LexThe west bengal sales tax act, 1954
West Bengal · state statute
Open in Lexace · Ask the AI about this actv Government of West Bengal Legislative Department West Bengal Act IV of 1954 The West Bengal Sales Tax Act, 1954 Superintendent, Government Printing West Bengal Government Press, Alipore, West Bengal 1954 Price-Indian, anna 1; English, 2d. West Bengal Act IV of 1954 THE WEST BENCAL SALES TAX ACT, 1954. [Passed by the West Bengal Legislature.) [ Assent of tho Prosident was first, published in the Calcutta Gazette, Bctraordinary, of the 28th March, 1954.J An Act to mpose a taa 0n the sale of cigarettes and other commodities in West Bengal. WHEREAS 1t is expedient to impose a tax on the sale of cigarettes and other commodities in West Bengal; It is hereby enacted as follows : 1. (7) This Act may be called the West Bengal Tax Act, 1954. Sales Short titlo, oxtent and (2) It extends to the whole of West Bengal. com (3) It shall come into force immediately on Bengal Cigarettes Taxation operate. the West menco ment. Weet Ben, Ord. I of 1954. Ordinance, 1954, ceasing to 2 ln this Act, unless there is anything repugnant in the Dofinitions. subject or context, (a) "cigarettes'" include smoking mixtures ready for use in rolling cigarettes or for use in tobacco pipes, but do not include bidis; (6) "dealer" means auy person who sells cigarettes manu- factured, made or processed by him in West Bengal, or brought by him into West Bengal fron1 any place outside West Bengal for the purpose of sale in West Bengal; (c) "prescribed" means preseribed by rules made under this Act; (d) "sale-price" used in relation to a dealer means the amount of the money consideration for the sale of cigarettes manufactured, made or processed by him in West Bengal, or brought by him into West Bengal from any place outside West Bengal for the purpose of sale in West Bengal, less any sun allowed as cash discount according to trade prac tice, but includes any sum charged for containers or other materials for the packing of cigarettes; (e) turnover" used in relation to any period means the aggregate of the sale-prlces or parts of sale-prices receivable by a dealer or, if a dealer so elects. actually received by him, during such period after deducting- (i) the amount, if any, refunded by him in respect of any cigarettes returned by purchasers within such period, and The West Bengal Sales Tan Act, 1954. [West Ben. Act (Sections 35.) (ii) two and three quarter per centum of the aggregate hereinbefore referred to, after deduction there- from of the amount, if any, under sub- elause (i): Provided that an election as aforesaid once made shall not be altered except with the of the prescribed authority and on 8uch terms and conditions as he may think fit to impose. permission 3. (7) The State Government shall prescribe an authority (hereinafter referred to as the prescribed authority) for carrying out the purposes of this Act. Taxing authori- ties. (2) The State Government or the prescribed authority may appoint persons to assist the prescribed authority. the prescribed (3) Any powers, duties or functions of authority may be delegated to the persons appointed under sub-section (2) in accordance with such rules as may be prescribed. 4) The prescribed authority and the persons under sub-section (2) shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code. Act XL appointed of 1860. Liability to pay- nent off tax. 4 centum of his turnover. Every dealer shall pay a tax at the rate of three per 5. (1) Every dealer shall get himself registered Registra- tion of dealers. the prescribed authority certificate. with and shall possess a registration 2) An application by a dealer for getting himself regis- tered and for a registration certificate shall be made to the prescribed authority in such manner and within such timne and shall be accompanied by such fee as may be prescribed. (3) The prescribed authority shall register the applicant and issue to him a registration certificate in the prescribed form, if the prescribed authority is satistied that the applica- tion is bona fde and is in order. (4) The prescribed authority shall have power- (a) to require any person who he has reason to believe is a dealer, to get himself registered; (b) for good or suficient reasons, to cancel, modify or amend any registration made and any registra- tion certificate issued by him; (c) for good or sufficient reasons, to demand from a dealer who has been registered or a person who has applied for registration under this section or a person who has been required to get himself regis- tered under clause (a), reasonable security for proper payment of tax. The West Bengal Sales Taa Act, 1954. 3 IV of 1954.] (Sections 6-9.) No application for registration made under sub-section (shall be refused and no order under any of the clauses of sub-section (4) shall be made, unless the person concerned, or the dealer has been given an oppor tunity of being heard. applicant, the 6. No person shall transport from any railway station, Rostrio- steamer station, air-port, post ofice, or whether of similar nature or behalf by the State Government, any consignment of any other place tion on otherwise, notified in this move ment. cigarettes exceeding such quantities and except in accord ance with such conditions conditions shall be made with a view to ensure that there is be prescribed. Suchas may no evasion of the tax imposed by this Act. 7. The prescribed authority or any other officer may be authorised by the State Government in this behalf searoh may, for the purpose of verifying whether cigarettes are seize. being transported section 6, and subject prescribed,- who Power to contravention of to such the provisions of in restrictions may be as () intercept and search any road vehicle, or rivercraft or any load carried by a person; and (22) seize any cigarettes which he has reason to believe are being transported in contravention of the provi sions of section 6, together with any container or other materials for the packing of cigarettes. 8. (7) Every dealer registered under this Act shall submit Returns to the prescribed authority manner, for prescribed. returns of turnover in such periods and by such dates as may be of tax. Such and (2) The dealer shall, before submitting any return of turn- over referred to_in sub-section (1), pay into a Government treasury or the Reserve Bank of India, the amount of tax due under this Act according to such return and furnish along with the return a receipt from such treasury or Bank show- ing payment of such amount. 9. (1) If the prescribed authority is satisfied that the Assess return of turnover submitted by a dealer is correct and com- ment of plete, he may, without requiring the presence of the dealer or tax. the production of evidence by him, determine the of tax due from the dealer. amount (2) (a) If the prescribed authority is not satisfied with the return of turnover submitted by a dealer and presence of the dealer or by him, he may serve on such a dealer a notice requiring him, on a date to be therein specified, to attend before him or to pro- duce or to eause to be produced before him, any evidence in support of the return. requires the of evidence the production The West Bengal Sales Taw Act, 1964. [West Ben. Act (Section 10.) specified in the notice issued und (b) On the day clause (a) or as soon afterwards as may be, the preao r authority, after hearing or examining such evidenca 0ed dealer may produce and such other evidence as the scribed authority may require on specified points, shall an order in writing, assCss and determine the tax payable him. pre by 3) If, () a dealer fails to submit any return of turnover required under sub-section (1) of section 8, or of (i)a dealer fails to comply with all the terms (2) issued under sub-section of this notice section, or (n) upon information received, the prescribed authorit is satisfied that a dealer who 1s liable to pay tax under this registered, Act, has failed to get himself the prescribed authority shall, after giving the dealer opportunity of being heard, make the assessment of the tar an payable under this Act, in the prescribed manner to best of his judgment and determine the sum payable by the the The said authority dealer on the basis of such assessment. may in such cases and in cases where a dealer has failed to comply with the provisions of sub-section (2) of seotion 8, way of direct that the dealer shall in addition pay by penalty a sum not exceeding the amount of the tax assessed, if he is satistied that the failure was unjustified or wilful. (4) Any assessment made under this section shall be with- out prejudice to any prosecution instituted for an offence under tbis A ct. 10. (1) The amount of tax Payment of tax. (a) payable, where the returns are furnished under sub- section (1) of section 8 without receipt showing full payment thereof, or the sum, if any, (6) assessed under section 9, les8s already paid by the dealer, penalty to be paid under sub- shall, together with any section (3) of section 9, be paid by the dealer into a Govern- ment treasury or the Reserve Bank of India by as may be specified authority for this purpose and the date to be so specified shall be not less than thirty days from the date of service of sucn notice such date notice issued by the prescribed in a Provided that the prescribed authority may, in respect or any particular dealer and for reasons to be writing, extend dealer to pay the tax payable and the penalty, if any, direc ed to be paid, by instalments. recorded in the date of such payment or allow 8ucn The West Bengal Sales Tan Act, 1954. IV of 1964.] (Sections 11--13.) (2) Any amount of tax or penalty which remains unpaid after the date specified in the said notice shall be recover- able as an arrear of land-revenue. 11. (1) The prescribed authority shall, in the prescribed Rofunds manner, refund to a dealer applying in this behalf any amount of tax or penalty paid by such dealer in excess of the amount due from him under this Act, either by cash pay- ment or, at the option of the dealer, by deduction of such excess from the amount of tax due in respect of other period: Provided that no'refund shall be made unless the claim for refund is made within twelve months from the date of the assessment of tax or the date of the imposition of penalty or within six months from the date of any order passed on appeal or review under section 12. (2) Nothing in sub-section (1) shall be deemed to empower the prescribed authority to amend, vary or rescind any order passed on appeal or review under section 12 or to confer on a dealer any relief in addition to what he is entitled under the provisions of this Act. 12 this Act or an order made under any rule made thereunder, and including an order passed on review under sub-section (2), *ovw may appeal to such oficer of Governnment as may be pre- scribed within thirty days from the date of such order: Provided that no appeal against an order of assessment. or penalty, if any, shall be entertained by the said authority unless he is satisfied that such amount of the tax as the appel- lant may admit to be due from him has been paid. (2) Subject to such rules as may be prescribed, any assess- ment made, tax determined, or order passed Act or the rules made thereunder may þe reviewed within three months by the person passing it upon application o of his own motion: (7) Any person aggrieved by an order made under Appeal under this Provided that under sub- (2) no review shall lie from section (1); an appeal (i) no review shall lie where an appeal has already been preferred under sub-section (1); (nz) no order shall be passed on review, without giving be adversely afected, an any person wh0 may opportunity of being heard. Mainten- 13, (7) Every dealer shall- (a) keep true accounts of cigarettes manufactured, made ance of or processed by him, or brought by him into West f , Bengal from any place outside West Bengal for of infor. the purpose of sale in W est Bengal, and of turn- mution, overs, and if the prescribed authority 1s satisfied nspeotion, that such accounts are not sufficiently clear and aroh intelligible, he may require tne dealer to keep seizuro, accounts in such form a8 may be prescribed: and 6 The West Bengal Sales Taz Act, 1954. [West Ben Act (Scctions 14-16.) (b) furnish any in formation that may be required by the prescribed authority in order to enable him to carry out the purposes of this Act; the prescribed (c) make available for inspection by authority any accounts, registers, vouchers or other documents relating to the manufacture, making, processing, impOrt, sale, or purchase of cigarettes or matters connected therewith, as may be required by the prescribed authority. (2) The prescribed authority may, in accordance with such rules as may be prescribed, enter and search any place where he has reasdn to believe that the dealer keeps or is for the time being keeping any accounts, registers, vouchers or other docu ments referred to in clause (c) of sub-section (1) and, if neces- 6ary, inspect, seize or retain them for so necessary prosecution. long as may bee the purpose of any for examination or for 14. If any dealer Informa tion to be furnished (a) sells or otherwise disposes of his business or any part regardin8 changeof business. of his business or any place of business or effects or comes to know of any other change in the owner ship of the business, or (6) discontinues his business or changes his place of business or opens a new place of business, or (c) changes the name or nature of his business, he shall within the prescribed time inform the prescribeaa authority accordingly; and if any such dealer dies, his legal representative shall in like manner inform the said authority Where the ownership of the business of a dealer registered under this Act is transferred a bsolutely or trams- ferred by way of lease and the transferee or the lessee carries on such business either n its old name or in some other name, the transferee or the lessee shall for all the purposes of this Act (except for liabilities under this Act already discharged by such dealer) be deemed to be and to have always been registered (in the case of a lease only for so long as the lease subsists) as if the registration certificate of such dealer had initially been granted to the transferee or the lessee. 15. Transfer of business. Penalties. 16. (2) Any person who, (a) carries on business as a dealer, after the expiry of one month from the commencement of this Act without getting himself registered or without possessing a registration certificate, (b) contravenes the provisions of section 6, c) obstructs any person in the exercise of his powers under section 7 or sub-section (2) of section 13, The West Bengal Sales T'aæ Act, 1954. IV of 1954.] (Sections 17-19.) (d) fails to comply with the provisions of section 8, any of the clauses of 8ub-aection (1) of section 13 or section 14, () knowingly registers, produces incorrect accounts, vouchers or other documents or knowingly furnishes incorrect information, shall be punishable with simple imprisonment which extend to six months or with fine or both and when the offence is a continuing one, with a daily fine not exceeding fi fty rupees during the period of the continuance of the offence: may Provided that no prosecution for an offence enumerated hereinbefore in this section shall be instituted in respect of the same facts in respect of which a penalty has been imposed under sub-section (3) of section 9: Provided further that for offences of contravention _of section 6 the Court may, in addition to any fine imposed, order confiscation of anything seized under section 7. (2) All ofences punishable under this Act or the rules made thereunder shall be cognizable and bailable. (3) No Court shall take cognizance of any offence under this Act or the rules made thereunder except on complaint made with the previous sanction of the prescribed authority. (1) Subject to such conditions as may be prescribed, Com the prescribed authority may accept from any person accused Unding of any offence punishable under this Act, by way of compo81- offences. tion for such offence, payment of double the amount of tax payable or a sum of rupees two thousand, whichever is greater. 17. (2) If payment by way of composition is accepted under sub-section (7), no further proceedings shall be taken against the accused in respect of the offence compounded. 18. No suit, prosecution or other legal proceedings, shall Indem lie against any public servant for anything which is in good nity. faith done or intended to be done under this Act or the rules made thereunder. 19. (1) All particulars econtained in any return furnished, Return8, accounts, registers, vouchers or documents inspected or pro- ete.. to be duced or information supplied, in accordance with this Act, or contden in any record of evidence given in the course of any proceed- ings under this Act other than proceedings before a Criminal Court, 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, be entitled to require any Bervant of the Government to produce before it any such return, accounts, registers, vouchers, doou- ments or information or record or any part thereof, or to give evidence before it in respect thereof. tial. 1872. 8 The West Bengal Sales Tao Act, 1954. [West Ben. Act (Sections 20, 21.) (2) If, save as provided in sub-section (3), any servant of the Government discloses any of the particulars referred to in sub-section (1), he shall be punishable which may extend to six months, and shall also be liable to a fine. th imprisonment (3) Nothing in this section shall apply to the disclosure (a) of any of the p&rticulars referred to in sub-section (1) for the purpose of a prosecution under the Indian Aot XLv Penal Code in respect of any such return, accounts, o 660, registers, vouchers, documents, evidence, or for the purposes of a prosecution under this Act; or information or (6) of such facts, to an officer of the Central Government, as may be necessary for the purpose of enabling that Government to levy or realise any tax imposed by it. 20. The prescribed authority or such persons appointed to Power to take evidence on osth, assist such authority under sub-section (2) of section 3 may be prescribed under this section, shall, for the purposes of this Act, have the same powers as are vested in a Court as under the Code of Civil Procedure, 1908, when trying a suit, Aot V of in respect of the following matters, namely: etc. 1908. (a) enforcing the attendance of any person and examining him on oath or aftirmation; (b) compelling the production of documents; and (c) issuing commissions for the examination of witnesses8; and any proceeding under this Act before authority or any person appointed to assist such authority under sub-section (2) of section 3 be a "judicial proceeding'within the meaning of sections 193 and 228 and for the purposes of section 196 of the Indian Penal Code. the prescribed shall be deemed to 21. (1) The State Government may malke rules for carry. ing out the purposes of this Act. (2) In particular and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:- Power too make rules. (a) anything required to be prescribed under this Act; (6) delegation of any powers and duties of the prescribed authority to any person appointed under sub- section (2) of section 3; (o) the procedure to be followed in appeals or reviews under section 12; (d) payment of fees for appeals or reviews under section 12 or for any other matter connected carrying out of the purposes of this Act. with the The West Benyal Sales Ta Act, 1954. 9 IV of 1954.] (Sections 22-25.) (3) In making any rule the State Government may dirert hat a breach thereof shall be punishable with fine not excced- r five hundred rupees, and when the offence is a continuing one, with a daily fine not exceeding twenty-fi ve rupees during the continuance of the offence. 22. Notwiihstanding anything contained in this Act no Act not tax shall be impOsed on the sale or purchase of cigarettes- to apply to certain ()where such sale or purehase takes place in the course sales and of inter-State trade or comnerce purchaseA. (i) where such sale or purchase takes place in the eourse of import of cigarettes into, or export of cigarettes out of, the territory of India. 23. Nothing in the Bengal l'inance (Sales Tax) Act, 1941, Bengal Act Act VI of 1941 not to apply shall apply to cigarettes: 1of 4. Provided that- (i) the said Act shall continue to apply in respect of cigarettes. C1garettes sold before the commencement of this Act and in respect of sales of such cigarettes subse- quent to the commencement of this Act; (ii) the price of goods sold to a dealer as defined in this dealer in manufacturing, Act for use by such making or processing cigarettes shall be deducted in calculating the taxable turnover under section5 of the said Act. 24. Any rules, app0intment or registration made, any Savings. liability incurred, any tax assessed, determined or paid, any fee paid, any returns furnished, any proceedings commenced, any notification published, any action taken or anything what- est Ben s0ever done under any provision of the West Bengal Cigarettes Taxation Ordinance, 1954, shall, on the said Ordinance, ceas- ing to operate, be deemed to have been made, assessed, deter1nined, paid, furnished, commenced, published, taken or done under the corresponding provision of this Act as if this Act had commenced on the 28th day of January, 1954. rd. I f1954. incurred, 25. If the State Government is at any time of opinion that Power of It would be in the public interest that any commodity (other State than cigarettes) which is liable to taxation under the Bengal Govern. 'inance (Sales Tax) Act, 1941, should be taxed under this ment to Act, it may, by notification in the hcual Gazette, specify commodi Buch commodity ; and on and from the date of such notifica- ties tion the Bengal Finance (Sales Tax) Act, 1941, shall cease to taxable apply to such commodity and this Act shall apply to such inder commodity as if references to cigarettes in this Aet Were refer- Act Vt of ences to such commodity and as if this Act in ils applhcation 1941 to which this Act shal apply instead. 0 8uch commodity had come into foree on such date, WBGP-54|5-1387A-5M