The Manipur tax on Luxuries (Hotels and Lodging Houses) Act, 2000

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Date of Assent <4. Gir aml

Date of Publication 2.8/7?

The Manipur Tax on Luxuries (Hotels and Lodging Houses) ik 2000. An Bilkad

to provide for imposition of tax on the luxuries in hotels and lodging houses and for matters connected therewith.

Be it enacted by the Legislature of Manipur in the Fifty-first Year of the Republic

of India as follows :

(1) This Act may be called the Manipur Tax on Luxuries (Hotels and Lodging Houses) Act, 2000. (2) It extends to the whole of the State of Manipur. (3) It shall come into force on such date as the State Government may, by notification in the official Gazette, appoint.

(1) Subject to the provisions of this Act and the rules made thereunder, there shall be levied a tax on the turnover of receipts of a hotelier. (2) There shall be levied a tax on the turnover of receipts at the following rates, namely: - (a) where the charge for luxury provided in a hotel is less than fifty rupees per day per person; nil; (b) where the charge for luxury provided in a hotel is one hundred rupees or more but does not exceed one hundred rupees per day per person; ten per centum of such turnover of receipts; (c) where the charge for luxury provided in a hotel exceeds one hundred rupees but does not exceed two hundred rupees per day per person; fifteen per centum of such turnover of receipts; (d) Where the charge for luxury provided in a hotel exceeds two hundred rupees per day per person; twenty per centum of such turnover of receipts; Provided that where the charges are levied otherwise than on daily basis or per person, then the charges for determining the tax liability under this section shall be computed proportionately for a day and per person based on the total period of occupation of the accommodation for which the charges are made and the number of persons actually occupying or permitted to occupy according to the rules or practice of the hotel. (3) Where, in addition to the charges for luxury provided in a hotel, service charges are levied and appropriated by the hotelier and not paid to the staff then such service charges shall be deemed to be part of the charges for luxury provided in the hotel. (4) Where luxury provided in a hotel to any person (not being an employee of the hotel) is not charged at all, or is charged at a concessional rate, nevertheless there shall be levied and collected the tax on such luxury at the rates specified in sub-section(2), as if full charges for such luxury were paid to the hotelier. (5) Where luxury provided in a hotel for a specified number of persons is shared by more than the number specified, then, unless the additional person is a child occupying the room along with his parent or guardian and no separate charge is recovered for the child, in addition to the tax levied for luxury provided to the specified number of persons, there shall be levied and recovered separately the tax in respect of the charges made for the extra persons accommodated. Explanation :- For the purpose of this sub-section, ”child” means a person who has not completed twelve years of age. (6) The State Government, may, by notification in the official Gazette and subject to the condition of previous publication, add or omit or reduce or increase any rate of tax specified in sub-section (2) and thereupon such rate or rates of tax shall be deemed to have been amended accordingly.

(1) Subject to the provisions of this Act and the rules made thereunder, there shall be paid by every hotelier who is liable to pay tax under this Act the tax or taxes leviable in accordance with the provisions of this Act. (2) If a person other than the owner (including part-owner) is for the time being in charge of the hotel, then such person and the owner (including part-owner) shall jointly and severally be liable to pay the tax.

The authorities competent to assess, recover and enforce payment of tax under the Manipur Sales Tax Act, 1990, hereinafter referred to as the sales tax law, shall, within their local jurisdiction under the sales tax law, be competent to assess, within such jurisdiction and, subject to the provisions of this Act and the rules, notifications and orders made thereunder, the said authorities, for this purpose, may exercise all or any of the powers they have under the sales tax law, and the provisions of the sales tax law, including provisions relating to inspections assessment, registration of the transferee of a business, imposition of tax liability of a person carrying on business on the transferee of, or successor to, such business, transfer of liability of any firm or Hindu undivided family to pay tax in the event of dissolution of such firm or partition of such family, appeals, revisions, references, refunds, rebates, payment of interest, compounding of offences and treatment of documents furnished by dealer as confidential, shall mutatis mutandis apply accordingly.

Save as otherwise provided in section 9, certificate of registration shall be personal to the hotelier to whom it is granted and shall not be transferable.

(1) If a hotelier liable to pay tax under this Act — (a) sells or otherwise disposes of his business or any part thereof, or effects or makes any other change to his knowledge in the ownership of the business, or (b) discontinues his business, or changes the place thereof or opens a new place of business or (c) changes the name or nature of his business, or (d) enters into a partnership or other association; in regard to his business, he shall within the prescribed time, inform the prescribed authority accordingly. (2) Where any such hotelier dies, his executor administrator or other legal representative or where any such hotelier is a firm and there is a change in the constitution of the firm or the firm is dissolved every person who was a partner thereof, shall in like manner, inform the said authority of such death, change in the constitution or as the case may be, dissolution.

Where a registered hotelier, — (a) effects changes in the name of his business, or (b) is a firm, and there is a change in the constitution of the firm without dissolution thereof, or (c) is a trustee of a trust, and there is change in the trustees thereof, or (d) is a guardian of a ward, and there is a change in the guardian, then merely by reason of any of the circumstances aforesaid, it shall not be necessary for the hotelier, or the firm with the changed constitution, or the new trustees or new guardian to apply for a fresh certificate of registration and on information being furnished in the manner required by section 8, the certificate of registration shall be amended.

(1) Every registered hotelier shall furnish returns for such period, by such dates, and to such authority, as may be prescribed. (2) If any hotelier, having furnished return under sub-section (1), discovers any omission or incorrect statement therein, he may furnish a revised return before the expiry of three months next following the last date prescribed for furnishing the original return.

(1) Every hotelier liable to pay tax under this Act, and every hotelier who is required so to do by the assessing officer by notice served on him in the prescribed manner shall keep a true account of the luxury provided by him in the hotel. (2) If the assessing officer considers that the account kept are not sufficiently clear or intelligible to enable him to determine whether or not a hotelier is liable to tax during any period, or are so kept as not to enable a proper scrutiny of their returns or the statement furnished, the assessing officer may require such hotelier by notice in writing to keep such accounts in such form or manner as in his opinion is necessary for the purpose of proper assessment and as he may, subject to anything that may be prescribed in that behalf, in writing direct. (3) The Commissioner may, subject to such conditions or restrictions as may be prescribed in this behalf, by notice in writing direct any hotelier, or by notification in the Official Gazette, direct any class of hoteliers to maintain accounts and records showing such particulars regarding their business in such form, and in such manner, as may be specified by him. (4) Every registered hotelier shall ordinarily keep all his accounts, registers and documents relating to his business at the place or places of business specified in his Certificate of registration or, with the previous approval of the assessing officer, at such other place as may be approved by the assessing officer.

Every hotelier, who is liable to pay tax, and who is a Hindu undivided family, or an association or club or society or firm or company, or who carries on business as the guardian or trustee or otherwise on behalf of another person, shall within the period prescribed send to the authority prescribed, a declaration in the manner prescribed stating the name of the person or persons who is owner or who are the owners of the hotel. Such declaration may be revised from time to time.

Imposition of penalty for contravening certain provisions. — 1) If any person — J

1. (a) (i) not being a hotelier to pay tax under this Act, collects any . sum by way of tax, or
   • (ii) being a registered hotelier, ‘collects any amount by way of - tax in excess of the tax payable by him, or
   • (iii) otherwise collects tax in contravention of the provisions of section 11, or
2. (b) being a hotelier to pay tax under this Act, or being a hotelier who "was required so to do by the assessing officer by a notice, served on him, fails in contravention of sub-section (1) of section 13, to keep a true account of his turnover of receipts or fails when directed so to do under that Section to keep any accourits or record in accordance with the direction, he shall be liable te pay, in addition to any tax for which he may be liable, a penalty of an amount as follows: = be : (A)" ~~ where there has been contravention referred to-in sub-clause (i) or
   • (ii) of clause (a), a penalty of an amount not exceeding two thousand rupees or deuble the sum collected by way of tax, whichever is fess, - :
3. (B) where there has been a contravention referred to in sub-clause (ii) of clause (a) or in clause (b), penalty of an amount not exceeding two thousand rupees, and in addition any sum collected by the
   • • person by way of tax in contravention: of section 11, shall be forfeited to the State Government. 5 4B 2) If the assessing officer, in the course of any proceeding under this Act or otherwise, has reason to believe that any persori has become liable to a ' penalty or forfeiture or both penalty and forfeiture of any sum under sub- section (1), he shall serve on such person a notice in the prescribed manner requiring him on a date and at a place specified in the notice to attend and show cause why a penalty or forfeiture or both penalty and forfeiture of : any sum as provided in sub-section (1) should not be imposed on him. 3) The assessing officer shal’ thereupon hold an enquiry and shall make such order as he thinks fit. =. Pot 4) No prosecution for an offence under this Act shall be instituted in respect of the same facts on which a penalty has been imposed under this section.

1. (5) When any order of forfeiture is made, the assessing officer shalt publish or
   • • cause to-be published a notice thereof for the information of the persons concerned giving such details and in such manner as may: be prescribed.

(1) If any person — (a) (i) not being a hotelier to pay tax under this Act, collects any sum by way of tax, or (ii) being a registered hotelier, collects any amount by way of tax in excess of the tax payable by him, or (iii) otherwise collects tax in contravention of the provisions of section 11, or (b) being a hotelier to pay tax under this Act, or being a hotelier who was required so to do by the assessing officer by a notice, served on him, fails in contravention of sub-section (1) of section 13, to keep a true account of his turnover of receipts or fails when directed so to do under that section to keep any accounts or record in accordance with the direction, he shall be liable to pay, in addition to any tax for which he may be liable, a penalty of an amount as follows: (A) where there has been contravention referred to in sub-clause (i) or (ii) of clause (a), a penalty of an amount not exceeding Rs. 2,000 or double the sum collected by way of tax, whichever is less. (B) Where there has been a contravention referred to in sub-clause (iii) of clause (a) or in clause (b), penalty of an amount not exceeding Rs. 2,000, and in addition any sum collected by the person by way of tax in contravention of section 11 shall be forfeited to the State Government. (2) If the assessing officer in the course of any proceeding under this Act or otherwise, has reason to believe that any person has become liable to a penalty or forfeiture or both penalty and forfeiture of any sum under sub-section (1), he shall serve on such person a notice in the prescribed manner requiring him on a date and at a place specified in the notice to attend and show cause why a penalty or forfeiture or both penalty and forfeiture of any sum as provided in sub-section (1) should not be imposed on him. (3) The assessing officer shall thereupon hold an enquiry and shall make such order as he thinks fit. (4) No prosecution for an offence under this Act shall be instituted in respect of the same facts on which a penalty has been imposed under this section. (5) When any order of forfeiture is made, the assessing officer shall publish or cause to be published a notice thereof for the information of the persons concerned giving such details and in such manner as may be prescribed. (1) Tax shall be paid in the manner herein provided, and at such intervals as may be prescribed. (3) A registered hotelier furnishing return as required by sub-section (1) of section 10, shall, first pay into a Government treasury, in the prescribed...

(1) Tax shall be paid in the manner herein provided, and at such intervals as may be prescribed. (2) A registered hotelier furnishing return as required by sub-section (1) of section 10, shall, first pay into a Government treasury, in the prescribed manner, whole of the amount of tax due from him according to such return. (3) A registered hotelier a revised return in accordance with sub-section (2) of section 10, which revised return shows that a larger amount of tax than already paid is payable shall first pay into a Government treasury the extra amount of tax. (4) The amount of tax— (a) (i) due when returns have been furnished without full payment thereof or (b) the amount of penalty levied under section 16, or (c) the sum (if any) forfeited to the State Government under section 16, shall be paid by the hotelier or the person liable therefore into a Government treasury by such date as may be specified in a notice issued by the assessing officer for this purpose, being a date not earlier than thirty days from the date of service of the notice: Provided that, the assessing officer may, in respect of any particular hotelier or person, and for reasons to be recorded in writing allow him to pay the tax, interest or penalty (if any) or the sum forfeited, by instalments. (5) Any tax, penalty or interest or sum forfeited, which remains unpaid after the date specified in the notice for payment, and any instalment not duly paid, shall be recoverable as an arrear of land revenue. (6) Notwithstanding anything contained in this Act or any other law for the time being in force, where any sum collected by a person by way of tax in contravention of section 11, is forfeited to the State Government under section 16 and is recovered from him, such payment or recovery shall discharge him of the liability to refund the sum to the person from whom it was so collected. (7) A refund of such sum or any part thereof can be claimed from Government by the person from whom it was realised by way of tax, provided that an application for such claim is made by him in writing in the prescribed form to the assessing officer, within one year from the date of the order of forfeiture. On receipt of any such application, the assessing officer shall hold such enquiry as he deems fit, and if he is satisfied that the claim is valid and admissible and that the amount so claimed as refund was actually paid in Government treasury or recovered, he shall refund the sum or any part thereof, which is found due to the person concerned.

(1) Whoever, knowingly furnishes a false return shall, on conviction, be punished — (i) in case where the amount of tax, which could have been evaded if the false return had been accepted as true, exceeds Rs. 10,000/- with rigorous imprisonment for a term which shall not be less than six months but which may extend to three years and with fine; (ii) in any other case, with rigorous imprisonment for a term which shall not be less than three months but which may extend to one year and with fine. (2) Whoever, knowingly keeps false account of the receipts in contravention of section 13, shall, on conviction, be punished with rigorous imprisonment for a term which shall not be less than three months but which may extend to one year and with fine. (3) Whoever— (i) willfully attempts, in any manner whatsoever, to evade any tax liviable under this Act, or (ii) willfully attempts, in any manner whatsoever, to evade any payment of any tax or penalty or interest under this Act, shall, on conviction, be punished — (a) in case where the amount involved exceeds Rs. 20,000/- during period of half-year, with rigorous imprisonment for a term which shall not be less than six months but which may extend to three years and with fine; (b) in any other case, with rigorous imprisonment for a term which shall not be less than three months but which may extend to one year and with fine. (4) Whoever aids or abets any person in commission of any act specified in sub-section (1) to (3), shall, on conviction, be punished with rigorous imprisonment which shall not be less than three months but which may extend to one year and with fine. (5) Whoever— (a) carries on business without being registered in willful contravention of section 6, or (b) fails, without sufficient cause, to furnish any information required by section 8, or (c) fails, without sufficient cause, to furnish any return as required by section 10, by the date and in the manner prescribed, or (d) contravenes, without reasonable cause, any of the manner prescribed, or (e) fails, without sufficient cause, to issue a bill or cash memorandum as required under section 12, or (f) fails, without sufficient cause, when directed under section 13, to keep any account or record, in accordance with such direction, or (g) voluntarily obstructs any officer making inspection or search or seizure, shall, on conviction, be punished with imprisonment for a term which may extend to one year and with fine. (6) Whoever commits any of the acts specified in sub-section (1) to (5) and the offence is a continuing one under any of the provisions of these sub-sections, shall, on conviction, be punished with a daily fine of not less than rupees one hundred during the period of the continuance of the offence, in addition to the punishment provided under this section. (7) Notwithstanding anything contained in sub-section (1) to (6), no person shall be proceeded against under these sub-sections for the acts referred to therein, if the total amount of tax evaded or attempted to be evaded is less than rupees two hundred during the period of a half-year. (8) No prosecution for an offence under this Act shall be instituted in respect of the same facts on which a penalty has been imposed by the assessing officer under any provisions of this Act.