RAJASTHAN VALUE
ADDED TAX ACT, 2003
(Act
No. 4 of 2003)
An Act to consolidate and amend the law relating to
the levy of tax on sale or purchase of goods and to introduce Value Added
system of taxation in the State of Rajasthan.
Be it enacted by the Rajasthan State Legislature in
the Fifty‑fourth Year of the Republic of India as follows:
1. Short title, extent and commencement
(1) This
Act may be called the Rajasthan Value Added Tax Act, 2003.
(2) It
extends to the whole of the State of Rajasthan.
(3) It
shall come into force on such date as the State Government may, by notification
in the Official Gazette, appoint and the State Government may appoint different
dates for the commencement of the different provisions of this Act.
In this Act, unless the subject or context
otherwise requires,
(1) "appellate
authority" means a person not below the rank of the Deputy Commissioner
authorised as such by the State Government;
(2) "assessing
authority" means any officer not below the rank of Assistant Commercial
Taxes Officer, authorised as such by the Commissioner;
(3) "assessment"
means determination of liability under this Act;
(4) "auditor"
means any officer not below the rank of Assistant Commercial Taxes Officer
authorised as such by the Commissioner;
(5) "awarder"
means any person at whose instance or for whose benefit a works contract is
executed;
(6) "business"
includes-
(i) any
trade, commerce or manufacture; or
(ii) any
adventure or concern in the nature of trade, commerce or manufacture-
whether or not such trade, commerce, manufacture,
adventure or concern is carried on with a motive to make gain or profit, and
whether or not any gain or profit accrues from such trade, commerce,
manufacture, adventure or concern; or
(iii) any
transaction in connection with or incidental or ancillary to such trade,
commerce, manufacture, adventure or concern; or
(iv) any
transaction in connection with or incidental or ancillary or consequential to
the commencement or closure of such business; or
(v) any
occasional transaction in the nature of such trade, commerce, manufacture,
adventure or concern whether or not there is volume, frequency, continuity or
regularity of such transaction;
(7) "capital
goods" means-
(i) all kinds of plants, machinery,
equipments or apparatus;
(ii)
components, spares and
accessories of the goods specified at (i) above;
(iii) moulds
and dies;
(iv) refractors
and refractory materials;
(v)
tubes and pipes and
fittings thereof, used in the factory;
(vi) pollution
control equipment; and
(vii) storage
tank,
only if these are integrally connected to
manufacturing of goods for sale, unless otherwise notified by the State
Government;
Explanation: For removal of doubts, it is hereby
clarified that "capital goods" do not include any equipments or
appliances used in an office of a dealer or used in execution of works
contract;
(8) "casual
trader" means a person who, whether as principal, agent or in any other
capacity, has occasional transactions of a business nature involving buying,
selling, supplying or distributing of such goods as may be notified by the
State Government whether for cash or deferred payment or for commission or
remuneration or other valuable consideration;
(9) Commissioner"
means a person appointed by the State Government to be the Commissioner of
Commercial Taxes Department and shall include Additional Commissioner of
Commercial Taxes Department;
(10) "contractor"
means any person executing a works contract and includes a sub‑contractor,
or a person to whom contract has been awarded under section 77;
(11) "dealer"
means any person, who carries on business in any capacity, of buying, selling,
supplying or distributing goods directly or otherwise, or making purchases or
sales as defined in clause (35) for himself or others, whether for cash or
deferred payment, or for commission, remuneration or other valuable
consideration and shall include-
(i) a
factor, broker, commission agent, delcredere
agent or any other mercantile agent, by whatever name called, and
whether of the same description as hereinbefore mentioned or not, who carries
on the business of buying, selling, supplying or distributing any goods belonging
to any principal whether disclosed or not;
(ii) an
auctioneer, who sells or auctions goods belonging to any principal, whether
disclosed or not and whether the offer of the intending purchaser is accepted
by him or by the principal or a nominee of the principal;
(iii) a
manager or an agent, of a non‑resident dealer who buys, sells, supplies
or distributes goods in the State belonging to such dealer;
(iv) any
society, club, trust or other association, whether incorporated or not, which
buys goods from or sells goods to its members;
(v) a
casual trader;
(vi) the
Central or any State Government or any of their Departments or offices which,
whether or not in the course of business, buy, sell, supply or distribute goods
directly or otherwise, whether for cash or deferred payment or for commission,
remuneration or other valuable consideration; and
(vii) any
trading, commercial or financial establishment including a bank, an insurance
company, a transport company and the like which, whether or not in the course
of its business, buys, sells, supplies or distributes goods, directly or
otherwise, whether for cash or deferred payment, commission, remuneration or
other valuable consideration;
Explanation: A person, who sells agricultural or
horticultural produce, grown by himself or grown on any land in which he has an
interest as owner or tenant as defined in the Rajasthan Tenancy Act, 1955 (Act
No. 3 of 1955), shall notbe deemed to be a dealer in respect of such sales
within the meaning of this clause;
(12) "Deputy
Commissioner (Administration)", "Assistant Commissioner",
"Commercial Taxes Officer", "Assistant Commercial Taxes
Officer" or "Junior Commercial Taxes Officer" means the person
holding office with that designation under the State Government;
(13) "exempted
goods" means any goods exempted from tax in accordance with the provisions
of this Act;
(14) "firm",
"partner" and "partnership" shall have the meanings
respectively assigned to them in the Indian Partnership Act, 1932 (Central Act
No. 9 of 1932);
(15) "goods"
means all kinds of movable property, whether tangible or intangible, other than
newspapers, money, actionable claims, stocks, shares and securities, and
includes materials, articles and commodities used in any form in the execution
of works contract, livestock and all other things attached to or forming part
of the land which is agreed to be severed before sale or under the contract of
sale;
(16) "importer"
means a dealer who brings or causes to be brought into the State any goods or
to whom any goods are dispatched from any place outside the State, for the
purpose of sale or use in manufacturing and processing of goods for sale;
(17) "input
tax" means tax paid or payable by a registered dealer in the course of
business, on the purchase of any goods made from a registered dealer;
(18) "invoice"
means a document containing such particulars as may be prescribed;
(19) "lease"
means any agreement or arrangement whereby the right to use any goods for any
purpose is transferred by one person to another whether or not for a specified
period for cash, deferred payment or other valuable consideration without the
transfer of ownership, and includes a sub‑lease but does not include any
transfer on hire purchase or any system of payment by installments;
(20) "lessee"
means any person to whom the right to use any goods for any purpose is
transferred under a lease,
(21) "lessor"
means any person by whom the right to use any goods for any purpose is
transferred under a lease;
(22) "manufacture"
includes every processing of goods which brings into existence a commercially
different and distinct commodity but shall not include such processing as may
be notified by the State Government;
(23) "non‑resident
dealer" means a dealer who effects purchases or sales of any goods in the
State but who has no fixed place of business or residence in the State;
(24) "out
put tax" means the tax charged or chargeable under this Act by a
registered dealer in respect of the sale of goods in the course of his
business;
(25) "person"
means any individual or association or body of individuals and includes a Hindu
Undivided Family or Joint Family, a firm, a company whether incorporated or
not, a co‑operative society, a trust, a club, an institution, an agency,
a corporation, a local authority, a Department of the Government or other
artificial or juridical person;
(26) "place
of business" means any place in the State of Rajasthan where a dealer
purchases or sells goods and includes,-
(a) any
warehouse, godown or other place where the dealer stores goods;
(b) any
place where the dealer processes, produces or manufactures goods;
(c) any
place where the dealer keeps his accounts, registers and documents;
(d) any
vehicle or carrier wherein the goods are stored or business is carried on;
Explanation: The dealer shall declare one of the
places of business as his "principal place of business" in the
application for registration, and his final accounts, annual statements,
registers and documents, whether maintained manually or electronically, shall
necessarily be kept at such place;
(27) "prescribed"
means prescribed by rules made under this Act; .
(28) "purchase
price" means the amount paid or payable by a dealer as valuable
consideration for the purchase of goods including all ancillary and incidental
expenses and statutory levies payable but excluding the tax payable under this
Act;
(29) "raw
material" means goods used as an ingredient in the manufacture of other goods
and includes processing material, consumables, preservative, fuel and lubricant
required for the process of manufacture;
(30) "registered
dealer" means a dealer registered or deemed to have been registered under
the provisions of this Act;
(31) "repealed
Act" means the Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995);
(32) "resale"
means sale of goods without performing any operation on them which amounts to
or results in a manufacture;
(33) "reverse
tax" means that part of the input tax for which credit has been availed in
contravention of the provisions of section 18;
(34) "rules"
means the rules made under this Act;
(35) "sale"
with all its grammatical variations and cognate expressions means every
transfer of property in goods by one person to another for cash, deferred
payment or other valuable consideration and includes-
(i) a
transfer, otherwise than in pursuance of a contract, of property in goods for
cash, deferred payment or other valuable consideration;
(ii) a transfer
of property in goods (whether as goods or in some other form) involved in the
execution of a works contract;
(iii) any
delivery of goods on hire‑purchase or other system of payment by
installments;
(iv) a
transfer of the right to use goods for any purpose (whether or not for a
specified period) for cash, deferred payment or other valuable consideration;
(v) a
supply of goods by an unincorporated association or body of persons to a member
thereof for cash, deferred payment or other valuable consideration; and
(vi) a
supply, by way of or as part of any service or in any other manner whatsoever,
of goods, being food or any other article for human consumption or any drink
(whether or not intoxicating), where such supply is for cash, deferred payment
or other valuable consideration,
and such transfer, delivery or supply shall be deemed
to be a sale and the word "purchase" or "buy" shall be
construed accordingly;
Explanation: Notwithstanding anything contained in
this Act, where any goods are sold in packing, the packing material in such
case shall be deemed to have been sold with the goods;
(36) "sale
price" means the amount paid or payable to a dealer as consideration for
the sale of any goods less any sum allowed by way of any kind of discount or
rebate according to the practice normally prevailing in the trade, but
inclusive of any statutory levy or any sum charged for anything done by the
dealer in respect of the goods or services rendered at the time of or before
the delivery thereof, except the tax imposed under this Act;
Explanation I: In the case of a sale by hire purchase
agreement, the prevailing market price of the goods on the date on which such
goods are delivered to the buyer under such agreement, shall be deemed to be
the sale price of such goods;
Explanation II: Cash or trade discount at the time of
sale as evident from the invoice shall be excluded from the sale price but any
ex post facto grant of discounts or incentives or rebates or rewards and the
like shall not be excluded;
Explanation III: Where according to the terms of a
contract, the cost of freight and other expenses in respect of the
transportation of goods are incurred by the dealer for or on behalf of the
buyer, such cost of freight and other expenses shall not be included in the
sale price, if charged separately in the invoice;
(37) "tax"
means any tax or other levy by any name leviable under the provisions of this
Act;
(38) "Tax
Board" means Rajasthan Tax Board constituted under section 88;
(39) "tax
period" means the period as may be notified by the State Government for
deposit of tax payable under this Act;
(40) "taxable
turnover" means, that part of turnover, as may be determined after making
such deductions from the total turnover as may be prescribed on which a dealer
shall be liable to pay tax under this Act;
(41) "turnover"
means the aggregate amount of sale price received or receivable by a dealer
including purchase price of the goods which are subject to tax under sub‑section
(2) of section 4;
(42) "VAT
invoice" as may be prescribed, and issued by a dealer authorized under
this Act;
(43) "vehicle
or carrier" means any mode of transportation including human being or
animal carrying goods from one place to another;
(44) "works
contract" means a contract for works and labour or services involving
transfer of property in goods (whether as goods or in some other form) in its
execution;
(45) "year"
means the period commencing from 1st April and ending on 31st March.
(1) Subject to the
provisions of this Act, every dealer-
(a) who
is an importer of goods; or
(b) who
is a manufacturer of goods and whose annual turnover exceeds rupees two lacs;
or
(c) whose
annual turnover exceeds rupees five lacs, shall be liable to pay tax under this
Act.
(2) Notwithstanding
anything contained in sub‑section (1), a dealer, other than that
enumerated in clause (b) of sub‑section (i), whose turnover in a year
does not exceed rupees twenty five lacs and who purchases goods from a
registered dealer, may opt for payment of tax as may be notified under sub‑section
(3) of section 4.
(3) Notwithstanding
anything contained in sub‑sections (1) and (2) every casual trader shall
be liable to pay tax under this Act.
(4) Notwithstanding
anything contained in sub‑sections (1) and (2) every person, other than a
casual trader or a registered dealer, who carries on business temporarily for a
period not exceeding one hundred twenty days in a year, shall be liable to pay
tax under this Act in the manner as may be prescribed.
(5) A
dealer registered under the Central Sales Tax Act, 1956 (Central Act No.74 of
1956) who is not liable to pay tax under sub‑sections (1) to (4), shall
nevertheless be liable to pay tax in accordance with the provisions of this
Act.
(6)
Notwithstanding
anything contained in this Act, a dealer registered under this Act shall so
long as his certificate of registration remains in force, be liable to pay tax,
irrespective of his turnover.
(1) Subject
to the other provisions of this Act and the provisions of the Central Sales Tax
Act, 1956 (Central Act No. 74 of 1956), the tax payable by a dealer under this
Act, shall be at such point or points as may be prescribed in the series of
sales by successive dealers, and shall be levied at such rates not exceeding
fifty percent on the taxable turnover, is may be notified by the State
Government in the Official Gazette.
(2) Every
dealer who in the course of his business purchases any goods other than
exempted goods, in the circumstances in which no tax under sub‑section
(1) is payable on the sale price of such goods and the goods are disposed of
for the purpose other than those specified in clauses (a) to (g) of sub‑section
(1) of section 18, shall be liable to pay tax on the purchase price of such
goods at the same rate at which it would have been leviable on the sale price
of such goods under sub‑section (1).
(3) Notwithstanding
anything contained in sub‑section (1), the tax payable by the dealer
covered by sub‑section (2) of section 3, shall be levied at such rates
not exceeding five percent on the turnover, as may be notified by the State
Government.
(4) Where
any goods are sold packed in some material, whether charged for separately or
not, notwithstanding anything contained in sub‑section (1), the tax
liability of and the rate of tax on the packing material shall be according to
the tax liability of and the rate of tax on the goods packed therein.
5. Payment
of lump sum in lieu of tax
(1) Notwithstanding
anything contained in this Act, but subject to the provisions of sub‑section
(2) of section 3, the State Government may provide an option for payment of tax
in a lump sum in respect of sales of such class of goods or by such class of
dealers on such terms and conditions as may be notified in the Official
Gazette.
(2) The
tax in lump sum specified in sub‑section (1) shall not exceed the limit
of maximum tax liability as provided in sub‑section (1) of section 4.
6. Levy of tax by weight, volume, measurement or unit on certain
goods
(1) Notwithstanding
anything contained in sections 3 and 4, the State Government may fix the amount
of tax payable on the sale or purchase of certain goods or a class of goods in
respect of a specified area or whole of the State, on the basis of weight,
volume, measurement or unit, on such terms and conditions, as may be notified
in the Official Gazette.
(2) The
amount of tax payable under sub‑section (1) may be fixed with reference
to the types, of vehicles or carriers transporting the said goods, and also
with reference to the quality thereof.
(3) The
amount of tax notified under sub‑sections (1) and (2) shall not exceed
the amount of maximum limit of tax liability as provided in sub‑section
(1) of section 4.
(4) The
State Government may, by an order published in the Official Gazette and subject
to such terms and conditions as maybe specified in such order, delegate its
power under this section to the Commissioner.
(1) Notwithstanding
anything contained in sections 3, 4 and 6, tax on the sale or purchase of live‑stock
at such rate not exceeding ten percent of the sale or purchase price, as the
case may be, of such live‑stock and at such point of sale or purchase, as
may be notified by the State Government, shall be payable by every person, who
sells or purchases live‑stock in the State and the provisions of sections
28 shall mutatis mutandis apply to such person.
(2) Notwithstanding
anything contained in sub‑section (1), in respect of live‑stock of
such class as may be specified by the State Government by notification in the
Official Gazette, tax shall be payable at such rate per head not exceeding five
hundred rupees as may be notified.
(3)
Different rates of
percentage of price, or different rates per head may be notified by the State
Government under sub‑sections (1) and (2) for different classes of live‑stock.
Notwithstanding anything contained in this Act, where
the State Government is of the opinion that it is necessary or expedient in the
public interest so to do, it may, by notification in the Official Gazette,
exempt fully or partially, whether prospectively or retrospectively from tax
the sale or purchase of any goods or class of goods or any person or class of
persons, without any condition or with such condition as may be specified in
the notification.
9. Bar against collection of tax when not payable
(1) No
person who is not a registered dealer or no registered dealer who is not liable
to pay tax in respect of any sale or purchase, shall collect on the sale of any
goods any sum by way of tax from any other person.
(2) No
registered dealer shall collect any amount by way of tax in excess of the
amount of tax payable by him under the provisions of this Act.
(3) No
dealer shall collect any sum by way of tax in respect of sale of any goods on
which, by virtue of section 8, no tax is payable.
(4) Dealer
opting for payment of lump sum amount in lieu of tax under section 5, or who is
covered by sub‑section (2) of section 3 shall not collect tax or any sum
in lieu of tax.
The burden of proving that any sale or purchase
effected by any person is not liable to tax for any reason under this Act or to
prove for entitlement of input tax credit on any purchases, shall be on such
person.
(1) Every
dealer liable to pay tax under sub‑section (1) or (5) of section 3 shall
get himself registered by submitting an application to the authority competent
to grant registration, in such form and in such manner and within such time as
may be prescribed.
(2) The
authority competent to grant registration, after making such enquiry as it may
consider necessary, may grant a certificate of registration in the prescribed
form.
(3) The
certificate of registration shall be granted from the date he becomes liable to
pay tax under section 3.
(4) The
certificate of registration so granted shall not be transferable and it shall
remain in force unless it is cancelled.
(5) Where
a dealer is registered under the repealed Act he shall be deemed to have been
registered under this Act from the date of commencement of this Act, provided
he has submitted such information as has been required by the Commissioner
under the repealed Act by notification in the Official Gazette.
(6) When
a dealer, who is liable to get registration, does not make application under
sub‑section (1), the authority competent to grant registration, after
affording an opportunity of being heard to such dealer, shall grant him a
certificate of registration from the date he becomes liable to pay tax under
the Act and such registration shall take effect as if it has been granted under
sub‑section (2).
(7) Where
a dealer who is already registered, intends to do business at one or more
additional places in the State he shall be granted in such manner as may be
prescribed, a branch certificate under the certificate of registration already
held by him.
(8) Where
a dealer has one or more additional registrations under the repealed Act, he
shall inform to his assessing authority or authority competent to grant
registration within sixty days from the commencement of this Act, as to which
of the registrations shall be treated registration under this Act and which of
the registration certificates may be converted into branch certificates. If the
dealer fails to do so, the Commissioner or any officer authorised by him for
this purpose, shall declare one such registration to be the registration under
this Act and shall issue branch certificate in lieu of remaining registration
certificates.
(9) Notwithstanding
anything contained in this Act, a dealer dealing exclusively in exempted goods,
shall not be required to get registration under this Act.
(1) Any
person intending to commence or having commenced a business may,
notwithstanding that he is not liable to get registration under section 11,
apply to the authority competent to grant registration in the prescribed form
for registration.
(2) The
authority competent to grant registration, after making such enquiry as it may
consider necessary, may grant a certificate of registration in the prescribed
manner from the date of application or as the case may be from the date of
commencement of business and the provisions of section 11 shall mutatis
mutandis apply.
13. Authority
competent to grant registration
(1) Every
dealer liable to get registration shall declare his principal place of business
in the application for registration filed by him and the Assistant Commissioner
or the Commercial Taxes Officer, as the case may be, having territorial
jurisdiction over such principal place of business, or any other officer not below
the rank of Assistant Commercial Taxes Officer, authorized especially or
generally by the Commissioner, shall be the authority competent to grant
registration to such dealer.
(2) In
the case of a non‑resident dealer, an officer not below the rank of Assistant
Commercial Taxes Officer authorized by the Commissioner shall be the authority
competent to grant registration and such authority either on the application of
such non‑resident dealer or otherwise, shall grant him a certificate of
registration from such date and with such terms and conditions, as may be
specified therein.
(3) Where
a dealer, after having been granted registration, changes his principal place
of business outside the territorial jurisdiction of the present assessing
authority he shall seek the permission in writing for such change of the
assessing authority from the Commissioner or any other officer authorized by
the Commissioner in this behalf, and unless such permission is accorded, the
present assessing authority shall continue to be the assessing authority of
such dealer.
14. Authorisation
for collection of tax
Subject to the other provisions of this Act, where a
dealer makes an application for obligatory registration or voluntary
registration he may start collecting tax on his sales . n accordance with the
provisions of this Act from the date of such application and in that case all
the provisions of this Act, as are applicable to a registered dealer, shall
mutatis mutandis apply to him.
15. Furnishing
of security for registration
(1) The
authority competent to grant registration or the assessing authority shall, as
a condition to the grant of registration to a dealer or at any time after such
grant, require him to furnish in the prescribed manner and within the time
specified by such authority, the initial security or such additional security
as may be considered necessary-
(a) for
the timely payment of the amount of tax or other sum payable by him under this
Act; and
(b) for
the safe custody of books of accounts or any other documents required to be
maintained under this Act and the rules made thereunder.
(2) At the
time of grant of obligatory registration to the dealers covered under sub‑section
(1) or (5) of section 3, the initial security shall be in the form of surety of
two dealers registered under this Act, and where the dealer is not in a
position to furnish such surety, he shall submit security in the form of
National Savings Certificate or in cash, of the amount of-
(a) Rs.
25,000 /‑in case of a small scale manufacturing unit, Rs. 50,000/‑
in case of a medium scale manufacturing unit and Rs. 2,00,000 /‑ in case
of a large scale manufacturing unit; and
(b) Rs.
25,000 /‑ in cases not covered by clause (a).
Explanation: The small scale or medium scale or large
scale manufacturing unit shall have the same meaning as assigned to them by the
Government of India from time to time.
(3) At
the time of grant of voluntary registration under section 12, the initial security
shall be in the form of National Savings Certificate or in cash, of the amount
of Rs. 25,000/‑.
(4) The
amount of security, in case of a dealer who is already registered or deemed to
be registered under this Act, may be increased by the assessing authority, for
reasons to be recorded in writing, to twenty five percent of the annual tax
liability of the immediate preceding year. However, in case of dealers
registered in the current year, such increase in the security amount may be
twenty five percent of the highest tax liability of the preceding months or the
quarters, as the case may be.
(5) Where
the security furnished by a dealer under sub‑sections (2) and (4) is in
the form of a surety bond and the surety becomes insolvent or dies, the dealer
shall, within thirty days of the occurrence of any of the aforesaid events,
inform the assessing authority and shall, within ninety days of such
occurrence, furnish a fresh surety bond or furnish in a prescribed manner other
security for the amount of the surety bond.
(6) The
assessing authority may, by order in writing, forfeit the whole or any part of
the security furnished by a dealer-
(a) for
realizing any amount of tax, penalty, interest, erroneously availed input tax
credit or any other sum payable by him under this Act; or
(b) for
any loss caused to the Government by negligence or wilful default on his part
in ensuring the safe custody or proper use of the books of accounts or any
other documents required to be maintained under this Act and the rules made
thereunder.
(7) Where
as a result of an order of forfeiture under sub‑section (6), the security
furnished by any dealer is rendered insufficient, he shall make up the
deficiency within a period of thirty days from the date of the communication of
the said order.
(8) No
dealer shall be required to furnish additional security under sub‑section‑(4)
and no order of forfeiture of the whole or any part of the security shall be
passed against him under sub‑section (6) unless he has been afforded an
opportunity of being heard.
16. Amendment
and cancellation of registration certificate
(1) Every
registered dealer or his legal representative, as the case may be, shall inform
the assessing authority and also to the authority competent to grant
registration, about every change or event as referred to in sub‑sections
(2) and (3), within thirty days of the Occurrence of such change or event.
(2) Where
any change or event does not alter the basic status of a dealer, such as change
in the name of business or place of the business, opening of a new place of
business or dropping of old place of business, addition, deletion or
modification in the description of goods, acquisition of any business, sale or
disposal of the business in part, change in the constitution of the firm
without dissolution, the certificate of registration already granted to a
dealer shall be amended accordingly from the date of the occurrence of the
change or the event.
(3) Where any change or event alters the basic
status of a dealer, such as, conversion of a proprietary concern into
partnership firm or vice versa, dissolution of an existing firm and creation of
new firm, formation of a firm into a company or vice versa, a fresh certificate
of registration shall be required to be obtained by the dealer.
(4) Where-
(a) any business in respect of which a
certificate of registration has been granted to a dealer under this Act, is
discontinued permanently; or
(b) in the case of transfer of business by a
dealer, the transferee already holds a certificate of registration under this
Act; or
(c) a dealer has ceased to be required to be
registered and to pay tax under this Act; or
(d) a dealer has obtained the certificate of
registration by misrepresentation of facts or by fraud; or
(e) a dealer has obtained a certificate of
registration against the provisions of this Act; or
(f) a dealer has failed to furnish security
within the period specified under section 15 and a period of ninety days has
elapsed; or
(g) a dealer issues false or forged VAT
invoices, the assessing authority or the authority competent to grant
registration may, after affording such dealer an opportunity of being heard and
after recording reasons in writing, cancel the certificate of registration from
such date as he may deem appropriate.
(5) If there is any reason which in the
opinion of the Commissioner warrants action in the interest of State revenue,
the Commissioner may at any time, for reasons to be recorded in writing and
after giving the dealer an opportunity of being heard, cancel the certificate
of registration held by any dealer from such date as the Commissioner may
specify in this behalf.
(6) The cancellation of certificate of
registration shall not affect the liability of any person to pay tax due for
any period till the date of such cancellation and remained unpaid.
(1) Subject to the other provisions of this
Act, the net tax payable by a registered dealer, other than the dealer covered
by sub‑section (2) of section 3 or section 5, for a tax period shall be
calculated as under:
T = (O+R+P) ‑
I
Where-
T is net tax payable;
O is amount of output tax;
R is amount of reverse tax;
P is the amount of tax payable under sub‑section
(2) of section 4; and
I is the amount of input tax
(2) Where the net tax payable under sub‑section
(1) has a negative value, the same shall be first adjusted against any tax
payable or amount outstanding under the Central Sales Tax Act, 1956 (Central Act No. 74 of 1956) or under this Act or
the repealed Act, shall be carried forward to the next tax period or periods of
the year and refund of the remaining amount, if any, shall be granted only
after the end of the immediately succeeding year however, the Commissioner, in
particular cases, may, after recording reasons, grant such refunds earlier
also.
(3) Notwithstanding
anything contained in this Act, where the sales are made on behalf of the
principal registered under this Act by an agent also registered under this Act,
such sales shall be deemed to be the sales of the principal and the agent shall
render the accounts of such sales in the manner as may be prescribed.
(4) Every
person whose registration is cancelled under this Act shall pay tax in the
manner prescribed in respect of every taxable goods held in stock and capital
goods on the date of such cancellation.
(1) Input
tax credit shall be allowed, to registered dealers, other than the dealers
covered by sub‑section (2) of section 3 or section 5, in respect of
purchase of any taxable goods made within the State from a registered dealer to
the extent and in such manner as may be prescribed, for the purpose of-
(a) sale
within the State of Rajasthan; or
(b) sale
in the course of inter‑State trade and commerce; or
(c) sale
in the course of export outside the territory of India; or
(d) being
used as packing material of goods, other than exempted goods, for sale; or
(e) being
used as raw material in the manufacture of goods other than exempted goods, for
sale within the State or in the course of inter‑State trade or commerce;
or
(f) being
used as raw material in the manufacture of goods for sale in the course of
export outside the territory of India; or
(g) being
used in the State as capital goods;
however, if the goods purchased are used partly for
the purposes specified in this sub‑section and partly as otherwise, input
tax credit shall be allowed proportionate to the extent they are used for the
purposes specified in this sub‑section.
(2) The
dealer may claim input tax credit in the tax period in which he receives the
duly filled original VAT invoice, however, no such credit shall be allowed after
three months from the date of such invoice. If the original VAT invoice is
lost, input tax credit may be allowed on the basis of a duplicate copy thereof,
subject to such conditions as may be prescribed.
(3) Notwithstanding
anything contained in this Act, no input tax credit shall be allowed on the
purchases-
(i) from
a registered dealer who is liable to pay tax under sub‑section (2) of
section 3 or who has opted to pay tax under section 5 of this Act; or
(ii) of
goods made in the course of import from outside the State; or
(iii) where
the original VAT invoice or duplicate copy thereof is not available with the
claimant, or there is evidence that the same has not been issued by the selling
registered dealer from whom the goods are purported to have been purchased; or
(iv) of
goods where invoice does not show the amount of tax separately, or
(v) where
the purchasing dealer fails to prove the genuineness of the purchase
transaction by producing the selling dealer or otherwise, on being asked to do
so by an officer not below the rank of Assistant Commercial Taxes Officer
authorized by the Commissioner.
(4) The
State Government may notify cases in which partial input tax credit may be
allowed subject to such conditions, as may be notified by it.
19. Input
tax credit for stock on the date of commencement of this Act
No input tax credit shall be allowed on the goods in
stock on the date of commencement of this Act. However, such credit on stock
which was purchased on or after 1st April, 2002 and had suffered tax under the
repealed Act, shall be allowed in the manner as may be notified, only to the
dealers who have submitted the details of the stock, as required by the
Commissioner under section 93 of the repealed Act or under this Act, on the
condition that such goods in stock are used for the purposes specified in
clauses (a) to (0 of sub‑section (1) of section 18.
(1) Tax
payable under this Act shall be deposited into a Government treasury or a bank
authorized to receive money on behalf of the State Government, on the basis of
accounts of a dealer in such manner and at such intervals as may be notified by
the State Government, and different intervals may be notified for different
categories of dealers.
(2) Notwithstanding
anything contained in this Act, in the case of works contract, an amount in
lieu of tax shall be deducted by the awarder at such rate as notified by the
State Government not exceeding six percent of the total value of the contract,
in such manner and under such circumstances, as maybe prescribed, from every
bill of payment to a contractor and such sum shall be deposited or credited in
the Government account within the specified time and in the prescribed manner.
(3) Notwithstanding
anything contained in sub‑section (1), where the State Government is of
the opinion that it is necessary or expedient in the public interest so to do,
it may, by notification in the Official Gazette, defer the payment of tax
payable by any class of dealers, with or without interest, for any period on
such conditions and under such circumstances as may be specified in the
notification.
(4) In
case of any delay in payment of amount required to be deposited under any of
the sub‑sections (1), (2) and (3), the amount of interest under sub‑section
(1) of section 55 shall also be paid along with the amount of tax.
(5) Every
deposit of tax or deduction of amount in lieu of tax made under this section
shall be deemed to be provisional subject to adjustment against the tax liability
determined in the assessment made under this Act.
(1) Every
registered dealer shall assess his liability under this Act, and furnish
return, for such period, in such form and manner and within such time as may be
prescribed, to the assessing authority or to the officer authorized by the
Commissioner.
(2) Any
person or a dealer as may be required by a notice to do so by the Assessing
Authority or by an officer authorized by the Commissioner in this behalf, shall
furnish return for such period in such form and manner and within such time as
may be specified.
(3) Notwithstanding
anything contained in sub‑section (1), where the State Government is of
the opinion that it is expedient in the public interest so to do may by a
notification in the Official Gazette extend the date of submission of the
returns or may dispense with the requirement of filing any or all the returns
by a dealer or class of dealers.
22. Assessment
on failure to deposit tax
(1) Where
a dealer has failed to deposit tax in accordance with the provisions of section
20 within the notified period, the assessing authority or the officer
authorized by the Commissioner shall, without prejudice to the penal provisions
in this Act, after making such enquiry as it may consider necessary and after
giving the dealer a reasonable opportunity of being heard, assess tax for that
period to the best of his judgment.
(2) The
tax assessed under sub‑section (1), after adjustment of input tax credit
and the amount deposited in advance in this behalf, if any, shall be payable by
the dealer within thirty days from the date of service of notice of demand.
However, the assessing authority or the officer authorized by the Commissioner,
after recording reasons in writing, may reduce such period.
(3) The
tax deposited under sub‑section (2) shall be adjusted in the assessment
for the relevant period.
Every registered dealer who has filed return within
the prescribed time shall, subject to the provisions of section 24, be deemed
to have been assessed on the basis of the return filed under section 21, for
the period to which it relates.
(1) Every
return furnished by a registered dealer shall be subjected to such scrutiny as
may be determined by the Commissioner, to verify its correctness and if any
error is detected, the assessing authority or the officer authorized by the
Commissioner shall within one year from the last date for filing such return,
serve a notice in the prescribed form on the dealer to rectify the errors and
file a revised return within such period as may be specified therein.
(2) Where
the registered dealer, in pursuance of the notice issued under sub‑section-
(a) files
revised return in terms of the notice, and deposits the tax, if any, he shall
be deemed to have been assessed as per such revised return;
(b) does
not file revised return or the return filed by the dealer is not in terms of
the notice, the assessing authority or the officer authorized by the
Commissioner shall assess the dealer to the best of his judgment.
(3) Where
the dealer does not file return within the prescribed period under section 21,
the assessing authority or the officer authorized by the Commissioner shall,
within two years from the last date prescribed for filing the return, assess
the dealer to his best of judgment.
25. Assessment
in case of avoidance or evasion of tax
(1) Where
the assessing authority or any officer authorized by the Commissioner in this
behalf has reasons to believe that a dealer has avoided or evaded tax or has
not paid tax in accordance with law or has availed input tax credit wrongly, he
may after giving the dealer a reasonable opportunity of being heard, determine
at any time and for any period, that taxable turnover of such dealer on which
tax has been avoided or evaded or has not been paid in accordance with law or
wrong input tax credit has been availed and assess the tax to the best of his
judgment.
(2) The
tax assessed under sub‑section (1), after adjustment of input tax credit
and the amount deposited in advance in this behalf, if any, shall be payable by
the dealer within thirty days from the date of service of the notice of demand.
However, the assessing authority or any officer authorized by the Commissioner,
after recording reasons in writing, may reduce such period.
(3) The
assessment under sub‑section (1) shall not be made after the expiry of a
period of six months from the date of making out the case. However, the
Commissioner may, for reasons to be recorded in writing, in any particular
case, extend this time limit for a further period not exceeding six months.
(4) Notwithstanding
anything contained in this Act, where notice has been issued under sub‑section
(1), the authority issuing such notice shall be competent to make the
assessment for the relevant tax period; and assessment, if any, already made
shall be subject to the assessment made under this section.
(1) An
assessment-
(a) of
a person who is liable to get registration but has not got himself registered;
or
(b) in
which, for any reason, the levy of tax or any fee or sum payable under this Act
has been escaped wholly or in part; or
(c) wherein
tax has been wholly or in part unassessed or under‑assessed in any way or
under any circumstances,
shall be deemed to be an escaped assessment and the
assessing authority or the officer authorized by the Commissioner, shall, on
the basis of the material on record or after making such enquiry as it may
consider necessary, complete such assessment within the time limit provided in
sub‑section (3).
Explanation: The assessment under this section shall
not include that part of the business which has already been assessed or deemed
to have been assessed under the provisions of this Act.
(2) Where
the Commissioner or the Deputy Commissioner (Administration) has reason to
believe that a dealer has escaped assessment to tax in any manner provided in
sub‑section (1), he may at any time, subject to the time limit specified
in sub‑section (3), either direct the assessing authority or the officer
authorized by the Commissioner, to assess the tax or the fee or other sum or
himself proceed to assess the same.
(3) No
notice under sub‑sections (1) and (2) shall be issued in respect of any
escaped assessment for any tax period after the expiry of five years, and no
assessment under the said sub‑sections shall be completed after the
expiry of eight years, from the end of the relevant tax period; but this
limitation shall not be applicable to any assessment to be made in consequence
of, or to give effect to, any finding or direction contained in any order
passed by an appellate authority or the Tax Board or a competent court.
(4) The
assessment, if any, already made shall be subject to the assessment made under
this section.
(1) With
a view to promoting compliance with the provisions of this Act, the
Commissioner may arrange for audit of the business of such of the registered
dealers who are selected by the Commissioner on the basis of the application of
any criterion or on a random selection basis or in respect of whom the
Commissioner has reasons to believe that detail scrutiny of their business is necessary.
(2) The
audit of the dealer shall be conducted by the auditor in the prescribed manner.
(3) The
auditor while conducting audit shall exercise the powers provided under section
75 and shall examine the books of accounts, stock in trade and the related
documents of the dealer of the audit period.
(4) If
on such audit, the returns filed by the dealer are not found to be correct, or
any avoidance or evasion of tax is detected the auditor shall, issue a show
cause notice to the dealer containing details of discrepancies detected.
(5) On
receipt of the reply to notice issued under sub‑section (4), the auditor
shall after considering the reply of the dealer assess his tax and other
related liabilities and get such order approved from his immediate higher
officer before its issuance to the dealer along with the demand notice. Where
the dealer fails to submit the reply, the auditor shall proceed to assess the
liability of the dealer under this Act, to the best of his judgment. Such
assessment shall be deemed to be the assessment of the dealer for the relevant
period and assessment, if any, already made shall be subject to the assessment
made under this section.
28. Assessment
in case of a casual trader
(1) A
casual trader shall immediately on completion of a transaction of sale or
purchase, for which he is liable to pay tax, report to the assessing authority
having jurisdiction with reference to the place of such transaction or to the
Incharge of the nearest check‑post or barrier, the amount of sale or
purchase price and the tax payable thereon and shall deposit the amount of tax
with such assessing authority or Incharge of the check‑post or barrier
within such time and in such manner as such authority or Incharge may direct.
(2) Where
a casual trader fails to make a report as required under sub‑section (1),
the assessing authority having jurisdiction or the Incharge of the nearest
check‑post or barrier may require such casual trader to make a report of
the sale or purchase price and the tax due, failing which such assessing
authority or Incharge of the check‑post or barrier may assess to the best
of its judgement the amount of tax due and direct the casual trader to pay the
amount of tax within such time and in such manner as it may direct.
(3) Where a casual trader fails to pay the tax as
directed by the assessing authority or the Incharge of the check‑post
or barrier under sub‑section (1) or (2), the goods belonging to such
casual trader shall be detained until the tax is paid or adequate security for
payment of tax is furnished.
(4) No
order under sub‑section (1) shall be passed after the expiry of one year
from the date of making the report, and under sub‑section (2) after the
expiry of two years from the date of completion of the transaction.
(5) The
amount of tax payable by a casual trader under sub‑section (1) or (2j
shall be deemed to be a demand payable by a registered dealer and all the
provisions of recovery under this Act shall apply accordingly to such demand.
(6) The
assessing authority may authorize in writing any official subordinate to it to
perform all or any of its functions to be performed under this section.
(7) The
assessing authority may, suo motu or on an application of the casual trader,
filed within thirty days of the date of deposit or realisation of tax, review
or revise any order passed or action taken by the subordinate official,
authorised under sub‑section (6).
29. Assessment
in special cases
(1) Minor
and incapacitated person: In the case of any guardian, trustee or agent of any
minor or other incapacitated person carrying on business on behalf of and for
the benefit of such minor or other incapacitated person, the tax shall be
levied upon and recoverable from such guardian, trustee or agent, as the case
may be, in the like manner and to the same extent as it would be leviable upon
and recoverable from any other person, and all the provisions of this Act and
the rules made thereunder shall apply accordingly.
(2) Estate
under Court of Wards or business managed by other agencies: Where the estate of
a dealer, whether complete or part thereof, is under the control of Court of
Wards, or where the business of a dealer is managed by the Administrator, the
Official Trustee, the Official Liquidator or Receiver or any Manager or
Controller, appointed by him or under the orders of a court, the tax shall be
levied upon and recoverable from such Court of Wards, Administrator, Official
Trustee, Official Liquidator or Receiver or Manager or Controller in the like
manner and to the same extent as it would be leviable upon and recoverable from
the dealer and all the provisions of this Act and the rules made thereunder
shall apply accordingly.
30. Assessment
of a dissolved firm
In the case of a dissolved partnership firm,
assessment thereof under this Act shall be made in the same manner as if the
firm had not been dissolved.
31. Rounding
off of tax, interest and penalty
(1) The
amount of tax, interest, penalty or any other sum payable and the amount of refund
due, under the provisions of this Act, shall be rounded off to the nearest
multiple of ten rupees and, for this purpose, where such amount contains a part
of ten rupees, if such part is five rupees or more, it shall be increased to
ten rupees and if such part is less than five rupees, it shall be ignored.
(2) Nothing
contained in sub‑section (1) shall apply to any collection by a dealer of
any amount by way of tax in respect of any sale or purchase made by him of
goods under this Act.
32. Want of
form not to affect proceedings
Any notice, summons, assessment order, demand notice,
order of attachment or any other order passed under this Act, which purports to
be made in pursuance of any provision of this Act or the Rules, shall not be
deemed to be void or voidable and shall not be quashed for want of the
prescribed form, or be affected by reason of a mistake, defect or omission
therein, if the same is in substance and effect in conformity with or according
to the intent and meaning of this Act and the rules.
33. Rectification
of a mistake
(1) With
a view to rectifying any mistake apparent from the record, any officer
appointed or any authority constituted under this Act may rectify suo motu or
otherwise any order passed by him.
Explanation: A mistake apparent from the record shall
include an order which was valid when it was made and is subsequently rendered
invalid by an amendment of the law having retrospective operation or by a
judgement of the Supreme Court, the Rajasthan High Court or the Rajasthan Tax
Board.
(2) No
application for rectification shall be filed under sub‑section (1) after
the expiry of a period of three years from the date of the order sought to be
rectified.
(3) Where
an application under sub‑section (1) is presented to the assessing
authority, appellate authority or Tax Board and a receipt thereof is obtained,
it shall be disposed of within a period of one year from the date of
presentation and where such application is not disposed of within the said
period, the same shall be deemed to have been accepted.
(4) No
rectification under this section shall be made after the expiry of four years
from the date of the order sought to be rectified.
(5) An
order of rectification which has the effect of increasing the liability of a
dealer in any way, shall not be made without affording him an opportunity of
being heard.
34. Reopening
of ex‑parte assessment
(1) Where
an assessment has been made ex‑parte under section 22 or clause (b) of
sub‑section (2) of section 24 or section 25 or section 26 or section 27,
the Deputy Commissioner (Administration) may, on the application of the dealer
made within thirty days of the date of service of the notice of demand in
consequence of such assessment along with such fee as may be prescribed, by an
order direct the assessing authority or the officer authorised by the
Commissioner, as the case may be, to cancel the assessment and proceed to make
a fresh assessment in accordance with the provisions of law.
(2) Before
issuing direction under sub‑section (1), the Deputy Commissioner$
(Administration) should be satisfied that the applicant dealer did not receive
notice or summons issued to him under sections 22 or clause (b) of sub‑section
(2) of section 24 or section 25 or section 26 or section 27 or that he was
prevented by sufficient cause from complying with any notice or summons issued
to him for assessment
(3) Where
the order for cancellation of the assessment under sub‑section (1) has been
assed, the assessing authority or the officer authorized by the Commissioner,
as the case may be, shall make fresh assessment within sixty days from the
communication of the order passed by the Deputy Commissioner (Administration)
under sub‑section (1). ‑
No civil court or any other authority shall stay
assessment proceeding purported to be initiated or already initiated under this
Act.
36. Determination
of disputed questions
(1) Where
any question arises, otherwise than in proceedings before a court, or in any
proceeding under section 29, 24,25 and 26, whether for the purpose of this
Act,-
(a) any
person is a dealer; or
(b) any
particular dealer is required to be registered; or
(c) any
transaction is a sale, and if so the sale price thereof; or
(d) any
tax is payable in respect of any particular sale or purchase or if tax is
payable, the point and the rate thereof; or
(e) any
particular thing done to any goods amounts to or results in the manufacture of
goods; or
(f) any
dealer is entitled to any particular amount of input tax credit, on being
filing of the application in the prescribed manner, the Commissioner shall make
an order determining such question.
(2) Where
any such question arises from any order already passed under this Act, no such
question shall be entertained for determination under this section, but such
question may be raised by the party concerned in the appeal against, or by way
of revision of such order.
(3) The
Commissioner under sub‑section (1) may direct that the determination
shall not affect the liability of any person under this Act, in respect of any
sale or purchase effected prior to the determination.
(4) Where
an order of the Commissioner passed in sub‑section (1) is modified in any
way in appeal or revision, the modified order shall be effective from the date
of order passed in such appeal or revision.
(1) A
dealer may make an application on plain paper to the Commissioner to transfer any
case under this Act from one officer or authority to other officer or authority
on the following grounds, namely:
(a) Dispute
of jurisdiction; or
(b) Apprehension
of miscarriage of justice; or (c) Business convenience.
(2) In
the face of cogent reasons adduced by a dealer in his application filed under
sub‑section (1), notwithstanding anything contained in section 35, the
Commissioner may stay the proceeding of the case ex‑parte for a period
not exceeding one month and in no case beyond a period exceeding three months
and such period of stay shall be excluded from the period of the time limit
specified in respect of the disposal of such case.
(3) The
Commissioner may after due notice to the dealer, by order in writing transfer a
case from one officer or authority to other officer or authority; however, no
notice to the dealer shall be necessary where the transfer is from one officer
or authority to other officer or authority, whose offices are situated in the
same city, town or village.
(4) Notwithstanding
anything contained in sub‑sections (1), (2) and (3), the Commissioner
may, at any time, for administrative reasons, transfer any case or cases from
one officer or authority to other officer or authority, without issuing any
notice to the dealer or dealers concerned.
Explanation: The word "case" in relation to
any dealer under this section shall mean any proceeding pending under this Act
on the date of the order made under sub‑section (2) or which may have
been completed on or before such date or which may commence after such date.
38. Liability
for payment of tax or demand
(1) The
tax or the demand shall be payable by a dealer or a person on the basis of an
assessment made or an order passed, under this Act.
Explanation I : The interest, penalty, or any sum
payable under this Act shall be deemed to be tax for the purpose of collection,
recovery and for all matters ancillary or incidental thereto.
Explanation II: The demand shall include any amount
payable by a person or a dealer under this Act or the rules.
(2) The
tax paid by a dealer or a person shall be adjusted against the tax determined
as a result of an assessment or the amount held payable in pursuance of an
order passed, under this Act and the balance of the amount shall be payable by
such dealer or person within thirty days from the date of service of the
notice, or within a period of less than thirty days, as may be determined by
the Assessing Authority or auditor or any other authority authorized by the
Commissioner in the special circumstances and for reasons to be recorded in
writing.
(3) In
default of the payment of tax or demand payable under sub‑section (1) or
sub‑section (2), the amount of tax or demand shall be recoverable in
accordance with the provisions of this Act including the provisions of the
Rajasthan Land Revenue Act, 1956 (Act No.15 of 1956) and the Revenue Recovery
Act, 1890 (Central Act No.1 of 1890).
(4) Where
a dealer or a person has filed an appeal to the Appellate Authority against an
order passed by an assessing authority or any other officer, the said Appellate
Authority may, after registering such appeal and after having heard the
appellant and the assessing authority or officer or any representative thereof,
stay the recovery of the disputed amount of tax or demand or any part thereof
for a period of six months from the date of such order or till the disposal of
the appeal, whichever is earlier, on the condition that the said dealer or the
person furnishes sufficient security to the satisfaction of, the Assessing
Authority or the officer, as the case may be, in such form and in such manner
as may be prescribed. However, the Appellate Authority may for reasons to be
recorded in writing continue such stay beyond the aforesaid period of six
months for a further period not exceeding six months.
(5) The
assessing authority may, subject to such conditions and restrictions as may be
prescribed, in respect of any particular dealer or person and for reasons to be
recorded in writing, extend the date of such payment and allow such dealer or
person to pay any demand in installments on the condition that the said dealer
or the person furnishes sufficient security to the satisfaction of assessing
authority.
(6) (a) Where
the recovery of tax or demand or any part thereof is stayed under sub‑section
(4), the amount of such tax or demand ultimately found due shall be recoverable
with interest as per provisions of this Act, and such interest shall be payable
on such amount from the date the tax or demand first became due.
(b) Where
the payment of tax or demand is postponed by installments under sub‑section
(5), the dealer or the person shall be required to pay interest for the amount
postponed and the period extended in accordance with the provisions of this
Act.
(7) Notwithstanding anything
contained in this Act, the Commissioner may,-
(a) on
the recommendation of the State Government defer the recovery of demand payable
by an industrial unit declared as sick by the Board of Industrial and Financial
Reconstruction constituted under the Sick Industrial Companies (Special
Provisions) Act, 1985 (Central Act No. I of 1986) to such extent, for such
period and on such conditions with regard to the payment or rate of interest as
may be deemed proper;
(b) after
having conducted such enquiry as he deems necessary and after recording his
reasons for so doing, permit deferment of payment of tax arrears for a‑maximum
period of three years and thereafter, order recovery thereof in sixty monthly
installments in case of such sick industrial units and such industrial units
facing incipient sickness as may be specified by the Committee constituted for
the purpose by the State Government.
The liability of a surety under this Act shall be co‑extensive
to the extent of the amount of security with that of the defaulting dealer and
all the modes of recovery enforceable against the dealer shall be
simultaneously enforceable against the surety.
40. Liability
of the representatives of a deceased person
(1) Where
a person dies and his business devolves by virtue of his death upon any other
person, such other person shall be liable to all obligations and liabilities in
respect of such business under this Act and shall within thirty days of the
devolvement of such business apply for registration unless he already holds a
certificate of registration.
(2) Where
a person dies and his executor, administrator or other legal representative
does not continue his business except for the purpose of winding it up, such
executor, administrator or legal representative shall be assessed as if he were
the dealer and shall be liable to pay out of the estate of the deceased person,
to the extent to which the estate is capable of meeting the charge, the tax
assessed or other demand payable under this Act.
41. Liability
on dissolution, discontinuance or partition of business
Where any business carried on by a firm, an
association of persons or a Hindu Undivided Family liable to pay tax, is
dissolved or discontinued permanently or where such Hindu Undivided Family is
partitioned-
(a) such
firm, association or family shall be liable to pay tax in respect of the
turnover of the goods and other articles including plant and machinery of such
firm, association or family as if there was no such dissolution, discontinuance
or partition and all the provisions of this Act shall apply accordingly;
(b) such
firm, association or family, as the case may be, shall be liable to pay tax on
the goods and other articles including plant and machinery allotted to any
partner or member thereof as if the goods or other articles including plant and
machinery had been sold to such partner or member unless he holds a certificate
of registration or obtains it within a period of three months from the date of
such allotment;
(c) every
person who was at the time of such dissolution, discontinuance or partition,
partner or member of such firm, association or family and the legal
representative of any such person who is deceased, shall, in respect of the
turnover of such firm, association or family, be jointly and severally liable
to assessment and payment of tax or other sum, and all the provisions of this
Act, so far as may be, shall apply to such assessment and the liability for
payment of tax or other sum;
(d) every
person who obtains the whole or any part of the stock relating to the business
of such firm, association of persons or Hindu Undivided Family, and gets
himself registered within a period of three months from the date he obtains
such stock, shall be liable to pay tax on the sale or purchase of the goods
made by him with effect from the date of such dissolution, discontinuance or
partition, as the case may be.
42. Liability
on transfer of business
(1) When
the ownership of the business of a dealer liable to pay tax is entirely
transferred in any manner, any tax or other sum payable in respect of such
business and remaining unpaid at the time of the transfer, shall be payable by
the transferee, as if he were the dealer liable to pay tax or other sum; and
for the liability to tax accruing from the date of such transfer, he shall
within thirty days of the transfer apply for registration, unless he already
holds a certificate of registration.
Explanation: "Transfer of entire ownership
of business" means,-
(a) transfer
of business assets, debits and credits and stocks in trade, input tax credit,
if any; or
(b) transfer
of land, building and plant and machinery.
(2) When
a dealer liable to pay tax transfers the ownership of a part of his business,
the transferor shall be liable to pay tax in respect of the stock of goods and
other articles including plant and machinery transferred along with the part of
his business which is not transferred, as if the goods and other articles
including plant and machinery have been sold by him, unless the transferee
holds a certificate of registration or obtains it within a period of three
months from the date of such transfer.
43. Liability
of principal and agent
(1) When
an agent sells any taxable goods on behalf of his principal, such agent and his
principal shall both be jointly and severally liable to pay tax on such sales.
(2)
Notwithstanding that a
principal may not be liable to tax on the sale or purchase of any goods made
within the State for any reason, nevertheless his agent shall be liable to pay
tax on the sale or purchase of goods in accordance with the provisions of this
Act.
44. Liability
of firms and partners
(1) Notwithstanding
anything contained in this Act, when any firm, existing or dissolved is liable
to pay tax under this Act, such firm as well as each of the partners of such
firm shall be jointly and severally liable to pay such tax.
(2) When
any partner retires from a firm before it is dissolved, he shall be liable to
pay the tax, if any, remaining unpaid at the time of his retirement and also
the tax, leviable up to the date of his retirement though it may be unassessed
on that date.
45. Liability
of directors of a private company
Subject to the provisions of the Companies Act, 1956
(Central Act No.1 of 1956), where any tax and other sums recoverable under this
Act from any private company, whether existing or wound up or under
liquidation, cannot be recovered for any reason whatsoever, every person who
was a director, at any time during the period for which the tax or other sums
are due, shall be jointly and severally liable for the payment of such tax and
other sums unless he proves to the satisfaction of the assessing authority that
the non‑payment of tax or other sums cannot be attributed to any gross
neglect, misfeasance or breach of duty on his part.
46. Liability
in case of amalgamation of companies
(1) When
two or more companies are to be amalgamated by the order of a court or of the
Central Government and the order is to take effect from a date earlier to the
date of the order and any two or more of 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
transactions of sale and purchase shall be included in the turnover of sales or
of purchases of the respective companies and shall be assessed to tax accordingly.
(2) Notwithstanding
anything contained in the said order of amalgamation, for all of the purposes
of this Act, the said two or more companies shall be treated as distinct
companies for all periods up to the date of the said order and the registration
certificates of the said companies shall be cancelled, where necessary; with
effect from the date of said order.
(3) Any
tax or other sum found recoverable under this Act for the period prior to the
operative date of amalgamation, from the company being amalgamated, shall be
payable by the company formed after amalgamation.
(4) Words
and expressions used in this section, but not defined shall have the respective
meanings assigned to them in the Companies Act, 1956 (Central Act No. I of
1956).
47. Liability
under this Act to be the first charge
Notwithstanding anything to the contrary contained in
any law f6r the time being in force, any amount of tax and any other sum
payable by a dealer or any other person under this Act, shall be the first
charge on the property of such dealer or person.
48. Certain
transfers to be void
Where during the pendency of any proceeding for the
determination of any liability to tax, interest, penalty or other sum under
this Act, if any dealer or a person against whom such proceeding is pending,
creates a charge on, or parts with the possession by way of sale, mortgage,
exchange, gift or any other mode of alienation whatsoever, of any of his assets
in favour of any other person, such charge, transfer, gift or alienation shall
be void as against any claim in respect of any tax, interest, penalty or other
sum payable by such dealer or person which arises as a result of the said
proceeding, except when-
(a) such
dealer or person has no notice of such proceeding pending against him; and
(b)
such transfer is made
for adequate valuable consideration.
Without prejudice to other provisions of this Act,
where any tax or other sum payable by a dealer or a person under this Act is
not paid in accordance with the provisions of this Act or the rules made or
notifications issued thereunder, it shall be recoverable as an arrear of land
revenue and the assessing authority or any other authority authorised by the
Commissioner, shall be empowered to recover such tax or other sum by attachment
and sale of movable or immovable property of such dealer or person and all the
provisions of the Rajasthan Land Revenue Act, 1956 (Act No. 15 of 1956) read
with the Rajasthan Land Revenue (Payments, Credits, Refunds and Recovery)
Rules, 1958 shall mutatis mutandis apply.
(1) Notwithstanding
anything contained in section 49 or any law or contract to the contrary, the
assessing authority or any other authority authorized by the Commissioner may,
at any time or from time to time by notice in writing, a copy of which shall be
sent to the dealer at his last known address, require,-
(a) any
person from whom any amount is due or may become due to a dealer who has failed
to pay due tax or other sum on demand by the assessing authority; or
(b) any
person who holds or may subsequently hold any money for or on account of such
dealer,
to pay into the Government Treasury or the Bank
authorized to receive money on behalf of the State Government, in the manner
specified in the notice issued under this section either forthwith or upon the
money becoming due from him or being held by him, within the time specified in
the notice (not being before the money becomes due or it is held), so much of
the money as is sufficient to pay the amount due from the dealer in respect of
the demand of tax and other sum under this Act, or the whole of the money when
it is equal to or less than that demand.
Explanation: For the purpose of this sub‑section,
the amount due to a dealer or money held for or on account of a dealer by any
person shall be computed after taking into account such claims, if any, as may
have fallen legally due for payment by such dealer to such person.
(2) The authority issuing a notice under sub‑section
(1) may at any time, or from time to time, amend or
revoke any such notice or extend the time for making any payment in pursuance
of this 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 treasury receipt or the challan of the bank for such payment shall
constitute a good and sufficient proof of discharge of the liability of such
person to the extent of the amount specified in the receipt or the challan.
(4) Any
person, who discharges any liability by making payment to the dealer or
otherwise, after service on him of the notice issued under sub‑section
(1), shall be personally liable to the State Government to the extent of the
liability discharged or the amount of demand, whichever is less.
(5) Any
amount or money which a person is required to pay under sub‑section (1)
or for which he is personally liable to the State Government under sub‑section
(4) shall, if it remains unpaid, be recoverable in accordance with the
provisions of this Act.
(6) The
provisions of this section shall be without prejudice to any action that may be
taken for the recovery of the arrears of tax and other sum, if any, due from a
dealer.
Explanation: For the purposes of this section, dealer
includes a person from whom any sum is recoverable under this Act.
51. Power
to reduce or waive interest and penalty in certain cases
(1) Notwithstanding
anything contained in this Act, the Commissioner may, on an application made in
this behalf by a dealer and after having got conducted such enquiry as he deems
necessary and after recording his reasons in writing for so doing, reduce or
waive, the amount of interest or penalty or both payable by such dealer under
this Act, if he is satisfied that-
(a) the
dealer is under financial hardship and is not in a position to make full
payment of the demand; or
(b) to
do otherwise would cause genuine hardship to the dealer.
(2) Every order made under this section shall
be final and shall not be called in question by any civil court or any other
authority.
Where a demand against a dealer payable under this Act
including the Central Sales Tax Act, 1956 (Central Act No. 74 of 1956) has been
outstanding for more than ten years from the date it became due and such demand
has been rendered irrecoverable for want of any kind of property for being
attached and sold, without prejudice to the provisions of other law or rules
providing for writing off of demands, such demand may be written off through an
order in writing, in the manner prescribed-
(a) by
the Assistant Commercial Taxes Officer, if it does not exceed rupees ten
thousand;
(b) by
the Assistant Commissioner or the Commercial Taxes Officer, as the case may be,
if it exceed rupees ten thousand but does not exceed rupees twenty five
thousand;
(c) by
the Deputy Commissioner (Administration), if it exceeds rupees twenty five
thousand but does not exceed rupees one lac;
(d) by
the Commissioner, if it exceeds rupees one lac but does not exceed rupees ten
lacs; and
(e) by
the State Government, if it exceeds rupees ten lacs.
(1) Where
any amount is refundable to a dealer under the provisions of this Act, after
having duly verified the fact of deposit of such amount by him, the assessing
authority or the officer authorized by the Commissioner, shall, in the
prescribed manner, refund to such dealer the amount to be refunded either by
cash payment or by adjustment against the tax or other sum due in respect of
any tax period.
(2) Notwithstanding
anything contained in this Act, where a registered dealer files a return and
claims refund on account of sales in the course of export outside the territory
of India, the assessing authority or officer authorized by the Commissioner may
require such dealer to furnish such documents as may be prescribed and after
having been satisfied, shall, within thirty days from the date of such claim,
grant the dealer a refund in cash.
(3) Where
an amount or tax is collected from any person who is not registered under this
Act and such amount or tax is not found payable by him, or where an amount in
lieu of tax for any works contract is deducted in any manner by an awarder from
any bill of payment to a contractor, who is not liable to pay tax under this
Act, the amount so collected or deducted shall be refunded in the prescribed
manner by the Assistant Commissioner or the Commercial Taxes Officer, as the
case may be, in whose territorial jurisdiction such person or contractor
ordinarily resides; and where such person or contractor does not reside in the
State, then such refund shall be made by such officer as may be directed by the
Commissioner.
(4) The
refund amount under this section shall carry interest with effect from the date
it becomes due at such rate as may be notified by the State Government from
time to time.
(5) Notwithstanding
anything contained in this section or in any other law for the time being in
force, only the dealer or the person, who has actually suffered the incidence
of tax or has paid the amount, can claim a ref und and the burden of proving
the incidence of tax so suffered or the amount so paid shall be on the dealer
or the person claiming the refund.
54. Power
to obtain security or withhold refund in certain cases
Where an order giving rise to refund is subject matter
of an appeal, revision or other proceeding and such appeal, revision or other
proceeding is contemplated or pending, and the officer concerned or the
assessing authority for reasons to be recorded in writing is of the opinion
that the grant of the refund is likely to adversely affect the State revenue,
the said officer or the assessing authority may, with previous approval of the
Commissioner, either obtain the security equal to the amount to be refunded to
the dealer or the person or withhold the refund till such time as the
Commissioner may determine.
55. Interest
on failure to pay tax or other sum payable
(1) Where
any person or a dealer commits a default in making the payment of any amount
of-
(a) tax
leviable or payable; or
(b) any
amount of tax, fee, penalty or interest assessed or determined; or
(c) any
other amount payable by him,
within the specified time under the provisions of this
Act or the rules made or notifications issued thereunder, he shall be liable to
pay interest on such amount at such rate, as may be notified by the State
Government from time to time, for the period commencing from the day
immediately succeeding the date specified for such payment and ending with the
day on which such payment is made.
(2) Subject
to the provisions of sub‑section (2) of section 66, interest under sub‑section
(1) shall be calculated-
(a) at
the time of assessment under any section or in continuation of such assessment;
and
(b) on
payment including the adjustment of a demand in full.
(3) The
liability to pay interest under the provisions of this section shall also arise
for a period which is less than a month.
(4) Where
a dealer, registered under this Act, has wrongly availed input tax credit or
has been granted an erroneous refund in any manner, such dealer shall be liable
to pay interest, at such rate as may be notified by the State Government from
time to time, on the amount of wrongly availed credit or the amount of such
refund as the case may be and such interest shall be calculated from the first
day of the month succeeding the month in which the credit was wrongly availed
or the refund was erroneously granted till the day on which such payment is
made.
56. Penalty
for not making application for registration
Where any person, has, without reasonable cause,
failed to make an application to get himself registered as required under the
provisions of this Act, within the time specified in the Act or prescribed in
the rules, the assessing authority or the authority competent to grant him
registration may direct that such person shall pay by way of penalty a sum of
rupees two thousand for first thirty days and thereafter in case of continued
default a further penalty of rupees twenty for every day of such default.
57. Penalty
for failure to furnish security or additional security
Where a dealer fails to furnish the initial security
or the additional security as directed to be furnished under section 15 within
the time specified therein, the authority competent to grant him registration
or the assessing authority, as the case may be, may direct that such person
shall pay by way of penalty a sum of rupees two thousand and a further penalty
of rupees fifty for, every day till the requisite security or additional security
is furnished.
58. Penalty
for failure to furnish return
Where the assessing authority or any other officer not
below the rank of Assistant Commercial Taxes Officer as authorized by the
Commissioner is satisfied that any dealer has, without reasonable cause, failed
to furnish prescribed returns within the time allowed, he may direct that such
dealer shall pay by way of penalty-
(i) a
sum equal to rupees two thousand for the first thirty days of delay and
thereafter, rupees fifty for every day of such default subject to a maximum of
five percent of the tax liability of the tax period, in case where due ta3( as
per books has been deposited in the notified period;
(ii) a
sum equal to rupees two thousand or five percent of the tax liability for the
first thirty days of delay whichever is higher and thereafter, rupees fifty for
every day of such default subject to a maximum of ten percent of the tax
liability of the tax period, in case where the due tax has not been deposited
in the notification period.
59. Penalty
for not maintaining or keeping accounts
Where any dealer does not maintain accounts, registers
and documents as required under the provisions of sub‑sections (1) and
(2) of section 71, or does not keep his accounts, registers and documents at a
place in accordance with the provisions of sub‑sections (3) and (4) of
section 71, the assessing authority or any other officer not below the rank of
Assistant Commercial Taxes Officer as authorised by the Commissioner may direct
that such person shall pay by way of penalty a sum of rupees five thousand and
in case of continuing default a further penalty of one hundred rupees for every
day of such continuance.
60. Forfeiture
and penalty for unauthorised collection of tax
(1) Where
any person-
(a) not
being a registered dealer or being a registered dealer not liable to pay tax
under this Act, collects any amount by way of tax; or
(b) who
being a registered dealer, collects any amount by way of tax in excess of the
tax payable by him; or
(c) who
otherwise collects tax in contravention of any of the provisions of this Act,
the assessing authority or any other officer, not
below the rank of an Assistant Commercial Taxes Officer authorized by the
Commissioner, shall, by an order forfeit the amount so collected.
(2) Where
any person or dealer has collected any amount in the manner specified in sub‑section
(1), the assessing authority or any other officer not below the rank of an
Assistant Commercial Taxes Officer authorized by the Commissioner, may direct
such person or dealer to pay, in addition to the amount forfeited under sub‑section
(1), a penalty equal to double the amount of tax which has been so collected by
him.
61. Penalty
for avoidance or evasion of tax
(1) Where
any dealer has concealed any particulars from any return furnished by him or
has deliberately furnished inaccurate particulars therein or has concealed arty
transactions of sale or purchase from his accounts, registers or documents
required to be maintained by him under this Act or has avoided or evaded tax in
any other manner, the assessing authority or any officer not below the rank of
an Assistant Commercial Taxes Officer as may be authorized by the Commissioner,
may direct that such dealer shall pay by way of penalty, in addition to the tax
payable by him under this Act, a sum equal to two times of the amount of tax
avoided or evaded.
(2) Notwithstanding
anything contained in sub‑section (1), where any dealer ' has availed
input tax credit wrongly, the assessing authority or any other officer not
below the rank of an Assistant Commercial Taxes Officer as may be authorized by
the Commissioner shall reverse such credit of input tax and shall impose on
such dealer-
(a) in
case such credit is availed on the basis of false or forged VAT invoices, a
penalty equal to four times of the amount of such wrong credit; and
(b)
in other cases, a
penalty equal to double the amount of such wrong credit.
62. Penalty
for not furnishing statistics
Where any person or a dealer, has without reasonable
cause failed to furnish within the time allowed, statistics or other
information required to be furnished in pursuance of any direction given by any
officer or authority appointed or constituted under this Act, the assessing
authority or any officer not below the rank of an Assistant Commercial Taxes
Officer as may be authorized by the Commissioner, may direct that such person
or dealer shall pay by way of penalty, a sum of rupees one thousand.
(1) Where
an awarder of a works contract, fails to deduct the amount in lieu of tax from
the bill of a contractor as prescribed, or after having deducted such amount
from such bill does not deposit the same in the prescribed manner and time, he
shall be liable to pay tax deducted by him and a penalty for each violation,
which shall be twenty per cent of the amount of tax required to be deducted in
case of non‑deduction, and a penalty at the rate of three per cent per
month on the amount so deducted but not deposited for the period during which
such default continues.
(2) The
assessing authority of the contractor concerned or any other officer not below
the rank of an Assistant Commercial Taxes Officer as may be authorized by the
Commissioner, shall be empowered to recover tax and impose penalty under sub‑section
(1).
64. Penalty
for other violations
Where any person or a dealer-
(i) fails
to comply with a direction given by any officer or authority appointed or
authorized or constituted under this Act; or
(ii) violates
any of the provisions of this Act or the rules made thereunder for which no
specific penalty has been provided elsewhere under this Act or the rules,
the assessing authority or any other officer not below
the rank of an Assistant Commercial Taxes Officer as authorized by the
Commissioner, may direct that such person or dealer shall pay by way of penalty
a sum of rupees two thousand, and in the case of a continuing default, a
further penalty of rupees fifty for every day of such continuance.
65. Opportunity
before imposition of penalty
No penalty under this Act shall be imposed unless a
reasonable opportunity of being heard is afforded to the dealer or the person
concerned.
66. Time
limit for imposition of penalty or levy of interest
(1) No order
for imposing penalty shall be passed-
(a) after
expiry of two years from the end of the year in which the relevant assessment
or rectification order is passed; and
(b) if
the assessment or rectification order is subject matter of appeal, revision or other
proceeding, after expiry of two years from the end of the year in which the
order in appeal, revision or other proceeding is passed.
(2)
(a) Subject to the
provisions of clause (b) of sub‑section (1), no order for levy of
interest shall be passed-
(i) after
expiry of two years from the end of the year in which relevant assessment or
rectification order is passed; and
(ii) if
the assessment or rectification order is the subject matter of appeal, revision
or other proceeding, after expiry of two years from the end of the year in
which the order in appeal, revision or other proceeding is passed.
(b) No
order for levy of interest in the case of recovery of demand shall be passed
after expiry of two years from the end of the year in which such demand in full
is recovered or adjusted or partly recovered and partly adjusted.
Explanation: In computing the period of limitation
under this section, the period during which the proceeding for imposition of
penalty or levy of interest remains stayed or restrained under the orders of
any competent authority or court shall be excluded.
(1) Where any person-
(a) though
not registered under this Act, yet falsely represents that he is a registered
dealer at the time of any sale or purchase made by him or at the time of making
any statement or declaration before any officer or authority appointed or
constituted under this Act; or
(b) knowingly
prepares or produces false accounts, sales and purchase invoices, VAT invoices,
registers or documents; or knowingly furnishes false returns in relation to his
business or makes a false disclosure or averment in any statement required to
be recorded or in any declaration required to be filed under this Act or the
rules or notifications; or
(c) fraudulently
avoids or evades tax or deliberately conceals his tax liability in any manner;
or
(d) fails
to pay the amount of any demand notice and a period of not less than six months
has elapsed since the receipt of the demand notice by him;
Explanation: An offence under this clause shall be
deemed to be a continuing offence until full payment is made; or
(e) deliberately
disregards a notice issued under sections 50 and 91; or
(f) prevents
or obstructs, in any manner, the competent officer under this Act, to enter,
inspect and search the business place or any other place where the goods or the
accounts, registers and other documents are believed to be kept, or prevents or
obstructs such officer to seize the goods or the accounts, registers and
documents; or
(g) fails
to stop the vehicle or carrier transporting the goods, of which he is the
driver or otherwise Incharge, for being inspected in accordance with the
provisions of this Act, or prevents or obstructs the inspection, of the goods
or the vehicle or the carrier transporting the goods, by the Incharge of a
check post or barrier or other officer empowered in this behalf to discharge
his duties by the Commissioner; or
(h) imports
into or exports from the State of Rajasthan, any goods showing incorrect or
fictitious names or addresses of consignors or consignees or incorrect details
of goods or incorrect particulars in vouchers, way bills or goods receipts or
other documents accompanying the goods while in movement; or
(i) fraudulently
avails wrong credit of input tax; or
(j) aids
or abets any person in the commission of any such offence as aforesaid, on a
complaint being made against such person by the assessing authority or any
other competent officer after having obtained sanction from the Deputy
Commissioner (Administration) having jurisdiction, he shall, on conviction by a
Judicial Magistrate having jurisdiction, be punishable with simple imprisonment
which may extend to three years or with fine which may extend to rupees ten
thousand or both. However, for the offences covered under clauses (b), (c),
(f), (g) and (i) he shall on conviction be punishable with a minimum sentence
of simple imprisonment of twelve months but in appropriate cases the court may
award a sentence less than twelve months.
(2) Where an offence under this section is
committed with regard to a business, every person, who was responsible for the conduct of the business at the time
when the offence was committed or who was answerable for a legal lapse in any
manner by his action or omission, shall be liable to be proceeded against and
punished under this section.
(3) Without
prejudice to the provisions contained in sub‑section (2), where an
offence under this section is committed by a firm or a company and it is found
that the offence has been committed with the consent or connivance of, or is
attributable to any neglect on the part of any partner of the firm or
Chairperson‑cum‑Managing Director, Managing Director, Executive
Director or Director of the Company, such partner, chairperson‑cum‑Managing
Director, Managing Director, Executive Director or Director, shall be liable to
be proceeded against and punished under this section.
(4) Any
proceedings under this Act including the proceedings of assessment,
rectification or recovery, other than the proceedings for imposition of
penalty, shall be carried on without prejudice to any prosecution under this
section.
(1) Where
a person or a dealer is charged under this Act with the offence-
(a) of
avoidance or evasion of tax in any manner and at any time;
(b) he
may make an application in the prescribed form and manner to the Deputy
Commissioner (Administration) having jurisdiction, admitting his offence and
making request therein for composition of the offence in lieu of penalty or
prosecution.
(2) The
Deputy Commissioner (Administration) may, whether or not an assessment order
under any section of this Act has been passed, accept from the person who made
the application under sub‑section (1), by way of composition of the
offence in lieu of penalty or prosecution a sum equal to one and a half times
of the amount of tax avoided or evaded.
(3) Notwithstanding
anything contained in sub‑sections (1) and (2), on an application by a
person admitting the offence committed by him under sub‑section (8) of
section 75 or sub‑section (7) or (8) of section 76, the assessing
authority, the officer authorized under sub‑section (4) of section 75 or
the officer empowered under sub‑section (4) of section 76 or the Incharge
of a check‑post or barrier, as the case may be, may accept composition
money from such person in lieu of penalty or prosecution, which shall be equal
to the amount of four times of the tax leviable on the goods involved or twenty
five per cent of the value of such goods, whichever is less.
(4) The
composition of any offence in lieu of penalty or prosecution under sub‑section
(2), shall be without prejudice to the liability of the person or dealer,
charged with the offence, to pay the tax with interest so avoided or evaded or
wrongly credited by him.
(5) On
the payment of the amount of composition determined under sub‑sections
(2) and (3), no further proceeding under the provisions of this Act for
imposition of penalty or launching of prosecution for the same offence, shall
be initiated.
(6) Notwithstanding
anything contained in section 51, no amount of composition accepted and no
amount of interest levied under this section, shall be waived or reduced by the
Commissioner.
(7) Notwithstanding
anything contained in section 82, no appeal shall lie or subsist against an
order of composition made under this Act.
69. Penalty
or composition under this Act not to interfere with punishment under other law
Any penalty proceeding under this Act whether pending
or completed or any composition of offence in lieu of penalty or prosecution,
shall not prevent the infliction of any punishment to which the person affected
thereby is liable under any other law.
(1) Subject
to such conditions as may be prescribed, the Commissioner may authorize either
generally or in respect of a particular case or class of cases, any officer not
below the rank of an Assistant Commercial Taxes Officer 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
powers conferred by the Code of Criminal Procedure, 1973 (Central Act No. 2 of
1974) upon the Officer‑Incharge of a Police Station for the investigation
of a cognizable offence.
71. Accounts
to be maintained by a dealer
(1) Every
dealer liable to pay tax under this Act shall keep and maintain a true and
correct account of his business activities in an intelligible form including
the value and quantity of the goods received, manufactured, sold or otherwise
disposed of or held in stock by him. However, the State Government may exempt, such
class of dealers as may be notified, from the provisions of this sub‑section.
(2) Notwithstanding
anything contained in sub‑rule (1), the State Government, if deemed
proper, may prescribe forms for maintaining accounts of sales and purchase of
goods, stock of raw materials used and finished goods produced.
(3) The
accounts required to be maintained under sub‑section (1) shall be kept by
the dealer at the place(s) of business as recorded in his certificate of
registration, and the stock book as referred to in sub‑section (2) shall
be kept at the place where manufacturing activity is carried on; however, final
accounts, annual statements, registers and documents shall be kept at the
principal place of business.
(4) Where
a dealer has established branches at places in the State other than the
principal place of business, the necessary accounts, registers and documents
relating to the business activities being carried on at each branch shall,
without prejudice to the provisions of sub‑section (3), be kept by him at
such branch.
(5) The
accounts, registers and other documents relating to a year, shall be preserved
and kept by a dealer for five years excluding the year to which they relate,
and this period of five years shall be deemed to have been extended by such
time until any pending proceeding referring thereto under this Act is finally
disposed of.
72. Registered
dealers to issue VAT invoice
(1) A
registered dealer, other than that who opts for payment of tax under sub‑section
(2) of section 3 or section 5 shall issue for each sale, except the sale of
exempted goods, made by him, a VAT invoice in such manner as may be prescribed.
(2) Where
any dealer, contravenes the provisions of sub‑section (1), the assessing
authority or the officer authorized by the Commissioner may, after giving such
dealer a reasonable opportunity of being heard, direct him to pay by way of
penalty a sum equal to double the amount of tax leviable on the sale of goods
in respect of which an invoice has not been issued.
(1) Every
registered dealer shall, if his turnover exceeds rupees forty lacs in any year,
get his accounts in respect of such year audited by an Accountant within the
prescribed period from the end of that year and furnish within prescribed
period the report of such audit in the prescribed form duly signed and verified
by such Accountant setting forth such particulars and certificates as may be
prescribed.
Explanation: For the purposes of this section
"Accountant" means a Chartered Accountant within the meaning of the
Chartered Accountants Act, 1949 (Act No. 38 of 1949).
(2) If
any dealer liable to get his accounts audited under sub‑section (1) fails
to furnish a copy of such report within the time as aforesaid, the assessing
authority or the officer not below the rank of an Assistant Commercial Taxes
Officer authorized by the Commissioner may, impose on him, in addition to any
tax payable, a sum by way of penalty equal to one tenth percent of the total
turnover of that year or rupees one lac, whichever is less.
74. Dealer
to declare the name of his business manager
Every dealer, who is liable to pay tax, shall furnish
a declaration within such time and in such manner as may be prescribed, stating
the name of the person or persons to be manager or managers of his business for
the purposes of this Act and also the name or names of person or persons
authorized to receive notice and other documents under this Act on behalf of
the dealer and such service on such person shall be binding on the dealer.
INSPECTION, SEARCH, SEIZURE AND ANTI‑EVASION
PROVISIONS
75. Power
of entry, inspection and seizure of accounts and goods
(1) An
assessing authority or any officer not below the rank of Junior Commercial
Taxes Officer authorized by the Commissioner in this behalf with such
conditions and restrictions as may be specified by the Commissioner, shall have
the power-
(a) to
inspect or survey the place of business of a dealer or any other place where it
is believed by such authority or officer that business is being done or
accounts are being kept by such dealer;
(b) to
direct such dealer to produce accounts, registers and documents relating to his
business activities for examination;
(c) to
inspect the goods in the possession of the dealer or in the possession of
anybody else on behalf of such dealer, wherever such goods are placed;
(d) to
make search of such place including the search of the person found there, where
concealment of facts relating to business is suspected;
(e) to
break open the door of any premises or to break open any almirah, box,
receptacle in which any goods, accounts, registers or documents of the dealer
are suspected to be concealed, where access to such premises, almirah, box or
receptacle is denied;
(f) to
record the statement of the dealer or his manager, agent or servant or to take
extracts from any record and to put identification marks on accounts, registers
or documents and on any door, almirah, box or receptacle.
Explanation: There shall be a presumption in respect
of goods, accounts, registers or documents, which are found at any place of
business of a dealer during any inspection or search, that they relate to his
business unless the contrary is proved by him.
(2) The
power under clauses (d) and (e) of sub‑section (1) shall be exercised by
the junior Commercial Taxes Officer in the presence of an authority not below
the rank of Assistant Commercial Taxes Officer.
(3) Where
any accounts, registers or documents are produced before any assessing
authority or any officer not below the rank of Assistant Commercial Taxes
Officer in any proceeding under this Act, such authority or officer may, for
reasons to be recorded in writing, impound and retain them in its custody for a
period not exceeding six months, and shall give the dealer or any other person
who has produced such accounts, registers or documents a receipt of the same.
The dealer may obtain copy of such accounts, registers or documents on payment
of copying fee as may be prescribed. However, such copy may not be given unless
the dealer produces the remaining accounts, statements, registers and documents
required to be maintained under the provisions of this Act or the rules made
thereunder.
(4) Where
at the time of inspection, the assessing authority or any officer not below the
rank of Assistant Commercial Taxes Officer authorized by the Commissioner in
this behalf has reason to suspect that the dealer is attempting to avoid or
evade tax or is concealing his tax liability in any manner, it may, for reasons
to be recorded in writing, seize such accounts, registers or documents of the
dealer as it may consider necessary and shall give the dealer or any other
person from whose custody such accounts, registers or documents are seized a
receipt for the same, and may retain the same in its custody for examination,
enquiry, prosecution or other legal action for a period not exceeding six
months. The dealer, may obtain copy of the seized record on payment of copying
fee as may be prescribed. However, such copy may not be given unless the dealer
produces the remaining accounts, statements, registers and documents required
to be maintained under the provisions of this Act or the rules made thereunder.
(5) The
accounts, registers or documents impounded under sub‑section (3) or
seized under sub‑section (4) may be retained even beyond a period of six
months and up to a maximum period of two years from the date of impounding or
seizure, as the case may be, by such authority or officer, after having
obtained permission in writing of the Commissioner or the Deputy Commissioner
(Administration) authorized by the Commissioner.
(6) The
assessing authority or any other officer not below the rank of Assistant
Commercial Taxes Officer authorized by the Commissioner under sub‑section
(4) may seize any goods liable to tax, which are found in the possession of a
dealer or in the possession of anybody else on behalf of such dealer and which
are not accounted for in his accounts, registers or documents maintained in the
course of his business; and a list of goods so seized shall be prepared by such
authority or officer and a copy thereof shall be given to the dealer or any
other person from whose custody such goods are seized.
(7) Where
it is not feasible to seize the accounts, registers or documents under sub‑section
(4) or the goods under sub‑section (6), the assessing authority or the
officer concerned may serve on the owner or the person who is in immediate
possession or control thereof an order that he shall not remove, part with or
otherwise deal with them except with the previous permission of such authority
or officer, which may, after serving such order, take such steps as may be
deemed necessary under the circumstances.
(8) The
assessing authority or the officer referred to in sub‑section (6) may,
after having given the dealer an opportunity of being heard and after having
held such further enquiry as it may consider fit, impose on him, for the
possession of goods not accounted for, whether seized or not under sub‑section
(6), a penalty equal to thirty percent of the value of such goods, and such
authority or officer may release the goods, if seized, on payment of the
penalty imposed or on furnishing such security for the payment thereof as it
may consider necessary.
(9) The
assessing authority or other officer as referred to in sub‑section (6)
may require any person,-
(a) who
transports or holds in custody any goods of a dealer, to give any information
in his possession in respect of such goods or to allow inspection thereof, as
the case may be; and
(b) who
maintains or has in his possession any accounts, registers or documents
relating to the business of a dealer, to produce such accounts, registers or
documents for inspection.
76. Establishment of check‑post or
barrier and inspection of goods while in movement
(1) The
Commissioner may, with a view to prevent or check avoidance or evasion of tax,
by notification in the Official Gazette., direct the setting up of a check‑post
or the erection of barrier or both, at such places as may be specified in the
notification, and every officer or official who exercises his powers and
discharges his duties at such check‑post or barrier by way of inspection
of documents produced and goods being moved shall be its Incharge.
(2) The
owner or a person duly authorized by such owner or the driver or the person
Incharge of a vehicle or carrier or of goods in movement shall-
(a) stop
the vehicle or carrier at every check post or barrier, and while entering and
leaving the limits of the State bring and stop the vehicle at the nearest check
post or barrier, set‑up under sub‑section (1);
(b) carry
with him a goods vehicle record including "challans" and
"bilties", invoices, prescribed declaration forms and bills of sale
or despatch memos;
(c) produce
all the documents including prescribed declaration forms relating to the goods
before the Incharge of the check‑post or barrier;
(d) furnish
all the information in his possession relating to the goods; and
(e) allow
the inspection of the goods by the Incharge of the check‑post orbarrier
or any other person authorised by such Incharge.
Explanation: For the purpose of this Chapter 'goods in
movement' shall mean-
(i) the
goods which are in the possession or control of a transporting agency or person
or other such bailee;
(ii) the
goods which are being carried in a vehicle or carrier belonging to the owner of
such goods; and
(iii) the
goods which are being carried by a person.
(3) The
State Government may require by notification that the documents required to be
furnished under sub‑section (2), shall be furnished by means of such
electronic devices, and be accompanied by such processing fee, as may be
prescribed.
(4) Where
any goods are in movement within the territory of the State of Rajasthan, the
assessing authority or 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 the provisions of sub‑section
(2) shall mutatis mutandis apply.
(5) Where
any goods while in movement through railway are unloaded and lying on the
railway premises within the State, the owner of the goods or a person duly
authorized by such owner, or the officer / official of railway administration
incharge of these goods shall, allow the inspection of such goods to the
officer empowered by the State Government and to produce before him all the
documents and furnish all the information in his possession relating to such
goods. The empowered officer, after recording reasons may direct the railway
administration not to part with the goods in any manner including re‑transporting
or re‑booking thereof and in appropriate cases may seize such goods and
provide a receipt of the goods so seized to the railway administration. In case
the railway administration fails to comply with directions issued under this
sub‑section, such officer may after affording an opportunity of being
heard, impose a penalty of two thousand rupees, on each of such violation.
(6) Where
any goods in movement, other than exempted goods, 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 Incharge of the check‑post
or barrier or the officer empowered under sub‑section (4), may-
(a) direct
the owner or a person duly authorized by such owner or the driver or the person
Incharge of the vehicle or carrier or of the goods not to part with the goods
in any manner including by re‑transporting or re‑booking, 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 a receipt of the
goods to the person from whose possession or control they are seized;
(c) release
the goods seized under clause (b) to the owner of the goods or to a person duly
authorized by such owner, during the course of the proceeding, if adequate
security of the amount equal to the estimated value of the goods is furnished.
(7) The
Incharge of the check‑post or barrier or the officer empowered under sub‑section
(4), after having given the owner of the goods or person duly authorized in
writing by such owner or person Incharge of the goods, a reasonable opportunity
of being heard and after having held such enquiry as he may deem fit, shall
impose on him 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 declaration, a penalty equal to
thirty percent of the value of such goods.
(8) During
the pendency of the proceeding under sub‑section (7), if any person
appears before the Incharge of the check‑post or barrier or the officer
empowered under sub‑section (4) and prays for being impleaded as a party
to the case on the ground of involvement of his interest therein, the said
Incharge or the officer on being satisfied may permit him to be impleaded as a
party to the case; and thereafter, all the provisions of this section shall
mutatis mutandis apply to him.
(9) The
Incharge of the check‑post or barrier or the officer empowered under sub‑section
(4) may release the goods to the owner of the goods or to a person duly
authorised by such owner, if seized and not already released under clause (b)
of sub‑section (6), on payment of the penalty imposed under sub‑section
(7) or on furnishing such security for the payment thereof, as such Incharge or
officer may consider necessary.
(10) Where
the owner or a person duly authorized by such owner or the driver or the person
Incharge of the vehicle or the carrier is found guilty for violation of the
provisions of sub‑section (2), the Incharge of the check‑post or
barrier or the officer empowered under sub‑section (4) may detain such
vehicle or carrier and after affording an opportunity of being heard to such
owner, driver or person, may impose a penalty equal to thirty percent of the
value of such goods.
(11) The
Incharge of the check‑post or barrier or the officer empowered under sub‑section
(4) may release the vehicle or the carrier on the payment of the amount of
penalty imposed under sub‑section (10) or on furnishing such security as
may be directed by such Incharge or officer.
(12) If
a transporter fails to give information as required from him under clause (d)
of sub‑section (2) about the consignor, consignee or the goods within
such time as may be specified or transports the goods with forged documents,
besides imposing the penalty under sub‑section (7), it shall be presumed
that the goods so transported have been sold in the State of Rajasthan by him
and he shall be deemed to be a dealer for those goods under this Act.
(13) The
provisions of this Act shall, for the purpose of levy, collection and
assessment of tax, determination of interest, payment and recovery of tax and
interest, appeal, review or revision, apply to the transporter deemed to be a
dealer under sub‑section (12).
77. Establishment
of check‑post on contract basis
(1) Where
the Commissioner is of the view that without establishment of a departmental
check‑post, it is in the interest of the State to collect a fixed sum of
tax on contract basis, in respect of goods notified under clause (8) of section
2 and livestock at a particular point or for a specified area, he may, through
a contract, permit a contractor to collect such tax at such point or for such
area, on such terms and conditions as may be specified by him, for a period not
exceeding two years at a time.
(2) A
contractor covered by sub‑section (1), shall deposit the fixed amount of
tax subject to revision on account of any increase or decrease in the rate of
tax or grant of exemption from tax, in such manner and within such time as may
be fixed by the Commissioner, and all the provisions of this Act including the
provisions of recovery and interest shall, so far as may be, apply to such
contractor.
(3) Where
the period of a contract entered into under sub‑section (1) expires and
no further contract is awarded, the same contract may be extended for a further
period of three months or up to the date of the award of the next contract,
whichever is earlier, and the contractor shall accordingly deposit the
proportionate amount of tax for such extended period, as directed by the
Commissioner.
(4) The
contractor shall not collect tax on the goods under sub‑section (1)
exceeding the amount of tax leviable thereon under the provisions of this Act.
(5) Where
a contractor violates the provisions of sub‑section (4), the Commissioner
or any officer not below the rank of Assistant Commercial Taxes Officer
authorized by the Commissioner, shall after affording an opportunity of being
heard, direct that such contractor shall pay by way of penalty, in addition to
the amount of excess tax collected a sum equal to double the amount of excess
tax collected by him or any other person on his behalf.
(6) Where
a contractor violates any of the terms or conditions of the contract, the
Deputy Commissioner (Administration) with the prior approval of the
Commissioner may, after recording reasons in writing, terminate the contract at
any time and the full amount of contract, after adjusting the amount already
deposited as stipulated under the contract, shall be recoverable from such
contractor, as if such amount was a demand of tax under this Act and the
provisions of recovery of demand shall mutatis mutandis apply.
(7) Notwithstanding
anything contained in this Act, the Commissioner may by notification direct
that no registered dealer shall collect tax in such area and in respect of such
goods as are referred to in sub‑section (1).
78. Transit
of goods by road through the State and issue of transit pass
(1) Where
a vehicle or carrier coming from any place outside the State and bound for any
place outside the State and carrying any goods bound for any place outside the
State, passes through the State, the owner, the driver or the person incharge
of such vehicle or carrier or goods shall obtain in such manner and on payment
of such fee, as may be prescribed, a transit pass for such goods from the
Incharge of the first check‑post or barrier after his entry into the
State and deliver it to the Incharge of the last check‑post or barrier
before his exit from the State.
(2) In
case of Trans‑shipment of goods being transported under sub‑section
(1), the owner or driver or person incharge of such vehicle or carrier of such
goods shall furnish such information to such authority and in such manner as
may be prescribed.
(3) Where
such owner, driver or person incharge fails to deliver such transit pass in
respect of any goods in accordance with the provisions of sub‑section (1)
or is found to have suppressed or given false particulars of any consignment of
goods in his application for issue of transit pass, it shall be presumed that
such goods have been sold within the State by the owner, the driver or the
person incharge of the vehicle or the ca rrier or the goods and the Incharge of
the check‑post or barrier from where such transit pass was issued or an
officer not below the rank of Assistant Commercial Taxes Officer authorized by
the Commissioner, after having afforded an opportunity of being heard to such
owner, driver or person incharge, shall make an order that notwithstanding
anything contained in this Act, such owner, driver or person incharge shall pay
tax on such sale together with the penalty equal to double the amount of such
tax.
(4) The
system of transit pass as provided in sub‑sections (1) and (3) shall come
into force from such date and at such check‑post or barrier as may be
notified by the Commissioner from time to time.
79. Import
of goods into the State or export of goods outside the State
(1) Any
registered dealer or any other person, who intends to import or bring any
goods, or otherwise receives within the State of Rajasthan goods as may be
notified by the State Government from outside the State, for sale, use,
consumption or for other disposal in the State, shall, unless otherwise
prescribed, obtain a prescribed declaration form from the prescribed authority,
and shall cause it to be carried with the goods as part of the documents
specified in sub‑section (2) of section 76 and produce along with other
documents before the Incharge of the entry check‑post or barrier of the
State or any other officer authorized by the Commissioner in this behalf.
(2) Any
registered dealer or any other person by whom any goods taxable within the
State of Rajasthan are dispatched from within the State to a place outside the
State either in the course of inter‑State trade or commerce or for sale
outside the State, such registered dealer or other person shall, unless
otherwise prescribed, furnish or cause to be furnished a prescribed declaration
form obtained from the prescribed authority as part of the documents specified
in sub‑section (2) of section 76, before the Incharge of the exit check‑post
or barrier of the State or any other officer authorised by the Commissioner in
this behalf.
(3) The
State Government may require by notification that the declaration forms
required to be furnished under sub‑sections (1) and (2) shall be
furnished by means of such electronic devices, as may be prescribed.
80. Liability
to obtain licence and furnish information by certain agents
(1) A
clearing or forwarding agent who in the course of his business renders his
service for booking or taking delivery of any consignment of goods liable to
tax or handles any document of title relating to goods liable to tax, shall
obtain a licence from the Assistant Commissioner or the Commercial Taxes
Officer, as the case may be, in whose territorial jurisdiction he conducts his
business, in such form and manner and subject to such conditions as may be
prescribed.
(2) Every
such clearing or forwarding agent shall furnish to the Assistant Commissioner
or the Commercial Taxes Officer, as the case may be, such particulars and
information in such form and manner as may be prescribed.
(3) Where
any clearing or forwarding agent violates any of the provisions of sub‑section
(1) or sub‑section (2), the Assistant Commissioner or the Commercial
Taxes Officer, as the case may be, may, after affording a reasonable
opportunity of being heard, direct him to pay an amount by way of penalty,-
(a) in
case of violation of provisions of sub‑section (1), not more than Rs.
2000/and not less than Rs. 1000/‑; and
(b) in
case of violation of provisions of sub‑section (2), equal to the amount
of tax leviable at the full rate on the value of the goods in respect of which
violation has been made.
81. Special
provisions relating to under‑billing
(1) Where
the assessing authority or an officer not below the rank of an Assistant
Commercial Taxes Officer authorized by the Commissioner in this behalf; has
reason to believe that the value of the goods shown in the sale or purchase
bill, invoice or VAT invoice is less than the fair market price of such goods,
he may seize the goods and shall conduct an enquiry to determine the actual
market price of such goods and where, after such enquiry, he is satisfied that
the price shown in the sale or purchase bill, invoice or VAT invoice is less
than the market price, he may, after seeking approval of the concerned Deputy
Commissioner (Administration), proceed to realize the amount of tax to be paid
as per such approved market price of the goods, in addition to the tax already
paid in respect of such goods, along with a penalty equal to the additional
amount of tax so levied, from the owner or Incharge of such goods. .
(2) In
case the owner or Incharge of such goods fails to deposit such amount within
the specified time, the goods so seized shall be sold by auction and the
additional amount as determined under sub‑section (1), along with the
expenses of auction, shall be realised out of such sale proceeds by the
assessing authority or the said authorized officer.
(3) The
owner or Incharge of the goods shall be afforded a reasonable opportunity of
being heard before initiating action under sub‑section (1) or (2).
82. Appeal
to the Appellate Authority
(1) Subject
to the provisions of section 86, an appeal against any order of an Assistant
Commissioner, a Commercial Taxes Officer, an Assistant Commercial Taxes Officer
or Junior Commercial Taxes Officer or Incharge of a check‑post or barrier
shall lie to the Appellate Authority.
(2) The
appeal shall be presented within sixty days of the date on which the order
sought to be appealed against is communicated; but the Appellate Authority may
admit an appeal even after the said period of sixty days if it is satisfied
that the appellant had sufficient cause for not preferring the appeal within
the said period.
(3) Notwithstanding
anything contained in sub‑section (4) of section 38, no appeal under this
section shall be entertained unless it is accompanied by a satisfactory proof
of the payment of tax and other amounts admitted by the appellant to be due from
him or of such instalment thereof as might have become payable and in case of
an appeal from an ex‑parte assessment order, five percent of, and in
other cases ten percent of the remaining demand over and above the admitted tax
or other amounts.
(4) Notwithstanding
that an appeal has been preferred to the Appellate Authority, the tax or any
other sum shall, subject to the provisions contained in sub‑sections (4)
and (5) of section 38, be paid in accordance with the order against which
appeal has been preferred.
(5) The
appeal shall be in the prescribed form and shall be verified in the prescribed
manner.
(6) The
following shall have the right to be heard at the hearing of the appeal,-
(a) the
appellant, either in person or by the authorized representative;
(b) the
authority or officer against whose order the appeal has been preferred either
in person or by a representative.
(7) The
Appellate Authority may, before disposing of any appeal make such further
enquiry as it thinks fit, or may direct the assessing authority or the officer
against whose order appeal has been preferred to make further enquiry and
report the result of the same to the Appellate Authority and in disposing of
the appeal the said authority may,-
(a) pin
the case of an order of assessment, interest or penalty,-
(i) confirm,
enhance, reduce or annul the assessment, interest or penalty; or
(ii) set
aside the order of assessment, interest or penalty and direct the assessing
authority to pass fresh order after such further enquiry as may be directed;
and
(b) in
the case of any other order, confirm, cancel, vary or remand such order.
(8) The
Appellate Authority shall send a copy of the order passed by it to the
appellant, the assessing authority or such authority against whose order the
appeal has been preferred, the Deputy Commissioner (Administration) concerned
and the Commissioner.
(1) An
appeal shall lie to the Tax Board against-
(a) an
order passed by the Commissioner under sub‑section(2) of section 26 or 36
or section 85;
(b) an
order passed by the Deputy Commissioner (Administration) under sub‑section
(2) of section 26 or sub‑section (1) of section 33; and
(c) an
order passed by an Appellate Authority.
(2) Any
person aggrieved by any order referred to in clauses (a), (b) and (c) of sub‑section
(1), may file an appeal before the Tax Board within ninety days of the date on
which the order sought to be appealed against is communicated to him in
writing.
(3) Notwithstanding
anything contained in sub‑section (2), the Commissioner or a Deputy
Commissioner (Administration) authorised specially or generally by the
Commissioner may, if aggrieved by any order referred to in clauses (a), (b) and
(c) of sub‑section (1), direct any officer or Incharge of a check‑post
or barrier to file an appeal before the Tax Board and such officer or Incharge
shall file such appeal under his signatures within one hundred and eighty days
of the date on which the order sought to be appealed against is communicated in
writing to the Commissioner or the Deputy Commissioner (Administration).
(4) The
respondent may, on receipt of notice that an appeal against an order referred
to in sub‑section (1) has been preferred by the appellant,
notwithstanding that he may not have appealed against such order, within one
hundred and twenty days in the case of an officer of the Commercial Taxes
Department and within sixty days in the case of a dealer, of receipt of the
notice, file a memorandum of cross‑objections verified in the prescribed
manner, against any part of the said referred order and such memorandum shall
be disposed of by the Tax Board as if it were an appeal within the time
specified in sub‑section (2) or (3).
(5) The
Tax Board may admit an appeal or permit the filing of memorandum of cross‑objections
after the expiry of the limitation provided in sub‑sections (2), (3) and
(4), if it is satisfied that there was sufficient cause for not presenting the
same within that limitation.
(6) An
appeal to the Tax Board shall be made in the prescribed form and shall be
verified in the prescribed manner.
(7) The
Tax Board, during the pendency of an appeal before it, shall not stay any
proceeding but it may, on an application in writing from the dealer, stay the
recovery of the disputed amount of tax or any other sum or any part thereof on
the condition of furnishing adequate security to the satisfaction of the
assessing authority or the officer authorised by the Commissioner in this
behalf; and the amount found ultimately due shall be subject to interest from
the date it became first due, in accordance with the provisions of this Act.
(8) Notwithstanding
that an appeal against an order has been preferred to the Tax Board, the tax or
any other sum shall be paid in accordance with the order against which appeal
has been preferred, unless recovery of such tax or any other sum has been
stayed by the Tax Board.
(9) The
Tax Board shall, with the previous sanction of the State Government, make, by
notification in the Official Gazette, regulations consistent with the
provisions of this Act and the rules made thereunder for regulating its own
procedure and the procedure of the benches thereof in all matters arising out
of the exercise of its powers or the discharge of its functions; however, until
the regulations are made, the Tax Board shall, subject to the provisions of
this Act and the rules made thereunder, have power to regulate its own
procedure and the procedure of the benches thereof in all matters arising out
of the exercise of its powers and discharge of its functions.
(10) The
Tax Board shall, after giving both the parties to the appeal an opportunity of
being heard, pass such order thereon as it thinks fit and send a copy thereof
to the appellant, the assessing authority, the authority whose order was
appealed against and the Commissioner.
84. Revision
to the High Court
(1) Any
dealer aggrieved by an order passed by the Tax Board under sub‑section
(10) of section 83 or under sub‑section (1) of section 33, may, within
ninety days from the date of service of such order, apply to the High Court in,
the prescribed form accompanied by the prescribed fee, for revision of such
order on the ground that it involves a question of law.
(2) The
Commissioner may, if he feels aggrieved by any order passed by the Tax Board
under sub‑section (10) of section 83, or under sub‑section (1) of
section 33, direct any officer or Incharge of a check‑post or barrier to
apply to the High Court for revision of such order on the ground that it
involves a question of law; and such officer or Incharge of a check‑post
or barrier shall make the application to the High Court within one hundred and
eighty days of the date on which the order sought to be revised is communicated
in writing to the Commissioner.
(3) The
application for revision under sub‑section (1) or sub‑section (2)
shall state the question of law involved in the order sought to be revised, and
the High Court may formulate the question of law in any form or allow any other
question of law to be raised.
(4) The
High Court shall after hearing the parties to the revision, decide the question
of law stated to it or formulated by it, and shall thereupon pass such order as
is necessary to dispose of the case.
85. Revision
by the Commissioner
(1) The
Commissioner may suo motu or otherwise, call for and examine the record of any
proceeding under this Act, and if he considers that any order passed therein by
Assistant Commissioner, Commercial Taxes Officer, Assistant Commercial Taxes
Officer or junior Commercial Taxes Officer or Incharge of a check‑post or
barrier is either erroneous, or prejudicial to the interest of the State
revenue, he may, after having made or after having caused to be made such
enquiry as he considers necessary, and after having given to the dealer a
reasonable opportunity of being heard, pass such order or issue such direction
as he deems proper under the circumstances of the case.
(2) No
order or direction under sub‑section (1) shall be passed or issued by the
Commissioner if a period of five years has already elapsed from the date on
which the order sought to be revised was passed.
86. No
appeal or revision in certain cases
Notwithstanding anything contained in sections 82, 83
and 84, no appeal or revision shall lie against,-
(a) a
notice or summons issued under this Act for the purpose of assessment or for
any other purpose including for recording statements; or
(b) a
direction to maintain certain accounts or furnish certain information,
statement, statistics or return; or
(c) an
order for impounding, seizure or retention of accounts, registers or documents;
or
(d) an
interim order passed in assessment or other proceeding, subject however, it
will be open to the party aggrieved to challenge such interim order in any
appeal or revision preferred against the final order;
(e) any
guidelines formulated, instructions issued, directions given or orders passed
by the Commissioner under section 91.
87. Persons
appointed under this Act to be public servants
All the officers and officials, with whatever
designation appointed or posted to discharge a duty under this Act, including
the members of the Tax Board shall be deemed to be public servants within the
meaning of section 21 of the Indian Penal Code (Central Act XLV of 1860).
88. Constitution
of the Rajasthan Tax Board
(1) The
State Government shall constitute the Rajasthan Tax Board for the State
consisting of a Chairman and as many members as it thinks fit, to exercise the
powers and to discharge the duties conferred on the said Tax Board by this Act
or any other law.
(2) The
Tax Board shall, subject to any direction given by the State Government, sit at
such place or places as it may deem fit.
(3) The
State Government shall prescribe the qualifications of persons who shall be
eligilAe for appointment as Chairman and member of the Tax Board, the method of
their selection for appointment and conditions of their service.
(4) The
constitution of the Tax Board shall not be deemed to be invalid if any vacancy
occurs or continues on account of death, resignation, retirement, transfer,
expiry or termination of the appointment, or due to temporary absence of the
Chairman or of any member.
No suit, prosecution or other legal proceeding shall
lie against any officer or official of the State Government for anything which
is done or intended to be done under this Act or the rules made thereunder in
good faith.
90. Bar to
proceedings except as provided in this Act
No assessment made and no order passed by any officer
appointed or authority constituted under this Act, shall be called into
question, except as provided in this Act.
91. General
powers of the commissioner
(1) Subject
to the provisions of this Act and the rules made thereunder, the Commissioner
shall be empowered to formulate guidelines or issue administrative
instructions, in particular or in general, for carrying out the purposes of
this Act and the rules.
(2) For
the purposes of official use, the Commissioner may, by notice in any newspaper,
or in such other manner as he deems proper, call upon all dealers or any class
of dealers or persons to furnish such information, statement or return as may be
specified in the notice issued in this behalf.
Any officer not below the rank of Assistant Commercial
Taxes Officer or the Appellate Authority or the Tax Board, while exercising
powers or discharging duties under any of the provisions of this Act, shall
have the same powers as are vested in a court under the Code of Civil
Procedure, 1908 (Central Act No. V of 1908) when trying a suit, in respect of
the following matters arising in any proceeding under this Act, namely:
(a) enforcing
the attendance of any person and examining him on oath or affirmation;
(b) compelling
the production of documents; and
(c) issuing
commission for examination of witness, and the proceeding before the said
officer or authority shall be deemed to be a judicial proceeding within the
meaning of sections 193, 196 and 228 of the Indian Penal Code (Central Act XLV
of 1860).
93. Power
to seek assistance from police officer or other officer
An officer or official exercising the powers under
this Act, may take the assistance of any police officer or other officer of the
Government, and upon such request for assistance being made, the police officer
or such other officer shall render necessary help in accordance with law.
94. Disclosure
of information relating to a dealer
(1) Where
any information about the registration, returns and assessment or matters
incidental thereto, of a dealer is required-
(a) by a
court in connection with any proceeding before it, or
(b) by a
police officer in connection with any investigation of a case; or
(c) by
any Government department for any official purpose, the assessing authority or
any officer may furnish the information under his possession to such court,
police officer or Government department.
(2) Where
any information as referred to in sub‑section (1) is required by a person
other than a court, a police officer or a Government department, such person
shall make an application to the Commissioner in the prescribed manner and on
payment of a prescribed fee, and the Commissioner may after he is satisfied
that there are no considerations justifying its refusal, furnish or cause to be
furnished the information to the applicant.
(1) The
State Government may, by notification in Official Gazette, provide that the
provisions contained in ' the Information Technology Act, 2000 and the rules
made and directions given thereunder, including the provisions relating to
digital signatures, electronic governance, attributation, acknowledgement and
dispatch of electronic records, secure electronic records and secure digital
signatures and digital signature certificates as are specified in the said
notification, shall, insofar as they may, as far as feasible, apply to the
procedures under this Act.
(2) Where
any notice, communication or intimation is prepared on any automated data
processing system and is properly served on any dealer or person, then the said
notice, communication or intimation shall not be required to be personally signed
by any officer or person and the said notice, communication or intimation shall
not be deemed to be invalid only on the ground that it is not personally signed
by any such officer.
96. Constitution
of Tax Settlement Board
(1) Notwithstanding
anything contained in this Act, the State Government may, by notification in
the Official Gazette, constitute a Tax Settlement Board consisting of a
Chairman and such other members, as it may deem fit, to resolve such disputes,
as may be prescribed, relating to outstanding demand of tax, or arrears of tax,
interest or penalty payable under this Act; and such Board shall undertake to
resolve the dispute whenever so requested by the dealer or person concerned.
(2) The
Tax Settlement Board shall have such powers and follow such procedure as may be
prescribed.
(3) The
order of settlement passed by the Tax Settlement Board shall be final and shall
not be called in question in any Civil Court or any other authority.
97. Court
fees payable under this Act
(1) Notwithstanding
anything contained in any other law for the time being in force, all
applications, appeals and other proceedings under this Act shall require court
fee stamps of such value as may be prescribed.
(2) The
State Government shall be exempted from court fee leviable under this Act and
the rules made thereunder.
98. Power
to remove difficulties
(1) Where
any difficulty arises in giving effect to the provisions of this Act, the State
Government may, by notification, make such orders not inconsistent with this
Act, as may appear to be necessary or expedient for removing the difficulty.
(2) No
order under sub‑section (1) shall be made after the expiration of three
years from the date of commencement of this Act.
(3) Every
order made under sub‑section (1) shall be laid before the House of the
State Legislature.
(1) The
State Government may by notification in the Official Gazette, make rules for
carrying out the purposes of this Act.
(2) All
rules made under this Act, shall be laid, as soon as may be after they are so
made, before the House of the State Legislature, while it is in session, for a
period of not less than fourteen days which may be comprised in one session or
in two successive sessions and if before the expiry of the sessions in which
they are so laid or in the session immediately following the House of the State
Legislature makes any modification in any of such rules or resolves that any
such rules should not be made, such rules shall thereafter have effect only in
such modified form or be of no effect, as the case may be; however, that any
such modification or annulment shall be without prejudice to the validity of
anything previously done thereunder.
(1) The
Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995) shall stand repealed on and
from the date of the commencement of this Act and the provisions of the
Rajasthan General Clauses Act, 1995 (Act No. 8 of 1955) shall apply to such
repeal.
(2) Without
prejudice to the generality of sub‑section (1)-
(a) anything
done or any action taken including any appointment, notification, notice,
order, rule or form made or issued, authorities or powers conferred, processes
issued under the repealed Act shall be deemed to have been done or taken or
issued under the provisions of this Act insofar as the same is not inconsistent
with the provisions of this Act or rules made thereunder and shall continue to be
in force accordingly unless and until superseded by any thing done or action
taken under this Act.
(b) any
authorities or Board constituted under the repealed Act shall be deemed to have
been constituted under the provisions of this Act.
(c) the
modified limitations or the newly introduced 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.