(1) The Commissioner may, serveon any person in the prescribed manner, anotice

informing him that an audit of the affairs of his business shall be conducted and in a case

where an assessment had already been concluded under this Regulation, reassessment may be made or assessment already made may be confirmed. Exp1analion.- A notice may be served notwithstanding the fact that the person may already have been assessed under sections 3 1 or section 32 or section 33. (2)Anotice sewed under sub-section (1) may require the person on whom it is served, to appear on a date and place specified therein, which may be at his business premises or at a place specified in the notice, to either attend and produce or cause to be produced the books of account and all evidence on which the dealer reliesinsupport of his returns (including tax

invoices, if any), or to produce such evidence as is specified in the notice.

1. (3) The person on whom a notice is sewed under sub-section (I) shall provide all co- operation and reasonable assistance to the Commissioner as may be required to conduct the proceedings under this section at his business premises.
2. (4) The Commissioner shall, after considering the return, the evidence furnished along

with the returns, if any, the evidence acquired in the course of the audit, if any, or any

information otherwise available to him, either-

1. (a) confirm the assessment; or
2. (b) serve a notice of the assessment or

re-assessn~ent of the amount of tax,

interest and penally, if any, pursuant to sections 32 and 33.

1. (5) Any assessment pursuant to an audit of the affairs of the business of the person referred to in sub-section (I) shall be without prejudice to prosecution for any offence under this Regulation. Inspec(~on of S9. (1)All records, books of account, registers and other documents, maintained by a records

dealer, transporter or operator of a warehouse shall, at all reasonable times, be open to

inspection by the Commissioner. (2)TheCommissioner may, forthe proper administrationofthis Regulation and subject to such conditions as may be prescribed, require-

1. (a) any dealer; or

1. (6) any other person, including a banking company, post ofice, a person who transporfs goods or holds goodsin custody for delivery to, or, on behalf of, any dealer, who maintains or has in his possession any books of account, registers or documents relatingto the business ofa dealer,and, inthe caseof aperson which is an organisation, any officer thereof-

(0 to produce before him such records, books of account, registers and

other documents,

1. (if) to submit such clarifications; and
2. (lit) to prepare and furnish such additional information, relating to his affairs of business or to the activities ofany other person connected with the affairs of his business, as the Commissioner may deem necessary.

1. (3) The Commissioner may require a person referred to in sub-section (2), t+
   • (a) prepare and provide any documents; and
   • (b) verify the clarifications submitted to the Commissioner, SERIES - I No. : 05 DATED 18~" AUGUST, 2005.

in the manner specified by him.

(4 The Commissioner may retain, remove, take copies or extracts, or cause copies or extracts to be made ofthe said records, books of account, registers and documents without fee by the person in whose custody the records, books of account, registers and documents are held, 60. (1) All goods kept at any business premises by a dealer, transporter or operator of a warehouse shall, at all reasonable times, be open to inspection by the Commissioner.

1. (2) Where the Commissioner, upon information in his possession or otherwise bas

reasonable grounds to believe that any person or dealer is attempting to evade

tax or is

concealing his tax liability in any manner and it is necessary so to do, for the purposes of

administration of this Regulation, the Commissioner may -

1. (a) enter and search any business premises or any other place or building;

1. (6) break open the lock of any door, box, locker, safe, almirah or other receptacle for exercisingthe powers confened by clause (a) wherethe keys thereof are not readily available;

. .

1. (c) seize and remove any records, books of account, registers, other documents or goods; (4 place marks of identification on any records, books of account, registers and other documents ormake or cause to be madeextracts or copiesthercofwithout charge;
2. (e) make a note or any inventory of any such money or goods found as a result of such search or place marks of identification on such goods; and V) seal the premises including the ofice, shop, godown, box, locker, safe, almirali or other receptacle.

1. (3) Where it is not feasible to remove any records, books ofaccount, registers, other documents or goods, the Commissioner may serve on

the owner and any person who is in

imniediate possession or control thereof, an order directing that he shall not remove or psrt

with or otherwise deal with them except with the previous~ermission of the omm missioner.

(4 Where any premises have been sealed under clause V) of sub-section (2), or an order made under sub-section

almirah or other receptacle, permit the desealing or release thereof, as the case may be, on

such terms and conditions including furnishing of security for such sum in such form and

manner as may be directed.

1. (5) The Commissioner may requisition the services ofany police officer or any public servant, or of both, to assist him for all or any

ofthe purposes specified in sub-section (2).

1. (6) Save as otherwise provided in this section, every search or seizure made under this section shall, as far as possible, be carried out in accordance with the provisions ofthe Code of Criminal Procedure, 1973 relating to searches or seizures made under that Code.
2. (7) The powers under this section may also be exercised in respect of a dealer or a third party for the purposes of undertaking an audit or to assist in recovery ofdues under this