Tax payable by a dealer

Tax payable by a dealer.-

1. (1) Subject to the other provisions of this Act, the net tax payable by a registered dealer, other than the dealer covered by sub-section
2. (2) of section 6, for a tax period shall be calculated as under:- T = (O + R) - I Where ‘T’ is net tax payable; ‘O’ is amount of output tax; ‘R’ is amount of reverse tax; and ‘I’ is the amount of input tax.
3. (2) Where the net tax payable under sub-section
4. (1) has a negative value, the same shall be first adjusted against any tax payable or amount outstanding under the Central Sales Tax Act, 1956 (Central Act No. 74 of 1956) or under this Act or the repealed Act and the balance amount if any, shall be carried forward to the next tax period or periods.
5. (3) Notwithstanding anything contained in this Act, where the sales are made on behalf of the principal registered under this Act by an agent also registered under this Act, such sales shall be deemed to be the sales of the principal and the agent shall render the accounts of such sales in the manner as may be prescribed.
6. (4) Every person whose registration is cancelled under this Act shall pay tax in the manner prescribed in respect of every taxable goods held in stock and capital goods on the date of such cancellation.