Chapter V Chapter V

1. (1) Every registered dealer shall furnish such returns Returns and : for such periods in such form, to such authority and wi- payment of tax. thin such time as may be prescribed: Provided that if a dealer, having furnished a return 3 discovers any omission, error or wrong statement therein, he may furnish a revised return in such manner as may be directed by the aforesaid authority at any time before the said authority passes the order determining the amo- unt of tax payable by the dealer for the period for which p the return has been furnished : Provided further that the said authority may, for - reasons to be recorded and after giving the dealer a rea- . sonable opportunity of being heard, refuse to take the revised return into consideration if it is satisfied that the oO original or the revised return was deliberately false and “ it was furnished with intent to defraud the State Govern- ment of its revenue. Explanation.—A dealer who is granted registration from any particular date shall also be liable after the grant of such registration, to furnish return also for the period prior to such date during which he was liable to pay tax under this Act, in such manner and within such time as may be prescribed.
2. (2) The dealer shall, before furnishing any return or revi- g sed return referred to in sub-section (1) pay to the Go- vernment in such manner and within such time as may = be prescribed the amount of tax due under this Act accor- ding to the return or the revised return, as the case may be, and furnish along with the return or the revised return, such proof of the payment of tax due as may be prescri- bed, and any such return or revised return if not accom- panied by any such proof of payment shall be deemed invalid and treated as if it has not been furnished.
3. (3) If a registered dealer fails, without reasonable cause " to furnish any valid return within the time prescribed or 5 within such further time as may be allowed on application, by the prescribed authority, a penalty at the rate not a exceeding rupees five for each day of delay shall be im- posed without prejudice to any action which is or may be taken under any of the other provisions of this Act. N

the amount of tax paid by the dealer within the time Rebate, s prescribed under sub-section (2) of section 11 :

| Provided that where the amount of tax finally asse- ssed on the dealer is less than the tax paid by the dea- ler, the rebate shall be allowed only on the amount so assessed. 13. (1) If the prescribed authority is satisfied that the retu- rn of turnover furnished by a dealer is correct and com- Procedure in plete, it may, without requiring the presence of the dealer assessment and . or production of any further evidence by him, determine re-assessment. a the amount of tax due from him. hd (2) (a) If the prescribed authority is not satisfied as . aforesaid but requires the presence of the dealer or the production of evidence by him, it may serve on such dealer a notice in the prescribed form requiring him or his representative to attend and produce or cause to be produced on a date to be specified, any evidence that such dealer may rely on in support of his return.

1. (b) On the date specified in the notice issued under clause (a) or on such other date as may be fixed
   • • by the prescribed authority under intimation to the dealer, and after hearing or examining or taking into consideration such evidence as the dealer may produce and such other evidence as the said auth- ority may require on specified points, it shall by an order in writing, assess and determine the tax payable by the dealer : Provided that no evidence, not produced by or on behalf of the dealer, shall be taken into consideration ¥ without giving a reasonable opportunity to the dealer : to rebut such evidence. eo (3) If a registered dealer fails to— . (a) furnish any valid return of turnover as required in sub-section (1) of section 11; or
   • • (b) comply with the notice issued under sub-section

1. (2) of this section; or
   • (c) satisfy the assessing authority about the correct- ness of the returns furnished ; or 4 |
   • (d) appear or produce or cause to be produced evi- dence on the date specified under sub-section (2); the prescribed authority shall, after giving a reasonable opportunity to the dealer of being heard, determine the taxable turnover of the dealer to the best of its judg- ment and assess the tax on the basis of such determina tion and may, in addition, impose penalty of an amount not exceeding one half of the amount of tax so assessed: ec © Provided that no penalty under this sub-section shall w be imposed unless the prescribed authority is satisfied that the Ll failure of the dealer was wilful, deliberate or unjustified and unless a reasonable opportunity of being heard is given to the dealer: Provided further that in cases covered by clause (a) of this sub-section, no proceedings for assessment shall be initiated after the expiry of four years from the expiry of the relevant period due for assessment or in cases in which the assessment is made as a result of an order in appeal, " revision or review, after the expiry of two years from the date of such order. "
2. (4) If upon information received, the prescribed authority + is satisfied that a dealer liable to pay tax under this Act in respect of any period wilfully failed to apply for re- gistration under sub-section (1) of section 10 or having applied, wilfully failed to furnish any particulars or infor- mation required for the purpose of registration or having been registered fails to furnish returns within the period a prescribed under sub-section (1) of section 11, the said a authority shall, after giving the dealer a reasonable oppor- “ tunity of being heard, assess, according to its best judg- ment, the amount of tax due from the dealer for such 3 period or any subsequent periods and in addition, may impose a penalty of an amount not exceeding one half of the amount of tax so assessed : Provided that no proceedings under this sub-section shall be initiated after four years from the expiry of such period. Explanation.—For the purpose of sub-section (3) or sub-section (4), as the case may be, the proceedings shall be deemed to have been initiated when a notice therefor is served or deemed to have been served on the dealer.
3. (5) If upon information which has come into possession, the prescribed authority has reason to believe than any turnover of a registered dealer in respect of any period has for any reason escaped assessment or was under-asse- a ssed or assessed at a rate or rates lower than the rate 2 or rates correctly applicable, or any deduction from $urn- o over had been wrongly made, it shall, within six years of © the expiry of such period, serve on the dealer a notice in the prescribed Form and proceed to assess or reassess the amount of tax due from the dealer in respect of such turnover in the manner specified by or under this section : Provided that the amount of tax shall be assessed or re-assessed after allowing such deduction and applying the same rate of tax as was admissible during the said period : Provided further that the said authority may, after giving k) reasonable opportunity to the dealer of being heard, im- pose a penalty not exceeding the amount of extra tax found leviable in the proceedings under this sub-section, if it is satisfied that the escape from assessment or under- assessment had been caused by the deliberate and wilful failure on the part of the dealer—
   • (a) to disclose, at the time of original assessment the particulars of such turnover; or
   • (b) to furnish correct particulars. 14. (1) The tax admitted by the dealer to be due in any return Procedure of payment
     • • or revised return furnished by him under section 11 shall of tax or penalty, i} be paid in the mann:r prescribed by or under sub-section . (2) of that section.
4. (2) The amount of the tax and penalty assessed as due from the dealer under sub-section (3) of section 11 or o under section 13 after deducting any amount paid by him along with the return under sub-section (2) of section 11 shall be paid by him in such manner and within such time as may be specified in the notice of demand in the prescribed Form issued by the prescribed authority; the date so specified being not less than 30 days from the date of service of the said notice: Provided that the said authority may, in its discretion and for reasons to be recorded, on application by the dealer extend the date for such payment or allow the payment to be made in such instalments as may be determined by it.
5. (3) If a dealer has failed, without reasonable cause, to pi make payment of any amount of tax together with the ® penalty, if any, by the date specified in the notice issued o under sub-section (2) or by the date extended under the o proviso thereto, interest at ten per cent per annnm shall accrue and be charged on such amount from such date and such interest shall be treated as if it were tax due under this Act and shall be paid by the dealer in the prescribed manner : Provided that interest shall not accrue or be charged on any amount the recovery of which is stayed under sub-section (5) during the period the stay operates.
6. (4) Any amount of tax, penalty or interest due from a i dealer, which remains unpaid may be recovered on appli- r cation by the prescribed authority to the Judicial Magi- strate of the first class who shall realise it as if it we- re a fine imposed by him: Provided that where, during the proceedings under this sub-section, the amount of tax, penalty or interest due from the dealer is reduced as a result of appeal or oth- erwise, the prescribed authority shall inform the dealer and 5 the authority before whom the proceedings are pending, and the amount so reduced and the reduced amount shall be % deemed to be substituted for the amount originally intimated = to the authority. &
7. (5) Where an appeal against or an application for revi- sion of the assessment of tax or levy of penalty or in- terest is entertained, the appellate or the revisional autho- % tity as the case may be, may on application stay recovery of the tax, penalty or interest in whole or in part, subject to such conditions as it may impose till such date as it may direct © Provided that tHe stay of recovery so granted shall stand vacated on the date the appeal or the application for revision is finally decided or on such other date as the appellate or the revisional authority may direct.
8. (6) No such proceedings for the recovery of tax under this section shall be commenced after the expiry of twe- Ive years from the date on which the assessment was © made : id Provided that where the assessment was under appeal o or under any other proceedings under this Act, the afore= e said period of limitation shall commence from the date the appeal or other proceedings were terminated. 15. (1) No person other than a registered dealer shall collect Person authorised or recover from any person any amount towards tax or to collect tax purporting to be tax under this Act on the sale of goods. from purchasers.
9. (2) No registered dealers shall collect from any person any such amount except in a case in which, and to the extent to which, such dealer is liable to pay tax under this Act : Provided that where a registered dealer is in doubt about his liability, he may collect and keep in deposit the tax so collected towards his anticipated liability of tax; but shall refund the deposit to the person from wh- om it was collected or to his successors or assignees, if any, to the extent upto which it is finally determined in the proceedings under this Act, that the dealer is held not so liable.
10. (3) Nothing contained in sub-section (1) or sub-section (2) ¥ shall relieve a registered dealer from his liability for the a tax under this Act. ps i“ 16. (1) Subject to such rules as may be made the amount of tax. Procedure when M penalty or interest paid in excess of the amount finally wx is paid in determined as payable by the dealer under this Act, shall excess. be refunded to him, on his application within 60 days of § the date on which the applicaton is filed by him: Provided that such application shall not be enter- tained unless it is filed before the prescribed authority within twelve months from the date on which the order of assessment was passed : . Provided further that where the assessment was un- der appeal, revision or any other proceedings under this Act, the said period of limitation shall commence from the date on which the order in appeal, revision or other proceedings is passed : Provided also that any dealer may, by application, request or the prescribed authority may, on its own mo- tion, set off the refund due against any other dues of the dealer under this Act or under any other Act. = @
11. (2) Where a tax has been levied under this Act in res- pect of sales or purchases inside the State of any declared a good sand such goods are subsequently sold in the course of > inter-State trade or commerce, the tax so levied shall be re-imbursed to the person making such sale in the course of inter-State trade or commerce, in such manner and subject to such conditions as may be prescribed : Provided that no such reimbursement shall be made unless an application in writing is made before the pres- cribed authority under this Act within twelve months of the date on which the inter-State sale is made, which pe- riod may be extended for sufficient cause by the said au- " thority by such time as may be considered necessary by it for reasons to be recorded in writing. . 9 [ “(3) where any goods are delivered under any agree- ment of hire-purchase or of any system of payment by instalments and tax under this Act has been levied on the dealer who made the delivery of the said goods and such goods are returned to the said dealer at any time duri- ng which the agreement of hire-purchase subsists, the proportionate amount of tax levied on the unpaid instal- ments of sale price shall be refunded to the said dealer: - Provided that no such refund shall be admissible un- a less a claim therefor is filed before the prescribed autho- rity in such manner and within such time as may be 5 prescribed. | 17. (1) Every dealer liable to pay tax under this Act, who Declaration by is an Undivided Hindu Family, a firm, company, corpo- the dealer. ’ ration, society, club or association shall furnish to the 4. 1986. prescribed authority in the prescribed manner and within the prescribed time, a declaration stating the name and prescribed particulars of the person who shall be deemed to be in charge of the business for the purpose of this Act.
12. (2) Any statement made, return furnished, accounts, registers and documents produced or evidence given by such person or any other person authorised by him or by the dealer in this ) behalf, in the course of any proceedings under this Act, shall & be binding on and enforceable against the dealer. ° CHAPTER VI

⁹ Inserted by the Sikkim Sales Tax (Amendment) Act No. 4 of 1986 w.e.f. 1.

rn of turnover furnished by a dealer is correct and com- Procedure in plete, it may, without requiring the presence of the dealer assessment and . or production of any further evidence by him, determine re-assessment. a the amount of tax due from him. hd (2) (a) If the prescribed authority is not satisfied as . aforesaid but requires the presence of the dealer or the production of evidence by him, it may serve on such dealer a notice in the prescribed form requiring him or his representative to attend and produce or cause to be produced on a date to be specified, any evidence that such dealer may rely on in support of his return.

1. (b) On the date specified in the notice issued under clause (a) or on such other date as may be fixed
   • • by the prescribed authority under intimation to the dealer, and after hearing or examining or taking into consideration such evidence as the dealer may produce and such other evidence as the said auth- ority may require on specified points, it shall by an order in writing, assess and determine the tax payable by the dealer : Provided that no evidence, not produced by or on behalf of the dealer, shall be taken into consideration ¥ without giving a reasonable opportunity to the dealer : to rebut such evidence. eo (3) If a registered dealer fails to— . (a) furnish any valid return of turnover as required in sub-section (1) of section 11; or
   • • (b) comply with the notice issued under sub-section

1. (2) of this section; or
   • (c) satisfy the assessing authority about the correct- ness of the returns furnished ; or 4 |
   • (d) appear or produce or cause to be produced evi- dence on the date specified under sub-section (2); the prescribed authority shall, after giving a reasonable opportunity to the dealer of being heard, determine the taxable turnover of the dealer to the best of its judg- ment and assess the tax on the basis of such determina tion and may, in addition, impose penalty of an amount not exceeding one half of the amount of tax so assessed: ec © Provided that no penalty under this sub-section shall w be imposed unless the prescribed authority is satisfied that the Ll failure of the dealer was wilful, deliberate or unjustified and unless a reasonable opportunity of being heard is given to the dealer: Provided further that in cases covered by clause (a) of this sub-section, no proceedings for assessment shall be initiated after the expiry of four years from the expiry of the relevant period due for assessment or in cases in which the assessment is made as a result of an order in appeal, " revision or review, after the expiry of two years from the date of such order. "
2. (4) If upon information received, the prescribed authority + is satisfied that a dealer liable to pay tax under this Act in respect of any period wilfully failed to apply for re- gistration under sub-section (1) of section 10 or having applied, wilfully failed to furnish any particulars or infor- mation required for the purpose of registration or having been registered fails to furnish returns within the period a prescribed under sub-section (1) of section 11, the said a authority shall, after giving the dealer a reasonable oppor- “ tunity of being heard, assess, according to its best judg- ment, the amount of tax due from the dealer for such 3 period or any subsequent periods and in addition, may impose a penalty of an amount not exceeding one half of the amount of tax so assessed : Provided that no proceedings under this sub-section shall be initiated after four years from the expiry of such period. Explanation.—For the purpose of sub-section (3) or sub-section (4), as the case may be, the proceedings shall be deemed to have been initiated when a notice therefor is served or deemed to have been served on the dealer.
3. (5) If upon information which has come into possession, the prescribed authority has reason to believe than any turnover of a registered dealer in respect of any period has for any reason escaped assessment or was under-asse- a ssed or assessed at a rate or rates lower than the rate 2 or rates correctly applicable, or any deduction from $urn- o over had been wrongly made, it shall, within six years of © the expiry of such period, serve on the dealer a notice in the prescribed Form and proceed to assess or reassess the amount of tax due from the dealer in respect of such turnover in the manner specified by or under this section : Provided that the amount of tax shall be assessed or re-assessed after allowing such deduction and applying the same rate of tax as was admissible during the said period : Provided further that the said authority may, after giving k) reasonable opportunity to the dealer of being heard, im- pose a penalty not exceeding the amount of extra tax found leviable in the proceedings under this sub-section, if it is satisfied that the escape from assessment or under- assessment had been caused by the deliberate and wilful failure on the part of the dealer—
   • (a) to disclose, at the time of original assessment the particulars of such turnover; or
   • (b) to furnish correct particulars.

• or revised return furnished by him under section 11 shall of tax or penalty, i} be paid in the mann:r prescribed by or under sub-section . (2) of that section. (2) The amount of the tax and penalty assessed as due from the dealer under sub-section (3) of section 11 or o under section 13 after deducting any amount paid by him along with the return under sub-section (2) of section 11 shall be paid by him in such manner and within such time as may be specified in the notice of demand in the prescribed Form issued by the prescribed authority; the date so specified being not less than 30 days from the date of service of the said notice: Provided that the said authority may, in its discretion and for reasons to be recorded, on application by the dealer extend the date for such payment or allow the payment to be made in such instalments as may be determined by it. (3) If a dealer has failed, without reasonable cause, to pi make payment of any amount of tax together with the ® penalty, if any, by the date specified in the notice issued o under sub-section (2) or by the date extended under the o proviso thereto, interest at ten per cent per annnm shall accrue and be charged on such amount from such date and such interest shall be treated as if it were tax due under this Act and shall be paid by the dealer in the prescribed manner : Provided that interest shall not accrue or be charged on any amount the recovery of which is stayed under sub-section (5) during the period the stay operates. (4) Any amount of tax, penalty or interest due from a i dealer, which remains unpaid may be recovered on appli- r cation by the prescribed authority to the Judicial Magi- strate of the first class who shall realise it as if it we- re a fine imposed by him: Provided that where, during the proceedings under this sub-section, the amount of tax, penalty or interest due from the dealer is reduced as a result of appeal or oth- erwise, the prescribed authority shall inform the dealer and 5 the authority before whom the proceedings are pending, and the amount so reduced and the reduced amount shall be % deemed to be substituted for the amount originally intimated = to the authority. & (5) Where an appeal against or an application for revi- sion of the assessment of tax or levy of penalty or in- terest is entertained, the appellate or the revisional autho- % tity as the case may be, may on application stay recovery of the tax, penalty or interest in whole or in part, subject to such conditions as it may impose till such date as it may direct © Provided that tHe stay of recovery so granted shall stand vacated on the date the appeal or the application for revision is finally decided or on such other date as the appellate or the revisional authority may direct. (6) No such proceedings for the recovery of tax under this section shall be commenced after the expiry of twe- Ive years from the date on which the assessment was © made : id Provided that where the assessment was under appeal o or under any other proceedings under this Act, the afore= e said period of limitation shall commence from the date the appeal or other proceedings were terminated.

or recover from any person any amount towards tax or to collect tax purporting to be tax under this Act on the sale of goods. from purchasers.

1. (2) No registered dealers shall collect from any person any such amount except in a case in which, and to the extent to which, such dealer is liable to pay tax under this Act : Provided that where a registered dealer is in doubt about his liability, he may collect and keep in deposit the tax so collected towards his anticipated liability of tax; but shall refund the deposit to the person from wh- om it was collected or to his successors or assignees, if any, to the extent upto which it is finally determined in the proceedings under this Act, that the dealer is held not so liable.
2. (3) Nothing contained in sub-section (1) or sub-section (2) ¥ shall relieve a registered dealer from his liability for the a tax under this Act. ps i“ 16. (1) Subject to such rules as may be made the amount of tax. Procedure when M penalty or interest paid in excess of the amount finally wx is paid in determined as payable by the dealer under this Act, shall excess. be refunded to him, on his application within 60 days of § the date on which the applicaton is filed by him: Provided that such application shall not be enter- tained unless it is filed before the prescribed authority within twelve months from the date on which the order of assessment was passed : . Provided further that where the assessment was un- der appeal, revision or any other proceedings under this Act, the said period of limitation shall commence from the date on which the order in appeal, revision or other proceedings is passed : Provided also that any dealer may, by application, request or the prescribed authority may, on its own mo- tion, set off the refund due against any other dues of the dealer under this Act or under any other Act. = @
3. (2) Where a tax has been levied under this Act in res- pect of sales or purchases inside the State of any declared a good sand such goods are subsequently sold in the course of > inter-State trade or commerce, the tax so levied shall be re-imbursed to the person making such sale in the course of inter-State trade or commerce, in such manner and subject to such conditions as may be prescribed : Provided that no such reimbursement shall be made unless an application in writing is made before the pres- cribed authority under this Act within twelve months of the date on which the inter-State sale is made, which pe- riod may be extended for sufficient cause by the said au- " thority by such time as may be considered necessary by it for reasons to be recorded in writing. . 9 [ “(3) where any goods are delivered under any agree- ment of hire-purchase or of any system of payment by instalments and tax under this Act has been levied on the dealer who made the delivery of the said goods and such goods are returned to the said dealer at any time duri- ng which the agreement of hire-purchase subsists, the proportionate amount of tax levied on the unpaid instal- ments of sale price shall be refunded to the said dealer: - Provided that no such refund shall be admissible un- a less a claim therefor is filed before the prescribed autho- rity in such manner and within such time as may be 5 prescribed. |

1. (1) Every dealer liable to pay tax under this Act, who Declaration by is an Undivided Hindu Family, a firm, company, corpo- the dealer. ’ ration, society, club or association shall furnish to the

is an Undivided Hindu Family, a firm, company, corpo- the dealer. ’ ration, society, club or association shall furnish to the

1. (1) Every registered dealer shall keep a true and comp- Liability to main- lete account in respect of all goods produced, raised, ma- tain and nufactured, processed, purchased, sold or delivered by him: produce accounts and supply of Provided that the Commissioner may, by notification, information. lay down the forms or registers or the manoer in which the said dealers shall maintain the accounts as aforsaid as well as cash memoranda, bills, invoices etc, and ) the dealer shall maintain the accounts and documents accordingly.
2. (2) The prescribed authority may direct the dealer to pro- duce accounts or any information in such manner as may be required for the purpose of assessment of tax under this Act if the said authority is not satisfied that the accounts maintained and produced by the dealer are suffi ciently clear and intelligible for determining the correct amount of the tax payable by the dealer.
3. (3) Subject to such rules as may be made by the State 4 Government under this Act, the prescribed authority may,
   • • either before or after the assessment of tax under this pi Act, require any dealer, including a dealer not registered 7 under this Act, to produce before him all or any of the accounts, registers and documents maintained by the dea- ler and also to furnish any information relating to finan- i cial transactions of the dealer relating to his business, including information regarding stocks of goods held, im- ported, produced, manufactured, processed, bought, sold or delivered, the sale price realised, the profit derived therefrom, and the dealer shall comply with such requirements.
4. (4) Subject as aforesaid, all accounts and documents con- nected with the business of the dealer, stocks of all goods purchased or kept by him for sale, the cash, or bank pass books, statements or deposit receipts kept in any place of business shall at all reasonable times, be open to inspection and search by the prescribed authority or by any person appointed to assist him under sub-section (1) of section 3 or by such other person as may be authori- sed by him for the purpose in writing and the dealer 2 shall render all possible assistance to such authority or ® person in the search er inspection, as the case may be. - Explanation 1.—It shall be open to the said autho- : rity or person to take or cause to be taken such copies of, or extracts from, the aforesaid accounts, registers and documents as may be considered by it or him necessary and to require the dealer or any of his employees present at the time to authen- ticate or witness such copies or extracts, as the case may be. Explanation 2.—The authority or person may, subject to such rules as may be made, break open any door, window, almirah, safe or other containers in the place of business in which he has reason to believe that the dealer has kept or is . keeping any accounts, registers or documents or stocks of goods or cash relating to the business which the dealer has refused J to open or produce for inspection. E
5. (5) If the prescribed authority has reason to suspect that 74 of 1956. any dealer is attempting to evade the payment of any tax due under this Act or under the Central Sales Tax Act, 1956, such authority or person may, for reasons to be recorded in writing, seize or cause to be seized such accounts, registers or documents including bank pass books i or statements, as may be considered necessary, and shall o grant a receipt for the same. Such seized accounts, re- EE) gisters or documents may be retained by the said autho- rity for so long as may be necessary for examination or a for conducting any prosecution under section 23 and shall thereafter be returned to the dealer who shall acknowledge in writing the receipt of the same: : Provided that the seized accounts, registers and do- cuments shall not be retained by any authority other than the prescribed authority for over 90 days save with the approval, in writing, obtained from the prescribed authority. | 19. (1) Notwithstanding anything contained to the contrary in Liability on the any agreement, contract or understanding, when the owner- transfer of busi ship of a business of a dealer liable to pay tax under this ness. Act, is transferred in whole or in part, the transferor or the transferee shall be jointly or severally liable for informing the particulars of the transfer to the prescribed authority in such manner as may be prescribed and for the payment of any tax, penalty or interest, if any, paya- & ble in respect of such business and remaining unpaid at 2 the time of such transfer. N
6. (2) Where a dealer from whom any amount is due tow- : § ards tax, penalty or interest dies, the executor, receiver, manager, administrator or successors-in-interest to his estate or any other legal representative including a Court of Wards shall be liable to inform the prescribed authority in such manner as may be prescribed and to pay out of the property of the deceased the amount so payable and shall also be liable and responsible to attend and parti- cipate or be represented in all proceedings under this Act pending at the time of the death of the dealer: i Provided that nothing in this sub-section shall require re-issue of notices or intimation already issued to the dealer and the proceedings pending on the date of death of the dealer shall be continued as if the said dealer is substituted by the person or persons mentioned in this sub-section.
7. (3) Where the dealer is a minor or is incapacitated and his business is carried on by any other person on his behalf, whether he be a guardian, trustee or agent, such person shall inform the prescribed authority and the tax & shall be assessed upon and be recoverable from such per» o son as if he were the dealer. i (4) Where the dealer is an Undivided Hindu Family, firm or other association of persons, and such family, firm or association is partitioned, dissolved or business thereof is, . due to any reason, disrupted, as the case may be, the tax, penalty and interest for the period or periods upto the date of such partition, dissolution or disruption may be assessed, imposed and levied as if the partition, dissolution or disruption has not taken place and every person who was at the time of such partition, dissolution or disruption a member of such family, firm or association shall be liable severally and jointly for furnishing such particulars as may be prescri- bed and for the payment of such tax, penalty or interest, whether the assessment, imposition or levy was made be- fore or after such partition, dissolution or disruption.

1. (1) Notwithstanding anything contained to the contrary in Liability on the any agreement, contract or understanding, when the owner- transfer of busi ship of a business of a dealer liable to pay tax under this ness. Act, is transferred in whole or in part, the transferor or the transferee shall be jointly or severally liable for informing the particulars of the transfer to the prescribed authority in such manner as may be prescribed and for the payment of any tax, penalty or interest, if any, paya- & ble in respect of such business and remaining unpaid at 2 the time of such transfer. N (2) Where a dealer from whom any amount is due tow- : § ards tax, penalty or interest dies, the executor, receiver, manager, administrator or successors-in-interest to his estate or any other legal representative including a Court of Wards shall be liable to inform the prescribed authority in such manner as may be prescribed and to pay out of the property of the deceased the amount so payable and shall also be liable and responsible to attend and parti- cipate or be represented in all proceedings under this Act pending at the time of the death of the dealer: i Provided that nothing in this sub-section shall require re-issue of notices or intimation already issued to the dealer and the proceedings pending on the date of death of the dealer shall be continued as if the said dealer is substituted by the person or persons mentioned in this sub-section. (3) Where the dealer is a minor or is incapacitated and his business is carried on by any other person on his behalf, whether he be a guardian, trustee or agent, such person shall inform the prescribed authority and the tax & shall be assessed upon and be recoverable from such per» o son as if he were the dealer. i (4) Where the dealer is an Undivided Hindu Family, firm or other association of persons, and such family, firm or association is partitioned, dissolved or business thereof is, . due to any reason, disrupted, as the case may be, the tax, penalty and interest for the period or periods upto the date of such partition, dissolution or disruption may be assessed, imposed and levied as if the partition, dissolution or disruption has not taken place and every person who was at the time of such partition, dissolution or disruption a member of such family, firm or association shall be liable severally and jointly for furnishing such particulars as may be prescri- bed and for the payment of such tax, penalty or interest, whether the assessment, imposition or levy was made be- fore or after such partition, dissolution or disruption.

any agreement, contract or understanding, when the owner- transfer of busi ship of a business of a dealer liable to pay tax under this ness. Act, is transferred in whole or in part, the transferor or the transferee shall be jointly or severally liable for informing the particulars of the transfer to the prescribed authority in such manner as may be prescribed and for the payment of any tax, penalty or interest, if any, paya- & ble in respect of such business and remaining unpaid at 2 the time of such transfer. N

1. (2) Where a dealer from whom any amount is due tow- : § ards tax, penalty or interest dies, the executor, receiver, manager, administrator or successors-in-interest to his estate or any other legal representative including a Court of Wards shall be liable to inform the prescribed authority in such manner as may be prescribed and to pay out of the property of the deceased the amount so payable and shall also be liable and responsible to attend and parti- cipate or be represented in all proceedings under this Act pending at the time of the death of the dealer: i Provided that nothing in this sub-section shall require re-issue of notices or intimation already issued to the dealer and the proceedings pending on the date of death of the dealer shall be continued as if the said dealer is substituted by the person or persons mentioned in this sub-section.
2. (3) Where the dealer is a minor or is incapacitated and his business is carried on by any other person on his behalf, whether he be a guardian, trustee or agent, such person shall inform the prescribed authority and the tax & shall be assessed upon and be recoverable from such per» o son as if he were the dealer. i (4) Where the dealer is an Undivided Hindu Family, firm or other association of persons, and such family, firm or association is partitioned, dissolved or business thereof is, . due to any reason, disrupted, as the case may be, the tax, penalty and interest for the period or periods upto the date of such partition, dissolution or disruption may be assessed, imposed and levied as if the partition, dissolution or disruption has not taken place and every person who was at the time of such partition, dissolution or disruption a member of such family, firm or association shall be liable severally and jointly for furnishing such particulars as may be prescri- bed and for the payment of such tax, penalty or interest, whether the assessment, imposition or levy was made be- fore or after such partition, dissolution or disruption.

under this Act shall be called into question in any court proceedings. h save as provided in this Act.

1. (2) No suit, prosecution or other legal proceedings shall lie against any public servant or any person appointed under section 3 for anything done in good faith under this Act or the rules or notifications made thereunder save with the previous sanction of the State Government.

may, in the prescribed manner, appeal to such authority and review, * as may be prescribed against any order passed under sub- section (3) of section 11, section 13 and section 16 of the Act,

1. (2) No such appeal shall be entertained unless—
   • (a) it is accompanied by proof of payment, in such manner as may be prescribed, of the amount of tax admitted by the dealer to be due from him and ten per cent of the difference between such amount of tax including penalty and interest assessed ; or -
   • (b) it is filed within forty - five days of the date of El passing of the orders as aforesaid or 30 days from = the date on which the demand, if any, for tax or penalty is served or deemed to have been served on the dea- d ler, whichever is later : Provided that the aforesaid authority may admit an . appeal after the expiry of the said period, if on appli- cation by the dealer, it is satisfied that the dealer was prevented by sufficient cause from preferring the appeal within the aforesaid time.
2. (3) Subject to such rules as may be made, any order passed in appeal under sub-sections (1) and (2) may be revised by such authority as may be prescribed on an application by the dealer or by or on behalf of the St- ate Government as the case may be : Provided that no application for revision shall be entertained unless it is made before the said authority © within 60 days of the date of passing of the order un- w der sub-section (1) or sub-section (2), as the case may be, but the said authority may, if it is satisfied, on ap- i plication that there was sufficient cause for the delay, ad- mit the said application for revision after condoning the delay : Provided further that the Commissioner may eall for and examine the record of any proceedings under this Act in which any order other than an order passed in appeal under sub-sections (I) and (2) has been passed by any person appointed to assist the Commissioner for the purpose of satisfying himself as to the legality or prop- . riety of such order and may, after such examination and after making or causing to be made such enquiry as he may deem necessary, pass any order which he thinks fit and proper : Provided that no action under the second proviso shall be initiated while any appeal under sub-section (1) is pending or when the time prescribed in sub-section (2) for filing the appeal has not expired and except before the expiry of four years from the date of order which is h the subject of scrutiny by the Commissioner. : (4) The aforesaid appellate or revising authority may—
   • (a) confirm, reduce, annul, enhance or otherwise mo- i dify the assessment of tax, penalty or interest;
   • (b) set aside any order and direct the authority wh- ® ich made the order, to pass -a fresh order after fur- ther enquiry on specified points; or ) (c) pass such other orders as it may deem fit and proper. |
3. (5) No order prejudicial to any dealer shall be passed un- der this section without a reasonable opportunity of be- ing heard being given to him.
4. (6) Subject to such rules as may be made, any authority under this Act or its successors in office may, on applica- tion or otherwise, review any order passed by it to cor- rect any error or mistake apparent from records : = § Provided that neither an application under this sub- section nor the period during which it is pending shall o be considered as cause for the delay, if any, in filing any B appeal or application for revision : Provided further that no such review shall be made if it has the effect of enhancing the tax or penalty or both, or of reducing a refund, unless the dealer or the person who is liable to pay the tax or the penalty or both, or as the case may be, eligible to get refund, is given a reasonable opportunity of being heard. 0