ro has been, or, there is likely to be. evasion of tax
pa.ya ble under this Act in respect o f the sale or purchase of
the goods. it rn ay , f'o r reasons to he recorded and after
giving a. reasonable __o.p.po.rt un i.ty.iof.Iac.ar in g__to ...Lhe. __o.wuer
-Of! -f:.he,pc.rSOll in chargeiOf\thl:l.1Ign!(,c1.", d et ai n the goods
;\Ilcl cliicc t th a.t they sh a ll 110t be trans-ported across the
check post. unless the tax evaded or likely to be evaded is
paid or ad oq ua.te security to the satisfac tio n of the said
au t h o ri t.y i~ tu rn is he d [01" the paynl<:ilt of the tax due or
lik c.ly to hecome due thereon:

Iasertiou of new
section 26l~'itu
Provided that a time of not less than sevendays
shall be allowed for the payment of tax or for furnishi.ng
the security.
(b) If the owner or the Ix~rsOllin charge of :h~ goods fails to
pa.y the taxor furnish the security as aforesaid, the ~;aicl
authority may seize the goods and dispose them of by
publicauction and the saleproceedsshall beappropriated
rn the manner prescribed:
Provided that if the gooch a1'C, in the opinion orH,,'Cauthority, perishable or hazardous when stored, they
shall not be seized but shall be released on an undertaking
by the consignor or Ihe consignee: in the Stareand that
t he tax will be paid on thesale or the purchase of th·:;;
goods and these goods will be proper} accounted for in
the books of account, alonz with a Bank Guarantee or
cash security equivalent to the current market vcilue of
goods. The Hank Guarantee or cash security so furnished
shall be released as soon as the due amount of tax. is
paid."
;:t After section 26 of the principal Act, the following section shall
be inserted, namely>
"26A. Inspection and seizure of goods stored in the State.
(1) Where the prescribed authority is satisfied that goods stored
in any g:odown or other storage are intended for sale in the
State or in the course of inter-state trade or commerce or in
the course of import or export, it may inspect the gcdown or
other place INhere(he goods are stored and check and verify
the accounts maintained and also make a physical verification
of the stock to ensure tha t the accounts have been
maintained correctly.
(2) If, on the verification under sub-section (1), tbe prescribed
authority is satisfied that the accounts have not been
maintained correctly or that the stock, of goods do not
correspond to the stock, shown in the accounts, it may assess
the tax evaded or sought to be evaded by the dealer to whom
the goods belong or who has a right of disposal over them
and direct him to pay the tax forthwith along with a penalty
equal to the amount of the tax evaded or sought to be evaded:
Provided that no order under this sub-section shall
be passed unless the dealer bas been given a reasonable
opportunity of showing cause against the levy of the tax
and the penalty."
n.R. PRADHA1'T,
Secretary to the Govt. of Sikkirn,
Law Department.
(File No.16(71)LD/78 )
27

SIKKIM
GOVERNMENT GAZETTE
EXTRAORDIN ARY
.PUBLISHED BY AUTHORITY
Gangtok, Tuesday, 18th April, 2000 No. 127
GOVERNMENT OF SIKKIM
LAW DEPARTMENT
GANGTOK
No.6/L.OI2000
NOTIFICATION
Dated the 17th April, 2000
The following Act of the Sikkim Legislative Assembly having received the assent of the Governor
on 7th day of April. 2000 is hereby published lor general information:-
THE SIKKIM SAL.ES TAX (AMENDMENT) ACT, 2000
(ACT NO.6 OF 2000)
AN
ACT
further to amend the Sikkim Sales Tax Act. 1983.
..;. Be it enacted by the Legislature of Sikkim in the Fifty-first year of the Republic of India as follows:-
Short title, extent 1. (1) This Act may be called the Sikkim Sales Tax (Amendment) Act, 2000.
and cornrnence-
ment.
(2) It extends to the whole of Sikkim.
(3) Itshall be deemed to have come into force on the 13th day of January, 2000.
Amendment of 2. In the Sikkim Sales Tax Act. 1983 (hereinafter reierred to as the principal Act).
section. in section 5, in sub-section (1)"
(i) in clause (a). for tile words" allhe rate of ten paise in the rupee". the words.
atsuch rates not exceeding twenty paise in the rupee as the State Government
may, from time to time by notilication specify", shall be substituted;
(ii) In clause (C),for the words' at such rate not exceeding fifteen paise in the
rupee", the words' at such rates not exceeding twenty paise in the rupee,"
shall be subsitutsd.
Amendment 3. In the principal Act. in section 14 A. in SUb-section (1), for the words" not
of section 14 A. exceeding lour percenium of the said payment." the words" not exceeding eight
percent of the said payment". shall be subsituted.
Amendment
of Schedule I
and Schedule II.
4. In (he principal Act. for the eXisting Schedule!. and Schedule II. the following
Schedules shall be subsituiued, namely:-
SCHEDULE
(Seesection 8)
1. Betel Leaves.

2. Books, Periodicals, Journals and Newspapers, exercise books, educational
charts, maps and Instrument, boxes. 'globes and other instruments used in
-aducational institutes.
3. Unbranded bread.
4. Condoms and contracaptives.
5. Curd. lassi and butter milk except when sold in sealed container.
6. Fresheggs.
7. Electrical energy.
8. Fresh meat and fish.
9. Freshvegetable, greenor dried,(exceptwhensold in sealedcontainer} including chilli.
10. Jaggery.
11. Unprocessed salt.
12. Unprocessed cereals and pulses including rice and wheat.
13. Fresh flowers.
14. Fresh milk and pasteurised milK other than powdered or condensed milk.
15. Vegetables seed· Planting materials like seed, seedlings. suckers. nursery
plants used for raising crops.
16. Handloom Woven
a) HandlOom Khadi products except those made from silk yarn
b) I(hadi/handloom garments.
C) l.ocally produced handicrafts.
17. Khandsari.
18. Organic manure.
19. Flour including atta, suji and maida.
20. Wheel chairs. crutches and such other articles used by handicapped persons,
21. Glass bangles.
22. Livestock including poultry.
23. Ncn-Judiclal stamp papers. Cartridge paper sold by Govt. treasury through
stamp vendors.
24. Raw cotton.
25. Text bOOKS.
26. Exercise books for educational purposes.
27. Life saving drugs. namely:-
(I) ANTIDOTES
a) Atropine
b) Oxlms-Pralidoxlrns
- Obidoxime
c) Naloxone
d) Sodium Calcium. adetate (EDTA)
f) Dirner Caprol (BAL)
g) Penicillamine
h) Amyl Nitrate and others.
(II) CARDIACSTIMULANTS
a) Adrenaline
b) Dopamine
"II..

(III) FIBRINOLYTICAGENTS
a) Streptokinase
b) Urokinase
c) Ateplase (PA)
(IV) STERIODS
a) Dexa methasone
p) Hydrocortisone
(v) ANALEPTICS
a) Nikethamide
b) Doxapram
(VI) DRUGSFORHYPERTENSIVEEMERGENCIES
a) Dlazoxlde
b) Sodium Nitroprusside
(vII) ANDRENERGIC CRISIS
a) Phentolamine
b) Phenoxy Benzamine
(VIII) ANTITOXINS
a) Tetanus Antitoxin
b) Gas Gangrene Antitoxin
c) . Diptheria Antitoxin
d) Anti snake venom
e) Antl-D-Immunoglobulin (Human)
f) Anti rabies Hyperimmune Serum
(~X) INTRA VENOUS FLUIDS
a) Normal Saline
b) Dextrose- 5%, 10%,25%
c) Dextran
d) Hemacael and others
28. ANTI T.B. DRUGS
a) Ethambutol (Iablel)
b) Isoinazld (tablet/syrup)
c) Refampicin (injection)
d) Streptomycin (injection)
e) Pyrizinamlde (lablet)
29. Rubber and plastiC! chappel, sandal ano shoes with MRP of Rs. 200/- or less.
30. Turmeric.
31. Tamarind
32 Sugar as defined in the Central Excises and Salt Act, 1944 (1of 1944) excluding
lmpcrtao-svqar in all forms.
33. all varletles of cotton fabrics, man made fabrics and woollen fabrics excluding
imported varielles of such fabrics.
[ Explanatlon:- The expression "cotton tabrics", "man made fabrics" and
''woollen labrics". shall have the same meanings as are respectivelyassignedtothem
in the Central Excises and Salt Act, 1944(1 of 1944)excluding imported varieties of
such fabrics]. __.__

I'
34. Tobacco as defined underthe CentralExcisesandSaltAct,1944(1of1944).
35. Renewable energy devices, and spare parts.
36. Cooked food.
37. Agricultural Implements.
38. Poultry feed, Cattle feed, Pig feed, Fish feed Including feed additives like
nutrients, medicines or supplements of such feed.
39. Rape seed oil and Palm/Palmoleon oil.
SCHEDULE II
(See Section 5)
1. Mustard oil and mixture of mustard oil.
2. Vehicles of all types driven or operated by petroVdiesel or electrical energy
except those specified elsewhere in this Schedule.
3. Declared goods.
4. Edible oils and oil casesother than Mustard oil, Rapeseed oil, Palm/Palmoleon
oil, or other than those specified elsewhere in the Schedule.
5. Processed salt, fish and meat when sold In slealed containers.
6. Cumin seed.
7. Branded bread.
S. Bicycies.
9. 'Ready made garments.
10. Utensils and Kitchenwares.
11. Bone meal.
12. Chemical fertilizers, pesticides, weedicides and insecticides.
13. Ores and minerals.
14. Ice.
15. All types of Yarn.
16. Charcoal.
17. Raw wool.
1B. Hosiery goods.
19. Bran oil.
20. Sponge iron..
21. HOPE packs.
22. GI·plpe.
23. Starch.
24. Garlic and ginger.
25. Maize products.
26. Safety matches.
27. Cardamom.
2B. Gingeli Oil.
29. Hand pump/water pump and oil engines.
30, Aluminium in all its forms namely; aluminium ingots, slabs, bars, rods, pipes.
iubes. wires, coils sheets, plates, circies. sections. channels, angles, [olsts,
extrusions, including aluminium scraps but excluding aluminium foils.
31. Information t~Qhnology (IT) products. namely: computers. computer peripheralS .
..p:',

digital electronic equipments, communication equiprnents. electronic compo-
nents, IT software other than those specified elsewhere in the Schedule.
32, Industrial inputs :-
(a) Non ferrous metal viz Sulphur and zinc.
(b belting,'
(c) bearing,
(d) all types of chemicals and intermediate chemicals including barytes, hydrogen
peroxide, silicon carbide, lime, caustic sodaincluding wax and paraffin andferro
silicon.
(e) dyes and chemicals,
(I) ferro alloy and super alloy,
(g) transformer,
(h) polystyrene,
33. Bulk drugs other than those specified elsewhere in this schedule.
34, Blanket of all kinds, quilt, quilt cover and quilt razaioetats.
35, Orange.
36. Pollutioncontrolequipments.
37. Sand, stone chips and stOMS.
38. Butter and ghee.
39. Fruits, vegetables and spices such as pastes, squashes. juices, pickels, jams
and jellys processed or manufactured 'InSikkim.
40. Sewing thread.
41. Napa slabs,
42, Kerosene.
43, Vanaspati (vegetable ghee)
44, Fire wood.
45, Raw silk.
46. Beedi leaves,
47, Packing materials including HOPE bags Corrugated boxes and containers,
48. De-oiled cake.
49. Vegetable oil.
50. Solvent oil.
51. RCCsleepers.
52. Filters.
53. Agarbatti
54. Tiles.
55. Caramics.
56. Suitcases
57. Cast Iron Castings.
58. Surgical Instruments.
59, All types of electrical goods including fans but excluding Transformers.
60. Tanned leather and leather goods.
61. Paper and paper pulp.
62. Saree falls.
63. All kinds of bricks including refractory bric~.
5

64.Printing in\<.
65. Electrodes.
66. Sanitary ware.
67.Stainless steel.
68.Milk food and mi.lkproducts.
69.Sewing machines.
70. Nut powder.
i'1.F'lasks.
72. Explosives.
73.Blades and razors etc.
74.Timber.
75. Drugs and medicines otherthan life saving drugs and anti-tuberculosis drugs (as
listed in S.No. 27 and 28 of Schedule 1)
76.Foot wear other than rubber and plastic (chappals/sandals and shoes with MRP
of Rs. 200/- or less.
77. Magnets.
78. Electric Motors.
79. Nutrition food.
80. Hose pipes.
81.Sweet meat.
82. Plants and machinery including spare parts. components and accessories thereof.
83.Tea and coffee
84.Tof1ee. chocolate. biscuits and confectionery.
8S.Cake, pastries, cocoa products including chewing gums
BS.Toothpaste. tooth brush. tooth powder. mouth wash and deodorants.
B7.Batteries and parts thereof.
88.AII types of furniture.
B9.Camphor.
90.Electrical bulbs and tube lights Including vapour lamps. halogen lamps of all
varieties and descriptions.
91.Photographic goods.
92.Tyres and tubes and flaps of lyres and tubes..
93.Foam.
94.Electronic goods other than those specified elsewhere in the Schedule.
95.Cookin9 gas (LPG).
96.Building materials such as plywood and cement.
97.Paints and colours.
98.Diesel oil.
99.Dryfruits.
100.Plastic goods other than plastic cnappals,sandals. and snoeswith MAPof
Rs20Q/- or less.
101.Roofing light and false roofing materials including cement and asbestos sheets,
hard and solt boards and panels as well as asphaltic roofings.
102.AII types of cables and electrical wires.
103.Fire fighting equipmenta...
6

t04.Cereals and pulses when sold in sealed containers including polypackets.
t 05.Articles of foods and drinks including sweet and sweet meat when sold:- --"
(a) lin the'three star, four star and five star hotels as recognised by the Ministry
of Tourism, Government of IndiaJSikkim.
(b) In places other than (a) above when sold in sealed container, or packet
including poly1hene packet.
106,Food preservatives, food colors and food flavouring ,essences.
107.Hardware goods specified as hardwares under the Notification No. 8321ST/111
3096 Dt: 16.12.86.
tOa.Jolnting power and SITU mixture for laying tiles and chips and deodorants.
109.Kirana goods and spices when sold in sealed containers or polythene packets.
11O.Mercury.
111.Mosquoto repellents.
112.Magnesium Carbide/Carbonate.
113.Manlhari goods specified as "manihari goods" under Notification NO.832/ST/111
30960t:16.12.86.
114.Lubricants including lubricating oil, brake oil, grease and engine oil.
115.0ptical goods namely spectacles. sun glasses ..goggles, lenses and frames.
including attachments.
116.Pipes and pipefittings of all varities including casing, other than GI pipe.
117.Rolling shutters and collapsible gates whether operated manually, mechanically
or electrically and their parts and accessories thereof.
118.Sacks of all types.
119.Sport goods of all types.
120.Stove

Excerpt shown. Open the full act in Lexace.

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