MANIPUR
VALUE ADDED TAX ACT, 2003
1. Short title, extent and commencement
(1) This
Act may be called the Manipur Value Added Sales Tax Act, 2003.
(2) It
extends to the whole of the State of Manipur.
(3) It
shall come into force on such date as the State Government may, by notification
in the Official Gazette, appoint.
In
this Act, unless the context otherwise requires
(i) "Appellate Tribunal" means
the Appellate Tribunal appointed under Section 4.
(ii) "Assessee" means any person by
whom tax or any other sum of money is payable under this Act and includes every
person in respect of whom any proceedings under this Act have been taken for
the assessment of tax payable by him;
(iii) "Assessing
Authority" means any person not below the rank of a Commercial Tax Officer
authorized by the Commissioner to make any assessment under this Act;
(iv) "Business" includes-
(a) any trade, commerce, manufacture or any
adventure or concern in the nature of trade, commerce, manufacture, whether or
not such trade, commerce, manufacture, adventure, concern is carried on with a
motive to make gain or profit and whether or not any profit accrues from such
trade, commerce, manufacture, adventure, concern, and
(b) any transaction in connection with, or
incidental or ancillary to such trade, commerce, manufacture, adventure or
concern;
(v) "Commissioner" means the
Commissioner of Commercial Taxes appointed by the Government;
(vi) "Capital Goods" means plant,
machinery and equipment used in the process of manufacturing, excluding civil
structures as may be prescribed;
(vii) "Commercial
Tax Officer" means any person appointed to be a Commercial Tax Officer
under this Act;
(viii) "Casual
Trader" means a person who whether as principal, agent or in any other
capacity, has occasional transactions involving buying, selling, supplying or
distributing goods in the State, whether for cash or for deferred payment, or
for commission, remuneration, or other valuable consideration;
(ix) "Dealer"
means any person who carries on the business of buying, selling, supplying or
distributing goods, executing works contract, delivering any goods on hire‑purchase
or any system of payment by installments, transferring the right to use any
goods or supplying by way of or as part of any service, any goods directly or
otherwise, whether for cash or for deferred payment, or for commission,
remuneration or other valuable consideration and includes-
(a) a
casual trader;
(b) a
commission agent, a broker or a del credere agent or any auctioneer or any
other mercantile agent, by whatever name called;
(c) a
non‑resident dealer or an agent of a non‑resident dealer, or a
local branch of a firm or company or association or body of persons whether
incorporated or not, situated outside the State;
(d) a
person who, whether in the course of business or not-
(i) sells
goods produced by him by manufacture, agriculture, horticulture or otherwise;
or
(ii) transfers
any goods, for cash or for deferred payment or for other valuable
consideration;
(iii) supplies,
by way of or as part of any service or in any other manner whatsoever, goods
being food or any other articles for human consumption or any drink (whether or
not intoxicating), where such supply or service is for cash, deferred payment
or other valuable consideration;
(x) "Declared
goods" means goods declared to be of special importance in inter‑State
trade or commerce under section 14 of the Central Sales Tax Act, 1956 (Central
Act 74 of 1956);
(xi) "Deputy
Commissioner" means any person appointed to be a Deputy Commissioner of
Commercial Taxes under this Act;
(xii) "Goods"
means all kinds of movable property (other than newspapers, actionable claims,
electricity, stocks and shares and securities) and includes all materials,
commodities and articles and every kind of property (whether as goods or in
some other form) involved in the execution of a works contract, and all growing
crops, grass or things attached to, or forming part of the land which are
agreed to be severed before sale or under the contract of sale;
(xiii) "Government"
means Government of Manipur.
(xiv) "Input
tax" means the tax paid or payable under this Act by a registered, dealer
to another registered dealer on the purchase of goods in the course of business
for resale or for the manufacture of taxable goods or for use as container or
packing material or for the execution of works contract;
(xv) "Assistant
Commissioner" means any person appointed to be an Assistant Commissioner
of Commercial Taxes under this Act;
(xvi) "Joint Commissioner" means any
person appointed to be a joint Commissioner under this Act;
(xvii) "Manufacture"
with its grammatical variations and cognate expressions means producing,
making, extracting, altering, ornamenting, finishing, assembling or otherwise
processing, treating or adapting any goods, but does not include any such
process or mode of manufacture as may be prescribed;
(xviii) "Output tax" means the tax
charged or chargeable under this Act by a registered dealer for the sale of goods in the course of business;
(xix)
"Person"
includes-
(a) an
individual;
(b) a
joint family;
(c) a
company;
(d) a
firm;
(e) an
association of persons or a body of individuals; whether incorporated or not;
(f) the
Central Government or any State or Union Territory in India;
(g) a
local authority;
(xx) "Place
of business" means any place where a dealer carries on the business and
includes-
(a) any
warehouse, godown. or other place where a dealer stores or processes his goods;
(b) any
place where a dealer produces or manufactures goods;
(c) any
place where a dealer keeps his books of accounts;
(d) in
cases where a dealer carries on business through an agent (by whatever name
called), the place of business of such agent;
(e) any
vehicle or vessel or any other carrier wherein the goods are stored for
transporting the goods;
(xxi) "Prescribed"
means prescribed by Rules made under this Act,
(xxii) "Purchase"
with all its grammatical variations and cognate expressions shall be construed
from the word "Sales";
(xxiii) "Registered
dealer" means a dealer registered under this Act;
(xxiv) "Reverse
tax" means that portion of input tax of the goods for which credit has
been availed but such goods are used subsequently for any purpose other than
resale or manufacture of taxable goods or execution of works contract or use as
containers or packing materials, within the State;
(xxv) "Sales"
with all its grammatical variations and cognate expressions means every
transfer of the property in goods, other than by way of mortgage,
hypothecation, charge or pledge, by one person to another in the course of
trade or business for cash, deferred payment or other valuable consideration
and includes-
(a) transfer,
otherwise than in pursuance of a contract, of property in goods for cash,
deferred payment or other valuable consideration:
(b) transfer
of property in goods (whether as goods or in some other form) involved in the
execution of a works contract;
(c) delivery
of goods on hire purchase or any other system of payment by installments;
(d) a
transfer of the right to use any goods for any purpose, whether or not for
specified period, for cash, deferred payment or any other valuable
consideration;
(e) a
transfer of goods by any unincorporated association or body of persons to a
member thereof for cash, deferred payment or any other valuable consideration;
(f) a
supply, by way of or as part of any service or in any other manner whatever, of
goods being food or any other 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;
(g) a
transfer of the right to use any goods for any purpose (whether or not for a
specified period) for cash, deferred payment or other valuable consideration,
and such transfer, delivery or supply of any goods shall be deemed to be a sale
of those goods by the person making the transfer, delivery or supply and
purchase of those goods by the person to whom such transfer, delivery or supply
is made, but does not include a mortgage, hypothecation, charge or pledge.
Explanation: (a) A sale or purchase of goods shall not
be deemed to have taken place inside the State if the goods are sold-
(i) in the course of inter‑State
trade or commerce; or
(ii) outside
the State of Manipur; or
(iii) in
the course of import of goods into or export of goods out of the territory of
India.
(b) Where
there is a single contract of sale or purchase of goods situated at more places
than one, the provisions of this Explanation shall apply as if there were
separate contracts in respect of the goods at each of such places.
(xxvi) "Sales
price" means the amount of valuable consideration received or receivable
by dealer for the sale of any goods less any sum allowed as cash discount,
according to the practice normally prevailing in the trade, but inclusive of
any sum charged for anything done by the dealer in respect of the goods or
services at the time of or before delivery thereof, excise duty, special excise
duty or any other duty or taxes except the tax imposed under this Act;
(xxvii) "Schedule"
means the Schedule appended to this Act;
(xxviii)"Tax" means the tax payable under
this Act;
(xxix) "Tax
invoice" means a document listing goods sold with price, quantity and
other details as specified in this Act and includes a statement of account,
bill, cash register, slip, receipt or similar record, regardless of its form;
(xxx) "Taxable
turnover" means the turnover on which a dealer shall be liable to pay tax
as determined after making such deductions from his total turnover in such
manner as may be prescribed;
(xxxi) "Turnover"
means the aggregate amount for which goods are either bought or sold, supplied
or distributed by a dealer, either directly or through another, on his own
account or on account of others, whether for cash or for deferred payment or
for other valuable consideration;
Explanation: (i) The turnover in respect of delivery
of goods on hire purchase or on any system of payment by installment shall be
the market price of the goods so delivered.
(ii) The
turnover in respect of the transfer of the right to use any goods shall be the
aggregate amount received or receivable by the dealer as consideration for such
transfer.
(iii) Subject
to such conditions and restrictions, if any, as may be prescribed in this
behalf-
(a) the
amount for which goods are sold shall include any sums charged for anything
done by the dealer in respect of the goods sold at the time of, or before, the
delivery thereof;
(b) any
cash discount on the price allowed in respect of any sale or any amount
refunded in respect of articles returned by customers shall not be included in
the turnover; and
(c) where
for accommodating a particular customer, a dealer obtains goods from another
dealer and immediately disposes of the same to the said customer, the sale in
respect of such goods shall be included in the turnover of the latter dealer
but not in that of the former.
(xxxii) "Value
added sales tax" means a tax on sales or purchases levied under this Act;
(xxxiii)"Vehicle"
includes every wheeled conveyance used for the carriage of goods solely or in
addition to passengers;
(xxxiv)"Vessel" includes any ship,
barge, boat, raft, timber, bamboos or floating materials propelled in any
manner;
(xxxv) "Year"
means the financial year beginning from 1st April and ending with 31st March;
(xxxvi)"State" means the State of
Manipur.
(1) The
Commissioner shall have all the powers and shall perform all the duties
conferred or imposed upon him by or under this Act.
(2) The
Commissioner shall have superintendence over all officers and persons employed
in the execution of this Act and the Commissioner may-
(a) call
for returns from such officers and persons;
(b) make
and issue general rules and specify forms for regulating the practice and
proceedings of such officers and persons;
(c) issue
such orders, instructions and directions to such officers and persons as he may
deem fit, for the proper administration of this Act.
(3) The
State Government shall appoint as many Joint Commissioners, Deputy
Commissioners, Assistant Commissioners, Commercial Tax Officers, Inspectors and
such other as they think fit for the purpose of performing the functions
respectively assigned to them by or under this Act. Such Officers shall perform
the said functions within such local limits as empowered by the Commissioner in
this behalf.
(4) All
Officers and persons employed for carrying out the purposes of this Act shall
observe and follow the orders, instructions and directions of the Officers
superior to them.
(5) The
Commissioner may, by order in writing:-
(a) transfer
any case or cases relating to any assessee or class of assessees pending before
an Assessing Authority to another Assessing Authority having jurisdiction to
deal with such case or cases; or
(b) specify
one of the assessing authorities having jurisdiction over an area, which shall
deal with any case or cases relating to any assessee or class of assessees.
Where any case is transferred to an Assessing
Authority under clause (a) of sub‑section (5), such Assessing Authority
may deal with the case either de novo or from the stage at which it was
transferred.
(1) There
shall be an Appellate Tribunal consisting of such members including a
Chairperson, as the State Government may, from time to time, deem it necessary
to appoint from amongst-
(a) the
persons who are qualified to be judges of the High Court, and serving or
retired person; and
(b) the
serving or retired person belonging to the Manipur Taxation Department who held
or has held a post not below the rank of Deputy Commissioner of Commercial
Taxes:
PROVIDED that where the Appellate Tribunal consists of
one or more persons who is or are member(s) of the Manipur Judicial Services,
then he or the seniormost amongst them shall be appointed as Chairperson.
(2)
The member of the Appellate Tribunal including the Chairperson so appointed may
continue as such till he attains the age of sixty two years.
(3) No
decision or action of the Appellate Tribunal shall be called in question merely
on the ground of any vacancy in the Tribunal.
(4) The
function of the Appellate Tribunal may be discharged by any of the members
sitting in benches of two or more members as may be determined by the
Chairperson.
(5) If
the members of a bench are divided, the decision shall be the decision of the
majority, if there be a majority, but if the members are equally divided they
shall state the point or points on which they differ and the case shall be
referred by the Chairperson of the Appellate Tribunal for hearing on such point
or points to one or more of the members of the Appellate Tribunal and such
point or points shall be decided according to the majority of the members of
the Appellate Tribunal who heard the case including those who first heard it.
(6) Subject
to such conditions and limitations as may be prescribed, the Appellate Tribunal
shall have the power to award costs in any matter decided by it and the amount
of such costs awarded against a dealer shall be payable by him as if it were
tax due from him under this Act and, in case of default by him, it shall be
recovered from him in the manner provided in Chapter‑V and the amount of
such costs awarded against any authority under this Act shall be payable to a
dealer by such authority in such manner as may be prescribed.
(7) Subject
to the previous sanction of the State Government, the Appellate Tribunal shall,
for the purpose of regulating its procedure and providing the rules of
business, make regulations under this Act and the rules made thereunder.
(8) The regulations
made under sub‑section (7) shall be published in the Official Gazette.
5. Delegation
of the Commissioner's powers and functions
Subject to such restrictions and conditions as may be
prescribed the Commissioner may, by order in writing, delegate any of his
powers and functions under this Act and the Rules made thereunder to any person
appointed under sub‑section (1) of Section 3.
6. Persons appointed under section 3 and
members of appellate tribunal to be public servants
The Commissioner and all Officers appointed under
section 3 including the members of the Appellate Tribunal shall be deemed to be
public servants within the meaning of section 21 of Indian Penal Code.
No suit, prosecution or other legal proceedings shall
lie against any 66vernment servant employed for execution of the provisions of
this Act and Rules made thereunder for anything which is in good faith done or
intended to be done thereunder.
(1) Every
dealer-
(a) whose
gross turnover of sales or purchases during the year immediately preceding the
commencement of this Act-
(i) exceeded
the taxable limit, or
(ii) who
is registered or liable to be registered under the Manipur Sales Tax Act, 1990
(hereinafter referred to as the repealed Act) or the Central Sales Tax Act,
1956, or
(b) to
whom clause (a) does not apply-
(i) whose
gross turnover first exceeds the taxable quantum during any period of twelve
consecutive months, or
(ii) who
has become liable to pay tax under the Central Sales Tax Act, 1956, or
(iii) who
is registered as a dealer under the Central Sales Tax Act, 1956 or under this
Act at any time after the commencement of this Act,
shall be liable to pay tax in accordance with the
provisions of this Act.
(2) Every
dealer is liable to pay tax under sub‑section (1) on purchases and sales
effected by him-
(a) in
case of clause (a) of sub‑section (1), with effect from the date of
commencement of business,
(b) in
case of sub‑clause (i) of clause (b) of sub‑section (1), with
effect from date immediately following the day on which his gross turnover
first exceeded the taxable limit during a period of any twelve consecutive
months.
(c) in
case of sub‑clauses (ii) and (iii) of clause (b) of sub‑section
(1), with effect from the date of registration or the date on which he becomes
so liable whichever is earlier.
(3) Every
dealer who has become liable to pay tax under this Act shall continue to be so
liable until the expiry of three consecutive years during each of which his
gross turnover has failed to exceed the taxable limit and his liability to pay
tax under this Act shall cease on the expiry of the period specified above.
(4) Every
dealer who has ceased to be liable under sub‑section (3) shall be again
liable to pay tax under this Act with effect from the date immediately
following a period not exceeding twelve consecutive months during which his
gross turnover again exceeds the taxable quantum.
(5) For
the purpose of this Act, taxable limit means in relation to any dealer who-
(a) imports
for sale any goods into the State of Manipur
on his own
behalf or on behalf of his principal NIL,
(b) manufactures
or produces any goods for sale Rs.
4,00,000/‑,
(c) is
engaged in any other business other than clauses
(a)
and (b) Rs.
3,00,000/‑,
(d) is
involved in the execution of works contract Rs.
50,000/‑.
(6) For
the purpose of calculating the gross turnover to determine the liability to pay
tax under this Act-
(a) except
as otherwise expressly provided, the turnover of all sales or purchases, as the
case may be, shall be taken, whether such sales or purchases are taxable or
not, and
(b) the
turnover shall include all sales and purchases made by a dealer on his own account
and also on behalf of principals whether disclosed or not.
(7) Where
by any order passed under this Act, it is found that any person registered as a
dealer ought not to have been so registered, then, notwithstanding anything
contained in this Act, such person shall be liable to pay tax for the period
commencing with the date of his registration and ending with the date of such
order, as if he were a dealer.
(1) The
tax payable by a dealer liable to pay tax under section 8 shall be levied on
his taxable turnover of sales.
(2) Taxable
turnover of sales in relation to a dealer liable to pay tax on sales of goods
under sub‑section (1) of section 8 shall be part of the gross turnover of
sales during any period which remains after deducting therefrom-
(a) sales
of good specified as exempt from tax in Schedule 71'.
(b) sales
of goods which are shown to the satisfaction of the Commissioner to have taken
place-
(i) in
the course of inter‑State trade or commerce, or
(ii) outside
Manipur,
(iii) in
the course of the import of the goods into or export of the goods out of the
territory of India.
Explanation: Sections 3, 4 and 5 of the Central Sales
Tax Act, 1956 shall apply for determining whether or not a particular sale or
purchase has taken place in the manner indicated in sub‑clause (i), sub‑clause
(ii) or sub‑clause (iii).
(c) in
case of turnover of sales in relation to works contract, the charges towards
labour, services and other like charges and subject to such conditions as may
be prescribed:
PROVIDED that in the cases where the amount of charges
towards labour, services and other like charges in such contract are not
ascertainable from the terms and conditions of the contract, the amount of such
charges shall be calculated at the prescribed percentage.
(d) such
other sales on such conditions and restrictions as maybe prescribed.
Every dealer who in the course of his business
purchases any goods-
(i) from
a registered dealer in the circumstances in which no tax under section 9 is
payable by that registered dealer on the sale price of such goods, or
(ii) from
any other person, shall be liable to pay tax on the purchase price of such
go6ds, if after such purchase, the goods are not sold within the State of
Manipur or in the course of inter‑State trade and commerce or in the
course of export out of the territory of India, but are-
(a) sold
or disposed of otherwise, or
(b) used
or consumed in the manufacture of goods declared to be exempt from tax under
this Act, or
(c) used
or consumed in the manufacture of goods, such manufactured goods are disposed
of otherwise than by way of sale in the State of Manipur or in the course of
inter‑State trade and commerce or export out of the territory of India;
or
(d) used
or consumed otherwise, and such tax shall be levied at the same rate at which
tax under section 9 would have been levied on the sale of such goods within the
State on the date of such purchase.
11. Levy of
tax on containers and packing material
Where any goods packed in any container or packing
material in which such goods are packed shall be deemed to have been sold or
purchased along with the goods and the tax under section 9 or section 10 shall
be levied on the sale or purchase of such container or packing material at the
rate of tax, if any, applicable to the sale, or as the case may be, the
purchase of the goods itself:
PROVIDED that no tax under section 9 or section 10
shall be levied where the container or packing material is sold or purchased
along with the goods declared as exempt from tax under this Act.
The tax payable by a dealer under this Act shall be
levied on his taxable turnover at such rate not below the floor rate as
specified in Schedules I & III and subject to such conditions as the
Government may from time to time impose, but in no case it shall exceed 50%.
The sale of goods as specified in Schedule‑11
shall be exempt from tax under this Act subject to conditions and exceptions
set out therein.
(1) Output
tax in relation to a registered dealer means the tax payable under this Act in
respect of any sale of goods by that dealer in the course of his business.
(2) Subject
to the provisions of section 17, a dealer shall be liable to pay the output tax
under this Act which shall be levied on the taxable turnover at the rates and
subject to such conditions and restrictions as may be prescribed from time to
time.
Input tax in relation to a registered dealer means the
tax charged under this Act by the selling dealer to such dealer on the sale to
him of any goods for resale or use in manufacturing or processing of goods for
sale.
(1) The
net tax payable by a registered dealer for a tax period shall be the difference
between the output tax plus purchase tax, if any, and the input tax, which can
be determined from the following formula:
Net tax payable = (O+P)‑I
Where 'O' denotes the output tax payable for any tax
period as determined under section 14, 'P' denotes the purchase tax paid by a
registered dealer for any tax period as determined under section 10 and 'I'
denotes the input tax paid or payable for the said tax period as determined
under section 15.
(2) The
net tax payable by a dealer liable to pay tax but not registered under this Act
for a tax period shall be equal to the output tax payable for the said tax
period as determined under section 14.
(3) If the
amount calculated under sub‑section (1) is a negative quantum-
(a) the
same shall be adjusted against the tax liability, if any, under the Central
Sales Tax Act, 1956 at the option of the dealer for the said tax period and
only the remaining amount of the Central sales tax shall be payable; or
(b) any
amount of credit remaining after such adjustment shall be carried forward to
the next tax period.
(1) Subject to the provisions of this Act,
for the purpose of calculating the net tax payable by a registered dealer for
any tax period after being registered, an input tax credit as determined under
this section shall be allowed to such registered dealer for the tax paid or
payable in respect of all taxable sales other than sales subject to special
additional sales tax to the extent of such additional sales tax or any other
sales as may be prescribed, or purchases under section 10 during that period.
(2) The
input tax credit to which the registered dealer is entitled to shall be the
amount of tax paid by the registered dealer to the seller, on his turnover of
purchases made during the tax period, intended to be used for the purposes and
subject to the conditions as specified in sub‑section (3). sub‑section
(4) and sub‑section (5) and calculated in such manner as may be
prescribed.
(3) Subject
to such conditions and restrictions as may be prescribed, partial input tax
credit may be allowed in such cases as may be notified by the Government.
(4) Input tax credit shall be allowed for
purchase of goods made within the State of Manipur from a registered dealer
holding a valid certificate of registration and which are intended for the
purpose of-
(a) sale
or resale by him in the State of Manipur; or
(b) use
as raw material or as capital goods in the manufacturing and processing of
goods other than those exempt from tax under this Act intended for sale in the
State of Manipur; or
(c) sale
in the course of export out of the territory of India; or
(d) for
use as containers for packing of goods other than those exempt from tax under
this Act for sale or resale in the State of Manipur:
PROVIDED that if purchases are used partially for the
purposes specified in this sub‑section, input tax credit shall be allowed
proportionate to the extent they are used for the purposes specified in this
sub‑section.
(5) Input
tax credit on capital goods shall be limited to plant and machinery directly
connected with the manufacturing or processing of the finished products and
input tax credit as admissible under this section shall commence from the date
of commencement of commercial production and shall be adjusted against tax
payable on output over a period of three years:
PROVIDED that in case of closure of business before
the period specified above, no further input tax credit shall be allowed and
input tax credit carried forward, if any, shall be forfeited.
(6) Input
tax credit shall not be claimed by the dealer until the tax period in which the
dealer receives the tax invoice original containing the prescribed particulars
of the sale evidencing the amount of input tax:
PROVIDED that for good and sufficient reasons to be
recorded in writing and in the prescribed manner the Commissioner may allow
such credit subject to such conditions and restrictions as may be specified.
(7) A
registered dealer who intends to claim input tax credit under sub‑section
(1) shall, for the purpose of determining the amount of input tax credit,
maintain accounts, and such other records as may be prescribed in respect of
the purchases and sales made by him in the State of Manipur.
(8) No
input tax credit under sub‑section (1) shall be claimed or be allowed to
a registered dealer-
(i) in
respect of any taxable goods under this Act purchased by him from another
registered dealer for resale but give away by way of free sample or gift;
(ii) who
has been permitted by the Commissioner to make payment of presumptive tax at a
percentage of the turnover of sales in lieu of tax as provided under section 21;
(iii) in
respect of capital goods other than those directly used for manufacturing or
processing of goods for sale;
(iv) in
respect of goods brought from outside the State against the tax paid in other
State;
(v) in
respect of stock of goods remaining unsold at the time of closure of business;
(vi) in
respect goods purchased on payment of tax, if such goods are not sold because
of any theft;
(vii) where
the tax invoice is-
(a) not available with the dealer, or
(b) there
is evidence that the same has not been issued by the selling dealer from whom
the goods are purported to have been purchased;
(viii) in
respect of goods purchased from a dealer whose certificate of registration has
been suspended;
(ix) in
respect of goods used for transfer of stock other than by way of sale outside
the State of Manipur;
(x) in
respect of sales exempt from tax as specified in Schedule‑II; and
(xi) in
respect of raw materials used in manufacture or processing of goods where the
finished products are dispatched other than by way of sales:
PROVIDED that in respect of transactions falling under
item (ix), input tax credit may be allowed on the tax paid in excess of 4% on
the raw materials used directly in the manufacture of the finished products.
used directly in the manufacture of the finished products.
(9) If
the purchase of goods intended for sale or resale or use specified under sub‑section
(4) are not sold or resold or used because of theft, loss or destruction for
any reason or if the stock of such goods remains unsold at the time of closure
of business but such goods are subsequently used fully or partly, for purposes
other than those specified under the said sub‑section, the input tax
credit availed at the time of such purchase shall be reduced from the
subsequent input tax credit and the amount of reverse tax credit in respect
thereof shall be calculated in a manner that is just and reasonable.
(10) The
methods that are used by a registered dealer in a year to determine the extent
to which goods are used, consumed or supplied or intended to be used, consumed
or supplied, in the course of making taxable sales, shall be fair and
reasonable in the circumstances. The Commissioner may, after giving sufficient
reason in writing, reject the method adopted by the registered dealer and
calculate the amount of input tax credit after giving the registered dealer
concerned an opportunity of being heard.
18. Input
tax credit exceeding tax liability
(1) If the input tax credit of a registered
dealer (other than an exporter selling goods outside the territory of India)
determined under section 17 of this Act for a period exceeds the tax liability
for that period, the excess credit shall be set off against any outstanding
tax, penalty or interest under this Act.
(2) The
excess input tax credit after adjustment under sub‑section (1) may be
carried over as an input tax credit to the subsequent period or periods.
(3)
In case where input tax
credit is carried forward, a quarterly credit statement maybe submitted by the
dealer concerned and the claims; maybe reconciled accordingly.
19. Adjustment
of input tax credit
Where any purchaser, being a registered dealer, has
been issued with a credit note or debit note in terms of sub‑section (1)
or (2) of section 23 or if he returns or rejects goods purchased in terms of
sub‑section (3) of section 23, as a consequence of which, the input tax
credit availed by him in any period in respect of which the purchase of goods relates,
becomes less or excess, he shall compensate such less credit or excess credit
by adjusting the amount of tax credit allowed to him in respect of the tax
period in which the credit note or debit note has been issued or goods are
returned subject to conditions as may be prescribed.
In respect of any sale or purchase effected by a
dealer the burden of proving that he is liable to pay tax under section 9,
section 10, section 11 or that he is eligible to input tax credit under section
17 shall be on him.
21. Levy of
presumptive tax on registered retailers
All registered retailers whose gross turnover of sales
does not exceed Rs. 2,00,000/‑, subject to such conditions and
restrictions as may be prescribed shall pay, in lieu of the tax as specified
under section 9 or section 10, a tax at 4% of the entire taxable turnover of
such sales and purchases subject to the condition that no input tax credit
shall be available to such dealers:
PROVIDED that payment of tax under this section shall
not apply to a registered retail dealer who imports goods from outside the
State for the purpose of carrying out his business:
PROVIDED FURTHER that a registered retail dealer may,
by exercising option in the prescribed manner, elect to pay tax as specified
under section 9 or section 10 of this Act in lieu of the provisions of this
section.
22. Power
of government to amend schedules
The Government, after giving by notification not less
than 14 days' notice of the intention to do so, may, by like notification, add
to, amend or alter any Schedule appended to this Act.
23. Credit
note and debit note
(1) Where
a tax invoice has been issued and the amount shown as tax charged in the tax
invoice exceeds the tax payable under this Act in respect of that sale the
registered dealer making the sale shall provide the purchaser with a credit
note containing the requisite particulars as may be prescribed.
(2) Where
the tax invoice has been issued and the tax payable under this Act in respect
of the sales exceeds the amount of tax charged in that tax invoice the
registered dealer making the sale shall provide the purchaser with a debit note
containing the requisite particulars as may be prescribed.
(3) In
case of goods returned or rejected by the purchaser, a credit note shall be
issued by the purchaser to the selling dealer containing the particulars as may
be prescribed.
REGISTRATION OF DEALERS, AMENDMENT AND CANCELLATION OF
REGISTRATION CERTIFICATES
24. Compulsory
registration of dealers
(1) No
dealer shall, while being liable to pay tax, carry on business as a dealer
unless he has been registered and possesses a certificate of registration:
PROVIDED that a dealer liable to pay tax shall be
allowed two months time from the date from which he is first liable to pay such
tax to get himself registered.
(2) Every
dealer required by sub‑section (1) to be registered shall make
application in this behalf in the prescribed manner to the prescribed authority
and such application shall be accompanied by a declaration in the prescribed
form duly filled in and signed by the dealer specifying therein the class or
classes of goods dealt in or manufactured by him.
(3) If
the said authority is satisfied that an application for registration is in
order, he shall, in accordance with such manner, grant registration to the
applicant and issue a certificate of registration in the prescribed form which
shall specify the class or classes of goods dealt in or manufactured by him.
(4) Where
the application for registration is made under this section, the prescribed
authority shall grant him the certificate of registration from the date of
filing such application:
PROVIDED that the prescribed authority shall grant to
such dealer the certificate of registration from the date of commencement of
his liability to pay tax where the application for registration is made within
thirty days of such date.
(5) The
prescribed authority may, from time to time, amend any certificate of
registration in accordance with information furnished or otherwise received,
and such amendment may be made with retrospective effect in such circumstances
and subject to such restrictions and conditions as may be prescribed.
(6) When-
(a) any
business in respect of which a certificate of registration has been granted to
a dealer on an application made, has been discontinued; or
(b) a
dealer has ceased to be liable to pay tax; or
(c) an
incorporated body is closed down or if it otherwise ceases to exist; or
(d) the
owner of an ownership business dies leaving no successor to carry on business;
or
(e) in
case of a firm or association of persons if it is dissolved; or
(f) a
person or dealer is registered by mistake; or
(g) a
dealer fails to furnish return and pay tax and interest according to such
return or returns within the time extended,
the prescribed authority shall cancel the registration
of such dealer.
(7) The
cancellation of registration will take effect from the end of the period in
Which it is cancelled unless it is to take effect from a different date as
ordered by the prescribed authority.
(8) When
any dealer to whom a certificate of registration is granted, has failed to pay
any tax, penalty or interest payable under this Act or has failed to furnish
return, the certificate of registration of such dealer may be suspended by the
appropriate Assessing Authority in the manner as may be prescribed:
PROVIDED that the certificate of registration of a
dealer shall not be suspended if he has furnished return or returns within the
date prescribed in the notice and has paid tax, penalty or interest payable
under this Act by such date, as the Commissioner may extend upon an application
filed by the dealer within 15 days from the date by which he is required to
file such return or returns or make payments of tax, interest or penalty, as
the case may be.
(9) Suspension
of certificate of registration will be withdrawn and registration certificate
shall be restored on an application made by the dealer on furnishing evidence
of payment of all taxes and on furnishing of overdue return or returns within
45 days from the date of suspension.
(10) If
certificate of registration of a dealer is suspended or if the suspension is
withdrawn, the information will be made public through publication in Official
Gazette and insertion of notice in newspapers.
25. Voluntary
registration of dealers
(1) Any
dealer, whose gross turnover of sales during a period of twelve consecutive
months exceeds Rs. 50,000/‑, may notwithstanding that he is not liable to
pay tax, apply in the prescribed manner to the prescribed authority for
registration under this Act.
(2) Every
dealer who has been registered on application made under this section shall, for
so long as his registration remains in force, be liable to pay tax under this
Act.
(3) The
registration of a dealer on application made under this section shall be in
force for a period of not less than three complete years and shall remain in
force thereafter unless cancelled under the provisions of this Act.
(4) Subject
to the provisions of sub‑section (3), a dealer registered on application
made under this section may apply in the prescribed manner, not less than six
months before the end of a year, to the authority which granted him his
certificate of registration for the cancellation of such registration to take
effect at the end of the year in which the application for such cancellation is
made, and the said authority shall, unless the dealer is liable to pay tax
under this Act, cancel the registration accordingly.
When the gross turnover of sales of any dealer
registered on application made under this se6tion has, for three successive
years after the period of three years referred to in sub‑section (3),
failed to exceed the taxable quantum, the prescribed authority may, after
giving the dealer a reasonable opportunity of being heard, cancel registration
of such dealer.
26. Security
to be furnished in certain cases
(1) The
Commissioner may, at the time of grant of certificate to a dealer, for good and
sufficient reasons to be recorded in writing, require the dealer to furnish in
the prescribed manner such security or such additional security as may be
specified by him for securing proper and timely payment of tax or any other sum
payable by him under this Act.
(2) The
Commissioner may, by order in writing and for good or sufficient reason to be
recorded therein, demand from any person other than a registered dealer who
imports into Manipur any consignment of goods, a reasonable security for
ensuring that there is no evasion of tax.
(3) The
Commissioner may, by order in writing and for good or sufficient reasons to be
recorded therein, forfeit the whole or any part of the security or additional
security referred to in sub‑section (1) furnished by a registered dealer
or sub‑section (2) furnished by any person, for-
(a) realising
or recovery of tax or any other sum due, or
(b) recovery of any financial loss caused to
the Government due to negligence or default in not making proper use of or not
keeping in safe custody, blank or unused prescribed forms.
(4) Where
the security furnished by a dealer, is forfeited in whole or is rendered
insufficient, such dealer shall, on demand by order of the Commissioner,
furnish fresh or further security of the requisite amount or shall make up the
deficiency, as the case may be, in such manner and within such period as may be
specified by the Commissioner.
(5) The
Commissioner may, on application by a dealer, who has furnished security as
required, refund in the prescribed manner any amount of security or part
thereof if such security is not required for the purposes for which it was
furnished.
(6) Security
shall be furnished by a dealer, in such manner and by such time as may be
specified in the order requiring or demanding to furnish such security.
(7) No
order shall be passed under this section without giving the dealer an
opportunity of being heard.
27. Imposition
of penalty for failure to get registered
(1) If
a dealer, who is required to get himself registered within two months from the
date from which he is first liable to pay tax, fails to get himself so
registered,, the prescribed authority may, after giving the dealer an
opportunity of being heard, by order impose by way of penalty a sum, not less
than five thousand rupees and not exceeding ten thousand rupees, for each month
of default:
PROVIDED that no penalty shall be imposed under this
sub‑section in respect of the same fact for which a prosecution has been
instituted and no such prosecution shall lie in respect of a fact for which a
penalty has been imposed under this section.
(2) If
any penalty imposed under sub‑section (1), the prescribed authority shall
issue a notice in the prescribed form directing the dealer to pay such penalty
by such date as may be specified in the notice, and the date to be specified
shall not be less than fifteen days from the date of service of such notice and
the penalty so imposed shall be paid by the dealer into a Government Treasury
or Scheduled Bank by the date so prescribed:
PROVIDED that the prescribed authority may, for
reasons to be recorded in writing, extend the date of such payment as specified
in the notice in this behalf or allow such dealer to pay the penalty imposed in
such number of installments as he may determine.
28. Periodical
returns and payment of tax
(1) Every
registered dealer shall furnish return in such form for such period by such
dates and to such authority, as may be prescribed:
PROVIDED that the Commissioner may, subject to such
conditions and restrictions as may be prescribed, exempt any such dealer or
class of dealers from furnishing such returns or permit any such dealer-
(a) to
furnish them for such different periods; or
(b) to
furnish a consolidated return relating to all or any of the places of business
of the dealer in the State of Manipur for the said period or for such different
periods and to such authority, as he may direct.
(2) If
the Commissioner has reason to believe that the turnover of sales or the
turnover of purchases of any dealer is likely to exceed or has exceeded the
taxable limit as specified in sub‑section (5) of section 8, he may, by
notice served in the prescribed manner, require such dealer to furnish return
as if he were a registered dealer but no tax shall be payable by him unless his
gross turnover exceeds the taxable limits provided under sub‑section (5)
of section 8.
(3) If
any dealer having furnished returns under sub‑section (1) or sub‑section
(2), discovers any omission or any other error in the return so filed, he may
furnish a revised return before the expiry of three months next following the
last date prescribed for furnishing the original return relating to the tax
period.
(4) Every
dealer required to file return under sub‑section (1) or sub‑section
(2), shall pay the full amount of tax payable according to the return or the
differential tax payable according to the revised return furnished, if any into
the Government Treasury or in such other manner as may be prescribed, and shall
furnish a receipt showing full payment of such amount along with the return or
revised return, as the case may be.
(5) Every
return under this section shall be signed and verified-
(a) in
case of an individual, by the individual himself, and where the individual is
absent by some person duly authorised by him in this behalf;
(b) in
the case of a Hindu Undivided Family, by the Karta;
(c) in
the case of a company or local authority, by the Principal Officer or Chief
Executive Officer thereof;
(d) in
the case of a firm, by any partner thereof not being a minor;
(e) in
the case of any other association, by the person competent to act on behalf of
the association.
Explanation: For this purpose, the expression
"Principal Officer" shall have the meaning assigned to it under
clause (35) of section 2 of the Income Tax Act, 1961.
(1) If a
dealer required to file return under sub‑section (1) or sub‑section
(2) of section 28-
(a) fails without sufficient cause to pay the
amount of tax due as per the return for any tax period, or
(b) furnishes
a revised return under sub‑section (3) of section 28 showing a higher
amount of tax to be due than was shown by him in the original return; or
(c)
fails to furnish
return,
such dealer shall be liable to pay interest in
respect of-
(a) the
tax payable by him according to the return; or
(b) the
difference of the amount of tax according to the revised return; or
(c) the
tax payable for the period for which he has failed to furnish return, at the
rate of 2% per month from the date the tax payable had become due to the date
of its payment or to the date of order of assessment, whichever is earlier.
(2) "Month" shall mean thirty days
and the interest payable in respect of a period of less than one month shall be
computed proportionately.
(3) If a registered dealer, without
sufficient cause, fails to pay the amount of tax due and interest along with
return or revised return in accordance with the provisions of sub‑section
(1), the Commissioner may, after giving the dealer reasonable opportunity of
being heard, direct him to pay in addition to the tax and the interest payable
by him a penalty, at the rate of 2% per month on the tax and interest so
payable from the date it had become due to the date of its payment or to the
date of order of assessment, whichever is earlier.
(4) If a registered dealer or any other
dealer required to furnish return under sub‑section (2) of section 28;
without any sufficient cause-
(a) fails
to comply with the requirements of the notice issued under sub‑section
(2) of
section 28; or
(b) fails to furnish any return by the
prescribed date as required under
sub‑section
(2) of section 28; or
(c) being required to furnish revised
return, fails to furnish the revised return by the date prescribed under sub‑section
(3) of section (3) of section 28; or
(d) having paid the tax payable according to
a return in time, fails to furnish
proof
of payment made along with the return in accordance with
sub‑section
(3) of section 28,
the Commissioner may, after giving the dealer
reasonable opportunity of being heard, direct him to pay in addition to any
tax, interest and penalty under sub‑section (3) payable or paid by him, a
penalty of a sum of rupees one hundred per day of default subject to a maximum
of rupees ten thousand.
(5) Any
penalty imposed under this section shall be without prejudice to any
prosecution for any offence under this Act.
(6)
For the purposes of
this Act, any return signed by a person who is not authorised under sub‑section
(5) of section 28 shall be treated as if no return has been filed.
30. Collection
of tax only by registered dealers
(1) No
person who is not a registered dealer shall collect in respect of any sale of
goods by him in the State any amount by way of tax under this Act and no
registered dealer shall make any such collection except in accordance with the
provisions of this Act and the Rules made thereunder and not beyond the rate
specified.
(2) Notwithstanding
anything contained in sub‑section (1), a registered dealer who has been
permitted by the Commissioner to pay presumptive tax under section 21 shall not
collect any sum by way of tax on the sale of goods during the period to which
such payment relates.
31. Rounding
off of the amount of tax or penalty
The amount of tax or penalty payable or refundable for
any period under the provisions of this Act shall be rounded off to the nearest
rupee and, for this purpose, where such amount contains a part of a rupee,
then, if such part is fifty paise or more, it shall be increased to one rupee
and, if such part is less than fifty paise, it shall be ignored.
(1) Each
and every return in relation to any tax period furnished by a registered dealer
to whom notice has been issued by the Commissioner under section 28 shall be
subject to scrutiny by the Assessing Authority to verify the correctness of
calculation, application of correct rate of tax and interest and input tax
credit claimed therein, and full payment of tax and interest payable by the
dealer during such period.
(2) If
any mistake is detected as a result of such scrutiny made as per the provisions
of sub‑section (1), the Assessing Authority shall serve a notice in the
prescribed form on the dealer to make payment of the extra amount of tax along
with the interest as per the provisions of this Act, if it is payable by a date
specified in the said notice.
(1) The
Commissioner or any other Tax Officer as directed by him shall undertake tax
audit of the records, stock in trade and the related documents of the dealer,
who are selected by the Commissioner in the manner as may be prescribed for the
purpose.
(2) The
tax audit shall be generally taken up in the office, business premises or
warehouse. of the dealer.
(3) For
the purpose of tax audit under sub‑section (1), the Commissioner or any
other Tax Officer directed by him shall examine the correctness of return or
returns filed and admissibility of various claims including input tax credit.
(1) Subject
to provisions of sub‑section (2), the amount of tax due from a registered
dealer or a dealer liable to be registered under this Act shall be assessed in
the manner hereinafter provided for each tax period or tax periods during which
the dealer is so liable.
(2) Notwithstanding
anything contained in this section, if a registered dealer has failed to
furnish return or returns under sub‑section (1) of section 28 in respect
of any tax period or periods, the Commissioner shall proceed to make
provisional assessment under section 35.
(3) If
a registered dealer has filed the return in respect of any tax period within
the prescribed time and the return so filed is found to be in order, it shall
be accepted as self assessment subject to adjustment of any arithmetical error
apparent on the face of the said return.
(1) Where
a registered dealer fails to furnish the return in respect of any tax period
within the prescribed time, the Commissioner shall, notwithstanding anything
contained in section 36, proceed to assess the dealer provisionally for the
period for such default.
(2) The
provisional assessment under sub‑section (1) shall be made on the basis
of past return, or past records where no such returns are available, or on the
basis of information received by the Commissioner and the Commissioner shall
direct the dealer to pay the amount of tax assessed in such manner and by such
date as may be prescribed.
(3) If
the dealer furnishes return along with evidence showing full payment of tax,
interest and penalty, if any, on or before the date of payment specified under
sub‑section (2), the provisional assessment made under sub‑section
(1) shall stand revoked to the extent of the tax demanded, interest levied and
penalty imposed, on the date on which such return is filed by the dealer.
(4) Nothing
contained in this section shall prevent the Commissioner from making assessment
under section 36 and any tax, interest or penalty paid against provisional
assessment shall be adjusted against tax, interest and penalty payable on final
assessment under that section.
(1) Where-
(a) a
registered dealer has failed to furnish any return under sub‑section (1)
of section 28 in respect of any period; or
(b) a
registered dealer is selected for audit assessment by the Commissioner on the
basis of any criteria or on random basis; or
(c) the
Commissioner is not satisfied with the correctness of any return filed under
section 28, or bona fides of any claim of exemption, deduction, concession,
input tax credit or genuineness of any declaration, evidence furnished by a
registered dealer in support thereof; or
(d) the
Commissioner has reasons to believe that detailed scrutiny of the case is
necessary,
the Commissioner may, notwithstanding the fact that
the dealer may already have been assessed under section 35, serve on such
dealer in the prescribed manner a notice requiring him to appear on a date and
place specified therein, which may be in the business premises or at a place
specified in the notice, to either attend and produce or cause to be produced
the books of account and all evidence on which the dealer relies in support of
his returns including tax invoice, if any, or to produce such evidence as
specified in the notice.
(2) The
dealer shall provide full co‑operation and assistance to the Commissioner
to conduct the proceedings under this section at his business premises.
(3) If
proceedings under this section are to be conducted at the business premises of
the dealer and it is found that the dealer or his authorised representative is
not available or not functioning in such premises, the Commissioner shall
assess to the best of his judgement the amount of tax due from him.
(4) If
the Commissioner is prevented from conducting the proceedings under this
section, the Commissioner may demand, a sum equal to the amount of tax so
assessed, by way of penalty.
(5) The
Commissioner shall, after considering all the evidence produced in course of
the proceedings or collected by him either-
(a) confirm
the order of assessment passed under section 34; or
(b) set
aside the order of assessment passed under section 34 and assess the amount of
tax due from the dealer; or
(c) assess
the amount of tax due from the dealer, if no assessment has been made under
section 35:
PROVIDED that if the Commissioner proposes to rely on
any evidence collected by him, the dealer shall be afforded an opportunity of
being heard before any adverse inference is drawn.
(6) If any dealer-
(a) has
not furnished returns in respect of any period by the prescribed date; or
(b) has
furnished incomplete and incorrect returns for any period; or
(c) has
failed to comply with any notice under sub‑section (1) or sub‑section
(3); or
(d) has
failed to maintain accounts in accordance with the provisions of this Act or
has not regularly employed any method of accounting,
the Commissioner shall assess to the best of his
judgement the amount of tax due from such dealer.
(7) If
the Commissioner is satisfied that the dealer, in order to evade or avoid
payment of tax-
(a) has
failed to furnish without reasonable cause, returns in respect of any period by
the prescribed date; or
(b) has
furnished incomplete and incorrect returns for any period; or
(c) has
availed tax credit to which he is not entitled to; or
(d) has
employed such method of accounting which does not enable the Commissioner to
assess the tax due from him,
he shall, after giving the dealer reasonable
opportunity of being heard, direct that the dealer shall pay, by way of
penalty, a sum equal to twice the amount of additional tax assessed on account
of the said reasons under this section.
37. Assessment
of dealer who fails to get himself registered
(1) If
the Commissioner, upon information which has come into his possession, is
satisfied that any dealer who has been liable to pay tax under this Act, in
respect of any period, has failed to get himself registered, the Commissioner
shall proceed in such manner as may be prescribed to assess to the best of his
judgement the amount of tax due from the dealer in respect of such period and
all subsequent periods and in making such assessment he shall give the dealer
reasonable opportunity of being heard.
(2) The
Commissioner may, if he is satisfied that the default was without reasonable
cause, direct that the dealer shall pay, by way of penalty, in addition to the
amount of tax so assessed, a sum equal to the amount of tax assessed or a sum
of rupees ten thousand whichever is more.
38. No
assessment after five years
(1) No
assessment under section 35 or 36 shall be made after the expiry of five years
from the end of the tax period to which the assessment relates:
PROVIDED that in case of offence under this Act for
which proceeding for prosecution has been initiated, the limitation as
specified in this sub‑section shall not apply.
(2) Any assessment made or penalty imposed under
this Chapter shall be without prejudice to prosecution for any offence
under this Act.
39. Turnover
escaping assessment
(1) Where
after a dealer is assessed under section 34 or section 35 for any year or part
thereof, the Commissioner has reason to believe that the whole or any part of
the turnover of the dealer in respect of any period has-
(a) escaped
assessment; or
(b) been under‑assessed;
or
(c) been
assessed at a rate lower than the rate of which it is assessable; (d) been
wrongly allowed any deduction therefrom; or
(e) been
wrongly allowed any credit therein,
the Commissioner may, serve a notice on the dealer and
after giving the dealer reasonable opportunity of being heard and making such
enquiries as he considers necessary, proceed to assess to the best of his
judgement, the amount of tax due from the dealer in respect of such turnover,
and the provisions of this Act shall, so far as may be, apply accordingly.
(2) No
order of assessment and reassessment shall be made under sub‑section (1)
after the expiry of five years from the end of the year in respect of which or
part of which the tax is assessable.
40. Exclusion
of time period for assessment
In computing the period of limitation specified for
assessment or reassessment, as the case may be, the time during which any
assessment or reassessment proceeding remained stayed under the order of a
competent court shall be excluded.
41. Power
of reassessment in certain cases
(1) Where
any order passed by the Commissioner in respect of a dealer for any period is
found to be erroneous or prejudicial to the interest of revenue in the light of
any judgement or order of any Court or Tribunal, which has become final, then
notwithstanding anything contained in this Act, the Commissioner may proceed to
reassess the tax payable by the dealer in accordance with such judgement or
order, at any time within a period of three years from the date of the
judgement or order.
(2)
Where any Court or
Tribunal passes an order in appeal or revision to the effect that any tax
assessed under this Act or the Central Sales Tax Act, 1956 should have been
assessed under the provision of a law other than that under which it was
assessed, then in consequence of such order or finding or direction contained
in such order, such turnover and part thereof, may be assessed or reassessed,
as the case may be, to a tax at any time within five years from the date of
such order, notwithstanding any limitation period which would otherwise be
applicable to, the assessment or reassessment made.
42. Payment
and recovery of tax, penalty and interest
(1) Tax
shall be paid in the manner herein provided and at such intervals as may be
prescribed.
(2) A
registered dealer furnishing returns under sub‑section (1) of section 28
shall pay into Government treasury, in such manner and at such interval as may
be prescribed, the amount of tax due from him for the period covered under the
return along with the amount of penalty or interest or both payable by him
under section 28,and shall furnish a receipt from the Treasury showing the
payment of such amount.
(3) A
registered dealer furnishing a revised return in accordance with sub‑section
(3) of section 28, which shows that a, greater amount of tax is due than was
paid or payable in accordance with the original return, shall furnish along
with the return a receipt showing payment of the differential amount in the
manner provided in sub‑section (2).
(4) The amount of tax due
shall be deemed as follows:-
(a) (i) where
returns have been filed without full payment of tax due; or
(ii) tax
assessed under section 34, section 35 and section 36 less the sum already paid
in respect of such period together with interest, if any, required to be paid
and the penalty, if any, imposed to be paid under sub‑section (7) of
section 36 or sub‑section (1) of section 37;
(b) the
amount of penalty imposed under any provision of this Act not covered under sub‑clause
(ii) of clause (a); or
(c) any
other dues under this Act.
(5) Where
a dealer fails to make payment of the tax assessed or interest levied or
penalty imposed on him or any other amount due from him under this Act within
thirty days of the date of service of the notice of demand, the Commissioner
shall, after giving the dealer reasonable opportunity of being heard, direct
that such dealer shall, in addition to the amount due, pay, by way of penalty,
a sum equal to 2% of such amount of tax, penalty, interest or any other amount
due, for every month, for the period for which payment has been delayed by him
after the date on which such amount was due to be paid.
(6) The
amount that remains unpaid after the due date of payment in pursuance of the
notice issued under sub‑section (5) shall be recovered as arrears of land
revenue.
(7) Where
in pursuance of sub‑section (6), any proceedings for the recovery as an
arrear of land revenue of any tax, penalty, interest or part thereof or any
other amount remaining unpaid, have been commenced and the amount of tax,
penalty, interest or any other amount is subsequently enhanced or reduced as a
result of any assessment made or order passed in the appeal, revision or
rectification under this Act, the Commissioner may, in such manner and within
such period as may be prescribed, inform the dealer and the authority by whom
or under whose order the recovery is to be made and thereupon such proceeding
may be continued as if the amount of tax, penalty, interest or any other amount
as modified, enhanced or reduced, had been substituted for the tax, penalty,
interest or any other amount which was to be covered under sub‑section
(6).
(1) Notwithstanding
anything contained in any law or contract to the contrary, the Commissioner may
at any time or from time to time, by notice in writing (a copy of which shall
be forwarded to the dealer at his last known address) require any person who
holds or may subsequently hold any money for, or on account of such dealer, to
pay into Government Treasury in the manner specified in the notice, either
forthwith or upon the money becoming due or being held, or at or within the time
specified in the notice (not being before the money becomes due or is held), so
much of the money as is sufficient to pay the amount of tax due from the dealer
or penalty or both, as the case may be, under this Act, or the whole of the
money when it is less than that amount.
(2) The
notice under sub‑section (1) may, from time to time, be amended or
revoked by a further notice by the Commissioner who may also extend the time
for making such payment in pursuance of the notice.
(3) Any
person making any payment in compliance with a notice issued under sub‑section
(1) shall be deemed to have made the payment under the authority of the dealer
and the receipt from the Government Treasury shall construe a good and
sufficient discharge of the liability of such person to the dealer to the
extent of the amount specified in the receipt.
(4) Any
person discharging liability to the dealer after service on him the notice
issued under sub‑section (1) shall, if the liability is discharged in any
manner other than that required under the said notice, be personally liable to
the State Government to the extent of the liability discharged or to the extent
of the liability of the dealer for tax or penalty, or both, whichever is less.
(5) Where
a person on whom a notice is served under sub‑section (1) proves to the
satisfaction of the Commissioner that the money demanded or any part thereof
was not due to the dealer, or that he did not hold any money for or on account
of the dealer, at the time the notice was served on him, or that the money
demanded or any part thereof is not likely to become due to the dealer or be
held for or on account of the dealer, then such person shall not be liable to
pay into Government Treasury any such money or part thereof.
(6) Any
amount of money which a person is required to pay under sub‑section (1)
or for which he is personally liable under sub‑section (4) shall, if it
remains unpaid, be recoverable in the same manner as provided under sub‑section
(6) of section 42:
PROVIDED that nothing in this section shall operate to
affect any action taken or prevent any action that may be or is being taken
under section 42 for recovery of the amount due from the dealer.
44. Collection
of tax by dealer
(1) If any
person,-
(a) not
being a dealer liable to pay tax under this Act, collects any sum by way of
tax; or
(b) being
a registered dealer, collects any amount byway of tax in excess of the tax
payable by him;
shall be liable, in addition to the tax for which he
may be liable, to a penalty of an amount equal to twice the sum so collected by
way of tax.
(2) If
the Commissioner in the course of any proceeding under this Act or otherwise
has reason to believe that any person has become liable to a penalty, or
forfeiture, or both, under sub‑section (1), he shall serve on such person
a notice in the prescribed form requiring him to appear and show cause as to
why a penalty or forfeiture or both of any sum as provided under sub‑section
(1) should not be imposed on him.
(3) The
Commissioner shall thereupon hold an inquiry as he deems necessary and shall
make such order as he deems fit.
(1) Notwithstanding
anything contained in this Act, a value added sales tax shall not be imposed
under this Act-
(i) where
such sale or purchase takes place outside the State of Manipur; or
(ii) where such sale or purchase takes place
in the course of inter‑State trade and commerce; or
(iii) where
such sale or purchase takes place in the course of import of goods into the
territory of India or export of goods out of the territory of India.
(2) For the purpose of this
section whether a sale or purchase takes place-
(i) outside
the State of Manipur; or
(ii) in
the course of inter‑State trade and commerce; or
(iii) in the course of import of goods into the
territory of India or export of goods out of the territory of India,
shall be determined in accordance with the provisions
of section 3, section 4 and section 5 of the Central Sales Tax Act, 1956.
46. Tax to
be first charge on property
Notwithstanding anything to the contrary contained in
any law for the time being in force, any amount payable by a dealer under this
Act on account of tax, penalty or interest or any amount which a person
required to pay under this Act shall be a first charge on the property of the
dealer or such person.
47. Period
of limitation for recovery of tax
Notwithstanding anything contained in any law for the
time being in force, no proceeding for recovery of any amount under sub‑section
(1)(b) of section 44 shall be initiated after the expiry of five years from the
date of the relevant assessment:
PROVIDED that when an appeal or revision has been
filed, the period of limitation shall run from the date on which the amount due
is finally determined.
(1) Subject
to other provisions of this Act and the Rules made thereunder, the Commissioner
shall refund to a dealer the amount of tax, penalty and interest, if any paid
by such dealer in excess of the amount due from him.
(2) Where
any refund is due to any dealer according to return furnished by him for any
period, such refund may provisionally be adjusted by him against the tax due or
tax payable as per the returns filed under section 28 for any subsequent period
in the year:
PROVIDED that, the amount of
tax or penalty, interest or sum forfeited or all of them due from, and payable by the dealer on the date of
such adjustment shall first be deducted from such refund before adjustment.
(1) If
a registered dealer has filed any return as required under this Act and the
return shows any amount to be refundable to the dealer on account of sales in
course of export out of the territory of India, then the dealer may apply in
the manner and form prescribed to the Commissioner for grant of provisional
refund pending audit and investigation to establish the correctness of the
claim and consequent assessment, if any.
(2) Subject
to the provisions of sub‑section (3), the Commissioner may require the
dealer to furnish a Bank Guarantee or other security as may be prescribed for
an amount equal to the amount of refund and on receipt of such guarantee or
other security, the Commissioner shall grant the dealer a provisional refund that
may be determined as refundable.
(3) The
Commissioner may direct the assessment under section 39 of such dealer in
respect of the year containing the period covered by the said return to be
taken up as early as practicable and adjust the grant of provisional refund
against tax due, if any, as a result of that assessment.
(4) If,
on assessment, the provisional refund granted under sub‑section (2) is
found to be in excess, then the excess shall be recovered as if it is tax due
from the dealer under this Act.
(5) Interest will be charged on such excess
refund amount at the rate of 2% per month from the date of grant of provisional
refund till the date of assessment.
(1) A
registered dealer entitled to refund in pursuance of any order under this Act
(including assessment under section 34, section 35 or section 36) or in
pursuance of any order by any Court, shall be entitled to receive, in addition
to the refund, simple interest at the rate of 8% per annum for the period
commencing after 90 (ninety) days of the application claiming refund in
pursuance to such order till the date on which the refund is granted.
(2) The
interest shall be calculated on the amount of refund due after deducting
therefrom any tax, interest, penalty or any other dues under this Act,
(3) If,
as a result of any order passed under this Act, the amount of such refund is
enhanced or reduced such interest shall be enhanced or reduced accordingly.
(4) When
a dealer is in default or is deemed to be in default in making the payment
under section 34, section 35 and section 36 be liable to pay simple interest on
such amount at the rate of two percent per month from the date of such default
for so long as he continues to make default in the payment of the said tax.
(5) Where
as a result of any final order the amount of tax (including any penalty) due or
in default is wholly reduced, the amount of interest, if any, paid shall be
refunded, or if such amount is modified, the interest due shall be calculated
accordingly.
(6) Where
any amount of tax payable is enhanced by any such order, interest shall be
payable on the amount by which the tax is enhanced after the expiry of a period
of three months from the date of the order.
(7) Where
the realisation of any amount remains stayed by the order of any court or
authority and such order is subsequently vacated, interest shall be payable
also for any period during which such order remained in operation.
(8) The
interest payable under this Act shall be deemed to be tax due under this Act.
51. Power
to withhold refund in certain cases
(1) Where
an order giving rise to a refund is the subject matter of an appeal or further
proceeding or where any other proceeding under this Act is pending, and
Commissioner is of the opinion that the grant of such refund is likely to
adversely affect the revenue and that it may not be possible to recover the
amount later, the Commissioner may withhold the refund till such time as he may
determine.
(2) Where
a refund is withheld under sub‑section (1), the dealer shall be entitled
to interest as provided under sub‑section (1) of section 50 if as a
result of the appeal or further proceeding or any other proceeding he becomes
entitled to the refund.
52. Exemption
of certain sales and purchases
(1) Subject
to such conditions as it may impose, the Government may, if it is necessary so
to do in the public interest, by notification in the Official Gazette, exempt
any sales or purchases made to or by, a class of dealers or persons specified
in the said notification from payment of the whole or any part of any tax
payable under the provisions of this Act and any notification issued under this
section may be issued so as to be retrospective to any date not earlier than
the 1st April, 2003 and such exemption shall take effect from the date of the
publication of the notification in the Official Gazette or such other earlier
or later date as may be mentioned therein.
(2) Where
any dealer or person has purchased any goods under a declaration or certificate
given by him under any notification issued under this section and-
(a) any of
the conditions subject to which such exemption was granted, or
(b) any
of the recitals or the conditions of the declaration or certificate, are not
complied with for any reason whatsoever, then without prejudice to the other
provisions of this Act, such dealer or person shall be liable to pay tax on the
sale price of the goods at the rate set out against each of such goods in the
Schedule notwithstanding that such dealer or person was not liable to pay tax
under any other provisions of this Act and accordingly the dealer or the person
who has become liable to pay tax under this sub‑section shall file a
return in the prescribed form to the prescribed authority within a prescribed
time and shall include the sale price of such turnover in his return, and pay
the tax in the prescribed manner. The tax due from any such dealer or person
shall be assessed and recovered as if the person or dealer is a dealer liable
to be proceeded against under the provisions of this Act.
(3) If
the Commissioner has reason to believe that any person or dealer is liable to
pay tax under sub‑section (2), the Commissioner shall, after giving him a
reasonable opportunity of being heard, assess the amount of tax so due.
(1) The
Government may by a notification published in the Official Gazette provide for
a scheme of composition subject to such conditions and restrictions as may be
provided therein, of tax payable by those dealers who are engaged in the
business of selling at retail any goods or merchandise.
(2) For
the purpose of this section a dealer will be considered to be engaged in the
business of selling at retail if 9/10th of his turnover of sales consists of
sales made to persons who are not dealers and if any question arises, as to
whether any particular dealer is a retailer, then the officer in charge of the
case shall refer the question to the Deputy Commissioner who shall, after
hearing the dealer if necessary, decide the question.
(3) Nothing
in this section will apply to a dealer who is a manufacturer or who is an
importer or who has purchased any goods from a registered dealer whose sales of
the said goods are not liable to tax under the provisions of this Act.
54. Maintenance
of accounts and records etc.
(1) Every
registered dealer or a dealer to whom a notice has been served to furnish
return under sub‑section (2) of section 28 shall maintain a true and up
to date account of the value of goods purchased or manufactured and sold by him
or goods held by him in stock, and, in addition to the books of account that a
dealer maintains and keeps for the purpose referred to in this sub‑section,
he shall maintain and keep such registers and accounts in such form in the
manner prescribed.
(2) Every
registered dealer or dealer referred to in sub‑section (1) shall keep at
his place of business all accounts, registers and documents maintained in the
course of business.
(3) Where
a dealer as referred to in sub‑section (1) has established branch
offices. of the business in the State other than the principal place of
business, the relevant accounts, registers and documents in respect of each
such branch shall, without prejudice to the provisions of sub‑section
(5), be kept by him at such branch.
(4) If
the Commissioner is of the opinion that the accounts maintained by any dealer
or class of dealers do not sufficiently enable him‑to verify the returns
referred to in sub‑section (1) of section 28 or the assessment cannot be
made on the basis thereof, he may by an order, require such dealer or class of
dealers, to keep such accounts, in such form and in such manner as he may,
subject to rules made under this Act, direct.
(5) If
the Commissioner is satisfied that any dealer is not in a position to maintain
accounts in accordance with the provisions of sub‑section (1), he may,
for reasons to be recorded in writing, exempt such dealer from the operation of
the provisions of the said sub‑section.
(1) Every
registered dealer making a taxable sale to another dealer, whether registered
or not, shall provide that purchaser at the time of sale with a tax invoice
containing such particulars as specified in sub‑section (4) and retain a
copy thereof.
(2) The
tax invoice shall not be issued by a dealer in the following circumstances-
(a) a
retail registered dealer is paying presumptive tax in lieu of Value Added Sales
Tax; or
(b) the
sale in the course of export out of the territory of India; or
(c) the
sale in the course of inter‑State trade and commerce, or
(d) the
sale of goods exempt from tax.
(3) Not
more than one tax invoice shall be issued for each taxable sale.
(4) The
tax invoice issued under sub‑section (1) shall contain the following
particulars on the original as well as copies thereof-
(a) the
words 'Tax Invoice' in bold letter at the top of any prominent place;
(b) the
name, address and registration certificate number of the selling registered
dealer;
(c) the
name, address and registration certificate number of the purchasing registered
dealer;
(d) an
individual serialised number and the date on which the tax invoice is issued;
(e) description,
quantity, volume and value of goods sold and amount of tax charged thereon
indicated separately;
(f) signature
of the selling dealer or his manager or agent, duly authorised by him;
(g) the
name and address of the printer and first and last serial number of tax
invoices printed and supplied by him to the dealer.
(5) Except
when tax invoice is issued under sub‑section (1), if a registered dealer
sells any goods exceeding such amount in value as may be prescribed, in any one
transaction to any person, he shall issue to the purchaser a retail invoice and
retain a copy thereof.
(6) The
retail invoice shall contain the following particulars on the original as well
as copies thereof-
(a) the
words "Retail Invoice" in bold letters at the top of a prominent
place;
(b) the
name, address and registration certificate number of the selling registered
dealer;
(c) in
case the sale is in course of export out of the territory of India, the name,
address and registration number, if any, of the purchasing dealer/foreign buyer
and the type of statutory form, if any, against which the sale has been made;
(d) an
individual serialised number and the date on which the retail invoice is
issued;
(e) description,
quantity, volume and value of goods sold inclusive of tax charged thereon;
(f) signature
of the selling dealer or his manager or agent duly authorised by him;
(g) the
name and address of the printer and first and last serial number of retail
invoices printed and supplied by him to the dealer.
(7) Tax
invoice shall be issued in triplicate. The original and the first copy shall be
issued to the purchaser or the person taking delivery of the goods, as the case
may be, and the second copy shall be retained by the selling dealer.
(8) Retail
invoice shall be issued in duplicate. The original shall be issued to the
purchaser and the duplicate copy shall be retained by the selling dealer.
(9) Every
dealer referred to in sub‑section (1) shall preserve books of account
including tax invoices and retail invoices until the expiry of five years after
the end of the year to which they relate or for such other period as may be
prescribed or until the assessment reaches its finality whichever is later.
(10) Where
such dealer is party to any appeal, or revision under this Act he shall retain,
until the appeal or revision is finally disposed of, every record and accounts
that pertain to the subject matter of the appeal or revision.
Every dealer who maintains the records electronically
shall retain them in electronically readable format for the period specified in
section 55.
57. Requirement
to provide information
Notwithstanding anything contrary to the provisions of
this Act, the Commissioner may, for any purpose related to the administration
or enforcement of the provisions of this Act, by notice, require any person to
provide within such reasonable time as is stipulated in the notice, any
information or additional information including a return under this Act, or any
document including electronic records.
(1) Where
in any particular year, the gross turnover of a dealer exceeds Rs. 20,00,000/‑
or such other amount as the Commissioner may, by a notification in the Official
Gazette, specify, then such dealer shall get his accounts, in respect of that
year, audited by an accountant within six months from the end of that year and
obtain a report of such audit in the prescribed form duly signed and verified
by such accountant and setting forth such particulars as may be prescribed.
(2) A
true copy of such report shall be furnished by such dealer to the Commissioner
by the end of the month after expiry of the period of six months during which
the audit would have been completed.
(3) If
any dealer liable to get his accounts audited under sub‑section (1) fails
to get his accounts audited and furnish a true copy of the audit report within
the time specified in sub‑section (2), the Commissioner shall, after
giving the dealer a reasonable opportunity of being heard, impose on him, in
addition to any tax payable, a sum by way of penalty equal to 0.1% of the
turnover as he may determine to the best of his judgment in respect of the said
period.
Explanation: For the purpose of this section,
"Accountant" means a Chartered Accountant within the meaning of the
Chartered Accountants Act, 1949 and includes a person who by virtue of the
provisions of sub‑section (2) of section 226 of the Companies Act, 1956,
is entitled to be appointed to act as an auditor of Companies registered under
the said Act.
59. Dealer
to declare the name of his business manager
(1) Every
dealer, who is liable to pay tax, and who is a Hindu Undivided Family or an
association of persons, club or society, firm or company, or who is engaged in
business as the guardian or trustee or otherwise on behalf of another person,
shall, within the period prescribed, furnish a declaration in the manner
prescribed stating the name of the person or persons who shall be deemed to be
manager or managers of such dealer's business for the purposes of this Act.
(2) Such
declaration shall be furnished at the time of registration, wherever applicable
and shall be revised from time to time.
(3) The
statement furnished under this sub‑section shall also contain the name
and address with designation in relation to the business of such persons who
are authorized to receive notice and other documents under this Act and such
receipt of notice and other documents shall be binding on the dealer.
60. Liability
to pay tax in case of death, partition, dissolution, transfer, etc.
(1) Where a dealer, liable
to pay tax under this Act, dies then,-
(a) if
the business carried on by the dealer is continued after his death by his legal
representative or any person, such legal representative or other person shall
be liable to pay tax including any penalty, sum forfeited and interest due from
such dealer under this Act or under any earlier law, in the like manner and to
the same extent as the deceased dealer, and
(b) if
the business carried on by the dealer is discontinued whether before or after
his death, his legal representative shall be liable to pay out of the estate of
the deceased, in the like manner and to the same extent as the deceased dealer
would have been liable to pay, if he had not died, the tax including any
penalty, sum forfeited and interest due from such dealer under this Act, or
under any earlier law,
whether such tax including any penalty, sum forfeited
and interest had been assessed before his death but has remained unpaid, or is
assessed after his death.
(2) Where
a dealer, liable to pay tax under this Act, is a Hindu Undivided Family (HUF)
and the joint family property is partitioned amongst the various members or
group of members, then each member or group of members shall be jointly and
severally liable to pay the tax including any penalty, sum forfeited and
interest due from the dealer under this Act or under any earlier law, up to the
time of the partition, whether such tax including any penalty, sum forfeited
and interest has been assessed before partition but has remained unpaid, or is
assessed after partition.
(3) Where
a dealer liable to pay tax under this Act, is a firm, and the firm is
dissolved, then every person who has a partner shall be jointly and severally
liable to pay to the extent to which he is liable under section 62, the tax
including, any penalty, sum forfeited and interest due from the firm under this
Act or under any earlier law, up to the time of dissolution, whether such tax
including any penalty, sum forfeited and interest has been assessed before such
dissolution but has remained unpaid or is assessed after dissolution.
(4) Where
a dealer, liable to pay tax under this Act, transfers or otherwise disposes of
the business in whole or in part, or effects any change in the ownership
thereof, in consequences of which he is succeeded in the business or part
thereof by any other person, the dealer and the person succeeding shall jointly
and severally be liable to pay the tax including any penalty, sum forfeited and
interest due from the dealer under this Act or under any earlier law, up the
time of such transfer, disposal or change, whether such tax including any
penalty, sum forfeited and interest has been assessed before such transfer,
disposal or change but has remained unpaid, or is assessed thereafter.
(5) Where the dealer, liable
to pay tax under this Act-
(a) is
the guardian of award on whose behalf the business is carried out by the
guardian, or
(b) is
trustee who carries on the business under a trust for the beneficiary then, if
the guardianship or the trust is terminated, the ward or, as the case may be,
the beneficiary shall be liable to pay the tax including any penalty, sum
forfeited and interest due from the dealer up to the time of the termination of
the guardianship or trust, whether such tax including any penalty, sum
forfeited and interest has been assessed before the termination of the
guardianship or trust, but has remained unpaid, or is assessed thereafter.
(6) Where
a dealer is liable to pay tax under this Act, is succeeded in the business by
any person in the manner described in clause (a) of sub‑section (1) or in
sub‑section (4) then such person shall be liable to pay tax on the sales or
purchases of goods made by him on and after the date of such succession and
shall (unless he already holds a certificate of registration) within sixty days
thereof apply for registration.
61. Certain
agents liable to tax for sales on behalf of principal
(1) Where
any person sells or purchases any
taxable goods on behalf of his principal then such person and his principal
shall be both jointly and severally liable to pay taxes on the turnover of such
sales or purchases.
(2) If
the principal, on whose behalf the commission agent has sold or purchased any
goods, shows to the satisfaction of the Commissioner that the tax has been paid
by such commission agent on such goods under sub‑section (1), the
principal shall not be liable to pay the tax again in respect of the same
transaction.
(3) Where
a manager or agent of a non‑resident dealer sells or purchases any goods
on behalf of a: non‑resident dealer in the State, then the non‑resident
dealer and the manager or agent residing in the State, shall be jointly and
severally liable to pay tax on the turnover of such sales or purchases:
PROVIDED that, if the non‑resident dealer shows
to the satisfaction of the Commissioner that the tax payable in respect of such
sale or purchase has been paid by the manager or agent residing in the State,
then the non‑resident dealer shall not be liable to pay in respect of the
same transaction.
(1) Notwithstanding
anything contained in the Indian Partnership Act, 1932 or any contract to the
contrary, where any firm is liable to pay tax under this Act, the firm and each
of the partners of the firm shall be jointly and severally liable for such
payment and accordingly any notice or order under this Act may be served on any
person who was a partner during the relevant time whether or not the firm has
been dissolved and all the provisions of this Act shall apply accordingly.
(2) Where
any such partner retires from the firm, he shall be liable to pay the tax,
penalty, sum forfeited and interest remaining unpaid at the time of his
retirement and any such amount due up to the date of retirement though un‑assessed
at that date.
(1) When
two or more companies are to be amalgamated by the order of a Court or of the
Central Government or the Government and the order is to take effect from a
date earlier to the date of the order and any two or more such companies have
sold or purchased any goods to or from each other in the period commencing on
the date from which the order is to take effect and ending on the date of the
order, then such transaction of sale and purchase will be included in the
turnover of the sales or of purchases of the respective companies and will be
assessed to tax accordingly.
(2) Notwithstanding
anything contained in the said order, for all of the purposes of this Act, the
said two or more companies will be treated as distinct companies and will be
treated as such for all periods up to the date of the said order and the
registration certificates of the said companies will be cancelled, where
necessary, with effect from the date of the said order.
(3) Words
and expressions used in the section, but not defined, will have the respective
meanings to them in the Companies Act, 1956.
INSPECTION OF ACCOUNTS, DOCUMENTS, SEARCH OF PREMISES
AND ESTABLISHMENT OF CHECK POSTS
64. Production
and inspection of accounts and documents and search of premises
(1) The
Commissioner may, subject to such conditions as may be prescribed, require any dealer
to produce before him any accounts or documents, or to furnish any information,
relating to stock of goods, sales, purchases, deliveries of goods, payments
made or received by the dealer, or any other information relating to his
business, as may be necessary for the purpose of this Act.
(2) All
accounts, registers and documents relating to stock of goods, sales, purchases,
deliveries of goods, payments made or received by any dealer and all goods and
cash kept in any place of business of any dealer, shall at all reasonable time
be open to inspection by the Commissioner, and the Commissioner may take or
cause to be taken such copies or extracts of the said accounts, registers,
documents and such inventory of the goods and cash found as appear to him necessary
for the purpose of this Act.
(3) If
the Commissioner has reasons to believe that any dealer has evaded or is
attempting to evade the payment of any tax due from him, he may, for reasons to
be recorded in writing, seize such accounts, registers or documents of the
dealer as may be necessary, and shall grant a receipt for the same, and shall
retain the same for so long as may be necessary in connection with any
proceedings under this Act or for the prosecution, under any law.
(4) For
the purposes of sub‑section (2) or sub‑section (3), the
Commissioner may enter and search any place of business of any dealer or any
other place where the Commissioner has reason to believe that the dealer keeps
or is for the time being keeping any account, registers or documents of his
business or stock of goods relating to his business.
(5) Where
any books of accounts, other documents, money or goods are found on the
possession or control of any person in the course of any search, it shall be
'presumed, unless the contrary is proved, that such books of accounts, other
documents, money or goods belong to such person.
(1) With
a view to identify dealers who are liable to pay tax under this Act, but have
remained unregistered, the Commissioner shall from time to time cause a survey
of such unregistered dealers.
(2) For
the purpose of the survey, the Commissioner may, by general or special notice,
require any dealer or class of dealers to furnish the names, addresses and such
other particulars as he may find necessary relating to the persons and dealers
who have purchased any goods from or sold any goods to such dealer or class of
dealers during any given period.
(3) For
the purposes of survey, the Commissioner may call for details and particulars
regarding the services provided by public utilities and financial institutions
including banking companies which he is of the opinion will be relevant and
useful for the purposes of the survey. He may from time to time cause the results
of the survey to be published in any manner that he thinks fit.
(4) The
Commissioner may, for the purposes of the survey, enter any place where a
person is engaged in business but is unregistered or has not applied for grant
of the certificate of registration, whether such place will be the principal
place of business or not of such business and require any proprietor, employee
or any other person who may at that time and place be attending in any manner
to, or helping in, the business,-
(i) to
afford him the necessary facility to inspect such books of accounts or other
documents as he may require and which may be available at such place,
(ii) to
afford him the necessary facility to check or verify the cash, stock or other
valuable article or thing which may be found therein, and
(iii) to
furnish such information as he may require as to any matter which may be useful
for, or relevant to any proceedings under this Act.
Explanation: For the purposes of this sub‑section,
a place where the person is engaged in business will also include any other
place in which the person engaged in business or the said employee or other
person attending or helping in business states that any of the books of
accounts or other documents or any part of the cash, stock or other valuable
article or thing relating to the business are or is kept.
(5) The
Commissioner shall enter the place where the person is carrying on business
only during the hours at which such place is open for business and in case of
any other place only after sunrise and before sunset. The Commissioner may,
make or cause to be made extracts or copies from books of accounts and other
documents inspected by him, make an inventory of any cash, stock or other
valuable article or thing checked or verified by him, and record the statement
of any person which may be useful for, or relevant to, any proceedings under
this Act.
(6) The
Commissioner, in exercise of the powers under this section shall, under no
circumstances, remove or cause to be removed from the place where he has
entered, any books of accounts and other documents or any cash, stock or other
valuable article or thing.
66. Establishment
of check posts for inspection of goods in transport
(1) The
Government may, with a view to prevent or check avoidance or evasion of tax, by
notification in the Official Gazette, direct the establishment of the check
post or barrier at such places as may be specified in the notification and
every officer who exercises powers and discharges his duties at such check post
by way of inspection of documents produced and goods being moved, shall be in
charge.
(2) The
driver or person in charge of vehicle or carrier of goods in movement shall-
(a) carry
with him the records of the goods including challans, bills of sale or dispatch
memos and prescribed declaration form or way bill duly filled in and signed by
the consignor of the goods carried;
(b) stop
the vehicle or carrier at every check post set up under sub‑section (1)
or at any other place by an officer authorized by the Commissioner in this
behalf;
(c) produce
all the documents including the prescribed way bill relating to the goods
before the officer in charge of the check post or the authorized officer;
(d) give
all the information in his possession relating to the goods;
(e) allow
the inspection of the goods for search of the vehicle by the officer in charge
of the check post or any authorized officer.
(3) Where
any goods are in movement within the territory of the State of Manipur, an
officer empowered by the State Government in this behalf may stop the vehicle
or the carrier or the person carrying such goods, for inspection, at any place
within his jurisdiction and provisions of sub‑section (2) shall mutatis mutandis
apply.
(4) Where
any goods in movement are without documents or are not supported by documents
as referred to in sub‑section (2), or documents produced appear to be
false or forged, the officer in charge of the check post or the officer
empowered under sub‑section (3), may-
(a) direct
the driver or the person in charge of the vehicle or carrier or the goods not
to part with the goods in any manner including by transporting or rebooking,
till a verification is done or an enquiry is made, which shall not take more
than seven days;
(b) seize
the goods for reasons to be recorded in writing and shall give receipt of the
goods to the person from whose possession or control they are seized.
(5) The
officer in charge of the check post or the officer empowered under sub‑section
(3), after having given the person in charge of the goods a reasonable
opportunity of being heard and after having held such enquiry as he may deem
fit, shall impose, for possession or movement of goods, whether seized or not,
in violation of the provisions of clause (a) of sub‑section (2) or for
submission of false or forged documents or way bill, a penalty equal to the
amount of five times of the tax, leviable on such goods, or twenty percent
(20%) of the value of goods, whichever is higher.
(6) During
the pendency of the proceeding under sub‑section (5) if any one prays for
being impleaded as a party to the case on the ground of involvement of his
interest therein, the said officer in charge or the empowered officer on being
satisfied may permit him to be included as a party to the case; and thereafter,
all provisions of this section shall mutatis mutandis apply to him.
(7) The
officer in charge of the check post or the officer empowered under sub‑section
(3) may release the goods to the owner of the goods or to any person duly
authorised by such owner on payment of the penalty imposed under sub‑section
(5).
(8) Where
the driver or person in charge of the vehicle or the carrier is found guilty
for violation of the provisions of sub‑section (2), the officer in charge
of the check post or the officer empowered under sub‑section (3) may
detain such vehicle or carrier after affording him an opportunity of being
heard to such driver or person in charge of the vehicle or the carrier and
impose a penalty on him as provided under sub‑section (5).
(9) Where
a transporter, while transporting goods, is found to be in collusion with
dealer to avoid or evade tax, the
officer in charge of the check post or the officer empowered under sub‑section
(3), shall detain the vehicle or carrier of such transporter and after
affording him an opportunity of being heard with prior approval in writing of
the Commissioner, the officer in charge of the check post or the officer
empowered may confiscate such vehicle or carrier along with the goods.
(1) The Government shall endeavour to
introduce and establish an automated data processing system for complementing
the purposes of the Act and for incidental and allied matters.
(2) In
order to make effective the said system, the State Government may from time to
time make resolutions for regulating the interactions between the dealers,
authorities appointed or constituted under this Act and the Government
Treasury.
(3) The
regulations shall be published in the Official Gazette and may be made
retrospective to any date not earlier than 1st April, 2003.
68. Power
to collect statistics
(1) If
the Commissioner considers that for the purposes of the better administration
of this Act it is necessary so to do, he may by notification in the Official
Gazette, direct that statistics be collected relating to any matter dealt with,
by or in connection to this Act.
(2) Upon
such direction being made, the Commissioner or any person or persons authorized
by him in this behalf may, by notification in the Official Gazette and if found
necessary by notice in any newspapers or in such other manner as in the opinion
of the Commissioner or the said person is best calculated to bring the notice
to the attention of dealers and other person or persons, call upon all dealers
or any class of dealers or persons to furnish such information or returns as
may be stated therein relating to any matter in respect of which statistics are
to be collected. The form in which, the persons to whom or, the authorities to
which, such information or returns should be furnished, the particulars which
they should contain, and the intervals in which such information or returns
should be furnished, shall be such as may be prescribed.
(3) Without
prejudice to the generality of the foregoing provisions, the Government may by
rules provide that every registered dealer or, as the case may be, any class of
registered dealers shall furnish, in addition to any other returns provided for
elsewhere, an annual return in such form, by such date and to such authority as
may be prescribed and different provisions may be made for different classes of
registered dealers.
69. Disclosure
of information by a public servant
(1) All
particulars contained in any statement made, return furnished or accounts or
documents produced in accordance with the Act, or in any record of evidence
given in the course of any proceedings under this Act (other than proceeding
before a Criminal Court), or in any record of any assessment proceeding, or any
proceeding relating to the recovery of a demand, prepared for the purposes of
this Act shall, save as provided in sub‑section (3), be treated as
confidential; and notwithstanding anything contained in the Indian Evidence
Act, 1872, no court shall save as aforesaid, be entitled to require any servant
of the Government to produce before it any such statement, return, account,
document or record or any part thereof, or to give evidence before it in
respect thereof.
(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, on conviction, be punished with imprisonment which may extend to six
months or with fine or with both:
PROVIDED that no prosecution shall be instituted under
this section except with the previous sanction of the State Government.
(3) Nothing
contained in this section shall apply to the disclosure-
(a) of
any such particulars in respect of any such statement, return, accounts,
documents, evidence, affidavit or deposition, for the purpose of any
prosecution under the Indian Panel Code or the Prevention of Corruption Act,
1947, or this Act or any other law for the time being in force; or
(b) of
any such particulars to the State Government or to any person acting in the
execution of this Act; or
(c) of
any such particulars when such disclosure is occasioned by the lawful
employment of any process for the service of any notice or the recovery of any
demands; or
(d) of
any such particulars to a Civil Court in any suit, to which the Government is a
party, which relates to any matter arising out of any proceeding under this
Act; or
(e) of
any such particulars to any officer appointed to audit receipts or refunds of
the tax imposed by this Act; or
(f) of
any such particulars where such particulars are relevant to any inquiry into
the conduct of an official including Commissioner of the Sales Tax Department
under the Commission of Enquiry Act, 1952 (60 of 1952) or to any officer
appointed to hold such inquiry when exercising the functions in relation to any
matter arising out of such inquiry; or
(g) of
such facts to an officer of the Central Government or Any State Government as
may be necessary for the purpose of enabling that Government to levy or realize
any tax or duty imposed by it; or
(h) of
any such particulars to the Director, Economics and Statistics Department,
Government of Manipur or any officer serving under him or to any person or
persons authorized under sub‑section (2) of section 68 as may be
necessary for enabling the Director or such person or persons to carry on their
official duties;
(i) of
any such particulars to an officer of the Central Government or any State
Government as may be necessary for the administration of any law in force in
India.
(1) No
information of any individual return or part thereof, with respect to any
matter given for the purposes of section 68 shall, without the previous consent
in writing of the owner for the time being or his authorized agent, be
published in such manner as to enable any particulars to be identified as
referring to a particular dealer and no such information shall be used for the
purpose of any proceedings under the provisions of this Act.
(2) Except
for the purposes of prosecution under this Act or any other Act, no person who
is not engaged in the collection or compilation or computerization of
statistics for the purposes of administration of this Act, shall be permitted
to see or have access to any information or any individual return referred to
in that section. '
(3) If any
person required to furnish any information or return under section 68-
(a) wilfully
refuses or without lawful excuse neglects to furnish such information or
return; or
(b) wilfully
furnishes or causes to be furnished any information or return which he knows to
be incorrect or false,
he shall on conviction be punished with fine which may
extend to one thousand rupees and in case of continuing offence to a further
fine which may extend to one hundred rupees for each day after the first day
during which the offence continues.
(4) If
any person engaged in connection with the collection of statistics under
section 68 or compilation or computerization thereof willfully discloses any
information or the contents of any returns given or made under that section,
otherwise than in execution of his duties under that section or for the
purposes of the prosecution of an offence under this Act or under any other
Act, he shall on conviction be punished with imprisonment for a term which may
extend to six months or with fine which may extend to one thousand rupees, or
with both.
(5) Nothing
in this section will apply to publication of any information relating to a
class of dealers or class of transactions, if in the opinion of the
Commissioner, it is desirable in the public interest, to publish such
information.
Notwithstanding anything contained in section 69 or
70, if the State Government is of the opinion that it is necessary or expedient
in the public interest to publish or disclose the names of any dealers or other
persons and any particulars relating to any proceedings under this Act in
respect of such dealers and persons, it may publish or disclose or cause to be
published or disclosed such names and particulars in such manner as it thinks
fit.
Explanation: In the case of a firm, company or other
association of persons, the names of the partners of the firm, the directors,
managing agents, secretaries, treasurers or managers of the company or the
members of the association, as the case may be, may also be published or
disclosed, if, in the opinion of the Government, the circumstances of the case
justify it.
(1) Any person objecting to an order
affecting him passed under the provisions of this Act by an assessing authority
may appeal to the Appellate Authority as may be prescribed within thirty days
from the date of receipt of order by him.
(2) Where
the Appellate Authority is satisfied that the person assessed has reasonable
cause for not preferring to file an appeal within the time specified in sub‑section
(1), it may accept an appeal, provided it is within one year.
(3) The
appeal shall be in the prescribed form and specify in detail the grounds upon
which it is made.
(4) In
the case of an appeal against an assessment, the Appellate Authority shall
consider it only if-
(a) the
person has paid the tax due as per turnover returned by him, or
(b) paid
the tax which is not disputed by him:
PROVIDED that, on application made by the appellant in
this behalf the Appellate Authority may, for good and sufficient reasons to be
recorded in writing, exempt him from the operation of the provisions of this
sub‑section.
(5) The
appellant shall serve a copy of the appeal memo to the authority against whose
order the appeal is filed.
(6) After
considering the appeal and after affording an opportunity of hearing, the
Appellate Authority may allow it in whole or part and amend the assessment or
the decision objected to accordingly, or remand it for fresh disposal or
dismiss the appeal or enhance the assessment or penalty or other amount:
PROVIDED that before making an enhancement the
appellant shall be given an opportunity of being heard on the proposal of
enhancement.
(7) The
Appellate Authority shall serve the appeal decision to the appellant with a
notice, setting forth the reasons for the decision.
73. Appeal
to the appellate tribunal
(1) A
person dissatisfied with the decision of the Appellate Authority may, within
sixty days after being served with notice of the decision,-
(a) file
a second appeal before the Appellate Tribunal, and
(b) serve
a copy of the notice of appeal on the Commissioner as well as authority whose
original order is under second appeal before the Appellate Tribunal.
(2) The
Appellate Tribunal may admit an appeal after expiry of sixty days if it is
satisfied that the appellant had sufficient reason for not filing the appeal
within the time specified in sub‑section (1), provided it is within one
year.
(3) In
deciding an appeal, the Appellate Tribunal shall make an order after affording
an opportunity to the dealer or other person and the Commissioner-
(a) affirming,
reducing, increasing, or varying the assessment or other order under appeal,
(b) remitting
the assessment of other order under appeal for reconsideration by the
Appropriate Authority concerned with such directions as it may deem fit,
(c) a
copy of such order shall be served on the Commissioner/ prescribed authority.
(4) The
Appellate Tribunal shall serve the appellant with notice, in writing of the
appeal decision setting forth the reasons for decision:
PROVIDED that before increasing the tax or other
amount the dealer shall be given an opportunity of being heard on the proposal
of increasing the liability.
74. Appeal
by Commissioner to Appellate Tribunal
(1) The
Commissioner or any officer empowered by him on this behalf if he objects to an
order passed by the Appellate Authority, may appeal to the Appellate Tribunal
within a period of sixty days from the date on which the order was communicated
to him.
(2) The
Appellate Tribunal may, on the application either by the appellant or by the
respondent made within one year from the date of receipt of the order under sub‑section
(4) of section 73, review any order passed by it on the basis of the facts
which were not before it when the order was passed.
(1) An
assessee who is dissatisfied with the decision of the Appellate Tribunal may,
within sixty days after being notified of the decision, file a revision with
the High Court and the assessee so appealing shall serve a copy of the notice
of revision on the respondent to the proceeding.
(2) A
revision to the High Court may be made on question of law or an erroneous
decision or failure to decide a question of law that will be raised in the
revision.
(3) The
Commissioner shall also be made a party to the proceedings before the High
Court where appeal is filed by the dealer or other person.
(4) The
High Court may on application either by the petitioner or by the respondent
review any order passed by it provided such application is made within one year
from the date of receipt of the judgement.
76. Hearing
of revision and review by the High Court
A revision or review application presented before the
High Court under section 75 shall be heard by the bench consisting of not less
than two judges.
The Commissioner may, on his own motion, call for and
examine the record of any proceeding under this Act and if he considers that
any order passed therein by any officer other than first Appellate Authority
and the Appellate Tribunal, is erroneous insofar as it is prejudicial to the
interest of the revenue, after giving the assessee an opportunity of being
heard, he may pass such order as he deems fit:
PROVIDED that the Commissioner shall not pass any
order under this section after the expiry of five years from the date of such
order.
The burden of proving that any turnover of goods is
exempt from tax or that there is no liability or obligation under this Act
shall be on the person objecting.
79. Power
to rectify error apparent on the record
(1) An
assessing, appellate or revising authority including the Appellate Tribunal
may, on an application or otherwise at any time within three years from the
date of any order passed by it, rectify any error apparent on the face of the
record:
PROVIDED that no such rectification which has the
effect of enhancing the liability to pay tax or penalty or penal interest shall
be made unless such authority has given notice to the person affected and has
allowed him a reasonable opportunity of being heard.
(2) Where
such rectification has the effect of enhancing the tax liability or penalty,
the Assessing Authority shall give the dealer or other person a notice of
assessment or penalty and the dealer or other person shall pay the tax in the
manner prescribed and when such rectification has the effect of reducing the
tax liability or penalty the Assessing Authority shall issue refund of the
excess tax or penalty paid, if any.
(1) Whoever,
not being a registered dealer falsely represents that he is or was a registered
dealer at the time when he sells or buys goods shall on conviction, be punished
with rigorous imprisonment for a term which shall not be less than six months
but which may extend to three years and with fine.
(2) Whoever,
knowingly furnishes a false return shall, on conviction, be punished-
(i) in
case where the amount of tax, which could have been evaded if the false return
had been accepted as true, exceeds Rs. 10,000/‑ with rigorous
imprisonment for a term which shall not be less than six months but which may
extend to three years and with fine;
(ii) in
any other case, with rigorous imprisonment for a term, which shall not be less
than three months but which may extend to one year and with fine.
(3) Whoever,
knowingly produces before the Commissioner, false bill, cash‑memorandum,
voucher, declaration, certificate or other document for evading tax payable
under this Act shall on conviction, be punished-
(i) in
case where the amount of tax which could have been evaded, if the documents
referred to above had been accepted as true, exceeds Rs. 30,000/ in one event,
with rigorous imprisonment for a term which shall not be less than six months
but which may extend to three years and with fine;
(ii) in
any other case, with rigorous imprisonment for a term which shall not be less
than three months but which may extend to one year and with fine.
(4) Whoever,
knowingly keeps false account of the value of the goods bought or sold by him
in contravention of the provisions of this Act, shall, on conviction, be
punished with rigorous imprisonment for a term which shall not be less than
three months but which may extend to one year and with fine.
(5) Whoever,
knowingly produces false accounts, registers or documents or knowingly
furnishes false information, shall, on conviction, be punished-
(i) In
case where the amount of tax which could have been evaded, if the accounts,
registers or documents or information referred to above had been accepted as
true, exceeds Rs. 50,000 during the period of a year, with rigorous
imprisonment for a term which shall not be less than six months but which may
extend to three years and with fine;
(ii) In
any other case, with rigorous imprisonment for a term which shall not be less
than three months but which may extend to one year and with fine.
(6) Whoever,
issues to any person certificate or declaration under this Act, rules or
notifications or a false bill, cash‑memorandum, voucher, delivery
challan, lorry receipt or other document which he knows or has reason to
believe to be false, shall, on conviction, be punished with rigorous
imprisonment for a term which shall not be less than six months but which may
extend to three years and with fine.
(7) Whoever.-
(i) wilfully
attempts, in any manner whatsoever, to evade any tax leviable under this Act,
or
(ii) wilfully
attempts, in any manner whatsoever, to evade any payment of any tax, penalty or
interest or all of them under this Act, shall, on conviction, be punished-
(a) in
case where the amount involved exceeds Rs. 50,000 during the period of a year,
with rigorous imprisonment for a term which shall not be less than six months
but which may extend to three years and with fine;
(b) in
any other case, with rigorous imprisonment for a term which shall not be less
than three months but which may extend to one year and with fine.
(8) Whoever
aids or abets or induces any person in commission of any act specified in sub‑sections
(1) to (7) shall, on conviction, be punished with rigorous imprisonment which
shall not be less than three months but which may extend to one year and with
fine.
(9) Whoever-
(a) is
engaged in business as a dealer without being registered in wilful
contravention of section 68, or
(b) fails
without sufficient cause to furnish any returns as required by section 68 by
the date and in the manner prescribed, or
(c) fails
without sufficient cause, when directed to keep any accounts or record, in
accordance with the provisions of this Act, or
(d) fails
without sufficient cause to comply with any requirements made under section 64,
or
(e) voluntarily
obstructs any officer making inspection or search or seizure under section 64,
shall, on conviction, be punished with imprisonment
for a term which may extend to one year and with fine.
(10) Whoever
fails, without sufficient ca ‑use, to furnish any return by the date and
in the manner prescribed under this Act, shall on conviction, be punished with
simple imprisonment for a term which may extend to one year and with a fine,
which shall not be less than,-
(i) rupees
two thousand, if the tax due for the period covered by the return does not exceed
Rs. 20,000/‑,
(ii) rupees
five thousand, if the tax due for a period covered by the return exceeds rupees
twenty thousand but does not exceed Rs. 1,00,000/‑;
(iii) rupees
ten thousand, if the tax due for the period covered by the return exceeds Rs.
1,00,000/‑.
(11) Whoever
commits any of the acts specified in sub‑sections (1) to (10) and the
offence is a continuing one under any of the provisions of these sub‑sections,
shall, on conviction, be punished with daily fine not less than rupees one
hundred during the period of the continuance of the offence, in addition to the
punishments provided under this section.
(12) Notwithstanding
anything contained in sub‑sections (1) to (11), no person shall be
proceeded against these sub‑sections for the acts referred to therein if
the total amount of tax evaded or attempted to be evaded is less than Rs. 200
during the period of a year.
(13)
Where a dealer is
accused of an offence specified in sub‑sections (1) to (11), the person
deemed to be the manager of the business of such dealer shall also be deemed to
be guilty of such offence, unless he proves that the offence was committed
without his knowledge or that he exercised all due diligence to prevent the
commission thereof.
(1) Where
an offence under this Act or the rules has been committed by a company, every
person who at the time the offence was committed, was in charge of, and was
responsible to, the company for the conduct of the business of the company, as
well as the company shall be deemed to be guilty of the offence and shall be
liable to be proceeded against and punished accordingly:
PROVIDED that, nothing contained in this sub‑section
shall render any such person liable to any punishment provided in this Act if
he proves that the offence was committed without his knowledge or that he
exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding
anything contained in sub‑section (1), where an offence under this Act
has been committed by a company and it is proved that the offence has been
committed with the consent or connivance of, or is attributable to any neglect
on the part of, any director, manager, secretary or other officer of the
company, such director, manager, secretary or other officer shall also be
deemed to be guilty of that offence and shall be liable to be proceeded against
and punished accordingly.
Explanation: For the purpose of this section-
(a) 'company'
means a body corporate, and includes a firm or other association of individuals;
and
(b) 'director'
in relation of a firm means a partner in the firm.
(3) Where
an offence under this Act has been committed by a Hindu Undivided Family, the
Karta thereof shall be deemed to be guilty of the offence and shall be liable
to be proceeded against and punished accordingly:
PROVIDED that nothing contained in this sub‑section
shall render the Karta liable to any punishment if he proves that the offence
was committed without his knowledge or that he had exercised all due diligence
to prevent the commission of such offence:
PROVIDED FURTHER that, where an offence under this Act
has been committed by a Hindu Undivided Family and it is proved that the
offence has been committed with the consent or connivance of, or is
attributable to any neglect on the part of, any adult member of the Hindu
Undivided Family, such member shall also be deemed to be guilty of that offence
and shall be liable to be proceeded against and punished accordingly.
(1) Notwithstanding
anything contained in the Code of Criminal Procedure, 1973, all offences
punishable under this Act or rules made thereunder shall be cognizable and
bailable.
(2) No
court shall take cognizance of any offence under this Act or rules made thereunder
except with the previous sanction of the Commissioner, and no court inferior to
that of a Chief Judicial Magistrate shall try any such offence.
(1) Subject
to conditions, if any, as may be prescribed, the Commissioner may authorize,
either generally or in respect of a particular case or class of cases, any
officer or person subordinate to him to investigate all or any of the offences
punishable under this Act.
(2) Every
officer so authorized shall, in the conduct of such investigation, exercise the
power conferred by the Code of Criminal Procedure, 1973 upon an officer in
charge of a police station for the investigation of a cognizable offence.
(1) Notwithstanding
anything contained in the Code of Criminal Procedure, 1973 the Commissioner
may, either before or after the institution of proceedings of any offence
punishable under section 80 or under any rules made under this Act, accept from
any person charged with such offence by way of composition of the offence
charged under sub‑sections (1), (2), (3), (4), (5), (6), (7) or clauses
(a), (b), (c), (d), (e) of sub‑section (9) or sub‑section (10) of
section 80 not exceeding double the amount of tax which would have been payable
on the sale or purchase turnover to which the offence relates, whichever is
greater.
(2) On
payment of such sum as may be determined by the Commissioner under sub‑section
(1), no further proceedings shall be taken against the accused person in
respect of the same offence and any proceeding, if already taken, shall stand
abated.
(3) Such
compounding of offences shall be communicated to the assessing authority in
whose jurisdiction the relevant proceedings lie.
85. Court
fee on appeal and certain other applications
Notwithstanding anything contained in the Court
Fee Act, 1870,-
(1) subject
to the provisions of the clause (2), any application not otherwise provided for
when presented to the prescribed authority for the prescribed purpose or when
presented to the Appellate Tribunal shall be charged with a court fee of such
value not exceeding Rs. 100/‑ as may be prescribed; and
(2) an
appeal preferred under section 76 shall be charged with a court fee of such
value not exceeding Rs. 1,000/‑ as may be prescribed if the amount in
dispute, exceeds Rs. 1,00,000/‑ and any other appeal shall be charged
with a court fee of such value not exceeding Rs. 100/‑ as may be
prescribed.
86. Application
of sections 4 and 12 of Limitation Act
In computing the period of limitation under Chapter
IX, the provisions of sections 4 and 12 of the Limitation Act, 1963 shall, so
far as may be, apply.
87. Appearance
before any authority in proceedings
(1) Any
person who is entitled or required to attend before any authority including the
Appellate Tribunal in connection with any proceeding under this Act, otherwise
than when required to attend personally for examination on oath or affirmation,
may attend-
(a) by
a relative or a person regularly employed by him, or
(b) by
a legal practitioner, or Chartered Accountant who is not disqualified by or
under sub‑section (2), or
(c) by
a sales tax practitioner who possesses the prescribed qualifications and is
entered in the list which the Commissioner shall maintain in that behalf, and
who is not disqualified by or under sub‑section (2), or
(d) by
any person who, immediately before the commencement of this Act was a sales tax
practitioner under any earlier law, only if such relative or person employed or
legal practitioner or Chartered Accountant, or sales tax practitioner is
authorized by such person in the prescribed form, and such authorization may
include the authority to act on behalf of such person in such proceedings.
(2) The
Commissioner may, by order in writing and for reasons to be recorded therein,
disqualify for such period as is stated in the order from attending before any
such authority, any legal practitioner, Chartered Accountant, or sales tax
practitioner-
(i) who
has been removed or dismissed from Government service, or
(ii) who
being a sales tax practitioner, a legal practitioner or a Chartered Accountant
is found guilty of misconduct in connection with any proceedings under this Act
by the Commissioner or by an authority, if any, empowered to take disciplinary
action against the member of the profession to which he belongs.
(3) No
order of disqualification shall be made in respect of any particular person
unless he is given a reasonable opportunity of being heard.
(4) Any
person against whom any order of disqualification is made under this section
may, within one month of the date of communication of such order, appeal to the
Tribunal to have the order cancelled or modified. The order of the Commissioner
shall not take effect until one month of the making thereof or when an appeal
is preferred until the appeal is decided.
(5) The
Commissioner may, at anytime suo motu or on an application made to him in this
behalf, revoke or modify any order made against any person under sub‑section
(2) and thereupon such person shall cease to be disqualified subject to such
conditions or restrictions that may be contained in such order.
88. Declaration
of stock of goods held on the appointed day
The Commissioner may, by notification in the Official
Gazette, require that any class of registered dealers as may be specified in
the notification declare such details regarding the stock of goods held by them
on the day immediately preceding the appointed day (the date on which this Act
comes into force) in such manner and with such particulars and to such
authority.
89. Bar to
certain proceedings
Save as is provided in Chapter IX (Appeal and
Revision), no order passed or proceedings taken under this Act, the rules or
notification by any authority appointed or constituted under this Act, shall be
called in question in any Court, and save as is provided in the said Chapter,
no appeal shall lie against any such order.
(1) Without
prejudice to any power to make rules contained elsewhere in this Act, the State
Government may make rules generally to carry out the purposes of this Act and
such rules may include rules for levy of fees for any of the purposes of this
Act.
(2) In
making any rules the State Government may direct that a breach thereof shall be
punishable with fine not exceeding two thousand rupees, and when the offence is
a continuing one, with a daily fine not exceeding one hundred rupees during the
continuance of the offence.
(3) Every
rule made under this section shall be laid as soon as may be after it is made
before the House of the State Legislature while it is in the session for a
total period of thirty days which may be comprised in one session or in two
successive sessions, and if, before the expiry of the session in which it is so
laid or the session immediately following, the House agrees in making any
modification in the rule or the House agrees that the rule should not be made,
such rule shall, thereafter, have effect only in such modified form or be of no
effect, as the case may be, however, any such modification or annulment shall
be without prejudice to the validity of anything previously done under that
rule.
(1) A registered dealer who would have
continued to be so liable to pay tax under the repealed Act and who makes an
application for registration in terms of this Act, shall be deemed to be a
registered dealer till a fresh registration is granted to him under this Act.
(2) Notwithstanding anything
contained elsewhere in this Act,-
(a) any
person appointed as the Commissioner, and all persons appointed to assist the
Commissioner, under the repealed Act and continuing in the office immediately
before the appointed day, shall, on and from the appointed day, be deemed to
have been appointed under this Act and shall continue in office as such;
(b) any
dealer liable to furnish return under the repealed Act immediately before the
appointed day shall, notwithstanding that a period in respect of which he is so
liable to furnish return commences on any day before such appointment day and
ends on any day after such appointed day, furnish such return in respect of tax
payable for sales or purchases made up to the day immediately before such
appointed day and pay tax in accordance with the provisions of repealed Act and
shall furnish a separate return in respect of the remaining part of the period
which commences on such appointed day and pay tax due on such return for sales
or purchases made on and from such appointed day in accordance with the
provisions of this Act;
(c) any
order delegating any power under any Act or the Rules made thereunder by the
Commissioner to any person appointed, by any designation, to assist him before
the appointed day shall, from such appointed day, continue in force until the
Commissioner amends, varies or rescinds such order after such appointed day
under this Act;
(d) any
dealer, who is no longer liable to pay tax under the repealed Act and whose
accounts, registers or documents have been seized under that Act, shall
continue to be retained in accordance with provision of that Act on or after
appointed day;
(e) all
forms, prescribed under the repealed rules and continuing in force before the
appointed day shall, with effect from such appointed day, continue in force and
shall be used mutatis mutandis for the purpose for which they were being used
before such appointed day until the State Government directs, by notification,
the discontinuance of the use of such forms from such date specified in this
behalf;
(f) all rules, regulations, notifications
or orders made or issued under any of the repealed Act and continuing in force
on the day immediately before the appointed day shall continue to be in force
on or after such appointed day insofar as they are not inconsistent with the
provisions of this Act or the Rules made thereunder until they are repealed or
amended;
(g) any way bill obtained or obtainable by
the dealer from any prescribed authority or any declaration furnished or to be
furnished by or to the dealer under the Act so repealed or the Rules made
thereunder in respect of any sale of goods before the appointed day shall be
valid of any period before such appointed day, under the repealed Act if made
before such appointed day and pending on such appointed day or if made on such
appointed day, shall be disposed of in accordance with the provisions of the
repealed Act;
(h) the Commissioner or any other authority
to whom power in this behalf has! been delegated by the Commissioner under the
repealed Act may, on his own motion, review or revise any order passed before
the appointed day in accordance with the provisions of that Act;
(i)
any application for the
way bill, for the transport of the goods into the State, pending on the day
immediately before the appointed day, shall be deemed to have been made under
this Act and shall be disposed of in accordance with the provisions of this
Act; and
(j) any tax assessed, interest determined
or penalty imposed under the repealed Act in respect of sales or purchases
made, under the repealed Act before the appointed day, shall be payable or
recoverable in accordance with the provisions of the repealed Act.
(1) The
Manipur Sales Tax Act, 1990 as in force in the State of Manipur is hereby
repealed from the date of commencement of this Act.
(2) The
repeal shall not:-
(a) revive
anything not in force or existing at the time of which the repeal takes effect;
or
(b) affect
the previous operation of repealed Act or anything done or suffered thereunder;
or
(c) affect
any right, privilege, obligation, or liability acquired, accrued or incurred
under the repealed Act; or
(d) affect
any penalty, forfeiture or punishment incurred or inflicted in respect of any
offence or violation committed under the provisions of the repealed Act; or
(e) affect
any investigation, enquiry, assessment, proceeding, any other legal proceeding
or remedy instituted, continued or enforced under the repealed Act,
and any such penalty, forfeiture or punishment as
aforesaid or any proceeding or remedy instituted, continued, or enforced under
the repealed Act shall be deemed to be instituted, continued or enforced under
the corresponding provisions of this Act.
(2) All rules made and notifications issued
under the provisions of the repealed Act and/or rules made thereunder and in
force on the date of the commencement of this Act, shall remain in force unless
such rules and notifications are superseded in express terms or by necessary
implication by the provisions of this Act or the Rules made and notifications
issued thereunder.
(3) Any reference to any section of the
repealed Act or any Rule, notification, regulation or circular shall be deemed
to refer to the relevant corresponding section of this Act, until necessary
amendments are made in such Rule, notification, regulation or circular.
(4) The
limitations provided in this Act shall apply prospectively, and all events
occurred and all issues arose prior to the date of commencement of this Act,
shall be governed by the limitations provided or the provisions contained in
the repealed Act.