No deduction from turnover except on declarations

There shall not be deducted from the turnover of sales, sales of goods to an Authorised dealer, or a Recognised dealer or to a Commission agent holding a permit purchasing on behalf of his principal, as provided in sections 7 and 8 unless—

1. (a) the authorised dealer certifies in the prescribed declaration that the goods are purchased for resale in the course of inter-State trade or commerce or in the course of export out of the territory of India or for packing of the goods meant for resale in the course of inter-State trade or commerce or in the course of export out of the territory of India and that such goods will be so resold by himself within nine months or will be so used within nine months from the date of such purchase by himself in the packing of such goods;
2. (b) the Recognised dealer certifies in the prescribed declaration form—
   • (i) that the goods purchased by him are covered by Part II of Schedule C; and
   • (ii) that the said goods are purchased by him for use by him within the State in the manufacture of taxable goods, for sale, which will in fact be so used and sold by him (and will not be given away as samples or otherwise) or in the packing of goods so manufactured;
3. (c) the Commission agent certifies in the prescribed declaration form that the goods are purchased on behalf of his principal who is an Authorised dealer and the goods will be sold by the principal in the course of inter-State trade or commerce, or in the course of export out of the territory of India