[DEDUCTION OF TAX AT SOURCE] (Section 24)
(1) Every Government agency,
public sector undertaking or corporation procuring food grains in the State at
the minimum support price (with or without bonus) fixed from time to time for
such grains or any person authorised by such agency, undertaking or corporation
in this behalf and acting as such, shall, at the time of making payment,
whether by cash, adjustment, credit to the account, recovery of dues or in any
other manner to the commission agent as valuable consideration for selling the
grains, deduct tax in advance from such payment calculated by multiplying the
amount paid in any manner with four per cent or such other rate, as notified
under sub‑section (1) of section 24.
(2) Every contractee shall,
at the time of making payment, whether by cash, adjustment, credit to the
account, recovery of dues or in any other manner, deduct from the payment made
to the contractor for execution of a works contract in the State involving
transfer of property in goods, whether as goods or in some other form, tax in
advance calculated by multiplying the amount paid in any manner with four per cent or such other rate, as notified under sub‑section
(1) of section 24.
Explanation. ‑ For the purpose of the
foregoing sub‑rules, the valuable consideration shall not include the
amount of tax, if any, forming part of the consideration.
(3) The provisions of sub‑rules
(1) and (2) shall not apply where the amount or the aggregate of the amounts
paid or likely to be paid during a year to the supplier of grains or the
contractor, as the case may be, does not or is not likely to exceed one lakh
rupees.
(4) The provisions of sub‑rule
(2) shall not apply where both the contractee and the contractor are
dealers registered under the Act and the contract relates to manufacture or
processing of goods for sale.
(5) The amount, which any
person is required to deduct in a month under the foregoing sub‑rules,
shall be paid by him within fifteen days of the close of the month into the
appropriate Government Treasury in challan in Form VAT‑C1 separately for
each payee in the manner laid down in rule 35. The person making the payment
shall affix the original copy of the challan with the return filed by him and
shall furnish the fifth copy to the payee concerned as a certificate of tax
deduction and payment, who shall affix it with his return.
Provided
that the Commissioner may by order in writing permit such person to pay by
grouping a number of payees in a single challan or challans subject to each
such challan showing the name of each payee and the amount deposited in respect
of him separately:
Provided
further that such person shall provide to each payee whose name appears in the
challan a self‑authenticated copy of the challan:
(6) The payee to whom a
certificate of tax deduction and payment referred to in sub‑rule (5) has
been furnished shall, subject to verification of genuineness and correctness of
the certificate, be entitled to deduct the amount shown in it from the amount
of tax due from him for the period specified in the certificate and shall pay
the balance in the manner laid down in rule 35 and any amount paid in excess
shall be refundable on assessment.
(7) The Commissioner may, on
application made to him, order that no deduction from the payment made to any
person shall be effected under this rule or that deduction shall be effected at
a rate lower than the rate mentioned under this rule or notified in this behalf
if he is satisfied that (i) such person is a registered dealer; (ii) he has not
elected to pay lump sum in lieu of sales tax; and (iii) non deduction or
deduction at a lower rate, as the case may be, shall neither adversely effect
nor delay the recovery of tax from him.
[LIABILITY TO PAY TAX AND OTHER DUES] (Section
9, 14 & 60)
(1) An assessee and his
partner or partners shall be jointly and severally responsible for payment of
tax, interest, penalty or any other amount due under the Act or these rules.
(2) Every lump sum dealer
shall pay lump sum as specified in the particular rule in chapter VI governing
the particular class of lump sum dealers to which such dealer belongs.
(3) Every casual trader shall pay tax
everyday on the sales made on the previous day.
(4) Every other dealer
liable to pay tax under the Act shall pay tax monthly or quarterly as required
by or under sub‑section (3) or (4) of section 14, as the case may be.
(5) Where the last day
specified for payment of tax or any other amount under the Act is a bank
holiday, the last date for payment thereof shall be the first banking day
following such holiday or consecutive holidays.
[MANNER OF PAYMENT OF TAX AND OTHER DUES] (Section 60)
(1) Any person who has to pay any amount due under this Act shall present a duly filled in challan in form VAT‑Cl in quintuplicate along with the amount to be deposited either in cash or through a crossed bank draft or pay order in favour of the assessing authority, drawn on Scheduled Bank with a branch at the headquarters of the assessing authority or at the head office of the business of the dealer or at the branch office separately registered under the Act, to the Bank authorised to receive the money on account of the State Government. There the money will be received and credited to the proper head of account and an acknowledgement granted to the depositor by returning to him the original challan and the fifth copy of the challan. The other three copies of the challan having been retained by the Bank will be forwarded to the Treasury officer with the daily account. The Treasury officer will forward the duplicate copy to the officer incharge of the district concerned and retain the triplicate copy in his office. He will send the fourth copy to the Audit Office.
(2) Any amount due under the
Act may also be paid by submitting a refund adjustment order in Form VAT‑G9
or interest payment order in Form VAT‑G 10 to the assessing authority.
(3) In exceptional
circumstances payment of any amount due under the Act may also be received in
cash by the Commissioner or by an officer appointed to assist him under sub‑section
(1) of section 55 of the Act against receipt in Form VAT‑G4:
Provided
that any payment received under the foregoing provision, shall be deposited into
the Government treasury on the same or the next working day in the name of the
person making the payment.
[MAINTENANCE OF DAILY COLLECTION REGISTER] (Section 60)
There
shall be maintained in the office of the officer incharge of each district a
daily collection register in Form VAT‑G7 wherein shall be recorded the
particulars of every challan received in proof of payments made under the Act
or these rules.
[MAINTENANCE OF DEMAND AND COLLECTION REGISTER] (Section 60)
The
officer in charge of each district shall maintain a demand and collection
register in Form VAT‑G8 in respect of dealers registered under the Act
showing the returns filed, assessments framed and payments made under the Act
or these rules by each dealer.
[RE‑CONCILIATION OF PAYMENT] (Section 60)
In the
first week of each month the officer incharge of each district shall prepare a
statement showing collection of various amounts paid under the Act or these
rules and shall forward it to the Treasury Officer of his district for
verification. If any discrepancy is discovered at the time of verification the
officer incharge of the district shall arrange reconciliation.
[SERVICE OF NOTICE FOR PAYMENT OF TAX] (Section 22)
(1) If any sum is payable by
a dealer as result of assessment under rule 28, the assessing authority shall
supply an authenticated copy of the assessment order or of the order imposing
penalty or both to him and shall serve simultaneously a notice in Form VAT‑N4
upon him specifying the date, thirty days after the service of the notice, on
or before which payment shall be made and he shall also fix a date on or before
which the dealer shall furnish the treasury receipt in proof of payment.
(2) When the treasury
receipt is produced, necessary entries shall be made in the register in Form
VAT‑G8 and the appropriate assessing authority shall cause the receipt to
be placed in the personal file of the dealer.
[COMPUTATION OF OUTPUT TAX, PURCHASE
TAX, INPUT TAX AND TAX DUE]
(Section 3 and 8)
(1) Out put tax in respect
of a VAT dealer for a tax period is the aggregate of tax calculated on the sale
of taxable goods made by him in the State during the tax period. It shall be
represented by total of entries in column (h) in the Day Book (Sale side)
prescribed in rule 53.
(2) Any goods purchased in
the State by a VAT dealer on the sale of which to him no tax is levied or paid
under the Act and such goods are used or disposed of by him during a tax period
in the circumstances that no tax is payable by him under the Act or the Central
Act on them or the goods manufactured there from, then he shall, except when
such goods not being the goods specified in Schedule F, Act, or the goods
manufactured from such goods are sold in the course of export of goods out of
the territory of India, be liable to pay tax on the purchase of such goods at
the rate(s) specified in clause (b) of sub‑section (1) of section 7.
(3) Input tax in respect of
a VAT dealer for a tax period is the aggregate of tax paid in respect of goods
purchased in the State from other VAT dealer(s) on tax invoice(s) during the
tax period, which shall be the aggregate of entries made in column (g) in the
Day Book (Purchase side) in respect of the said period, as reduced by the amount
of tax paid in respect of goods specified in Schedule E, of the Act, when used,
intended to be used or disposed of during the said period or when left in stock
at the end of the said period, in the circumstances mentioned therein against
such goods. The amount to be reduced shall be calculated pro rata where the
goods specified in Schedule E of the Act, have been partly used or disposed of
in the circumstances mentioned therein and partly otherwise.
Illustration ‑ The aggregate of entries made in column
(g) in the Day Book (Purchase side) in respect of a tax period in case of a VAT
dealer D is Rs. 10,000. D exported goods worth Rs. 1,00,000/‑ out of
State (sent for sale on consignment) during the said period. These goods were
purchased by him in the State from VAT dealers on tax invoices over a span of
past three tax periods on payment of tax aggregating to Rs.8,000. D's input tax
is Rs.2,000.
(4) The tax due required to
be paid by a VAT dealer for a tax period shall be the output tax, calculated
under sub‑rule (1), plus the purchase tax, calculated under sub‑rule
(2), minus the input tax, calculated under sub‑rule (3). Arithmetically
put:
Tax due =
Output tax + purchase tax ‑ input tax.
[REFUND]
(Section 20)
(1) No amount representing
input tax shall be refundable except in accordance with the provisions of sub‑rules
(2) and (3).
(2) Subject to the
provisions of sub‑rule (4), any amount representing input tax relating to
the goods which have been sold in the course of export out of the territory of
India, or which have been used in manufacturing and the manufactured goods have
been sold in the course of export out of the territory of India, shall be
refundable in full to the exporting dealer.
(3) Subject to the
provisions of sub‑rule (4), any amount representing input tax relating to
the goods which or the goods manufactured from which have been sold in the
State or in the course of inter‑State trade and commerce shall be
refundable to the extent the input tax exceeds the tax calculated on sales on
account of difference in rates of tax at which the input tax has been
calculated and the rates at which the tax on sales has been calculated.
Illustration.
‑ 1. Input tax in respect of goods purchased by a VAT dealer D is
Rs.10,000/‑, D sells these goods in the course of export of goods out of
the territory of India. D's liability to pay tax on account of sales made in
the State and in the course of inter‑State trade and commerce totals to
Rs.8,000/‑. D is entitled to a refund of Rs.2,000/‑.
2. D purchases goods from
VAT dealers in the State for Rs. 1,00,000/. D is charged to tax @10% on these
sales. D sells these goods in the State to manufacturers for Rs. 1,50,000/‑
against declarations charging tax @4%. D is entitled to a refund of Rs.4,000.
3. In illustration 2, if D
sells goods at a loss in the course of inter State trade for Rs.90,000/‑
against declarations in Central form C chargeable to tax @4%, D will be
entitled to a refund of Rs.5,400/‑ and D can carry forward credit of Rs.
1,000 for adjustment with tax liability for the next uarter.
(4) While framing the
assessment of a dealer for any period, the assessing authority shall, after
such scrutiny of its record and the record maintained by the dealer and after
making such enquiries as it considers necessary, determine the output tax,
purchase tax, input tax and the amount of tax paid by the dealer for the
assessment period. If the assessing authority finds that the sum of tax paid
and input tax exceeds the sum of output tax and purchase tax, it shall
determine the excess amount and from the excess amount it shall then deduct any
amount due from the dealer, whether under the Act or the Central Act and it
shall allow from the balance amount refund of the amount determined in
accordance with the provisions of sub rules (1), (2) and (3). If the balance
amount falls short of the amount determined under sub‑rules (1), (2) and
(3), the refund shall be restricted to the balance amount otherwise it shall be
allowed in full and the balance left thereafter, if any, shall be carried
forward for adjustment with future tax liability. The assessing authority
shall, in respect of the amount to be refunded to the dealer, issue to him at
his option a refund payment order in form S.T.R.34 prescribed under the Punjab
Subsidiary Treasury Rules or refund adjustment order in Form VAT‑G9 and
where it fails to do so within sixty days of the date of the assessment order
allowing the refund, there shall be paid interest to the claimant at the rate
of one per cent per month from the date of the order to the date when the
refund payment order or refund adjustment order, as the case may be, is issued
to him.
Illustration
‑ D, a VAT dealer, is assessed to output tax, purchase tax and input tax
at Rs.50,000/, nil and Rs.40,000 respectively. D paid Rs.32,000/‑ as tax.
D sold goods in the course of export out of the territory of India for
Rs.10,00,000/‑. Input tax in respect of the goods exported is Rs.10,000/‑.
Nothing is due from D under the Act but Rs.8,000/‑ is due from him under
the Central Act. D's refund claim of Rs.10,000/‑ is in order and he is
further entitled to carry forward tax credit of Rs.4,000/‑ to next tax
period.
(5) Where a refund of any
amount paid by any dealer or other person becomes payable as a result of the
order of any appellate or revising authority or any court and the same is not
the subject‑matter of any further proceedings, such dealer or such other
person shall make an application to the officer incharge of the district
concerned in case he is the owner of the goods in respect of which penalty
imposed under sub‑section (8) of section 31 has been quashed or reduced
and in other cases to the assessing authority concerned, along with the
original copy of the order which constitutes the basis for refund and the
authority to whom the application is made shall order the refund of the excess
amount in the manner specified in sub‑rule (4) and where the said
authority fails to do so within sixty days of the receipt of such application,
there shall be paid interest to the claimant at the rate of one per cent per
month from the date of making the application to the date when the refund
payment order or refund adjustment order, as the case may be, is issued to him.
(6) A VAT dealer may on quarterly basis claim refund of input tax in the circumstances specified in sub‑rules
(2) and (3), by making an application to the appropriate assessing authority in
Form VATA4 and appending thereto the following documents, namely,
(i) copy of the return(s) in Form VAT‑R1
under these rules and in Form I under the Central Sales Tax (Punjab) Rules,
1957, as applicable to the State of Haryana, for the quarter if riot already
filed,
(ii) original copies of tax invoices relating
to the claim of input tax in respect of the purchase of the goods;
(iii) invoices showing the
sale of the goods in the State or in the course of inter‑State trade and
commerce along with the documents of dispatch and delivery of the goods in
other State(s);
(iv) invoices showing the
sale of the good in the course of export out of the territory of India along
with the custom clearance certificates and shipping documents; and
(v) such other documents or evidence as the
assessing authority may require for its satisfaction relating to the payment of
the input tax and the tax leviable on the sale of the goods, wherever
applicable.
(7) The assessing authority
shall, on receiving an application under sub‑rule (6), examine the same
and pass an order within thirty days of receiving the application either to
allow the refund in full or in part or to disallow the same for reasons to be
communicated in writing and where the refund is allowed, it shall issue refund
in the manner specified in sub‑rule (4) to the applicant. The order
passed under this sub‑rule allowing the refund shall be provisional and
shall be subject to final order of assessment in the case.
(8) Where the dealer is
unable to identify the goods purchased with the goods sold, or used in
manufacturing and sold, it shall be presumed that the goods purchased have been
sold, or they have been used in manufacturing and sold, as the case may be, in
the chronological order in which they were acquired.
[APPROVAL OF REFUND] (Section 20(6))
The
following authorities shall be competent to allow refund, arising from a single
order, of the amount mentioned against each:
|
1. |
Commissioner
|
Any
amount |
|
2. |
Officer
incharge of the range |
Ten lakh
rupees |
|
3. |
Officer
incharge of the district |
Five
lakh rupees |
|
4. |
Excise
and Taxation Officer or Assistant
Excise and Taxation Officer |
Fifty
thousand rupees |
The lower
authority/ authorities shall submit the record of the case along with his/their
recommendation(s) to the competent authority at the appropriate level at least
thirty days before the time prescribed for issuing refund without interest
lapses and the competent authority shall intimate its decision to the lower
authority/ authorities well in time. It may, by order in writing, increase or
decrease the amount of refund or may order that no refund is due but no adverse
order shall be passed without giving the affected person a reasonable
opportunity of being heard.
[REFUND ADJUSTMENT ORDER] (Section 20 (7)
(1) If the dealer desires
payment by adjustment against any amount subsequently payable by him, he shall
be issued a refund adjustment order in Form VAT‑G9 authorising him to
deduct the sum to be refunded from the amount payable by him in respect of the
subsequent return period or periods following that in which the refund
adjustment order is issued or for any amount determined to be payable by him
subsequently.
(2) In support of any claim
for deduction the dealer, shall attach the refund adjustment order to the
subsequent return(s) to be furnished by him under the Act or to the treasury
receipt showing the credit into the appropriate Government treasury of the
amount in respect of which a demand notice has been issued to him.
(3) After allowing such
deductions, the assessing authority shall cause the refund adjustment order to
be cancelled.
(4) The refund adjustment
order shall be transferable and the transferee shall have the same rights as
the transferor had in respect of the refund adjustment order before its
transfer. The credit of payment against a refund adjustment order shall be
allowed after due verification.
[ORDER SANCTIONING INTEREST ON DELAYED REFUNDS] (Section 20(11)
(1) Where a refund payment
order or a refund adjustment order is issued in respect of an amount ultimately
found due to a person which he paid as a result of an order passed under the
Act, the authority issuing the refund shall simultaneously record an order
sanctioning the interest payable on such refund, specifying therein, the amount
of refund, the period for which such interest is payable and the amount of interest
payable by the State Government, and shall communicate the same to the person
to whom the interest is payable and also to the Commissioner.
(2) Where a refund payment
order or a refund adjustment order is issued, the authority issuing such order
shall simultaneously record an order sanctioning the interest payable, if any,
on such refund, specifying therein, the amount of refund, the payment of which
was delayed, the period of delay for which such interest is payable and the
amount of interest payable by the State Government, and shall communicate the
same to the dealer to whom the interest is payable and also to the Commissioner
stating briefly the reasons for the delay in allowing the refund.
(3) Where an order for the
payment of interest on refunds or delayed refunds under sub‑rule (1) or
sub‑rule (2), as the case may be, has been made, the sanctioning
authority shall issue to the dealer interest payment order in Form VAT‑G10
[ENTRIES OF PARTICULARS OF REFUNDS] (Section 20)
The
assessing authority shall enter in a register in Form VAT G11 particulars of
all the refunds allowed in pursuance of assessment orders, all applications for
refunds and of the order passed thereon.