Vidhi Codex

section 4

Re-numbered by Act 9 of 1970 w.e.f. 1.4.1970.

The 1[Karnataka] Sales Tax Act, 1957
Tax195767 sections6 chapters
Read full ActSections

Chapter II Chapter II

Statutory text

authorities and appellate tribunal.

3. Appointment of Commissioner,

1[

2[Additional Commissioner] ] ,

2[Assistant Commissioner of Commercial Taxes] , a

3[State Representative]

and

2[Commercial Tax Officer]

.-

4[(1)] The State Government may appoint a Commissioner of Commercial Taxes and as many

1[

2[Additional Commissioner] ] of Commercial Taxes,

2[Joint Commissioners]

of Commercial Taxes,

3[Assistant Commissioner of Commercial Taxes] ,

3[a State Representative]

and

2[Commercial Tax Officers]

, as they think fit for the purpose of performing the functions respectively conferred on them by or under this Act

5[or by or under any other law for the time being in force.]

1 Inserted by Act 10 of 1983 w.e.f. 1.4.1983.

2 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

3 Inserted by Act 9 of 1970 w.e.f. 1.4.1970.

6[x x x]

5 Inserted by Act 30 of 1962 w.e.f. 1.10.1962 by notification. Text of the notification is at the end of the

6 Omitted by Act 9 of 1964 w.e.f. 27.2.1964.

Act.

1[(1-A) The Commissioner may, empower an officer not below the rank of a

3[Assistant Commissioner of Commercial Taxes]

1 Inserted by Act 36 of 1986 w.e.f. 8.10.1986.

2 Inserted by Act 7 of 1997 w.e.f. 1.4.1997.

3 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

2[or an Advocate or a Chartered Accountant or a Sales Tax Practitioner enrolled in the prescribed manner] to perform the functions of a State Representative.]

1[(2) In proceedings before the Appellate Tribunal, the State Representative shall be competent,—

1957: KAR. ACT 25] Sales Tax

  1. (i) to prepare and sign applications, appeals and other documents;
  2. (ii) to appear, represent, act and plead;
  3. (iii) to receive notices and other processes; and
  4. (iv) to do all other acts connected with such proceedings, on behalf of the State Government or any officer appointed under this Act.] 1[ 2[3A. Instructions to subordinate authorities.- (1) The State Government and the Commissioner may from time to time, issue such orders, instructions and directions to all officers and persons employed in the execution of this Act as they may deem fit for the administration of this Act, and all such officers and persons shall observe and follow such orders, instructions and directions of the State Government and the Commissioner: 1. Sections 3A, 3B, 3C inserted by Act 9 of 1964 w.e.f. 27.2.1964. Provided that no such orders, instructions, or directions shall be issued so as to interfere with the discretion of any Appellate Authority in the exercise of its appellate functions.

1 Inserted by Act 9 of 1970 w.e.f. 1.4.1970.

2 Substituted by Act 27 of 1985 w.e.f. 1.8.1985.

  1. (2) Without prejudice to the generality of the foregoing power, the Commissioner may, on his own motion or on an application by a registered dealer liable to pay tax under the Act, 1[or a recognized association or a body representing a class of dealers] if he considers it necessary or expedient so to do, for the purpose of maintaining uniformity in the work of assessments and collection of revenue, clarify the rate of tax payable under this Act in respect of goods liable to tax under the Act, and all officers and persons employed in the execution of this Act shall observe and follow such clarification. 1[Provided that no such application shall be entertained unless it is accompanied by proof of payment of such fee, paid in such manner, as may be prescribed.]
  2. (3) All officers and persons employed in the execution of this Act, shall observe and follow such administrative instructions as may be issued to him for his guidance by the 1[Additional Commissioner] 2[Joint Commissioner] within whose jurisdiction he performs his functions.]

1 Inserted by Act 26 of 2004 w.e.f. 1.8.2004.

1 Inserted by Act 15 of 1988 w.e.f. 1.4.1988.

1 Inserted by Act 5 of 2002 w.e.f. 1.4.2003.

2 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

3B. Jurisdiction of officers.- (1)

2[(a) The

1[Additional Commissioners] shall perform their functions in respect of such areas or of such dealers or classes of dealers or of such cases or classes of cases as the

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

3[Commissioner] may direct.]

2 Inserted by Act 10 of 1983 w.e.f. 1.4.1983 & substituted by Act 9 of 1986 w.e.f. 1.4.1983.

3 Substituted by Act 15 of 1996 w.e.f. 5.9.1996.

Sales Tax [1957: KAR. ACT 25

1 Inserted by Act 9 of 1986 w.e.f. 1.4.1986 & omitted by Act 15 of 1996 w.e.f. 5.9.1996.

1[(b) x x x]

1[(c)] The

2[Joint Commissioners]

shall perform their functions in respect of such areas or of such dealers or classes of dealers or of such cases or classes of cases as the

2 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

3 Substituted by Act 4 of 1992 w.e.f. 1.4.1992.

3[Commissioner] may direct. 1. Re-lettered by Act 9 of 1986 w.e.f. 1.4.1986.

1[(d)] Where any directions issued under

2[clause (c)]

have assigned to two or more

3[Joint Commissioners]

2 Substituted by Act 9 of 1986 w.e.f. 1.4.1986.

3 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

, the same area or the same dealers or classes of dealers, or the same cases or classes of cases, they shall perform their functions in accordance with any orders which the Commissioner may make for the distribution and allocation of the work to be performed. 1. Re-lettered by Act 9 of 1986 w.e.f. 1.4.1986.

  1. (2) (a) The 1[Deputy Commissioners] shall perform their functions in respect of such areas or of such dealers or classes of dealers or of such cases or classes of cases as the 2[Commissioner] may direct.
    • (b) Where any directions issued under clause (a) have assigned to two or more 1[Deputy Commissioners] , the same area or the same dealers or classes of dealers or the same cases or classes of cases, they shall perform their functions in accordance with any orders the Commissioner may make for the distribution and allocation of the work to be performed.
  2. (3) (a) The 1[Commercial Tax Officers] and the 1[Assistant Commissioner of Commercial Taxes] shall perform their functions in respect of such areas or of such dealers or classes of dealers or such cases or classes of cases as the Commissioner may direct.
    • (b) Where any directions issued under clause (a) have assigned to two or more 1[Commercial Tax Officers] or 1[Assistant Commissioner of Commercial Taxes] , as the case may be, the same area or the same dealers or classes of dealers or the same cases or classes of cases, they shall perform their functions in accordance with any orders which the Commissioner may make for the distribution and allocation of the work to be performed.
  3. (4) (a) The Commissioner may, by general or special order in writing, direct that the powers conferred on the 1[Assistant Commissioner of Commercial Taxes] by or under this Act, shall, in respect of any specified case or 1957: KAR. ACT 25] Sales Tax classes of cases or any specified dealers or classes of dealers be exercised by the 1[Deputy Commissioner.]
    • (b) Where an order under clause (a) is issued, then for the purposes of any case or dealer in respect of which any such order applies, reference in this Act or in any rule made thereunder to the 1[Assistant Commissioner of Commercial Taxes] or assessing authority shall be deemed to be references to the 1[Deputy Commissioner.] Explanation.—In this section, the word "case" in relation to any dealer specified in any order or direction issued thereunder means all proceedings under this Act in respect of any year which may be pending on the date of such order or direction or which may have been completed on or before such date, and includes also all proceedings under this Act which may be commenced after the date of such order or direction in respect of any year. 3C. Change of incumbent of an office.- Whenever in respect of any proceeding under this Act, an assessing authority or any officer ceases to exercise jurisdiction and is succeeded by another who has and exercises jurisdiction, the authority or officer so succeeding may continue the proceeding from the stage at which the proceeding was left by his predecessor: Provided that the assessee concerned may demand that before the proceeding is so continued the previous proceeding or any part thereof be re-opened or that before any order of assessment is passed against him, he be re-heard.]

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

2 Substituted by Act 4 of 1992 w.e.f. 1.4.1992.

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

1 Substituted by Act 5 of 1993 w.e.f. 9.11.1992.

Advance Rulings’, (here in after referred to in this section as Authority) consisting of three Additional Commissioners, to clarify the rate of tax applicable under this Act in respect of any goods liable to tax under the Act or the exigibility of any transaction to tax under the Act on an application by a dealer registered under the Act.

  1. (2) The application shall be in such form and shall be accompanied by proof of payment of such fee, paid in such manner, as may be prescri bed.
  2. (3) An applicant may withdraw an application within thirty days from the date of application.
  3. (4) On receipt of an application, the Authority shall cause a copy thereof to be forwarded to the assessing or registering authority concerned and call for 1[its finding on the clarification sought or question raised and also] any information or records.
  4. (5) The Authority may, after examining the application and any records called for, by order, either, 1[admit] or reject the application.

1 Inserted by Act 26 of 2004 w.e.f. 1.8.2004.

1 Substituted by Act 26 of 2004 w.e.f. 1.8.2004.

Sales Tax [1957: KAR. ACT 25

Provided that the Authority shall not allow the application where the question raised in the application,-

  1. (i) is already pending before any officer or authority of the Department or Appellate Tribunal or any Court;
  2. (ii) relates to a transaction or issue which is designed apparently for the avoidance of tax. Provided further that no application shall be rejected under this sub- Section unless an opportunity has been given to the applicant of being heard and where the application is rejected, reasons for such rejections

shall be recorded in the order.

  1. (6) A copy of every order made under sub-Section (5) shall be sent to the applicant and the officer concerned.
  2. (7) Where an application is 1[admitted] under sub-Section (5), the Authority shall after examining such further material as may be placed before it by the applicant or obtained by the Authority, pass such order as deemed fit on the questions specified in the application, after giving an opportunity to the applicant of being heard, if he so desires 2[and also to the assessing authority or registering authority concerned]

1 Substituted by Act 26 of 2004 w.e.f. 1.8.2004.

2 Inserted by Act 26 of 2004 w.e.f. 1.8.2004.

1[ninety days] of the receipt of any application and a copy of such order shall be sent to the applicant and to the officer concerned.

  1. (8) No officer or any other authority of the Department or the Appellate Tribunal shall proceed to decide any issue in respect of which an application has been made by an applicant under this Section and is pending.
  2. (9) The order of the Authority shall be binding only,-
    • (i) on the applicant who had sought clarification;
    • (ii) in respect of the goods or transaction in relation to which a

clarification was sought; and

  1. (iii) on all the officers other than the Commissioner.
  1. (10) The order of the Authority under sub-section (7) shall be binding as aforesaid unless there is a change in law or facts on the basis of which the order was passed.
  2. (11) Where the Authority on a representation made to it by any officer or otherwise finds that an order passed by it was obtained by the applicant by fraud or mis-representation of facts, it may, by order, declare such order to be void ab initio and thereupon all the provisions of this Act shall apply to the applicant as if such order had never been made.
  3. (12) A copy of the order made undser sub-Section (11) shall be sent to

the applicant and the Commissioner or the officer concerned.]

1 Omitted by Act 27 of 1985 w.e.f. 1.8.1985 and again inserted by Act 5 of 2002 w.e.f. 1.4.2002.

1957: KAR. ACT 25] Sales Tax

1[(13) Notwithstanding any clarification or any ruling given by the ‘Authority for Clarification and Advance Rulings’ under sub-section (7) pertaining to any particular goods, the rate of tax payable in respect of such goods by the applicant shall be at such rate as may be clarified by the Commissioner under sub-section (2) of section 3-A, from the date of its publication in the official Gazette]

1 Inserted by Act 53 of 2013 w.e.f. 01.08.2013

1[CHAPTER - IIA SETTLEMENT OF CASES

Study data processing for this section.

PDF: pending for this language.