Power of entry, inspection and seizure of accounts and goods and inspection of goods while in movement

Power of entry, inspection and seizure of accounts and goods and inspection of goods while in movement.-

1. (1) An Assessing Authority or any officer not below the rank of Assistant Commissioner authorized by the Commissioner in this behalf with such conditions and restrictions as may be specified by the Commissioner, shall have the power-
   • (a) to inspect or survey the place of business of a dealer or any other place where it is believed by such authority or officer that business is being done or accounts are being kept by such dealer;
   • (b) to direct such dealer to produce accounts, registers and documents including documents in electronic form relating to his business activities for examination;
   • (c) to inspect the goods in the possession of the dealer or in the possession of anybody else on behalf of such dealer, wherever such goods are placed;
   • (d) to make search of such place including the search of the person found there, where concealment of facts relating to business is suspected;
   • (e) to break open the door of any premises or to break open any almirah, box, receptacle in which any goods, accounts, registers or documents including documents in electronic form of the dealer are suspected to be concealed, where access to such premises, almirah, box or receptacle is denied;
   • (f) to record the statement of the dealer or his manager, agent or servant or to take extracts from any record and to put identification marks on accounts, registers or documents and on any door, almirah, box or receptacle. Explanation.- There shall be a presumption in respect of goods, accounts, registers or documents, which are found at any place of business of a dealer during any inspection or search, that they relate to his business unless the contrary is proved by him.
2. (2) Where any accounts, registers or documents including documents in electronic form are produced before any Assessing Authority or any officer not below the rank of Assistant Commissioner in any proceeding under this Act, such authority or officer may, for reasons to be recorded in writing, impound and retain them in its custody for a period not exceeding six months, and shall give the dealer or any other person who has produced such accounts, registers or documents including documents in electronic form a receipt of the same. The dealer may obtain copy of such accounts, registers or documents including documents in electronic form on payment of copying fee as may be prescribed. However, such copy may not be given unless the dealer produces the remaining accounts, statements, registers and documents including documents in electronic form required to be maintained under the provisions of this Act or the rules made thereunder.
3. (3) Where at the time of inspection, the Assessing Authority or any officer not below the rank of Assistant Commissioner authorized by the Commissioner in this behalf has reason to suspect that the dealer is attempting to avoid or evade tax or is concealing his tax liability in any manner, it may, for reasons to be recorded in writing, seize such accounts, registers or documents including documents in electronic form of the dealer as it may consider necessary and shall give the dealer or any other person from whose custody such accounts, registers or documents are seized a receipt for the same, and may retain the same in its custody for examination, enquiry or other legal action for a period not exceeding six months. The dealer may obtain copy of the seized record on payment of copying fee as may be prescribed. However, such copy may not be given unless the dealer produces the remaining accounts, statements, registers and documents including documents in electronic form required to be maintained under the provisions of this Act or the rules made thereunder.
4. (4) The accounts, registers or documents including documents in electronic form impounded under sub-section
5. (2) or seized under sub-section
6. (3) may be retained even beyond a period of six months and up to a maximum period of two years from the date of impounding or seizure, as the case may be, by such authority or officer, after having obtained permission in writing of the Commissioner or the Additional Commissioner authorized by the Commissioner.
7. (5) The Assessing Authority or any other officer not below the rank of Assistant Commissioner authorized by the Commissioner under sub-section
8. (1) may seize any goods liable to tax, which are found in the possession of a dealer or in the possession of anybody else on behalf of such dealer and which are not accounted for in his accounts, registers or documents including documents in electronic form maintained in the course of his business; and a list of goods so seized shall be prepared by such authority or officer and a copy thereof shall be given to the dealer or any other person from whose custody such goods are seized.
9. (6) Where it is not feasible to seize the accounts, registers or documents under sub-section
10. (4) or the goods under sub-section (5), the Assessing Authority or the officer concerned may serve on the owner or the person who is in immediate possession or control thereof an order that he shall not remove, part with or otherwise deal with them except with the previous permission of such authority or officer, which may, after serving such order, take such steps as may be deemed necessary under the circumstances.
11. (7) The Assessing Authority or the officer referred to in sub-section
12. (1) may, after having given the dealer an opportunity of being heard and after having held such further enquiry as it may consider fit, impose on him, for the possession of goods not accounted for, whether seized or not under sub-section (5), a penalty equal to the amount of five times of the tax leviable on such goods or thirty per cent of the value of such goods, whichever is less, and such authority or officer may release the goods, if seized, on payment of the penalty imposed or on furnishing such security for the payment thereof as it may consider necessary.
13. (8) Where any goods are in movement within the territory of the State of Rajasthan, the Assessing Authority or an officer authorized by the Commissioner in this behalf may stop the vehicle or the carrier or the person carrying such goods, for inspection, at any place within the jurisdiction as may be notified in this regard.
14. (9) The owner or a person duly authorised by such owner or the driver or the person Incharge of a vehicle or carrier or of goods in movement shall-
    • (a) stop the vehicle or carrier for checking on being instructed by the officer authorised under sub-section (8);
    • (b) carry with him a goods vehicle record including “challans” and “bilties”, invoices, prescribed declaration forms and bills of sale or despatch memos;
    • (c) produce all the documents including prescribed declaration forms relating to the goods before the officer authorised under sub-section (8);
    • (d) furnish all the information in his possession relating to the goods; and
    • (e) allow the inspection of the goods by the officer authorised under sub-section (8). Explanation.- For the purpose of this Act 'goods in movement' shall mean-
      • (i) the goods which are in the possession or control of a transporting agency or person or other such bailee;
      • (ii) the goods which are being carried in a vehicle or carrier belonging to the owner of such goods; and
      • (iii) the goods which are being carried by a person.
15. (10) Where any goods in movement, other than exempted goods, are without documents, or are not supported by invoices, goods vehicle record including “challans” and “bilties”, prescribed declaration forms and bills of sale or dispatch memos or documents includng documents in electronic form produced appears to be false or forged, the Assessing Authority or the officer authorized under sub-section (8), may-
    • (a) direct the owner or a person duly authorized by such owner or the driver or the person Incharge of the vehicle or carrier or of the goods not to part with the goods in any manner including by re-transporting or re-booking, till a verification is done or an enquiry is made, which shall not take more than seven days;
    • (b) seize the goods for reasons to be recorded in writing and shall give a receipt of the goods to the person from whose possession or control they are seized;
    • (c) release the goods seized under clause
    • (b) to the owner of the goods or to a person duly authorized by such owner, during the course of the proceeding:-
      • (i) if penalty as provided under sub-section 13 has been deposited; or
      • (ii) if adequate security of the amount equal to the estimated value of the goods is furnished.
16. (11) If a transporter fails to give information as required from him under clause
    • (d) of sub-section
17. (9) about the consignor, consignee or the goods within such time as may be specified or transports the goods with false or forged documents, besides imposing the penalty under sub-section (13), it shall be presumed that the goods so transported have been sold in the State of Rajasthan by him and he shall be deemed to be a dealer for those goods under this Act.
18. (12) The provisions of this Act shall, for the purpose of levy, collection and assessment of tax, determination of interest, payment and recovery of tax and interest, appeal, review or revision, apply to the transporter deemed to be a dealer under sub-section (11).
19. (13) The officer authorized under sub-section (8), after having given the owner of the goods or person duly authorized in writing by such owner or person incharge of the goods, a reasonable opportunity of being heard and after having held such enquiry as he may deem fit, shall impose on him for possession or movement of goods, whether seized or not, in violation of the provisions of the Act or for submission of false or forged documents or declaration, a penalty equal to thirty per cent of the value of such goods may be imposed in the manner as may be prescribed.