Collection of tax and penalty

40 Collection of tax only by registered dealers |Rule: Nil Form: Nil No person who is not a registered dealer shall collect in respect of any sale of goods by him in Delhi any amount by way of tax under this Act and no registered dealer shall make any such collection except in accordance with this Act and the rules made thereunder and at the rates specified under this Act. Tax collected by a person who is not a registered dealer shall not be refunded and shall stand forfeited. '[40A Agreement to defeat the intention and application of this Act to be void |Rule: Nil Form: Nil If the Commissioner is satisfied that an arrangement has been entered into between two or more persons or dealers to defeat the application or purposes of this Act or any provision of this Act, then, the Commissioner may, by order, declare the arrangement to be null and void as regard the application and purposes of this Act and may, by the said order, provide for the increase or decrease in the amount of tax payable by any person or dealer who is affected by the arrangement, whether or not, such dealer or person is a party to the arrangement, in such manner as the Commissioner considers appropriate so as to counteract any tax advantage obtained by that dealer from or under the arrangement. For the purposes of this section - (a) “arrangement” includes any contract, agreement, plan or understanding, whether enforceable in law or not, and all steps and transactions by which the arrangement is sought to be carried into effect; (b) “tax advantage” includes, - (i) — any reduction in the liability of any dealer to pay tax, any increase in the entitlement of any dealer to claim input tax credit or refund, any reduction in the sale price or purchase price receivable or payable by any dealer. ]