Tax on luxury commodities

Tax on luxury commodities.—(1) Subject to the provisions of this Act and the rules made thereunder, there shall be levied and collected a tax on the luxury commodities specified in column 2 of the Schedule, which are—

1. (a) manufactured in the State or imported into the State by a manufacturer or an importer, or
2. (b) held in stock by a registered stockist, at such rate not exceeding twenty per cent. of the value of the stock of such commodities as the State Government may, by notification in the Official Gazette, specify in this behalf, and different rates may be specified for different luxury commodities: Provided that no tax shall be levied on any luxury commodity which is exported out of the territory of India: Provided further that no tax shall be levied on the stock of any luxury commodity if the tax thereon has already been paid under this Act by any other manufacturer, importer or registered stockist.

1. (2) The tax shall be paid by the manufacturer, importer or, as the case may be, the registered stockist in such manner and within such time as may be prescribed.