Certain Agents liable to tax for sales on behalf of Principal

(1) Where any person sells or purchases any taxable goods on behalf of his principal as a commission agent, then he and his principal shall both be jointly and severally liable to pay tax on the turnover of such sales or purchases: Provided that the first liability to pay the tax shall be that of the commission agent and he may realize the same from the principal; Provided further that if the principal shows to the satisfaction of the assessing authority that the tax has been paid by such commission agent on such goods, the principal shall not be liable to pay the tax again in respect of the same transaction. (2) Where a manager or commission agent of a non-resident dealer sells or purchases any goods on behalf of a non-resident dealer in the State, then the non-resident dealer and the manager or agent residing in the State, shall be jointly and severally liable to pay tax on the turnover of such sales or purchases: Provided that the first liability to pay the tax shall be that of the manager or commission agent and he may realize the same from the non-resident dealer: Provided further that if the non-resident dealer shows to the satisfaction of the assessing authority that the tax payable in respect of such sale or purchase has been paid by the manager or commission agent residing in the State, then the non-resident dealer shall not be liable to pay the tax in respect of the same transaction.