Settlement of cases

**80. (1)

1. (a) After the Settlement Commission is constituted under section 33, if any dealer desires to get his liability to pay the tax settled by the Settlement Commission, he may, before initiation or during the pendency of assessment or reassessment proceedings under section 44 or 46 for any period, make an application in such form and in such manner containing such particulars, as may be prescribed, to the Settlement Commission for having his liability in respect of such period settled.** **(b) Every application made under this section shall be accompanied by such fees, as may be prescribed.** **(c) On receipt of the application, the Settlement Commission shall call for a report from the Commissioner and on the basis of the materials contained in such report and having regard to the nature and circumstances of the case or the complexity of the investigation involved therein, the Settlement Commission may, by order, allow the application to be proceeded with or reject the application :** ** Provided that, an application shall not be rejected, unless an opportunity has been given to the applicant of being heard :** ** Provided further that, an application shall not be proceeded with under this sub-section if the Commissioner objects to the application being proceeded with on the ground that concealment of turnover or any other particulars for evading tax has been established or is likely to be established by any Sales Tax Authority in relation to the case of the applicant.** **(d) A copy of every order passed as aforesaid by the Settlement Commission shall be sent to the applicant and to the Commissioner.** **(2) An application made under sub-section (1) shall not be allowed to be withdrawn without the previous permission of the Settlement Commission.** **(3) Where an application is allowed to be proceeded with under sub-section (1), the Settlement Commission may call for the relevant records from the Commissioner and after examination of such records, if the Settlement Commission is of the opinion that any further inquiry or investigation in the matter is necessary, it may direct the Commissioner to make or cause to be made such further inquiry or investigation and furnish a report on the matters covered by the application and any other matter relating to the case.** **(4) After examination of the records and the report of the Commissioner, received under sub-section (1), and the report, if any, of the Commissioner received under sub-section (3), and after giving an opportunity to the applicant and to the Commissioner to be heard, either in person or through a representative duly authorised in this behalf, and after examining such further evidence as may be placed before it or obtained by it, the Settlement Commission may, in accordance with the provisions of this Act and in the manner provided for in the regulations, pass such order as it thinks fit on the matters covered by the application, but any other matter relating to the case not covered by the application, but referred to in the report of the Commissioner.** **(5) Any amount settled by the Settlement Commission in accordance with this section shall be deemed to be the amount of tax and penalty and interest assessed or reassessed, levied or imposed and all the provisions contained in this Act regarding recovery of tax, penalty and interest shall apply accordingly.** **(6) If it is subsequently found by the Settlement Commission that the order passed by it is based on fraud or mis-representation of facts by or on behalf of the applicant, the Settlement Commission may pass an order declaring the order passed under sub-section (4) as void :** ** Provided that, no such order under this section shall be passed without affording to the applicant a reasonable opportunity of being heard.** **(7) Where any order of settlement is passed by the Settlement Commission in respect of any assessment or reassessment or penalty or interest proceedings, the assessing authority shall not pursue the proceedings unless the settlement order is declared to be void.** **(8) Where the Settlement Commission has passed an order of settlement in respect of any proceedings, no proceedings for an offence under this Act shall be instituted against the applicant or no penalty shall be imposed in respect of the same facts.** **(9) Nothing contained in the application made by any dealer to the Settlement Commission or in any statements made before the Commission shall be binding on the applicant, if the application is rejected by the Commission. Nothing contained in such application or also be used by the assessing authority in the assessment or re-assessment proceedings continued by such authority after the rejection of the application or after the declaration of the settlement order as void.** **(10) Subject to the provisions of this section and section 85, every order of the Settlement Commission passed under this section shall be conclusive as to the matter stated therein.**