The Dadra and Nagar Haveli and Daman and Diu Union territory Tax on Professions, Trades, Callings and Employments Act, 1976

(1) This Act may be called the Dadra and Nagar Haveli and Daman and Diu Union territory Tax on Professions, Trades, Callings and Employments Act, 1976. (2) It extends to the whole of the Union territory of Dadra and Nagar Haveli and Daman and Diu. (3) It shall come into force on the date of its publication in the official Gazette.

In this Act, unless the context otherwise requires,- (a) "Commissioner" means the Commissioner of Profession Tax appointed under section 12, and includes an Additional Commissioner of Profession Tax (if any) appointed under that section; (aa) "Designated Authority" means, - (i) a Municipality as constituted under Dadra and Nagar Haveli and Daman and Diu Municipal Council Regulation, 2004; (ii) a Village Panchayat or District Panchayat constituted under Dadra and Nagar Haveli and Daman and Diu Panchayat Regulation, 2012; Or as the case may be, the Union territory Administration, or any officer authorized to exercise the power of Municipality or Village Panchayat or the District Panchayat when the same is either dissolved or is not in existence. (b) "employer", in relation to an employee earning any salary or wages on a regular basis under him, means the person or the officer who is responsible for disbursement of such salary or wages, and includes the head of the office or any establishment as well as the manager or agent of the employer; (c) "month" means a month reckoned according to the British calendar; (d) "person" means any person who is engaged in any profession, trade, calling or employment on the Union territory of Dadra and Nagar Haveli and Daman and Diu and includes a Hindu undivided family, firm, company, corporation or other corporate body, any society, club or association, so engaged, but does not include any person who earns wages on a casual basis; Explanation.- Every branch of a firm, company, corporation or other corporate body, any society, club or association shall be deemed to be a person and a separate assessee for the purpose of levy of tax under this Act; (e) "prescribed" means prescribed by rules made under this Act; (ee) "prescribed authority" means an officer appointed under sub-section (1) of section 12; (f) "profession tax" or "tax" means the tax on professions, trades, callings and employments levied under this Act; (g) "salary" or "wage" includes pay or wages, dearness allowance and all other remunerations received by any person on regular basis, whether payable in cash or kind, and also includes perquisites, and profits in lieu of salary, as defined in section 17 of the Income-tax Act, 1961 (43 of 1961), but does not include any form of bonus or gratuity; (h) "Schedule" means a Schedule appended to this Act; (i) "Tribunal" means the Administrative Tribunal as may be or have been notified for various districts by the UT Administration; (j) "year" means the financial year.

(1) Subject to the provisions of article 276 of the Constitution and of this Act, there shall be levied and collected a tax on professions, trades, callings and employments by the Designated Authority for the benefit of the Panchayats, Municipalities, Municipal Corporations or as the case may be the Union territory. (2) Every person engaged in any Profession, Trade, Calling or Employment and falling under one or the other of the classes mentioned in column 2 of Schedule I shall be liable to pay the tax to the Designated Authority at such rate fixed by it but not exceeding the amount mentioned against the class of such person in the said Schedule: Provided that the rates of tax for the class of persons mentioned in entry 1 of the said Schedule shall be fixed by the State Government by notification in the Official Gazette: Provided further that the tax so payable in respect of any one person shall not exceed two thousand and five hundred rupees in any year: Provided also that the State Government may, by notification in the Official Gazette, specify the minimum rate of tax for each of such class mentioned in column 2 of Schedule I, below which tax shall not be levied by the Designated Authority and different limits may be fixed for different Designated Authorities and the minimum rate so notified shall be levied till the Designated Authority fixes some other rate under the provisions of this Act: Provided also that the State Government may, by notification in the Official Gazette, specify the class of persons other than those mentioned in entries 1 to 9 in Schedule I, to whom entry 10 in that Schedule shall apply: Provided also that the tax shall not be levied from the persons mentioned below Schedule I. (3) Where a person falls under more than one entry in Schedule I, he shall be liable to pay to the Designated Authority the tax under such one of these entries where the rate of tax specified is the highest. (4) A person falling under any of the entries 2 to 10 in schedule I shall be liable to pay the tax for the year irrespective of whether he is engaged in the profession, trade, calling or employment during the whole of such year or any part thereof. (5) Where a person falling under any of the entries in Schedule I is liable to pay the tax to more than one Designated Authority, he shall pay the tax to the Designated Authority where the tax liability is highest; Provided that where a person produces a certificate to the effect that the tax has been paid by him to the Designated Authority where the liability of tax is highest, the tax shall not be levied by any other Designated Authority.

The tax payable under this Act by any person earning a salary or wage, shall be deducted by his employer from the salary or wage payable to such person, before such salary or wage is paid to him, and such employer shall, irrespective of whether such deduction has been made or not, when the salary or wage is paid to such person, be liable to pay tax on behalf of all such persons: Provided that, if the employer is an officer of Administration, the Administration may, notwithstanding anything contained in this Act, prescribe by rules the manner in which such employer shall discharge the said liability: Provided further that where any person earning a salary or wage, who is covered by entry 1 of Schedule I,- (a) is also covered by one or more entries in Schedule I and the rate of tax specified under such other entry, or if he is covered by more than one other entry, the highest of the rates of tax specified under those entries, is more than the rate of tax specified under entry 1 in that Schedule by which he is covered; or (b) is simultaneously engaged in employments of more than one employer, and such person furnishes to his employer or employers a declaration in the prescribed form to the effect that he has obtained a certificate of enrolment under sub-section (2) of section 5 and that he shall pay the tax himself, no deduction or payment of tax shall be made by the employer or employers under this section and such employer or employers, as the case may be, shall not be liable to pay the tax on behalf of such person.

(1) Every employer not being an officer of Administration liable to pay tax under section 4 shall obtain a certificate of registration from the prescribed authority in the prescribed manner. (2) Every person liable to pay tax under this Act (other than a person earning salary or wages, in respect of whom the tax is payable by his employer), shall obtain a certificate of enrolment from the prescribed authority in the prescribed manner. (3) The prescribed authority shall mention in every certificate of enrolment the amount of tax payable by the holder according to Schedule I, and the date by which it shall be paid, and such certificate shall serve as a notice of demand for purposes of section 10. (4) Every employer or person required to obtain a certificate of registration or enrolment shall, within such period as may be prescribed or, if he was not engaged in any profession, trade, calling or employment on the date of the commencement of this Act, within such period from the date of commencement of his profession, trade, calling or employment, or, as the case may be, within such period from the date of his becoming liable to pay tax as may be prescribed, or, in respect of a person referred to in sub-section (2), within such period from the date of his becoming liable to pay tax at a rate higher or lower than the one mentioned in his certificate of enrolment as may be prescribed, apply for a certificate of registration or enrolment, or a revised certificate or enrolment, as the as the case may be, to the prescribed authority in the prescribed form, and the prescribed authority shall, after making such inquiry as may be necessary within thirty days of the receipt of the application (which period in the first year from the commencement of this Act shall be extended to ninety days), if the application is in order, grant him such certificate. (5) Where an employer or a person liable to registration or enrolment has without reasonable cause failed to apply for such certificate within the required time, the prescribed authority may, after giving him a reasonable opportunity of being heard, impose a penalty not exceeding two hundred rupees for each day of delay in case of an employer and not exceeding fifty rupees for each day of delay in case of others. (6) Where an employer or a person liable to registration or enrolment has deliberately given false information in any application submitted under this section, the prescribed authority may, after giving him a reasonable opportunity of being heard, impose a penalty not exceeding five thousand rupees.

(1) Every employer registered under this Act shall furnish to the prescribed authority a return in such form, for such periods and by such dates as may be prescribed, showing therein the salaries and wages paid by him and amount of tax deducted by him in respect thereof: Provided that the Commissioner may, subject to such terms and conditions as may be prescribed, exempt any such employer from furnishing such return or permit any such employer:- (i) to furnish them for such different periods, or (ii) to furnish a consolidated return relating to all or any of the places of work of the employer in the Union territory where such employer carries on his employment, for the said period or for such different periods,

(1) If the prescribed authority is satisfied that the return filed by any employer is correct and complete, he shall accept the return. (2)(a) If the prescribed authority is not satisfied that the return filed is correct and complete, he shall serve upon the employer a notice requiring him to attend in person or through an authorised representative, and to produce accounts and papers in support of the return, on a date specified in the notice. (b) The prescribed authority shall on examination of, accounts and papers, assess the amount of tax payable by the employer. (c) If the employer fails to comply with the terms of the notice, or if in the opinion of the prescribed authority the accounts and papers are incorrect or incomplete or unreliable, the said authority shall, after such inquiry as he deems fit or otherwise, assess the tax due, to the best of his judgment. (3) If an employer has without reasonable cause failed to get himself registered or being registered has failed to file any return, the prescribed authority shall, after giving the employer a reasonable opportunity of being heard and after holding such inquiry as he deems fit, or otherwise pass an order assessing the amount of tax due, to the best of his judgment. (4) The amount of tax so assessed shall be paid within fifteen days of receipt of the notice of demand from the prescribed authority.

(1) If a person liable to obtain a certificate of enrolment under sub-section (2) of section 5 has failed to get himself enrolled or, being enrolled, has failed, to make payment of the whole or any part of the amount of tax as required by or under this Act, the prescribed authority shall, after giving such person a reasonable opportunity of being heard, and after holding such enquiry as he deems fit, or otherwise, determine the amount of tax due from him, and if such amount cannot be determined properly on the basis of the available material, determine the same to the best of his judgment. (2) The amount of tax due as so determined shall be paid within fifteen days of receipt of the notice of demand from the prescribed authority.

(1) The tax payable under this Act shall be paid in the prescribed manner. (2) The amount of tax due from enrolled persons for each year as specified in their enrolment certificates shall be paid- (a) in the case of a person who stands enrolled before the commencement of a year or is enrolled on or before the 31st day of August of a year, before the 30th day of September of that year, and (b) in the case of a person who is enrolled after the 31st day of August of a year, within one month of the date of enrolment: Provided that the tax payable under clause (a), for the year ending on the 31st March, 1990, be paid on or before the 30th day of November, 1989.

(1) If an employer (not being an officer of Administration) does not deduct the tax at the time of payment of salary or wage, or after deducting fails to pay the tax as required by or under this Act, he shall, without prejudice to any other consequences and liabilities which he may incur, be liable to pay, in addition to the amount of tax, simple interest at one and a half percent of the amount of the tax, due for each month or part thereof for the period for which the tax remains unpaid. (2) If an enrolled person fails to pay the tax as required by or under this Act, he shall be liable to pay in addition to the amount of tax, simple interest at the rate and in the manner laid down in sub-section (1).

If an enrolled person or a registered employer fails, without reasonable cause, to make payment of any amount of tax within the required time or date as specified in the notice of demand, the prescribed authority may, after giving him a reasonable opportunity of being heard, impose upon him a penalty not exceeding fifty per cent of the amount of tax.

(1) All arrears of any tax, penalty, interest or fees due under this Act from any person shall be recoverable as arrears of land revenue or arrears of property tax as the case may be. (2) For the purpose of effecting recovery of the amount of tax, penalty, interest or fees due from any person by or under the provisions of this Act, as arrears of land revenue,- (i) the Commissioner of Profession Tax and the Additional Commissioners of Profession Tax and the Joint Commissioners of Profession Tax shall have and exercise all the powers and perform all the duties of the Collector under the Goa, Daman and Diu Land Revenue Code, 1968 and the Dadra and Nagar Haveli Land Revenue Administration Regulation, 1971; (here in after in this section referred to as the said code) or of Chief officer under the Dadra and Nagar Haveli and Daman and Diu Municipal Council Regulation, 2004. (ii) the Deputy Commissioners of Profession Tax shall have and exercise all the powers (except the powers of arrest and confinement, of a defaulter in civil jail) and perform all the duties of the Assistant or Deputy Collector under the said Code; (iii) the Profession Tax Officers shall have and exercise all the powers (except the powers of arrest and confinement of a defaulter in a civil jail) and perform all the duties of the Mamlatdar under the said Code; (3) Every order passed in exercise of the powers conferred by sub-section (2) shall, for the purpose of sections 13, 14, 15 and 25 be deemed to be an order passed under this Act.

(1) (a) For carrying out the purpose of this Act, the State Government may, for each Designated Authority, appoint an officer to be the Commissioner of Profession Tax. (aa) For carrying out the purpose of this Act, the Designated Authority may appoint such other officers as an Additional Commissioner of Profession Tax and such number of Deputy Commissioners of Profession Tax, Profession Tax Officers and other officers and persons not below such ranks, as the State Government may specify in this regards, with such designation. (b) An officer appointed under clause (a) or (aa) shall, within the limits of such area as the Designated Authority may, by order specify, to be within his jurisdiction, exercise such powers and perform such duties as may be conferred or imposed upon him by or under this Act. (c) The superintendence and control for the proper execution of the provisions of this Act and the rules made there under relating to the levy and collection of the tax shall vest in the Commissioner. (2) The Union territory Administration shall constitute a Tribunal for the purpose of hearing appeals and revision applications and discharging other functions of the Tribunal under this Act, and prescribe rules for conducting hearing by the said Tribunal; Provided that the Tribunal may with the previous sanction of the State Government, make separate regulations for the purpose of regulating its procedure and the disposal of its business, under this Act and the regulations so made shall be published in the Official Gazette: Provided further that Union territory Administration may designate any tribunal formed under any other Act as a tribunal under this section and provide the said tribunal with such additional resources as it may deem fit.

Any person or employer who, without sufficient cause, fails to comply with any of the provisions of this Act or the rules framed there under shall, on conviction, be punished with fine not exceeding five thousand rupees and when the offence is a continuing one, with fine not exceeding fifty rupees per day during the period of the continuance of the offence.

(1) Where an offence under this Act has been committed by a company, every person who at the time the offence was committed was in charge of, and was responsible to, the company for the conduct of the business of the company as well as the company shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly: Provided that, nothing contained in this sub-section shall render any such person liable to any punishment, if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence. (2) Notwithstanding anything contained in sub-section (1), where any offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly. Explanation.— For the purpose of this section— (a) “company” means any body corporate and includes a firm or other association of individuals; and (b) “director”, in relations to a firm, means a partner in the firm.

In section 99, in sub-section (1),- (I) after clause (xiv), the following clause shall be inserted, namely:-"(xiv-a) subject to and in accordance with the provisions of the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 (President's Act No. 11 of 1976) and the rules made thereunder, a tax on professions, trades, callings and employments;"; (2) in clause (xv), the words "a tax on professions, trades, callings and employments or" shall be deleted.

1. In section 200, - (1) in sub-section (1), - (a) after clause (ix), the following clause shall be inserted, namely:-"(ix-a) subject to and in accordance with the provisions of the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 (President's Act No. 11 of 1976) and the rules made thereunder, a tax on professions, trades, callings and employments;"; (b) in clause (x), the words "or tax on professions, trades, callings and employments" shall be deleted; (2) after sub-section (5), the following sub-section shall be inserted, namely:-"(5A) Notwithstanding anything contained in sub-section (1), where a tax on professions, trades, callings and employments has been imposed by any panchayat under the provisions of this Act in the area within the limits of a village panchayat, it shall not be lawful for any other panchayat, so long as the tax is being so imposed, to levy such tax within such limits.". 2. in section 206, in sub-section (2),- (I) clause (b) shall be renumbered as sub-clause (i) of that clause, and in sub-clause (i) as so re-numbered, after the words "such tax or fee", the brackets, words, figures and letters "(other than tax levied under section 3 of the Gujarat State Tax on professions, Trades, Callings and Employments Act, 1976 (Presidential Act No. 11 of 1976), read with clause (ix-a) of sub-section (I) of section 200) shall be inserted. (2) after sub-clause (i), as so re-numbered, the following sub-clause shall be inserted, namely:-(ii) Total amount of gross collection of tax levied under section 3 of the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 (Presidential Act No. 11 of 1976) read with clause (ix-a) of sub-section (I) of section 200, in any financial year in any area within the jurisdiction of a village panchayat shall not from part of the taluka fund, but shall be assigned to the concerned village panchayat. 3. In section 210,- (I) clause (b) shall be re-numbered as sub-clause (i) of that clause, and in sub-clause (i) a so renumbered, after the words "such tax or fee", the brackets, words, figures and letters "(other than tax levied under section 3 of the Gujarat State Tax on Employments Act, 1976 (Presidential Act No. 11 of 1976) read with clause (ix-a) of sub-section (I) of section 200)" shall be inserted. (2) after sub-clause (i), as so renumbered, the following sub-clause shall be inserted, namely:-(ii) total amount of gross collection of tax levied under section 3 of the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 (Presidential Act No. 11 of 1976) read with clause (ix-a) of sub-section (I) of section 200, in any financial year in any area within the jurisdiction of a village panchayat shall not from part of the taluka fund, but shall be assigned to the concerned village panchayat.

In section 38, in sub-section (1), for clause (b) following shall be substituted: "(b) subject to and in accordance with the provisions of the Dadra and Nagar Haveli and Daman and Diu State Tax on Professions, Trades, Callings and Employments Act, 1976 (President's Act No. 11 of 1976) and the rules made thereunder, a tax on professions, trades, callings and employments;"