The Gujarat Carriage of Goods Taxation Act, 1962

Short title, extent and commencement.—(1) This Act may be called the Gujarat Carriage of Goods Taxation Act, 1962.

1. (2) It extends to the whole of the State of Gujarat.
2. (3) It shall come into force on such date as the State Government may, by notification in the Official Gazette, appoint.

Definitions.—In this Act, unless the context otherwise requires,—

1. (1) "fleet owner" means a person or a local authority or the State Government or the Central Government who or which owns or possesses more than ten goods vehicles in respect of each of which a registration mark has been assigned under the Motor Vehicles Act, 1939;
2. (2) "goods vehicle" means any motor vehicle constructed or adapted for use and used for the carriage of goods, or any motor vehicle not so constructed or adapted when used for the carriage of goods in connection with a trade or business;
3. (3) "operator" means any person whose name is entered in the registration certificate in respect of a goods vehicle as the person by whom the vehicle is kept, or where such person has leased the goods vehicle, the lessee;
4. (4) "pay load" in relation to any goods vehicle means the difference between the registered laden weight and the unladen weight of the vehicle as specified in the registration certificate of the vehicle, and where such weights are not so specified, such weights as may be determined in the prescribed manner;
5. (5) "prescribed" means prescribed by rules made under this Act;
6. (6) "private goods vehicle" means a goods vehicle other than a public goods vehicle;
7. (7) "public goods vehicle" means a goods vehicle used or adapted to be used for the carriage of goods for hire or reward;
8. (8) "tax" means a tax leviable under this Act;
9. (9) "taxation officer" means such officer as the State Government may, by notification in the Official Gazette, appoint to be a taxation officer for the whole of the State or for any area or areas thereof, and includes any officer empowered by the State Government to exercise the powers of a taxation officer;
10. (10) words and expressions used in this Act but not defined shall have the same meanings as are assigned to them in the Motor Vehicles Act, 1939.

Levy of tax on carriage of goods

1. (1) Subject to the provisions of this Act, there shall be levied and collected a tax on all goods carried by road in a goods vehicle, and such tax shall be payable by the operator of the goods vehicle.
2. (2) The tax shall be levied at such rate not exceeding one hundred per cent of the freight in respect of the goods, as the State Government may, by notification in the Official Gazette, specify in this behalf: Provided that in the case of a goods vehicle the weight whereof does not exceed such limit as may be prescribed, the State Government may, by notification in the Official Gazette, levy tax at such lump sum rate as may be specified in the notification.
3. (3) The tax shall be calculated and paid in the prescribed manner.

Submission of returns

1. (1) Every operator shall furnish to the Taxation Officer such returns in such form and within such period as may be prescribed.
2. (2) Every return shall be accompanied by a receipt showing the full payment of the tax due on the basis of such return.
3. (3) If any operator fails to furnish any return or fails to pay the tax as required by sub-section (2), the Taxation Officer may, after giving the operator a reasonable opportunity of being heard, assess to the best of his judgment the amount of tax, if any, due from him.

Issue of notice.

1. (1) If the Taxation Officer is satisfied that a fleet owner is liable to pay tax under this Act, he shall serve upon such fleet owner a notice in the prescribed form requiring him to furnish a return of the goods vehicles in his possession or under his control and such other particulars as may be prescribed.
2. (2) Every such notice shall require the fleet owner to furnish the return and the particulars within such period, not being less than thirty days from the date of the service of the notice, as may be specified in the notice.

Assessment of tax.

1. (1) If the Taxation Officer is satisfied that a return furnished under section 5 is complete and correct, he shall assess the amount of tax payable by the fleet owner on the basis of such return.
2. (2) If the Taxation Officer is not satisfied that a return furnished under section 5 is complete and correct, he shall serve on the fleet owner a notice requiring him, on the date and at the hour and place to be specified therein, either to attend in person or to produce or cause to be produced any evidence on which the fleet owner may rely in support of such return.
3. (3) On the day specified in the notice or as soon afterwards as may be, the Taxation Officer, after hearing such evidence as the fleet owner may produce and such other evidence as the Taxation Officer may require on specified points, shall assess the amount of tax payable by the fleet owner.
4. (4) If a fleet owner fails to furnish a return as required under section 5, or having furnished a return, fails to comply with all the terms of a notice issued under sub-section (2), the Taxation Officer shall assess the amount of tax payable by the fleet owner to the best of his judgment.

Payment of tax.

1. (1) The tax leviable under section 3 shall be paid in advance by the operator of a goods vehicle in such manner as may be prescribed.
2. (2) Where an operator fails to pay the tax in advance as required by sub-section (1), the tax shall be paid by him within such time as may be prescribed.
3. (3) The tax shall be paid into a Government treasury.
4. (4) On payment of the tax, the Taxation Officer shall grant to the operator a token in the prescribed form.

Penalty for non-payment of tax.

1. (1) If the tax or any part thereof is not paid within the time prescribed for the payment of the same under section 7, the operator shall be liable to pay, in addition to the tax, a penalty calculated at the rate of two per cent of the amount of tax for every month or part thereof during which the tax or part thereof remains unpaid.
2. (2) The amount of tax and any penalty due under this section shall be recoverable as an arrear of land revenue.

Tax to be charged on goods carried in goods vehicle of operator.

1. (1) Subject to the provisions of this Act, there shall be levied and paid to the State Government a tax on all goods carried in a goods vehicle, at such rate not exceeding twenty-five per cent of the freight charges, as the State Government may, by notification in the Official Gazette, specify in this behalf: Provided that in the case of a fleet owner, the tax shall be levied and paid at such compounded rate as may be specified by the State Government by notification in the Official Gazette.
2. (2) The tax leviable under sub-section
3. (1) shall be paid by the operator of the goods vehicle:

Recovery of tax Recovery of tax.

1. (1) If the tax or any part thereof due from any operator is not paid within the prescribed time, the Taxation Officer may serve or cause to be served upon the operator a notice of demand in the prescribed form requiring him to pay the amount due within such time not being less than fifteen days from the date of service of the notice, as may be specified in the notice.
2. (2) If the operator fails to pay the amount due within the time specified in the notice of demand, the whole of the amount then due shall be recoverable from him as an arrear of land revenue.
3. (3) Where any tax is not paid within the prescribed time, the operator shall, in addition to the tax, be liable to pay by way of penalty a sum equal to one per cent of the amount of tax for each month or part thereof during which the default continues.

Appeals.

1. (1) Any person aggrieved by an order passed under this Act may, within thirty days from the date of communication of such order to him, appeal to the prescribed authority.
2. (2) No appeal shall be entertained under sub-section
3. (1) unless it is accompanied by satisfactory proof of the payment of the tax or interest in respect of which the appeal has been preferred.
4. (3) The prescribed authority may, after giving the appellant a reasonable opportunity of being heard, pass such order on the appeal as it thinks fit and such order shall be final.

Power of revision.

1. (1) The State Government or such officer not below the rank of a Deputy Secretary to the State Government as the State Government may authorise in this behalf, may either suo motu or on an application made in this behalf, call for and examine the record of any order passed under this Act by any officer subordinate to it or him, for the purpose of satisfying itself or himself as to the legality or propriety of such order and may pass such order in reference thereto as it or he thinks fit. Provided that no order shall be revised under this section which has been made the subject of an appeal under section 11.

Maintenance of accounts and registers Maintenance of accounts and registers.

1. (1) Every operator shall maintain such accounts and registers in such form and in such language as may be prescribed.
2. (2) If the State Government is of opinion that the accounts and registers maintained by any operator or class of operators do not sufficiently enable the Taxation Officer to calculate the tax due from such operator or class of operators, it may by order require such operator or class of operators to maintain such accounts and registers as may be specified in the order.

Power of entry and inspection.

1. (1) Any Taxation Officer or such other officer as the State Government may authorise in this behalf may, at all reasonable times, enter into and inspect any place where he has reason to believe that any goods vehicle is kept or any accounts or registers are maintained or such operator carries on his business, and may require any operator or any person for the time being in charge of the place to produce before him for inspection such accounts, registers and documents as may be necessary for the purposes of this Act.
2. (2) Such officer may inspect, examine and seize any such accounts, registers and documents and record short notes or copies: Provided that the officer shall grant a receipt for any accounts, registers or documents so seized and shall return them to the person from whose custody they were seized within a period of twenty days from the date of the seizure, unless he records in writing the reasons for retaining them for a longer period.

Offences and penalties

1. (1) Whoever—
   • (a) being an operator, fails or neglects to perform any of the duties required of him by or under this Act, or
   • (b) contravenes any of the provisions of this Act or any rule made thereunder, shall, on conviction, be punishable with fine which may extend to five hundred rupees, and in the case of a continuing breach, with a further fine which may extend to twenty-five rupees for every day after the first during which the breach continues.
2. (2) Whoever wilfully causes or allows to be caused the tax to be evaded by any means, shall, on conviction, be punishable with fine which may extend to twice the amount of the tax due or one thousand rupees, whichever is greater.

Cognizance of offences No court shall take cognizance of any offence punishable under this Act, except on a complaint in writing made by the Taxation Officer or by any officer authorized in this behalf by the State Government, and no court inferior to that of a Magistrate of the second class shall try any such offence.

Composition of offences

1. (1) The Taxation Officer or any other officer authorised by the State Government in this behalf, may, either before or after the institution of proceedings for any offence punishable under this Act, accept from any person charged with such offence by way of composition of the offence a sum of money not exceeding five hundred rupees or double the amount of the tax which would have been payable under this Act, whichever is greater.
2. (2) On payment of such sum as may be determined by the Taxation Officer or such other officer, no further proceedings shall be taken against the accused person in respect of the same offence and any proceedings, if already taken, shall stand abated.

Protection of action taken in good faith No suit, prosecution or other legal proceeding shall lie against the State Government or any officer or servant of the State Government for anything which is in good faith done or intended to be done in pursuance of this Act or any rules made thereunder.

Power to make rules.

1. (1) The State Government may, by notification in the Official Gazette, make rules for carrying out the purposes of this Act.
2. (2) In particular and without prejudice to the generality of the foregoing provision, such rules may provide for all or any of the following matters, namely:—
   • (a) the form of return to be furnished under section 7;
   • (b) the form of the declaration and the particulars to be furnished under section 8;
   • (c) the form of the certificate of registration under section 9;
   • (d) the manner in which and the time within which the tax may be paid;
   • (e) the form of application for refund of tax under section 11;
   • (f) the authority to which and the time within which an appeal may be preferred under section 12;
   • (g) the procedure to be followed in appeal;
   • (h) the fees to be paid in respect of an appeal;
     • (i) the manner of serving copies of orders and notices;
   • (j) any other matter which is to be or may be prescribed under this Act.
3. (3) The power to make rules conferred by this section shall be subject to the condition of previous publication.
4. (4) All rules made under this section shall be laid for not less than thirty days before the State Legislature as soon as may be after they are made and shall be subject to rescission by the State Legislature or to such modification as the State Legislature may make during the session in which they are so laid or the session immediately following.
5. (5) Any rescission or modification so made by the State Legislature shall be published in the Official Gazette and shall thereupon take effect.

Repeal and saving.—(1) On the commencement of this Act, the Bombay Motor Vehicles (Taxation of Goods) Act, 1962, shall stand repealed:

Provided that such repeal shall not affect—

1. (a) the previous operation of the Act so repealed, or anything duly done or suffered thereunder;
2. (b) any right, privilege