The Orissa Entry Tax Act, 1999

Keyword(s):
Dealer, Entry of Goods, Importer, Local Area, Person, Motor Vehicles,Purchase Value, Sales Tax Act, Scheduled Goods,
Amendments appended: 5 of 2000, 2 of 2004, 1 of 2005, 10 of 2005,

OR-, ~m:ll Q ,1999 THE OFUSSA ENTRY TAX ACT; 1999 TABLE OF CONTENTS,., CHAPTER 1 PRBLIMINARY , . I. 1. Short title. extent and commencement … -, . . LRW OF TAX 3. Levy of tax – – 4. ~eductioli ‘in tax liability ‘ ., 5. Regigtrition of dealers 1 -6. exeinptian from tax < CHAPTER m RBTURN, ASS&B@NT, PAYMPNT, RBCOVBRY AND CO&LHC~~ON OF TAX 7. Returns and assessment 8. ,Security deposit . . . -. 9. Payment of tax for entry of goods escaping assessment 10. Payment of tax in advance -11. Pdysent and recovery of tax 12. Recov:ry of tak from ccrtain other Persons 13. Liability of firm 14. Tax Pay~ble transfer of business, ttc. . CHAPTER IV TAX AUTFlORmRS 15. Tax Authorltiea 16. Appeals 17. Appzal to the Tribunal 18. Revision -by the Cornmisslunar of ordam- Rejudicial to revenue 19. Appeal to fIi~h court 30. hctiflcation of mistalter CHAPTER V 21. 21. 23. 24. as. 2 6. 27. n 28. 29. 30. MIGCELLANEOUS Maintenancs of accounts by dealers and issue of sqle bills or cash, memorandum Powers to order production OF accaunts and powets of entry, inspection and seIzma Recogaition of Seles Tax check-gate or barriers for the purpose of this ‘Acts. Transp~rt of goods by raad thr~ilgh the State and issue of transit pass Penalties for cjntravcntion of pro~isi~ns ofsections 23 and 24 Manufacturers to collect and pay tax ~orw&din~ agency, etc. to submit rctm Submission of certain records by owners Offences and penalties Cognizance of offences 31. Composition of oflences 32. Offences by companies 33. Bar of certain proceedings 34. Burden of proof 35. Refund of tax in aertaio cases 36. Assignment of proceeds of the tax 37. Power- to make rules 38. Servants and ofic~rs to bc public servants 39. Yotifications to be laid befkre the Assembly 40. Power to remove difficulties 41. Repzal and saving Schedule ORIS% ACT 11 OF 1999 *THE ORISSA F.NTRY TAX ACT,1999 [Received the assent of the Governor on the 20t b September 1999, first published in an extraordinary issue of the Orissa Gazerfe, dated the 27th September, 19991 AN ACT TO PROVIDE FOR THE LEVY AND COLLECTION OF TAX ON THE ENTRY OF GOODS INTO THE LOCAL AREAS OF THB STATE OF ORISSA FOR CONSUMPTION, USE OR GALE THEREIN AND MATTERS JNCIDENTAL THERETO AND CONNECTED – THEREWITH BE it enacted by the Legislature of the Slate of Orisea in the Fiftieth Year of the Republic of India, as follows: – CHAPTER I PRELIMINARY Short bite, sxlarrr md 1. (1) This Act may be cAlled the Orissa Entry Tax Act, 1999. 80manw sat. – (2) It shall cxtcnd to the whole of the State of Orissa. (3) It shall ** come into force on such date as thc State Government may, by notification, appoint. De=h. 2, In this ~ct, unless the context otherwise requires,- (a) “Assessing Authority” means the Sales Tax Officer appointed uader the Sales Tax Act within the area of his jurisdiction; (6) “Commissioner” meas the Commissioner of SaIes Tax, Orjsssa appointed under the Sales Tax Act; (c) LmDealcrsy shall hsve the meaning assigned to it in clause (c) of Section 2 of the Sales Tax Act, and shalI include a handling or deIivery agent gf an agent acting in any manner on bchalr of the Principal; (d) “Entry of goods9f with all its grammati cal variatio~s and cognate expressions, means entry of goods into 3 locaI area from any place that local area or any place outside the State for consumption, use or sale therein; (e) “Importer” means a Dealer or any other pcrson who in any capacity brings or causes to be brought any scheduled goods into a 1mal area for consumption, use or sale therein ; Cfl “Local areaY9 means the areas Within the limits of any- (i) Municipal Corporation, (ii) hfunicipali ty, (iii) Notified Arca Council, (iv) Gralna Panchayat, and (v) Othcr locn1 authority by whatcver nime called, constituted or continued in any law for the time being in force and shall also incIude an oricra ~ct industrial township constituted under section 4 of thc Oriaa 23 d1930. h7unicipaI Act, 1950; *For Lhc Bill, set OrirJa Care lte, Entraordinary, dated the @lo. 1 **Come in to lorcc w.e.l. 1st D 1999 Vidc F. D. ~otifimtion No. 44748-C. T. A. 30199-F, Orlssa Gazerre ERlraordiae 4th November, 1999 (No. 1509) &) ”I? ersonfg i ncludes any Company or Associati ~n or Body or individuaIs whether i acorporated or not and aIso a Hindu undivided IamiIp, a Firm, .a Local ~utharity, Government of Indi a, the Government of any State cr Union Territory; (11) ”hfctor Vehicle9* means a Motor V~bicle as defined in clause 28 of section 2 of thc Motor Vehides Act, 1988; 59 d 1981 (i) ‘.Prcscribed9’ means prescribed by lules; (j) “Purchase velce” means the valuc of schd uled goods as ascertained, from original invoice or bill and Includes Insurance charges, excisc duies countervailing charges, sales tax, transport charges, freight charges and all other charges incidental to the purchase of such goods : Provided that where pllrchase value of any schedlued goods -is not ascertainable on account of nan-availability or non-production of the original lnvolce or bill or whe? the, invoice or bill produced is groved to bc false or if the schedulcd goods are required or obcained otherwise than by way of purchase, thcn the purchase value shall be the valuc or the price at which thc schedulcd goods of like kind or quality is sold or is capable of being sold in open market; . (k) “Rules” means rules made under this Act; (0 “Sales Tax Act” means the Orissa Sales Tax Act, 1947; Orissa Ad 14 OF 1947, (t~) tlScheduled goods” means the goods, specified in the schedule to this Act; (4 “State Government” mcms the Government cf Orjsse; do) cmTrib~na~” means the Orissa Sales Tax Tribunal referrcd to in sub-section (2) of Secticn 3 of the Sales Tax Act; @) #’year” means the Financial year; and (q) words and c~~ressions used herein and not defined in th is . Act, but defined in the Salts Tax Act shall have the meaning respectively assigned to them in that Act. CHAPTER I1 LEVY OF TAX , 3. (1) There shall belt~i~dandc~lle~~eda~ax oaentryoftl~escheduled . – , goods jnto a local zrea for consumption, me or saIc therein at such rate not exceeding twelve percenturn of the purcbasc V~~UC of such goods from such date as may be specified by thc State Government not later Illan thirty da . this Act comes into fa-rce and diked dztes and different rates may be spcci Ji led after for different goods and local areas subject to suuch conditions as may k prebed. – (2) The tax: leviable under this Act shall be paid by evcry Dealerin sched~l~d goods or any other person who brings or causes to be brought into a local arca such scheduled goods whether on his .elm account or on account of his principal or customer or takes delivery or is entitled to tc&z delivery of such goods on such entry:, Provided that no tax shall be levied under this Act on the cntd of scheduled goods into a local area. if it is proved to rile satisfaction of the assessing authority th~t such goods have alr~eady been subjected to entry tax or that the entry tax has been paid by any other person or Defiler under this Act. Expla7dtion-Whcre the goods arc taken delivery of ontheir entry in to a local area or brought into the local area by a person other than a Dealcr, the Dealer who takes delivery of the goods frcm such person or make carriage of the goods shall be deemed to have brought or caused to have brought the goods into the local area (3) Notwithstanding anything conrained in sub-sections (1) and (21, but subject tothe provisions of this Act, there shall be levied and collected a tax on the entry of motor vehi~le into ‘any local are3 Tor use or sale th~jn whiceh is liable registratlon in the Statc of Orissa ~u&r the Motm Vehicles Aes, 1988 and rate of tax shall be at such rate or rates as may be specified bY the of State Government by notifjmtion on the purchase value of such alotor vehicle. Reduction in 4. (1) Where an importer of motor vehiccle liable to pay tax under, sub taxliability section (3) of section 3 being a Dealer in motor vehicles becomes liablc to pay of tax under the Sales Tax Act by virtue sale of such motor vehicks then his 1iablIity under the Sales Tax: Act shall be reduced to the ex teat of tax paid under this Act. ~x~latiafion’~or the purppse of this subection the chassis and the vehicle with body built on the chaS61s shall be treated one and the same goods. (2) When an importer or manuiachlrer of goods specified in Part-111 of the schedule except motor vehicles pays tax under, -sub -section (I] of section 3 or I section 26 of this Act, being a Dealer undcr the Sales Tax Act becomes liable to ply tax under the said Act by virtue of Sale ofsuch goods, then hi3 liability under the Sides Tax Act shall be reduced to the extent oft ax paid Under this Act. 5. (1) Every Dealer in scheduled goods who is liable to be registerc – R~gistradofi ~der the Sales Tax Act shall Bet himself registered under this Act, jn such of doales manner and within such periods as may be prescribed. (2) The registration under sub-section (1) shall be made in such mannr and for such period as may be prescribed: providcd that the Dealers already redstered under the Sales Tax Act shll be deemed to be registered under this Act without furpishin6 any security under this Act on submission of aa application and ncWssary fees in the prescribed manner. 6. The State Government may by notification and subject to such condition restrictinns as it may impcse exempt – from ley of tax any class of person Bromp’on who an engaged in oharity or racial services. from tax. RETURN, ASSESSMENT, PAYMENT, RECOVERY AND COLLE~ION OF TAX Retwos and 7. (1) Notwithstanding anything contained in section 10, every sgistered aaaesrment. Dealer and every Dcaler who is liable to get himslf rcgisterd undcrt this ~~t shalI every ycar submit a return. to the asssessiog authority within such period and in such manner containing such parliculnrs as may be prescribed. – (2), Before any Dealer submits any return uuder sub-section (1) he shaU in the prescribed manner pay in advance the fdl amount of tax payable by him on the basis of such return as reduced by any tax already – paid under sectin – 10 and shall. furnish along with the relurn satisfactory proof of tb Payment of such tax and afrer the final absesemeat is made, tho amount gf tax so paid shall be dzomed to have hen paid towards the tax finally assessed. (3) If the assessi ng authority is satisfied that : ny return submitted under subsection (1) is correct and complete, he shall assess the Dealer on rhe basis thereof, (4) If no return is submiteed by tho Dealer under section (1) within the pcdod prescribed or if the return submitted by bim appears to the asscssbg authcrity to bo incorrect or incomplete, be shall assess the Dealer to the besL of his judgment recording the reasons for such assessment: Provided that before taking action Under this sub-section the Dealer shall bc reasonable opportuoity of proving the correctness and completeness of the return submitted by him. (5) While making any assessment under sub-section (43, the asssssjng authority mny also direct the Dealer to pay in addition to the tax assessed a penalty no exceeding – one and a haIf times the amaunt of tax due that was not disclosed by ge Dealer in his return or in the case of failure to submit a return one and 8 half times the tax assessed, as the case may be. SseurlB 8. Subject td the provisions of section 5, Iht provisions OF Sala Tax Act sha!l Deposit- mlulaiis ~?rrrtundis apply to {he security and enhancement of security for registered Dealer coder this Act. Payment of 9. (I) Whcre for any reason z Il or any of the scheduled goods brought by a Dealer tax for enVy has escap’ed asessment to tax, the assessing authority may sub jwt to the prauisions gmh of sub-scetion (3) at any ,time within a period of lhree years from the expiry of the escaping asscssmml. year to which the tax reIates procced ro assess to the best of his judgment the tax payable on the entry of such goods after issdng a notice to the Dealer and after making such enquiry as he coosiders necessary. (2) In making an assessmiat under sub -section (1) the assessing authority may, if he is satisfied that the escapr from assessment is due to willful nan-disclosure of the entry of Such goods by the Dualer, direct him to pay in addition to .the tax assessed under sub-section (1) a penalty not exceeding one and a half tlmes the tax so asscsscd: r ” Provided that no penalty under this sub-section shall’ be dirccted to be paid unless the Dealer affected has been given a reasonnblc opportunity of shcwiag cause against such imposition. > (3) In computing the period cf limitation for assessment under this seaion the time during which an assessment has been deferred on account .of any stay order granted by any Court, shall bc excluded. .- payment or 10. (1) Subject to the provisions of the rules, every registered Dealer and every tax in Dealer liabIe to get himself registered under this Act shall send every mcnth to the advance. assessing authority a statement containing such particulars as may be prescribed and shall pay in advance the full’ amount of tax payable by him on the basis of the scheduled goods brought by him during thepreceding month in to thc local area and the amount so payable shall for the purpnse or sub -section (4) df section f 1 be deemed to bc the amount due under this Act from such Dealer. m*- (2)Tf at the end of the year it is found that the amount of taxpaid in advance by any Dealer for any month or for the whole year in the aggergate was less than the tax payable for thatmoathorthe tax for thewhole year as thc case may be, as finaly . assessed, by more than fiftean per cent, the assessing authority may direct suclh Dcaler to pay, in addition to the tax, by way of penalty, a sum not exceeding onc and 2, haIF times the drffirential amount babeen thc tax payable and the tax paid for the month or for thc whole year, as the case may be: Provided that no penalty under this sub-section shall be imposed unless the D-alcr affected bas been given a reasonable opportunity of showing ceue against such imposition. (3) If no such statement is submitted by a Dealer under sub-section (1) before the date res scribed or if the statement submitted by him appears to the assessing authority lo be incorrect or iIIcomplete, the assessins authority may assess the Dealer provisionalIJl for that month to the best of his judgment, recording the reasons. for such and proceed to demand and collect thc tax on the basis of such assessment : provided that before taking action under this sub-section the DeaIer shall be given a reasonable opportunity of being heard. pumcot and 11. (1) The tax under this Act shall be paid in such manner, in such insialmeDts, if Rocovcr~ of any, and within such time, as may bc pescribed. rnK. (2) If default is made in making payment in accordance with subsection (1)- (i) the whole OF the mmnt outstanding on the date of default shall become immedjately due and shall be a charge on the propcrly of the Dealer or any other person or Persons lieble to pay tax under this Act; and (ii) the Dealer or any other person or Persons Iiable’t~ pay the tax under this ~ct shall pay a penalty equal to two iind half Per cent of such amount for each month subsequent to the first threc months as aforesaid. ,Fxplandtion-For the purposes of CIause (ii) the penalty payable f& a part of s mouth shall be proportionately determined. (3) Notbthstanding anything contained in su b-section (21, the Commissioner may subject to such conditions as may be prescribed remit the whole or any part of the penalty payable in rcspcct of any pericd by any Dealer or pdson or class of persons. (4) Any tax assessed, or any other amount due under this Act from a Dealer or any orhcr person or psrsons may without prejudice to any other mode of collection be recovered as an arrear oP public. demand or in accord,:nce with che provisions contained in the schedule to the Sales Tax Act: Provided that where a Dealer- or any othcr pcrson who.has appealed or applied for revision of any ordcr made under this Act and has complied with a? ordcr made by the appellate or the revising authority in regard to the Payment of tax or other amount, no proceedings for recovery under this snb-section Shall be made or ccntinucd until the disposal of such appeal or apylicrllion for revision. R~~~~~ 12. (1) The assessing authority may, at any time, by notice in wiring, a copy of tax from which alinll be forwarded to the Dealer from whom any tax assessed is due at his last certain address known to the assessing authority, require any pcrson from whom money is duc iothe Deale~ or any person who holds or may subsequently hold mo my for or on pcrsomm account of the .Dealer to pay to the assessing ,authority either forthwith upon the money becoming due or being heId at or within the time specified in the noticc, not bciog before the money b~comes due or is held, so much of th2 money as is suficient to pay the amount due by th.: Dealer in respect of arresrs of tax or penalty or the Whole of :he money When it is equal to or less than that amount. (2) Thc assessing authority may, st any time, amend or revoke anysuch ootjce or extend the time for makin2 any paymznt in pursuance of the notice, hot exceeding six months. (3) Any pcrsoa making any payment in compliance with a notice under this section shall bo deernrd to have made the payment under the authority of the Deder and the receipt of the assessing authority shall constitute a good and sugicient discharge of such Fcrson to the extent of thc a mount to in the receipt. \ (4) Any p-rson discharjing any liability to the Dealer after receipt of the notice referrcd $0 in this scction shall be personally liable to the assessing authority to the oxtent of the lisbili ty discharged or to thc extent of the liability of the Dealer for the amount due niid?r thi~ Act, whichevar is lass. (5) Wherc any, pzrson to whom a norice under this section is sent objects to it on the ground that the sum demanded or any part thcroof is not due by him to 1be Dealer or that he does not hold any money for or on account of the Dealtr, then, nothing contained in this. 6cction shall be dfemed 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 assassing authority or for which ho is personally liable to the assessing authority under this section shall, if it remains unpaid, be charged on the properties of the said person and may be recovered as if it weto an arrear of land revenue. ,–,—.- Exp!drralion-For the purpose of this section, the amount due to Dezler or money held for or on account of Dealer shall be computed after taking into account such claims, as may havc fallen due for payment by such Dealer to such person as may be lawfully subsisting. of 13. (1) Wbm any firm is liable lo pay any tax or other amount under arm. this Act, the firm and each af the partners of the firm shall be jointly and severally liable for such payment. (2) Where a partncr of a firm’ liable to pay any tax, or othrr amount under this Act retires, be shall, notwithstanding any contract to the conttrary, be liable to #pay the tax or 0th amount remaining unpaid at the time ot his rctiremcnt and any tax or other amount due up to the date of retirement, though unassessed, after due assessment of the same. Tax payable 14. (1) When the ownership OF the business of a Dealer liable to pay an) on ltamfcr of ta or penslty, or any other amount undzr the provisions of this Act, is transferred business ctc. the transferor and the transferee shall jointly and severally ba liable to pay any tax or pcnalty tJr any other amount payable but remaining unpaid at the time of transfer, and for the purpose of recovery from the transferce, such transferee shall be deemd to be the DAer liable to pay the tax or penaIty or other amount under this Act. Exp/an~lion-When a psrson carries on business in the same premises substantially in ihc same scheduled goads in succession to ‘ a dealer liable under this Act, it shall be presumed ~hal tuerr: has bsen eulil-G transfer of the business unless rhe contrary is proved. (2) Whoa a firm liable to pay the tax: or penalty is dissolved, the assessmenst of the ta)c and imp~sition OF penalty shall be made as if no dissoluti~n of the firm had .taken place anu cvery person who was at the time of diss~lution a partnzr of the firm and the lcgal represzntativa of any such partner, who is deceased, shall be jointly and severally liable to pay the tax or per~alty assessed or imposed. (3) When an undivided Hindu- family liablc to pay the la8 QV penalty is partitioned the assessment of the tax and the imposition of penalty &all be made as if no partition or the family had taken place, and every person whn was a member of the farni ly before the partition shall be jointly and severally liable to pay the tax or penalty asszssed o~ i inposcd. ‘ (4) Where a dealer die., his executor, administrator or other legal representative shall be deemed to befh: Dealer for the purposes of this Act and the provisions of this Act shall apply to him in respect nf the business of the said deceased dealer, provided that In respect of any ta or penally assessed as payable by any such dealcr Oi any tax or penalty which wOuId have been payable by him undcr this Act, if hc hnd not rlied. the executor, admini4rator or other Icgal representative shall be liable only lo the cestent of the ‘assets of the deceased in his hands. CHAPTER IV T.4X AUTHORITIES 15. (I) There shall bc such classes and such number of taX authorities including Tax Antbo- assessing authofitics as may bz spccificd. by the State Government for the purposes rities. of this Act. (2) Thc authcrities specified under sub-seclion (1) shall be appointed by the State Government and shall exercise, discharge and perform such powers, duties apd Functions in respect of such areas and such classes of persons or such dealers as may be specified by the State Government. (3) Wberc any orders issued udder subsection (2) have assigned to two or more tax authorities the same area or the some Dealers or classes of dealers or the same cases or classes of cases, they shall perform their functions in accordance with such order as the Commissi~ner may make for the distribution and allocation of tho work. (4) The Cammissioner shaIl have the power of superlntendeoce and control over all pzrsons employed in tlie administration of Chis Act. Apptals. 16. (1) Any person objecting to an order affecting him passed under the provisions of this Act may appeal to such authority as may be prescribed (hereinafter referred to as the appdate authority) (2) The appeal shall be preferred within thirty days, (i) in respect of an order of assessment, from the date on which the notice of assessmznt was served on the appellant, and (ii) in respect of any other order from the date on which the order was communicated to the appellant : AP*~ to ‘ 19. (1 ) Any assessee o bjeeiing to an order passed under section 18 may appeal ‘ to the High Cowr within sixty days from the date on which the order wascommunicated to him : Provided that the ~igh’court may admit an appeal preierrcd art& the period of S~XIY days aforesaid if it is satisfied that the sscssec had suficient cause for not the appeal within that perid. (2) The appeal shnli be in the prescribed farm, shall be verified in the prescribed manner and shall be accompanied by a fee OF two hundred rupees. *: (3) The High Court shall, after giving both parties to the appeal a reasonabIo opportunity of being beard pass such order thereon as it thinks fit. RcctikalIon 20. (1) With a vjcw to rectifying any mistake apparent from thc’ record, the ofimin*cs.’assessing authority, appellate authority or revising authority may, at any time, within five years from the date of an order passed by it, amend such order: Provided that an amendment which has the effect of enhancing an assessment or otherwise the liability of thc assessee shall not be made unless the assessing authority, appellate authority or revising authority, as the casc may be. has given notice to thc asscssce of its intention to do so and has allowed thc aascssee a reasonabIe opportunity of being heard. (2) Where an order has bcen considered and decided in any proceedings by way of appeal or revision reIating to an order refcrred to in sub-section (I), t hC authority passing such order may, notwithst anding anything contained in any law for the time being in force, amend order undcr that sub-setion in relation to any matter other than the matter which has becn so considered and decided. (3) An order passcd under sub-setion (I). ‘shall bk decmed to be an order under the same provisi on of law under which t hc orginaI order the mistakc in which was rectjficd had bccn passcd. CHAPTER V MISCELLANEOUS – ~aintG 11. (1) Every rGislercd dealer and cvcry dedcr liable to get himself registered . or aaaunts for thc purposes of this Act shall m~intain and keep true aod compIete accounts relating by deelcrs to his business as well as such other registers or rccord s as laid dawn under andiksuo Sales Tax Act ,and all ruth accounts, registers 01 records sball be retained by,thc of sale bills dealer in hi6 safe custody till his assessment or reassessment, as thc case may be, n for t hc relevaot year is complc tcd or. in case where tloy appeal, revision or othm dm. proceedings in .rcspcct of such year has been fled and is pcnding, thc same ii disposed of. (2) Evcry rcgisttred dealer, and evcry dealer liablc to gct himsIef registcred for the purposes of. this Act shall issue, in respect cf all scheduled goods sold by him a bill or cash mcmoraodum signed and dated by him or ,his servant, manager or agent shorving paticulard of his name, address, registration number, if any, cnd description, quantily and value of pods sold and shall kce~ thc counterfoil or duplicate of such bill or cash memorandum with him and retain it in bis custody for the period menti oncd in hub-secljon (1) : Provided that thc sclling dealer shall also cibtain and record in the ~al~ bill or cash mcmorandum, the namc apd full addresq of the buyer, t ogct hcr with his registration numbrr, if any, whcre Lhe buyer is a dealer, in cases where the price =f. goods is one thousand rupee’s or more; Provided further that ihe provision* rf this .kub-~ectjon rho11 I rt ~.pply to a dtaler whose total turn over in achcduled as well as ether Eccds in a ycnr docs not exceed ten thousand rupees. – . . . , -. (3) Evewsalc bill or cash mekoraodjm to be i&d as per iubsection (2)’ shall bc serially machine numbered. Power to o* prodnct ion accounts and porn of entry, immctton asd ntrmrc. 22. (1) Any officer emporvered by the State Govcrnmcnt in this beb~lf including the asscsging authority, may for the purpose of rbis Act, require any dealer to produce before him the.accounta and any other documents, andtofurnish any informatt on relating to the stocks purchases, sale and deliveries of scheduled goods by the dealer and al,o any other inrormation relating t o his business. (2) lf any such vEcer has reason to suspect t.~at any dealer is attempting to evade the payment of any tax or other amount due from him under this Act, he may, for reasons to be recorded in writing, seize such accounts, registers, records and other documents r f thc dealer as he may consider necessary, and shall give the dealer a receipt for the same and the accounts, registers, rccords and documents so arjzcd shall be retained by such officer so long a9 may be necessary for thcir examination and for any inquiry or proceeding under this Act. Rewgui- 23. (I) With a view to preventing or checking evasion of tax under this Act, tion or Sales check-costs or barriers or both, as the case may be, established, or . erected under Tax ch~k- the provisicns of Sales Talc Act- shall bc deemed to be rccognisea check-posts or @&Or barriers for the purpose of thi. Act. bariiem for the pumose ‘ (2) At every check-post or barrier mentioned in suhsc~tion (1) or at any aftbig AH. other place when so re4uil ed by an officer empowered by the State Government in this behalf, thedriver or any other perqonin charge of a gQotls vehicle or boat shalIstop the vehicle orboat, as the case may be, and keep it stationary as long as may reasonably be necessary and allow the officer-in-Charge af the check-post or barrier of the offi~er empowered as aforesaid, to examine the contents in the vc hicle or boat and inspect all records relating to the goods carried, which are in the possession of such drivcr or other person in Charge who shall, if so required, give his name and addrcss and the name and address of the owaer of the Vehicle or boat. (3) The ol3icer-in-charge of tho .che~k-~ost orbarrier or the officer empod wered as aforesaid shall have power to seize and codscatct any goods which are under transport by a goods vehiclc or a boat and are not covered by a way bill issued by thc person who consigns the goods in the manner prescribed under the Sales Tax Act! Provided that bcfoie taking action for the confiscation of goods under tbis sub-section, the oficer. shall give the person affected an opportunity of being heard and make an enquiry in the manner prescribed: – Provided further that where the person affected make9 paymeat to such ~ficer of the amount of tax payable in respect of such goo s to be asaessed in the prescribed manner, the goods seized as afresad shald be released: Provided also that no order of confiscation shall be made in respect of goods which are not liable to payment of tax; under this Act. ~rm~ort 24. When a vehicle or boat coming from any place outside the State and of god bound for any other place outsidc the ,State and carrying scheduled goods, by road passes through the States the driver or any other person incharge of such vehicle thou& the $ha11 furnish the necessary information and obtain a transit pass in the prescribed State md manner and subject io the conditions provided under section 26 AA of the Sale, issue of Tax ~ct and the rules maje th5reund err wit Pass. Provided that when a transit pass has been issued under Sales Tax ~ct, no separate transit pass under this section shall be. required. Penaltits 25. (1) If any person, bcin9 ?he driver or the person in charge ofa goods for , vehicle or boat contravenes the ~rovisions of sectiou 23 or sec.tion 24, the ass* mntmven- ssing authotlty after gi~inL such Person a reascnabIc Oppdfiunity of being heard, tio,, direct him .to Pay, by W~Y of penalty, a sum not exceeding twice the amount provisions of tm payable in respect of the goods and may for the P-iupose of reaIisation of the or stions seize such goods. 23 and 24. (2) Where the penalty lcvied under subsection (1) is paid, the goods so seized shall be released,, but where such Pendty is not paid by the person concerned withia the time prescribed, thc Commissioner shall Confiscate t,he goods 60 (3) If the goxb which are szized or conliscated undcr the preceding sub sections arc of pxishnble nature, thcy shall be s01.l in the pi:scrib=d manner. MaU€ac- 26. (1) Notwithstanding anything contained in this Act, cvcty manufae turer turn to OF scheduled goods who is registered under the Sales Tax Act shall in respect and of sale of its fi~ished p rolucts e,Tmted bp it to a buying dealer, either directly Pay tax. or through an intermid~ary, shall collect by way of tax an amout equal to the’ tax psyablc on t4e vaIue of such finished products under section 3 of this Act by the buying d:aIer in prescribed manner and shall pay the tax s:, collected into the G3vern.n-nc Treasury: Provided that the liability of the manufacturer for payment of tax under the sub-ststion during a ycar sh aII be reduced lo the extent of tax paid under this Act on the raw materials which directly go inlo the composition of the finishod pr~ducts during that yaar i I the prescribed manner. (2) Every manufacturer collating tax under subsection (1) shall send every month to the assessing authority of the area a staeemcnt in the Corm containing particulars of tax collected during the preceding month and pay the fuU amount of !ax so ~ollected by it within twenty days after close of the preced~ng moath in which such co1Iection were made. (3) The amount of tax colIected under sub-section (1) add – not paid as required under sub-sgction (2) shall for the purpose of scct’iori I1 be deemed to be an amout duc under this Act. (4)’ Every manufacturer collecting t’d urider subseetion (1) shall ~&ct the . amount of tax ca1lected undet this Section in’ the cash memo or sale invoice issued to the buyer. (5) Collection and payment of tax in accordance with sublectons (I) and (2) shall be without prejudice to any other mode of recnvcry of ta under thig Act from the buying dealer and shall be subject to such adjustments as may be nmssary on the c~mplction of assessment of such buying dealer. Po~diog! 27. Every clearing or forwarding -house or agency, commission agency’ awwm transporting agency, shipping agency, sh~pping out-ESgency or steamer ng’ency in dc,, LO the State shall submit to the assessing authprity of the area such return as may be prcscri bed of all scheduled goods cleared, forwarded, transport cd’ of shipped by it ‘ into the eonceroed local area and the assessing authority concerned &ail have the power to call for and examine the books of accounts or ather documents in the possession ol such a3encY with a vi.:w to Vcrify the correctness of the rcturn submitted. Submis- r, UiOa Of ctrtain rcwrrde by own- ‘ ‘O&nand PenaIlia. 28. The owner or othcr pcrson in charge of a scheduled goods vehicle or boat shill, in rzspeef of the goods transported by him in such vebick or boat submit to the assosslng authority having jurisdiction over the local area in which the scheduIed good; are delivered, such particuIars, thereof within such time and manner as may bs prescribed. 29. (I) Any person who:- (a) bziog a d:sler in schedgIed gssds fails to submit a return as required by the provisiox of this Act or the ruIes made thereunder; or (6) being a person obliged to get himself registered under this Act d’ms nbt get himseli so registered; or (c) fails :. .:,itbin the time allowed any tax assessed an him er any pe11. 2:. ied on him under this Act; or (d) hils to kcep true and complete accounts; or (e) fails to comply with notice issued under section 9; or (fl fails. fo submit a statement ai reqilired by section 10; or (g): fails to issUd, sale bill- or cash memoratidurn in accordance with the provisions of snbsections,(2) and: (3) of seetion 21; shall, on conviction by a Magistrate, be punishable with simple imprisonmcnt for a ‘term which may extend to six months or fine which shall not be less than two thousand rupees but which may extend to five Aousand rupees oi with both. (2)’ Any- pcrson who:- (a) wilfully submits an untrue return, or not being already an assessee under this Act, fails to submit a return as required by the provisions of this Act or the rules made therunder; or (6) wilfully submils an unt~uc slatment lrrdtr Scc~icn 3Ch; Cr (c) fraudulently evades the payments of any tax assessed on him or other amount due from him under this Act; or (d) wilfully acts in coutravention of any of the provjsions of this ACL; shall, on conviction, in addition to the recovcry of any tax that may be due from him, be punishable with simple imprisonment wbich may extend to twelve months or fine which shall not be less than five thousand rupees but which may extend to ten thousand rupees or with both and when the offence is continuing One, with a daily fine riot exceeding one hundred rupces during the period of the conthuance of the ofPebce. 30. No court shall take cognizance of any ofince punishable under sub-section d= fl of section 29 cxcept with tbc previous sanction of the ~ommissicner. . 31. The prcscribd authori~y may accept from any person who has committed or is $ reasonable suspected of having oa-itted an offence pnnishable under this Act, by offoncoa way of composition of such offence,- (a) Where the offenw: consists of the failurc to pay or the evasion of any tax or other amount, recoverable under this Act in addition to the tax or amount so recoverable, a sum of money not exceeding five thousand rupees or double the amount of the tax or amount recoverable whichever is greater, and (b) in other cases, a sum cf money not exceeding fivc (bousand rurees. 32. (I) If the pcrson committing an offence under this Act is’a company, thc company as well as every pcrson in charge of, and responsible, to tho company for the conduct of its business at the time of the commission of the offence shall be deemed to be guilty of the oflence and shall be punished accordingly: Provided that nothing conhincd in this sub-section shall rerider any such pason liable to any punishment if he proves that the offence was commi ttcd without his 1 knowledge or that he exercised all due diligence to prevent the commission of such offence. (2) Notiviths landing any thing cant aioed in sub-section (1) where an offenc-. under this Act bas been .committed -by a company and it is paved that the’offcncc has been committed with the consent or connivance of, Or that the commission of the offeocc is attributable to any neglcct on the part Of any director, manager, mmaging agent or any other Officer of the company, such director, managcr, managing agcnr or other officer shall also be deemed to be guilty of that offence and shall be liablr: to be proceeded against and punished accordingly. ‘.= Explnrrmion-For the purposcs of this secli on ,- (a) “Companyp’ mcans any body corporzle and includes a firm or other (‘association of individual; and (b) “~irector” in relation to a firm means a partner in the firm. Bar of 33. (1) No suit, prosecution or othcr proceedings shall lie against any officer or cemain servant of the State Government, for any act done or pnrportng.10 be