Liability of principal, Commission agent, Auctioneer, etc

Liability of principal, Commission agent, Auctioneer, etc.

1. (1) Where a Commission agent, or any other agent, by whatever name called, or an auctioneer sells or purchases any goods, then the principal and such Commission agent, agent or auctioneer, as the case may be, shall be jointly and severally liable to pay tax on the turnover of such sales or purchases under the provisions of this Act : Provided that, if the principal on whose behalf such Commission agent, agent or auctioneer has sold goods, shows to the satisfaction of the Commissioner that the tax has been paid by his Commission agent, agent or auctioneer on such goods, the principal shall not be liable to pay tax again in respect of the same transaction : Provided further that, if an auctioneer sells goods on behalf of a disclosed principal, where the price of the goods is not recovered by the auctioneer on behalf of such principal, such auctioneer shall not be liable to pay tax in respect of such transaction.
2. (2) Where a manager or agent of a non-resident dealer, sells or purchases any goods on behalf of a non-resident dealer in the State, then the non-resident dealer and the manager or agent residing in the State shall be jointly and severally liable to pay tax on the turnover of such sales or purchases under the provisions of this Act : Provided that, if the non-resident dealer shows to the satisfaction of the Commissioner that the tax payable in respect of such sale or purchase has been paid by the manager or agent residing in the State, then the non-resident dealer shall not be liable to pay the tax again in respect of the same transaction.