Incidence of tax

Incidence of tax.

1. (1) Subject to the provisions of this Act, there shall be levied and collected a tax on the entry of the specified goods into a local area for consumption, use or sale therein.
2. (2) The tax shall be levied on the purchase value of the specified goods at such rate, not exceeding twenty per centum of the purchase value, as the State Government may, by notification in the Official Gazette, specify and different rates may be specified for different specified goods or different local areas.
3. (3) The tax shall be payable by an importer: Provided that where the specified goods are purchased by an importer through a clearing and forwarding agent, the tax shall be payable by the clearing and forwarding agent in the same manner as if he were the importer of such goods.