Incidence of cess, rate thereof, payment of cess and furnishing return

(1) There shall be levied and collected, for the purposes of this Act, a cess on every sale or self consumption, or utilization for commercial purpose or consumption in the process of manufacturing of goods, or execution of works contract, or operation of machine, equipment or motor vehicles employed for any commercial activities, by importing from outside the State, by making purchase or otherwise, in Sikkim by any person or the State or Central Government including department of other States situated in Sikkim, any local body any authority or Corporation, established by or under any statute and any State or Central Government undertaking, of goods, specified in column (2) of the First Schedule, which have not been purchased by such person in Sikkim, at the rate specified in the corresponding entry in Column (3) of the said Schedule. (2) The cess leviable under sub-section (1) shall be payable by the person or the State or Central Government including department of other States situated in Sikkim, any local body, any authority or Corporation, established by or under any statute and any State or Central Government undertaking, who sells or consumes for self or utilizes for commercial purpose or consumes in the process of manufacturing of goods, or execution of works contract, or operation of machine, equipment or motor vehicles employed for any commercial activities, such goods in Sikkim. (3) The person or the Government or the body or the organizations referred to in sub-section (2) shall furnish a return to such authority in such form, in such manner and at such interval, as may be prescribed and such person, in the prescribed manner pay the full amount of cess before furnishing such return. (4) The cess leviable under sub-section (1) shall be in addition to any tax or duty, by whatever name called, leviable on sale or self consumption or utilization for commercial purpose or consumption in the process of manufacturing of goods, or execution of works contract, or operation of machine, equipment or motor vehicles employed for any commercial activities, of the goods under any other law for the time being in force in Sikkim. (1A). The State Government, lf satislied to do so in p!blic inlerest, may by noiitication amend, add to oralterthe items specified or revise the rate or rates of cess prcscribed in the First Schedule to this Act. Provided that if any person required to r!rrnish returns with proof of payments under this sub-section fails to do so without reasonable cause, he Shallbe liable for penatry not exceeding Rs. 50 per day of defa!lt in filing reurns and/or making payments that shall be imposed after providing such person an opportunity of being heard (Note: Also contains textual amendments to section 4 sub-sections (2), (3), and (4) as per page 6 text).