(1) Notwithstanding anything contained in this Regulation, every dealer, whose

turnover in the year immediately preceding the commencement

ofthis Regulation orin any subsequent year exceeds the taiable quantum under this Regulation but does not exceed twenty five lakh rupees or such other amount as may be specified by the Govehent by notification, shall have an option to pay tax under this section: . ' -7 Provided that this section shall not apply to any dealer, who is registered as a dealer under the Central Sales Tax Act, 1956 or who procures goods from any place outside the Daman and Diu or sells or suppliesgoods to any placeoutside the Daman andDiu duringthe year in which he opts to pay tax under this section.

1. (2) Every dealer, referred to in sub-section (I), at the time of making an application for grant of certificate of registration under section 19, shall be required to specify whether he intends to pay tax under this section: Provided that incase a dealer opts to pay taxunder this section, he may, by an application made to the Commissioner within such time and in such manner as may be prescribed, withdraw his option at any time after the end of the year in which such option was made: Provided further that in a case where a dealer withdraws his option to pay tax under this section, he shall be entitled to claim credit of the tax paid under this Regulation on the tradingstock, raw material and packagingmateriaf held by himintheDaman indDiu on the

date when such option was made subject to the condition or conditions specified in section

20 and applicable to such dealer.

1. (3) In case a person who intends to pay tax under this section and- 4 of 1964.
   • (a) who was registered under the Daman and Diu Sales Tax Act, 1964, at the time of the commencement of this Regulation; Levy of tax and availing of tax credit on uscd goods. Composition scheme for spified dcalm.
   • (b) whose mover in the year preceding the commencement of this Regulation or any subsequent year exceeds the taxable quantum under this Regulation but does not exceed twenty five lakh rupees or such other amount as may be specified by the Government by notification,

he shall specify his intention, within such time and in such manner

as may be prescribed, to pay tax under this section.

1. (4) Wherea dealer opts or intends to pay tax under this section, net tax payable by the dealer shall bethe amount determined atPhe rate of one per cent, ofthe turnover ofthe dealer.
2. (5) A dealer, who opts or intends to pay tax under this section shall,-
   • (a) not compute his net tax under section 11;
   • (b) not be entitled to claim credit under section 9 or section 14 or section IS;
   • (c) not be entitled to issue tax invoice; (4 not collect any amount by way oftax under this Regulation; and
   • (e) retain tax invoices and retail invoices for all of his purchases, as required under section