KARNATAKA TAX ON ENTRY OF GOODS ACT, 1979
27 of 1979
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 27 OF 1979 Karnataka Gazette, Extraordinary, dated 27-3-1979 Octroi is being abolished in the State, as it was causing great hardship to transport operators and to trading community. The abolition of octroi which is being levied and collected by the local authorities will result in considerable loss of revenue to them. The State Government will have to make up this loss of revenue. It is therefore considered necessary to levy a tax on the entry into local areas of certain goods. Hence this Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 38 OF 1984 Karnataka Gazette, Extraordinary, dated 29-3-1983 The present Bill is intended to give effect to the pronouncements made in the Budget speech for the year 1983-84. It is also intended to amend certain other provisions of the Act for a better and more effective administration. Hence this Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 28 OF 1985 Karnataka Gazette, Extraordinary, dated 1-8-1985 While presenting the budget for the year 1985-86 certain concessions and facilities to the dealers under the Entry Tax Act were proposed. To give effect to these concessions and other facilities some of the provisions of the Entry Tax Act are to be amended. Opportunity has been taken to effect certain other changes in the Act to facilitate smooth administration of the Act.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 12 OF 1986 Karnataka Gazette, Extraordinary, dated 14-3-1986 After enactment of the Karnataka Zilla Parishads, Taluk Panchayat Samithis, Mandal Panchayats and Nyaya Panchayat Act, 1983 the area converted into a Mandal under the provisions of Section 128(1) of the said Act, shall cease to be a local area. Hence the definition in the Act is proposed to be amended. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 42 OF 1986 Karnataka Gazette, Extraordinary, dated 26-8-1986 Items 17 and 18 were inserted in the Schedule to the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale therein Act, 1979 with effect from 1st April, 1983. The entries in Items 17 and 18 were capable of including a large variety of thaterials, though it was intended to include only certain types of thaterials. The intention is made clear by inserting items 16-A and 16-B in the said Schedule by Bill No. 32 of 1983. This Bill received the assent of the President on 14th January, 1986 and is being published as an Act and therefore Items 17 and 18 are being deleted. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 43 OF 1986 Karnataka Gazette, Extraordinary, dated 29-8-1986 In the principal Act the Commissioner of Commercial Taxes and the Joint Commissioner of Commercial Taxes have been vested with the power of revising the orders passed by their subordinates. It is now proposed to vest with them the power of staying the operation of the orders taken up for suo motu revision proceedings, whenever found necessary.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 11 OF 1987 Karnataka Gazette, Extraordinary, dated 27-3-1987 To give effect to the proposals made in the budget speech, it is proposed to amend the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale therein Act, 1979. Consequent to the amendment of the term "year" in the Karnataka Sales Tax Act, 1957, the term "year" in this Act is also amended. Insertion of Section 30-A is consequential. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No, 8 OF 1989 Karnataka Gazette, Extraordinary, dated 17-9-1988 It is considered necessary to amend the following Acts.- 1. Karnataka Sales Tax Act, 1957. (1) Section 5 is proposed to be amended to extend time-limit beyond 31st May, 1988 upto 31st July, 1988 to enable dealers to dispose off the old stock of Indian made foreign liquor which has already been suffered tax at the rate prevailing prior to 1st April, 1988. (2) In 69 STC page 320 (Deputy Commissioner of Sales Tax v Thomas Stephen and Company Limited), the Supreme Court has held that taxable goods purchased and consumed for ancillary purposes like fuel and consumables in the manufacture of goods for sale are not liable for purchase tax under Section 6. Taxes levied on such purchases hitherto, have become liable for refunds. In order to prevent claims for refund and to retain the taxes already collected, amendment is proposed to Section 6 of the Karnataka Sales Tax Act, 1957, to insert retrospectively an explanation to the said section. Further, goods consumed otherwise than in manufacturing of goods are also proposed to be taxed. (3) Section 12 is proposed to be amended to extend limitation period of three years prescribed for completion of assessment, relating to the years upto 1984-85, by one more year, to complete assessments in pending cases. 2. Karnataka Tax on the Entry of Goods into Local Areas for Consumption, Use or Sale therein Act, 1979.-Section 5 is proposed to be amended to extend the limitation period of three years, prescribed for completion of assessment of old cases, by one more year to complete assessments in pending cases. 3. Karnataka Agricultural Income-tax Act, 1957. (1) Section 2 is proposed to be amended to exclude pepper and cardamom grown as subsidiary crops in the land used for growing non-plantation crops like arecanut and coconut. (2) Section 12 is proposed to be amended to exempt certain contributions made from the payment of agricultural income-tax. (3) Section 32 proposed to be amended to provide for appeals to the Deputy Commissioner (Appeals) against certain orders passed by the Agricultural Income-tax Officers. As the thatter was urgent, the Karnataka Taxation Laws (Amendment) Ordinance, 1988 was promulgated. Hence the Karnataka Taxation Laws (Amendment) Bill, 1988 to replace the said Ordinance.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 18 OF 1989 Karnataka Gazette, Extraordinary, dated 27-3-1989 To give effect to the proposals made in the Budget speech, it is considered necessary to amend the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979. Opportunity is also taken to rationalise certain provisions of the said Act. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 9 OF 1990 Karnataka Gazette, Extraordinary, dated 29-3-1990 To give effect to the proposals made in the Budget Speech, it is considered necessary to amend the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale therein Act, 1979. Opportunity is also taken to rationalise certain provisions of the said Act. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 14 OF 1991 Karnataka Gazette, Extraordinary, dated 23-3-1991 It is considered necessary to amend the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale therein Act, 1979 to give effect to the proposal made in the Budget Speech and for removing ambiguities, streamlining, administration and rationalising procedure. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 15 OF 1992 When the Entry Tax Act was brought into force in 1979 to replace the obnoxious system of Octroi, the State Government was of the opinion that levying Entry Tax on three items namely, textiles, tobacco and sugar alone will be sufficient to make up the loss of revenue on account of abolition of Octroi. It was not the intention of the Government that the levy by way of Octroi should be given up. The intention of the Government was to simplify the procedure and to make the mode of collection easy. Therefore, Entry Tax was brought in place of Octroi. Experience in these years has shown that the expected revenue was not generated from the three commodities or even five more commodities added later on. The Local Bothes namely, the Corporation and Municipalities are urging that they are put into avoidable hardship and financial stringency by abolition of Octroi and not compensating them with necessary funds. Therefore, it is necessary to vest power with the Government to select the commodities for purposes of levying entry tax and also to make the levy single point so that the cost of goods for common man may not increase. Hence this Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 18 OF1994 It is considered necessary to amend the Karnataka Sales Tax Act, 1957, the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976, the Karnataka Tax on Entry of Goods Act, 1979, the Karnataka Entertainments Tax Act, 1958, the Mysore Betting Tax Act, 1932 and the Karnataka Agricultural Income Tax Act, 1957 to give effect to the proposals made in the Budget speech and thatters connected therewith. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 6 OF 1995 (As appended to at the time of introduction) It is considered necessary to amend the Karnataka Sales Tax Act, 1957, the Karnataka Agricultural Income Tax Act, 1957, the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976, the Karnataka Entertainments Tax Act, 1958, the Karnataka Tax on Entry of Goods Act, 1979, Karnataka Tax on Luxuries (Hotels and Lodging Houses) Act, 1979, the Mysore Betting Tax Act, 1932 and to give effect to the proposals made in the Budget speech and thatters connected therewith. Hence the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 1 OF 1996 It is considered necessary to amend the Karnataka Agricultural Income Tax Act, 1957 to enhance the exemption limit for the purpose of composition from the existing ten acres to fifteen acres and to re-arrange the slabs. (2) It is considered necessary to amend the Karnataka Sales Tax Act, 1957,- (i) to exclude firms from the definition of "dealer" in clause (k) of sub-section (1) of Section 2; (ii) by inserting an explanation after the first proviso to.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 7 OF 1997 It is considered necessary to amend the Karnataka Tax on Luxuries (Hotels, Lodging Houses and Marriage Halls) Act, 1979 (Karnataka Act 22 of 1979), the Karnataka Tax on Entry of Goods Act, 1979 (Karnataka Act 27 of 1979), the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976 (Karnataka Act 35 of 1976), the Karnataka Excise Act 1966 (Karnataka Act 21 of 1966), the Karnataka Entertainments Tax Act, 1958 (Karnataka Act 30 of 1958), the Karnataka Agricultural Income-tax Act, 1957 (Karnataka Act 22 of 1957), the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), the Mysore Betting Tax Act, 1932 (Mysore Act IX of 1932), and to give effect to the proposals made in the Budget Speech and thatters connected therewith. Certain consequential amendments are also made. Hence, the Bill.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 4 OF 1999 It is considered necessary to amend the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), the Karnataka Agricultural Income-tax Act, 1957 (Karnataka Act 22 of 1957), the Karnataka Tax on Entry of Goods Act, 1979 (Karnataka Act 27 of 1979), the Karnataka Tax on Luxuries (Hotels, Lodging Houses and Marriage Halls) Act, 1979 (Karnataka Act 22 of 1979), the Karnataka Entertainments Tax Act, 1958 (Karnataka Act 30 of 1958) and to give effect to the proposals made in the Budget speech and thatters connected therewith certain consequential amendments are also made.
STATEMENT OF OBJECTS AND REASONS KARNATAKA ACT No. 5 OF 2000 It is considered necessary to amend the Mysore Betting Tax Act, 1932 (Mysore Act IX of 1932), the Karnataka Agricultural Income-tax Act, 1957 (Karnataka Act 22 of 1957), the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), the Karnataka Tax on Luxuries Act, 1979 (Karnataka Act 22 of 1979) and the Karnataka Entertainment Tax Act, 1958 (Karnataka Act 30 of 1958) to give effect to the proposals made in the Budget Speech and matters connected therewith. Certain consequential amendments are also made. Hence, the Bill.
An Act to provide for the levy of Tax on Entry of Goods into Local Areas for Consumption, Use or Sale therein. Whereas it is expethent to provide for the levy by the State Government of a tax on the entry of goods into local areas for consumption, use or sale therein; Be it enacted by the Karnataka State Legislature in the Thirtieth Year of the Republic of India as follows:
CHAPTER 1 Preliminary
Section 1 Short title [extent and commencement]
(1) This Act may be called the [Karnataka Tax on Entry of Goods Act, 1979.]
(2) It extends to the whole of the State of Karnataka.
[(3) It shall come into force on the First day of October, 1980.]
Section 2 Definitions
[(A)] In this Act, unless the context otherwise, requires,
[(1) "Agricultural produce or horticultural produce" shall not include tea, [beedi leaves] coffee, rubber, cashew, cardamom, pepper and cotton; and such produce as has been subjected to any physical, chemical or other process for being made fit for consumption, save mere cleaning, grading, sorting or drying.]
(1-a)] "Appellate Tribunal" means the Appellate Tribunal constituted under the Karnataka Appellate Tribunal Act, 1976 (Karnataka Act 10 of 1976);
[(1-b) "Assessee" means a person by whom tax is payable.]
[(2) "Assessing Authority" means any officer empowered to make an assessment under the Karnataka Sales Tax Act 1957;]
[(2-a) "Assistant Commissioner" means the [Deputy Commissioner] of Commercial Taxes appointed under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957);]
[(2-b) "Business" includes any trade, commerce or manufacture or any adventure or concern in the nature of trade, commerce or manufacture whether or not such trade, commerce, manufacture, adventure or concern is carried on with a motive
(3) "Commissioner" means the person appointed to be the Commissioner of Commercial Taxes in the State;
[(3-a) "[Joint Commissioner]" means the [Joint Commissioner] of Commercial Taxes appointed under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957);]
[(4) "Dealer" means any person who, in the course of business, whether on his own account or on account of a principal or any other person, brings or causes to be brought into a local area any goods or takes delivery or is entitled to take delivery of goods on its entry into a local area and includes an occasional dealer.
Explanation I.-An industrial, commercial or trading undertaking of the Government of Karnataka, the Central Government or any other State Government, a local authority, company, a Hindu undivided family, an Aliyasanthana family, a firm, a society, a dub or an Association which carries on such business shall be deemed to be a dealer for purposes of this Act.
Explanation II.-A society (including a co-operative society), club or firm or an association which, whether or not in the course or business, buys, sells, supplies or distributes goods from or to its members for cash or for deferred payment or for commission, remuneration or other valuable consideration, shall be deemed to be a dealer for the purposes of this Act.
Explanation III.-The Central Government or a State Government other than the Government of Karnataka which whether or not, in the course of business, buys, sells, supplies or distributes goods, directly or otherwise, for cash or deferred payment or for commission, remuneration or other valuable consideration shall be deemed to be a dealer for the purposes of this Act.
Explanation IV.-When a consignee does not take delivery of goods upon its entry into a local area, and such goods are sold under the provisions of any law, the buyer who takes delivery of such goods upon the goods being sold shall be deemed to be the dealer thereof.
Explanation V.-A person undertaking the execution of works contract involving the use or consumption of goods entering into a local area shall be deemed to be the dealer thereof.
Explanation VI.-Any person who brings or causes to be brought any goods into a local area, but resides outside the State of Karnataka (hereinafter referred to as 'a non-resident dealer') including his agent or manager shall be deemed to be the dealer thereof.
Exception.-An Agriculturist who brings exclusively agricultural produce grown on land cultivated by him personally shall not be deemed to be a dealer within the meaning of this clause.]
[(4-a) "Goods" means all kinds of moveable property (other man newspapers, actionable claims, stocks and shares and securities) and includes livestock;
(4-b) "Goods vehicle" means any kind of vehicle used for carriage of goods either solely or in addition to passengers (other than aeroplanes and rail coaches) and includes push cart, animal drawn cart, tractor-trailer and the like.]
[[(4-c)] "[Additional Commissioner]" means the [Additional Commissioner] of Commercial Taxes appointed under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957);]
[(5) "Local area" means an area within the limits of a city under the Karnataka Municipal Corporations Act, 1976 (Karnataka Act 14 of 1977), a Municipality under the Karnataka Municipalities Act, 1964 (Karnataka Act 22 of 1964), a Notified Area Committee, A Town Board, a Sanitary Board or a Cantonment Board constituted or continued under any law for the time being in force and a Mandal under the Karnataka Zilla Parishads, Taluk Panchayat Samithis, Mandal Panchayats and Nyaya Panchayats Act, 1983 (Karnataka Act 20 of 1985) land panchayat area under the Karnataka Panchayat Raj Act, 1993 (Karnataka Act 14 of 1993)].]
[(5-a) "Occasional dealer" means any person who, in the course of occasional transactions of business nature, whether on his own account or on account of a principal or any other person bring or causes to be brought into a local area any goods or takes delivery or is entitled to take delivery of goods on its entry into local area.
(5-b) "Place of business" means any place where a dealer is doing business and includes:-
(i) any warehouse, godown, or other place where the dealer stores or processes his goods;
(ii) any place where the dealer produces or manufactures goods;
(iii) any place where the dealer keeps his books of accounts;
(iv) any place where the dealer carries on business through an agent (by whatever name called), the place of business of such agent.]
(6) "Registered dealer" means a dealer registered under this Act;
[(7) "Schedule" means a Schedule appended to this Act;]
(8) "Tax" means tax leviable under this Act;
[(8-a) "Value of the goods" shall mean the purchase value of such goods, that is to say, the purchase price at which a dealer has purchased the goods inclusive of charges borne by him as cost of transportation, packing, forwarding and handling charges, commission, insurance, taxes, duties and the like, or if such goods have not been purchased by him, the prevailing market price of such goods in the local area;
(8-b) "Works contract" means any agreement for carrying out for cash, deferred payment or other valuable consideration, the construction, fitting out, improvement or repair of any building, road, bridge or any other immovable property, or manufacture, processing, fabrication, erection, installation, fitting out, improvement, modification, repair, conversion or commissioning of any movable property;]
[(9) "Year" means the year commencing on the First day of April;] [[(B)] Words and expressions used in this Act, but not defined, shall have the meaning assigned to them in the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957).]
CHAPTER 2 Levy of tax
Section 3 Levy of Tax
(1) There shall be levied and collected a tax on [entry of any goods specified in the First Schedule] into a local area for consumption, use or sale therein, at such rates not exceeding five per cent of the value of the goods as may be specified [retrospectively or prospectively by the State Government by Notification, and different dates] and different rates may be specified in respect of different goods or
Provided further that no tax shall be payable on cast iron castings when used as raw thaterial, component part or any other input which may be used in the manufacture of an intermediate or finished goods.
(2) The tax levied under sub-section (1) shall be paid by every registered dealer or a dealer liable to get himself registered under this Act [or the Central Government or a State Government other than the State Government of Karnataka] who brings or causes to be brought into a local area the goods whether on his own account or on account of his principal or any other person or who takes delivery or is entitled to take delivery of such goods on its entry into a local area.
Explanation.-Where the goods are taken delivery of on its entry into a local area or brought into a local area by a person other than a dealer, the dealer who takes delivery of the goods from such person shall be deemed to have brought or caused to have brought the goods into the local area.
(3) Notwithstanding anything contained in sub-section (1) or sub-section (2), no tax shall be levied and collected from a dealer who brings or causes to be brought into a local area any goods in respect of which tax is payable in any other local area under sub-section (1). [(3) Notwithstanding anything contained in sub-section (1) or sub-section (2), no tax shall be levied on and collected from a dealer who brings or causes to be brought into a local area any goods,-
(i) in respect of which tax has been paid or has become payable in any other local area under sub-section (1), or
(ii) [other than Gutkha] in respect of which tax has been paid or has become payable under S.4B of the Karnataka Tax on Luxuries Act, 1979 (Karnataka Act 22 of 1979).]
(4) The provisions of sub-section (3) shall not apply unless the dealer who brings or causes to be brought the goods into the local area claims exemption by furnishing to the assessing authority a declaration, in the prescribed form
[(4) The provisions of sub-section (3) shall not apply unless the dealer preferring claim under the said sub-section furnishes to the assessing authority declaration in the prescribed form obtained from the prescribed authority and duly filled and signed by the dealer who is liable to pay tax on such goods under this Act or the Stockist who is liable to pay tax on such goods under the Karnataka Tax on Luxuries Act, 1979 (Karnataka Act 22 of 1979), as the case may be.]
[(4A) Notwithstanding anything contained in sub-section (2) and (3), where a dealer purchases any scheduled goods within the same local area from another dealer having more man one place of business in two different local areas, he shall not be eligible for preferring claim under sub-section (3) of Section 3 unless such dealer furnishes to the assessing authority a declaration in the prescribed form obtained from the selling dealer.]
(5) Where a dealer brings or causes to be brought goods into a local area and claims exemption by furnishing a declaration as provided in sub-section (4) and it is found that the said declaration is false, he shall be liable to pay the tax on such goods in addition to the penalty if any payable under Section 28A.
(6) No tax shall be levied under this Act on any goods [specified in the Second Schedule] mentioned in the Schedule on its entry into a local area for consumption, use or sale therein.
[(6A) No tax shall be levied on a defence unit which causes entry of any goods liable to tax under the Act, into a local area for use by it in the manufacture, repair or research and development of defence and defence related goods.]
[(7) Every manufacturer who brings or causes to be brought any goods into a local area or every dealer who brings or causes to be brought any goods into the State, the aggregate value of which is less than one lakh rupees in a year and any other dealer who brings or causes to be brought any goods into a local area, the aggregate value of which is less man two lakh rupees, shall not be liable to pay tax for that year:]
Provided that every non-resident dealer including his agent or manager, or every occasional dealer shall be liable to pay the tax each year at the rates specified irrespective of the aggregate value of the goods brought or caused to be brought into the local area during the year.
(8) The tax shall be assessed, levied and collected in such manner and in such instalments, if any, as may be prescribed.
(9) Subject to such rules as may be prescribed, the Assessing Authority may assess a dealer for any year, as if, the aggregate value of the goods brought or caused to be brought into local area in such year had been received as in the previous year.]
Section 3A Collection of tax by registered dealer
(1) A person who is not a registered dealer shall not collect any amount by way of tax or purporting to be by way of tax under this Act, nor shall a registered dealer collect any amount by way of tax or purporting to be by way of tax at a rate or rates exceeding the rate or rates specified in a notification issued under [Section [x x x x x].]
(2) No dealer shall collect any amount by way of tax or purporting to be by way of tax in respect of the entry of any goods on which no tax is payable by him under the provisions of this Act.
Section 3AA Collection of tax by Central Government or State Government
Notwithstanding anything contained in this Act, the Central Government or the State Government shall be entitled to collect by way of tax any amount which a registered dealer would be entitled to collect by way of tax under this Act.]
Section 3B Penalty for collection in contravention of Section 3A
If any person contravenes any of the provisions of Section 3A, the assessing authority may, after giving such person a reasonable opportunity of being heard, by order in writing, impose upon him by way of penalty a sum not exceeding one and a half times such amount:
Provided that no prosecution for an offence under Section 21 shall be instituted in respect of the same contravention for which a penalty has been imposed under this section.]
Section 3BB Payment and disbursement of amounts wrongly collected by dealers as tax
(1) Where any amount is collected by way of tax or purporting to be by way of tax from any person by any dealer in contravention of Section 3A, whether knowingly or not, such dealer shall pay the entire amount so collected to the assessing authority within twenty days after the close of the month in which such amount was collected, notwithstanding that the dealer is not liable to pay such amount as tax or that only a part of it is due from him as tax under this Act.
(2) If default is made in payment of the amount in accordance with sub-section (1).
(i) the whole of the amount outstanding on the date of default shall become immediately due and shall be a charge on the properties of the dealer;
(ii) the dealer liable to pay the amount shall pay interest at t he rate of two and one half per cent of such amount for each month of default; and
(iii) the whole of the amount remaining unpaid along with the interest calculated under clause (ii) of this sub-section shall be recoverable in the manner specified in Section 8.
(3) Notwithstanding anything contained in this Act or in any other law for the time being in force, any amount paid or payable by any dealer under sub-section (1) shall, to the extent it is not due as tax be forfeited to the State Government and be recovered from him and such payment or recovery shall discharge him of the liability to refund the amount to the person from whom it was collected.
(4) Where any amount is paid or recovered by or from any dealer under sub-section (1) or (3), a refund of such amount of any part thereof can be claimed from the State Government by the person from whom it was realised by way of tax provided an application in writing in the prescribed form is made to the Commissioner, within two years from the date of the order of forfeiture. On receipt of any such application, the Commissioner shall hold such inquiry as he deems fit and if the Commissioner is satisfied that the claim is valid and admissible and that amount as claimed as refund is actually paid or recovered, he shall refund the amount or any part thereof, which is found due to the persons concerned.
(5) Where any amount is collected by way of tax or purporting to be by way of tax in contravention of Section 3A at any time before the commencement of the Karnataka Taxation Laws (Amendment) Act, 1994, the provisions of sub-sections (3) and (4) shall apply to such amounts collected.]
Section 3C Liability to taxation of goods sold to manufacturing units
(1) Notwithstanding anything contained in Section 3, no tax shall be payable by a dealer in respect of entry of goods specified in Entry 16-B of the schedule to the Act, if such goods are sold to a manufacturing unit whose total turn-over in a year under the Karnataka Sales Tax Act, 1957 is less than rupees ten lakhs.
(2) The provisions of sub-section (1) shall not apply unless the dealer selling the goods furnishes to the assessing authority in the prescribed manner a declaration by the manufacturing unit buying the goods in the prescribed Form obtained from the prescribed authority.
(3) If the declaration furnished by the manufacturing unit buying the goods is found to be incorrect, the assessing authority after giving such unit a reasonable opportunity of being heard, shall, by order in writing, impose upon it by way of penalty a sum which shall not be less than the amount of tax leviable under Section 3 of the entry of such goods, but which shall not exceed double the amount of such tax. 1-4-1991 to 3-2-1993 (Act 14 of 1991)
Explanation.-For the purposes of this Section and Explanation I to Serial Number 16-B of the Schedule, manufacturing unit includes a unit engaged in processing, improvement or repair of goods.
Section 4 Registration of dealers
(1) Every dealer,-
(a) who buys or receives goods liable to tax under this Act and who is doing business in a local area and [is registered or is liable for registration under S.10 of the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957)], or
(b) who brings or causes to be brought such goods into a local area or takes delivery or is entitled to take delivery of such goods, the aggregate value of which is not less than [two lakhs] rupees in a year, shall get himself registered under this Act in such manner on payment of such fee and within such period as may be prescribed. The registration shall be renewed from year to year on payment of the prescribed fee until it is cancelled:
[Provided that every manufacturer who buys or causes to be brought any goods into a local area or every dealer who brings or causes to be brought any goods into the State shall get himself registered under this Act, if the aggregate value of such goods brought into a local area or into the State, as the case may be, is not less man one lakh rupees in a year.]
(2) Notwithstanding anything contained in sub-section (1),-
(i) every dealer undertaking execution of works contract involving the use or consumption of goods entering into a local area;
(ii) every non-resident dealer;
(iii) every occasional dealer;
(iv) every manager or agent of a non-resident dealer; other than a dealer dealing exclusively in the goods specified in the Schedule, shall get himself registered irrespective of the value of such goods.
(3) No dealer who is already registered under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), shall be required to pay registration or renewal fee under this Act.
(4) Nothing contained in this section shall apply to any State Government or the Central Government.]
CHAPTER 2A
Section 4A Definitions
In this Chapter, unless the context otherwise requires,-
(a) "Accessories'" means air-conditioners, music system and any other articles fitted to a motor vehicle and which are not included in the original invoices;
(b) "Entry of Motor Vehicle into a local area from outside the State" with all its grammatical variations and cognate expressions, means entry of motor vehicle into a local area from any place outside the State for use or sale therein;
(c) "Importer" means a person who brings a motor vehicle into a local area from any place outside the State for use or sale therein and who owns the vehicle at the time of its entry into a local area;
(d) "Motor Vehicle" means a motor vehicle as defined in clause (28) of S.2 of the Motor Vehicles Act, 1988;
(e) "Person" includes any company or association or body of individuals whether incorporated or not and also a Hindu Undivided family, a firm, a society, a club, an individual, the Central Government or the Government of any other State, Union Territory, or a local Authority;
(f)"Purchase Value" means the value of motor vehicle as ascertained from the invoice and includes the value of accessories fitted to the vehicle, insurance, excise duty, countervailing duties, sales tax, transport fee, freight charges and all other charges incidentally levied on the purchase of a motor vehicle:
Provided that, where purchase value of a motor vehicle is not ascertainable on account of non-availability or non-production of invoice or when the invoice produced is proved to be false or if the motor vehicle is acquired or obtained otherwise than by way of purchase, then the purchase value shall be at the value or price of being sold in open market;
(g) "State" means the State of Karnataka.
Section 4B Levy of Tax
(1) Notwithstanding anything contained in Section 3, there shall be levied and collected a tax on the entry of any motor vehicle into a local area for use or sale therein by an importer which is liable for registration, or assignment of a new registration mark in the State under the Motor Vehicle Act, 1988.
(2) The tax shall be levied on the purchase value of the motor vehicles at such rate as may be fixed by the Government by notification but not exceeding the rates specified in respect of motor vehicles under the Karnataka Sales Tax Act, 1957:
Provided that, no tax shall be levied and collected in respect of a motor vehicle which is registered in any Union Territory or any other State under the Motor Vehicles Act, 1988 fifteen months prior to the date on which a new registration mark is assigned in the State under the said Act.
(3) The tax levied under this section shall be paid by the importer in such manner and within such time as may be prescribed.
Section 4C Levy and collection of tax and penalties
The provisions of this Act insofar as they relate to tax authorities, registration, filing of returns, assessments, re-assessments, levy of penalties, collection and recovery of tax and penalties, appeals, revisions, offences and prosecutions shall apply mutatis mutandis to the levy of tax on entry of motor vehicles into a local area for use or sale therein under this Chapter:
Provided that in the case of an importer, other than a dealer liable for registration under this Act, causing entry of motor vehicle into a local area for use or sale therein, he shall pay tax to such authority as Commissioner may notify, within fifteen days from the date of entry of such vehicle into a local area or before an application is made for registration of the said vehicle or assignment of a new registration mark to such vehicle under the Motor Vehicles Act, 1988, whichever is earlier.
Section 4D Exemption of Tax in certain circumstances
Where any person is causing entry of motor vehicle into a local area within a period of fifteen months from the date of registration of such vehicle in any Union Territory or any other State under the Motor Vehicles Act, 1988, and that such entry is occasioned as a result of shifting the place of his residence from such Union Territory or State into this State.[Joint Commissioner] may exempt such person from payment of entry tax on entry of such vehicle subject to production of proof in this regard by him.
Section 4E Restriction to registration, etc
Notwithstanding anything contained in any other law for the time being in force, where the liability to pay tax in respect of a motor vehicle arises under this Act and such motor vehicle is required to be registered or a new registration mark is required to be assigned to it in the State under the Motor Vehicles Act, 1988, no, registering authority shall either register any such motor vehicle or assign any new registration mark to such motor vehicle unless payment of such tax has been made by the person concerned in respect of such vehicle.]
CHAPTER 3 Return, assessment payment, recovery and collection of taxes
Section 5 Returns and assessment
(1) Notwith standing anything contained in Section 7, every registered dealer [and every dealer who is liable to get himself registered under this Act] shall every year submit a return to the assessing authority within such period ana in such manner containing such particulars as may be prescribed.
(2) Before any [x x x x x] dealer submits any return under sub-section (1), he shall in the prescribed manner pay in advance the full amount of tax payable by him on the basis of such return as reduced by any tax already paid under Section 7 and shall furnish along with the return satisfactory proof of the payment of such tax. After the final assessment is made, the amount of tax so paid shall be deemed to have been paid towards the tax finally assessed.
(3) If the assessing authority is satisfied that any return submitted under sub-section (1) is correct and complete, he shall assess the dealer on the basis thereof.
(4) If no return is submitted by the dealer under sub-section (1) before the period prescribed or if the return submitted by him appears to the assessing authority to be incorrect or incomplete, he shall assess the [x x x x x] dealer to the best of his judgment recording the reasons for such assessment:
Provided that before taking action under this sub-section the [x x x x x] dealer shall be given reasonable opportunity of proving the correctness and completeness of the return submitted by him.
(5) While making any assessment under sub-section (4), the assessing authority may also direct the dealer to pay in addition to the tax assessed a penalty not exceeding one and a half times the amount of tax due that was not disclosed by the [x x x x x] dealer in his return or in the case of failure to submit a return one and a half times the tax assessed, as the case may be.
[(6) No assessment under this Section for any year shall be made after a period of [three years] from the date on which return under Section 5 for that year is submitted by a dealer.
[Provided that the assessment proceedings relating to any year pending before the commencement of the Karnataka Taxation Laws (Amendment) Act, 1997 in respect of which return under sub-section (1) [three years] from such commencement:]
Provided further that nothing contained in this sub-section limiting the time within which the assessment may be made shall apply to an assessment made on the assessee or any person in consequence of, or to give effect to any finding, direction or order made under Section 13, Section 14 or Section 15 or any Judgement or Order made by any Court.]
(7) In computing the period of limitation for assessment under this Section,-
(a) the time during which the proceedings for assessment in question have been deferred on account of any stay order granted by any Court or any other authority shall be excluded;
(b) the time during which the assessment has been deferred in any case or classes of cases by the [Joint Commissioner] for reasons to be recorded in writing shall be excluded: [x x x x x.]
[(8) Where an assessment under this Section is not concluded within the time specified under sub-section (6), the [turnover or the value of taxable goods, as the case may be] declared by a dealer in his annual return shall be deemed to have been assessed for that year on the basis of the said return and the provisions of the Act relating to assessment of the [such escaped turnover or purchase value of taxable goods, as the case may be], payment and recovery, appeal and revision shall mutatis mutandis apply to such deemed assessment.]]
Section 5A Security deposit
(1) The assessing authority, may, for good and sufficient reasons, demand from any dealer liable to pay tax under this Act, security for the proper payment of tax payable by him and on such demand such dealer shall furnish the same within seven days from the date of receipt of an order demanding security from the aforesaid authority.
(2) The amount of security payable under sub-section (1), for any year shall not exceed an amount equivalent to one-half of the tax anticipated to be payable by the dealer for that year:
Provided that the assessing authority shall have power to demand at any time additional security if such authority has reason to believe that the security fixed was too low.
(3) The security paid under sub-section (2), in any year shall be maintained in full until it is dispensed with by the assessing authority on
Section 5B Summary assessments
(1) Notwithstanding anything contained in sub-sections (3) and (4) of Section 5, in the case of a dealer who is eligible for self-assessment under S.12C of the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), the Assessing Authority shall subject to the same conditions and exceptions specified therein, assess such dealer on the basis of return filed without requiring the presence of the dealer or the production of books of account
(2) Notwithstanding anything contained in sub-section (1), the Assessing Authority shall assess under sub-section (4) of Section 5 in such cases as notified by the Commissioner under S.12C of the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957).
(3) If on scrutiny assessment in cases falling under sub-section (2), it is found that the amount of tax paid by any dealer for any year was less than the tax payable for that year as assessed by more than fifteen per cent/ the Assessing Authority shall direct such dealer to pay, in addition to the tax, a penally equivalent to three times the amount of the tax so paid in short.
(4) Every assessment completed under sub-section (1) shall be subject to the provisions of Section 6, Section 15 and Section 17.]
Section 5B Self-assessment in the case of certain dealers
(1) Notwithstanding anything contained in sub-sections (3) and (4) of Section 5, in the case of a dealer who is eligible for self-assessment under S.12C of the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), the Assessing Authority shall subject to the same conditions and exceptions specified therein, assess such dealer on the basis of return filed without requiring the presence of the dealer or the production of books of account
(2) Notwithstanding anything contained in sub-section (1), the Assessing Authority shall assess under sub-section (4) of Section 5 in such cases as notified by the Commissioner under S.12C of the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957).
(3) If on scrutiny assessment in cases falling under sub-section (2), it is found that the amount of tax paid by any dealer for any year was less than the tax payable for that year as assessed by more than fifteen per cent/ the Assessing Authority shall direct such dealer to pay, in addition to the tax, a penally equivalent to three times the amount of the tax so paid in short.
(4) Every assessment completed under sub-section (1) shall be subject to the provisions of Section 6, Section 15 and Section 17.]
Section 5C Composition of tax
(1) Where an assessee within one month from the service of a notice of demand makes an application and satisfies the assessing authority that he was prevented by sufficient cause from appearing as required under Section 5, or that he did not receive the notice issued under that section or that he had not a reasonable opportunity of being heard, the assessing authority shall cancel the assessment and proceed to make a fresh assessment in accordance with the provisions or Section 5:
Provided that no application under this sub-section shall be entertained by the assessing authority if tax admitted in the return is not paid.
(2) Nothing contained in sub-section (1) shall apply to an assessment which has been made the subject-matter of an appeal under Section 13.
(3) No appeal shall lie under Section 13 against an order passed under this section.
(4) Every order passed under this section shall, subject to the provisions of Section 14, Section 15A, Section 16 and Section 17, be final.]
Section 5C Cancellation of assessments in certain cases
(1) Where an assessee within one month from the service of a notice of demand makes an application and satisfies the assessing authority that he was prevented by sufficient cause from appearing as required under Section 5, or that he did not receive the notice issued under that section or that he had not a reasonable opportunity of being heard, the assessing authority shall cancel the assessment and proceed to make a fresh assessment in accordance with the provisions or Section 5:
Provided that no application under this sub-section shall be entertained by the assessing authority if tax admitted in the return is not paid.
(2) Nothing contained in sub-section (1) shall apply to an assessment which has been made the subject-matter of an appeal under Section 13.
(3) No appeal shall lie under Section 13 against an order passed under this section.
(4) Every order passed under this section shall, subject to the provisions of Section 14, Section 15A, Section 16 and Section 17, be final.]
Section 6 Payment of tax for entry of goods escaping assessment
(1) If the assessing authority has reasons to believe that the whole or any part of the turnover of a dealer or the value of taxable goods brought or caused to be brought into a local area by a dealer whether on his own account or on account of his principal or any other person or who has taken delivery or is entitled to take delivery of such goods on its entry into local area in respect of any period has escaped assessment to tax or has been under assessed or has been assessed at a rate lower than the rate at which it is assessable under this Act or any deduction or exemption have been wrongly allowed in respect thereof, the assessing authority may, notwithstanding the fact that whole or part of such escaped turnover or value of taxable goods, as the case may be, was already before the said authority at the time of original assessment or re-assessment, but subject to the provisions of sub-section (3) at any time within a period of eight years from the expiry of the year to which the tax relates, proceed to assess or re-assess to the best of its judgment the tax payable by a dealer in respect of such turnover or purchase value of such goods, as the case may be, after issuing a notice to the dealer and after making such enquiry as it may consider necessary.]
(2) In making an assessment under sub-section (1) the assessing authority may, if it is satisfied that the escape from assessment is due to wilful non-disclosure of the entry of such goods by the [x x x x x] dealer direct him to pay in addition to the tax assessed under sub-section (1) a penalty not exceeding one and a half times the tax so assessed:
Provided that no penalty under this sub-section shall be directed to be paid unless the dealer affected has had a reasonable opportunity of showing cause against such imposition.
(3) In computing the period of limitation for assessment under this Section the time during which an assessment has been deferred on account of any stay order granted by any Court or other authority or by reason of the fact that an appeal or other proceeding is pending, shall be excluded.
[Provided that nothing contained in this section limiting the time within which any action may be taken or any order, assessment or re-assessment may be made, shall apply to an assessment or re-assessment made on the assessee or any person inconsequence of, or to give effect to, any finding direction or order made under Section 13, Section 14, Section 15, Section 15A or Section 16 or any judgment or order made by the Supreme Court, the High Court, or any other court.]
Section 7 Payment of tax in advance
(1) Subject to such Rules as may be prescribed, every registered dealer and every dealer liable to get himself registered under this Act] shall send every month to the assessing authority a statement containing such particulars as may be prescribed and shall pay in advance the full amount of tax payable by him on the basis of the [goods] brought by him during the preceding month into the local area [within twenty days after the dose of the preceding month to which such tax relates] and the amount so payable shall for the purposes of sub-section (4) of Section 8 be deemed to be an amount due under this Act from such dealer. Act 5 of 2000 (From 1-4-2000)
[Provided that in the case of a dealer whose total turnover in any year under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957) is not
[If default is committed in the payment of tax in accordance with sub-section (1) beyond ten days after the expiry of the period specified in the said sub-section, the dealer shall pay by way of penalty, a sum equal to two per cent of the tax payable for every such month or part thereof during which such default is continued.]
[(2) If default is committed in the payment of tax for any month or quarter, as the case may be, beyond ten days, whether or not a statement as required under sub-section (1) is filed; or if the amount of tax paid is less than the amount of tax payable for any month or quarter, as the case may be, the dealer defaulting payment of tax or making short payment of tax shall, in addition to the tax, pay interest calculated at the rate of two per cent per month from the date of such default or short payment to the date of payment of such tax.]
[(3)] If at the end of the year it is found that the amount of tax paid in advance by any [x x x x x] dealer for any month or for the whole year in the aggregate was less than the tax payable for that month or the tax for the whole year as finally assessed, as the case may be, by more than fifteen per cent the assessing authority may direct such dealer to pay, in addition to the tax, by way of penalty, a sum [calculated at the rate of two per cent per month of the tax paid in short from the date of expiry of thirty days after the dose of the month or the quarter or the year, as the case may be, to which such tax relates]:
Provided that no penalty under this sub-section shall be imposed unless the dealer affected has had a reasonable opportunity of showing cause against such imposition.
[[(4)] If no such statement is submitted by a dealer under sub-section (1) before the date prescribed or if the statement submitted by him appears to the assessing authority to be incorrect or incomplete, the assessing authority may assess the dealer provisionally for that month to the best of his judgment, recording the reasons for such assessment, and proceed to demand and collect the tax on the basis of such assessment:
Provided that before taking action under this sub-section the dealer shall be given a reasonable opportunity of being heard.]
Section 8 Payment and recovery of tax
(1) The tax under this Act shall be paid in such manner and in such instalments, if any, [and subject to such conditions and payment of such interest] and within such time, as may be prescribed.
(2) If default is made in making payment in accordance with sub-section (1),-
(i) the whole of the amount outstanding on the date of default shall become immediately due and shall be a charge on the property of the person or persons liable to pay tax under this Act; Act No. 5 of 2000 (From 1-4-2000)
[(ii) the person or persons liable to gay the tax or any other amount due under this Act shall pay a [interest] equal to two per cent of the amount of tax or any other amount due remaining unpaid for each month after the expiry of the time specified under sub-section (1).] Explanation.-For the purposes of clause (ii), the [interest] payable for a part of a month shall be proportionately determined.
(3) Notwithstanding anything contained in sub-section (2), [where the amount of penalty does not exceed rupees five lakh, the Commissioner and in any other case, the State Government] may subject to such conditions as may be prescribed remit the whole or any part of the [interest] payable in respect of any period by any person or class of persons.
(4) Any tax assessed, or any other amount due under this Act from a [x x x x x] dealer may without prejudice to any other mode of collection be recovered.-
(a) as if it were an arrear of land revenue; or
(b) by attachment and sale or by sale without attachment of any property of such dealer or any other person by the prescribed officer in accordance with such Rules as may be prescribed;
(c) notwithstanding anything contained in the Code of Criminal Procedure, 1973 (Central Act 2 of 1974), on application to any Magistrate, by such Magistrate, as if it were a fine imposed by him:
Provided that where a [x x x x x] dealer who has appealed or applied for revision of any order made under this Act and has complied with an order made by the appellate or the revising authority in regard to the payment of tax or other amount no proceedings for recovery under this sub-section shall be made or continued until the disposal of such appeal or application for revision.
Section 8A Power to withhold refund in certain cases
(1) Where an order giving rise to refund is the subject-matter of an appeal or further proceeding or where any other proceeding under this Act is pending, and the authority competent to grant such refund is of the opinion that the grant of refund is likely to adversely affect the revenue, such authority may, with the previous approval of the Commissioner, withhold the refund till such time as the Commissioner may determine.
(2) Where a refund is withheld under sub-section (1) the State Government shall pay interest at the rate of [twelve per cent] per annum on the amount of refund ultimately determined to be due to the person as a result of the appeal or further proceedings, for the period from the date immediately following the expiry of ninety days from the date of the order referred to, in sub-section (1) to the date of refund.]
Section 9 Recovery of tax from certain other persons
(1) The assessing authority may, at any time or from time to time, by notice in writing (a copy of which shall be forwarded to the [x x x x x] dealer from whom any tax assessed is due, at his last address known to the assessing authority) require any person from whom money is due to the [x x x x x] dealer or any person who holds or may subsequently hold money for or on account of the [x x x x x] dealer to pay the assessing authority either forthwith upon the money becoming due or being held at or within the specified in the notice (not being before the money becomes due or is held) so much of the money as is sufficient to pay the amount due by the [x x x x x] dealer in respect of arrears of tax or penalty or the whole of the money when it is equal to or less than that amount.
(2) The assessing authority may, at any time or from time to time, amend or revoke any such notice or extend the time for making any payment in pursuance of the notice.
(3) Any person making any payment in compliance with a notice under this Section shall be deemed to have made the payment under the authority of the [x x x x x] dealer and the receipt of the assessing authority shall constitute a good and sufficient discharge of the liability of such person to the extent of the amount referred to in the receipt.
(4) Any person discharging any liability to the [x x x x x] dealer after reeipt of the notice referred to in this Section shall be personally liable to the assessing authority to the extent of the liability discharged or to the extent of the liability of the [x x x x x] dealer for the amount due under this Act, whichever is less.
(5) Where any person to whom a notice under this Section is sent objects to it on the ground that the sum demanded or any part thereof is not due by him to the [x x x x x] dealer or that he does not hold any money for or on account of the [x x x x x] dealer, then, nothing contained in this Section shall be deemed to require such person to pay the sum demananded or any part thereof, to the assessing authority.
(6) Any amount which a person is required to pay to the assessing authority or for which he is personally liable to the assessing authority under this Section shall, if it remains unpaid, be a charge on the properties the said person and may be recovered as if it were an arrear of land revenue.
Explanation.-For the purposes of this Section, the amount due to [x x xx x] dealer or money held for or on account of [x x x x x] dealer shall be cputed after taking into account such claims, if any, as may have fallen due for payment by such[x x x x x] dealer to such person and as may be lawfully subsisting. Act 7 of 1997 (1-4-97 to 31-3-2000)
Section 9A Sugar Factories, etc., to collect and pay tax
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Section 9A Sugar Factories, etc., to collect and pay tax
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Section 10 Liability of firms
(1) Where any firm is liable to pay any tax or other amount under this Act, the firm and each of the partners of the firm shall be jointly and severally liable for such payment.
(2) Where a partner of a firm liable to pay any tax, or other amount under this Act retires, he shall, notwithstanding any contract to the contrary, be liable to pay the tax, or other amount remaining unpaid at the time of his retirement and any tax or other amount due upto the date of retirement, though unassessed.
Section 10A Assessment of legal representative
Where a dealer these, his executor, administrator or other legal representative shall be deemed to be the dealer for the purposes of this Act and the provisions of this Act shall apply to him in respect of the business of the said deceased dealer:
Provided that, in respect of any tax, penalty or fee assessed as payable by any such dealer or any tax, penalty or fee which would have been payable by him under this Act if he had not thed, the executor,
Section 11 Tax payable on transfer of business, etc
(1) When the ownership of the business of a [x x x x x] dealer liable to pay any tax or penalty, or any other amount under the provisions of this Act, is transferred, the transferrer and the transferee shall jointly and severally be liable to pay any tax or penalty or any other amount payable but remaining unpaid at the time or transfer, and for the purpose of recovery from the transferee, such transferee shall be deemed to be the [x x x x x] dealer liable to pay the tax or penalty or other amount under this Act.
(2) When a firm liable to pay the tax or penalty is dissolved, the assessment of the tax and imposition of penalty shall be made as if no dissolution of the firm had taken place, and every person who was at the time of dissolution a partner of the firm and the legal representative of any such person who is deceased, shall be jointly and severally liable to pay the tax or penalty assessed or imposed.
(3) When an undivided Hindu family or Aliyasanthana family, liable to pay the tax or penalty, is partitioned, the assessment of the tax and the imposition of penalty shall be made as if no partition of the family had taken place, and every person who was a member of the family before the partition shall be jointly and severally liable to pay the tax or penalty assessed or imposed.
(4) Where a [x x x x x] dealer thes, his executor, administrator or other legal representative shall be deemed to be the [x x x x x] dealer for the purposes of this Act and the provisions of this Act shall apply to him in respect of the business of the said deceased [x x x x x] dealer, provided that, in respect of any tax or penalty assessed as payable by any such dealer or any tax or penalty which would have been payable by him under this Act if he had not thed, the executor, administrator or other legal representative shall be liable only to the extent of the assets of the deceased in his hands,
Section 11A Power of State Government to exempt or reduce tax
[(1)] The State Government may, if in its opinion it is necessary in public interest so to do, by notification and subject to such restrictions and conditions and for such period as may be specified in the notification, exempt or reduce [either prospectively or retrospectively] the tax payable under this Act,-
(i) by any specified class of persons or class of dealers or in respect of any goods or class of goods; or
(ii) on entry of all or any goods or class of goods into any specified local area.]
[(2) The State Government may, by notification cancel or vary any notification issued under sub-section (1).
(3) Where any restriction or condition specified under sub-section (1) is contravened or is not observed by a dealer or a declaration furnished under the said sub-section is found to be wrong, then such dealer shall be liable to pay by way of penalty an amount equal to twice the difference between the tax payable at the rates specified by or under the Act and the tax paid at the rates specified under the notification on the value of such goods in respect of which such contravention or non-observance has taken place or a wrong declaration is furnished:
Provided that before taking action under this sub-section the dealer shall be given a reasonable opportunity of being heard.
CHAPTER 4 Tax authorities
Section 12 The Authorities
[(1) The officers exercising powers, discharging duties and performing functions under the Karnataka Sales Tax Act, 1957 in any area or in respect of any dealer or classes of dealer, shall exercise power, discharge duties and perform functions under this Act in respect of such area and such dealer or classes of dealers.]]
[(2) x x x x x.
(3) x x x x x.]
(4) The Commissioner may, by order in writing, at any time transfer any case pending before one officer to another officer and the officer to whom the case is so transferred may proceed either de novo or from the stage at which it was transferred.
(5) Where a case pending before an officer is transferred to another officer under sub-section (4), the officer to whom the case is transferred shall notwithstanding anything contained in this Act have the same powers and perform the same duties as those respectively conferred and imposed on the officer from whom the case is so transferred.
(6) The State Government and the Commissioner may, from time to time, issue such orders, instructions and directions to all officers and persons employed in the execution of this Act as they may deem fit for the administration of this Act and all such officers and persons shall observe and follow such orders, instructions and directions of the State Government and the Commissioner:
Provided that no such orders, instructions or directions shall be issued so as to interfere with the discretion of any appellate authority in the exercise of its appellate functions.
(7) Without prejudice to the generality of the foregoing power, the Commissioner may on his own motion or on an application by a dealer liable to pay tax under this Act, if he considers it necessary or expedient so to do, for the purpose of maintaining uniformity in the work of assessments and collection of revenue or for the removal of any doubt, clarify the rate of tax payable under this Act in respect of goods liable to tax under the Act or the doubt, as the case may be and all officers and persons employed in the execution of this Act shall observe and follow such clarification.
[Provided that no such application shall be entertained unless it is accompanied by proof of payment of such fee paid in such manner as may be prescribed.]
Explanation.-In this Section, the word 'case' in relation to any dealer specified in any direction or order issued thereunder means all proceedings under this Act in respect of any year which may Impending on the date of such order or direction or which may have been completed on or before such date and includes also all proceedings under this Act which may be commenced after the date of such order or direction in respect of any year.]
Section 12A State Representative
(1) The State Representative appointed or empowered under the Karnataka Sales Tax Act, 1957 (Karnataka Act 25 of 1957), shall be the State Representative for the purpose of this Act.
(2) In proceedings before the Appellate Tribunal, the State Representative shall be competent.-
(i) to prepare and sign applications, appeals and other documents;
(ii) to appear, represent, act and plead;
(iii) to receive notices and other process; and
(iv) to do all other acts connected with such proceedings, on behalf of the State Government or any officer appointed under this Act.]
Section 12B Change of incumbent of an office
Whenever in respect of any proceeding under this Act, an assessing authority or any other officer ceases to exercise jurisdiction and is succeeded by another who has, and exercises, jurisdiction, the authority or officer so succeeding may continue the proceeding from the stage at which the proceeding was left by his or its predecessor
Provided that the assessee concerned may demand that before the proceeding is so continued the previous proceeding or any part thereof be re-opened or that before any order of assessment is passed against him, he be re-heard.]
CHAPTER 5 Appeal and revision
Section 13 Appeals
[(1) Any person objecting to an order affecting him passed under the provisions of this Act by.-
(i) a Commercial Tax Officer,, may appeal to the Deputy Commissioner; and
(ii) an Assistant Commissioner of Commercial Taxes or a Deputy Commissioner, may appeal to the Joint Commissioner:
Provided that any appeal preferred against the orders of the Commercial Tax Officer and pending before the date of commencement of this Act shall stand transferred to the Deputy Commissioner.]
(2) The appeal shall be preferred within thirty days,-
(i) in respect of an order of assessment, from the date on which the notice of assessment was served on the appellant, and
(ii) in respect of any other order, from the date on which the order was communicated to the appellant
Provided that the appellate authority may admit an appeal preferred after the period of thirty days aforesaid [but within a further period of one hundred and eighty days] if it is satisfied that the appellant had sufficient cause for not preferring the appeal within that period.
(3)
(a) No appeal against an order of assessment shall be entertained by the appellate authority unless it is accompanied by satisfactory proof of the payment of the tax and penalty not disputed in the appeal.
(b) Notwithstanding that an appeal has been preferred under sub-section (1), the tax or other amount shall be paid in accordance with the order against which the appeal has been preferred:
Provided that the appellate authority may in its discretion, give such directions as it thinks fit in regard to the payment of tax or other amount
(4) The appeal shall be in the prescribed form and shall be verified in the prescribed manner. Act No. 5 of 2000 (From 1-4-2000)
[(4A). Notwithstanding anything contained in sub-section (1), the appeals filed before the Deputy Commissioner of Commercial Taxes on or before the date of commencement of Karnataka Taxation Laws (Amendment) Act, 2000 and pending on such date shall be deemed to have been filed before the Joint Commissioner and such appeal shall be disposed off by him in accordance with this section.]
(5) In disposing of an appeal, the appellate authority may, after giving the appellant a reasonable opportunity of being heard,-
(a) in the case of an order of assessment or penalty,-
(i) confirm, reduce, enhance or annul the assessment or penalty or both;
(ii) set aside the assessment and direct the assessing authority to make a fresh assessment after such further enquiry as may be directed; or
(iii) pass such other orders as it may think fit; and
(b) in the case of any other order, confirm, cancel or vary such order.
(6) Every order passed on appeal under this, Section shall, subject to the provisions of Section 14 Section 15, Section 16, and Section 17, be final.
Section 14 Appeal to the Appellate Tribunal
(1) Any officer empowered by the State Government in this behalf or any other person objecting to an order passed by the appellate authority (under Section 13 or an order passed by a revisional authority under sub-section (3)1 of Section 15 may appeal to the Appellate Tribunal within a period of sixty days from the date on which the order was communicated to him,
(2) The Appellate Tribunal may admit an appeal preferred after the period of sixty days referred to in sub-section (1) but within a further period of one hundred and eighty days if it is satisfied that the appellant had sufficient cause for not preferring the appeal within that period.
(2-A) The officer authorised under sub-section (1) or the person against whom an appeal has been preferred, as the case may be, on receipt of notice that an appeal against the order of the [Deputy Commissioner] [Joint Commissioner] has been preferred under sub-section (1) by the other party, may, notwithstanding that he has not appealed against such order or any part thereof, file [at any time before the appeal is finally heard,] a memorandum of cross objections, verified in the prescribed manner, against any part of the order of the [Deputy Commissioner] or the [Joint Commissioner], as the case may be, and such memorandum shall be disposed of by the Appellate Tribunal as if it were an appeal presented within the time specified in sub-section (1).]
[(3) The appeal or the memorandum of cross-objections shall be in the prescribed form, shall be verified in the prescribed manner, and in the case of an appeal preferred by any person other than an officer empowered by the State Government under sub-section (1) shall be accompanied by a fee equal to two per cent of the amount of assessment objected to, provided that the sum payable in no case be less than two hundred rupees or more than one thousand rupees.
(4) Notwithstanding that an appeal has been preferred under sub-section (1), the payment of tax or penalty or any other amount, payable in accordance with any order passed by the Deputy Commissioner or the Joint Commissioner under Section 13 shall not, pending disposal of the appeal be stayed by the appellate tribunal;
(5) The appellate tribunal shall, after giving both parries to the appeal a reasonable opportunity of being heard, pass such orders thereon as it thinks fit:
Provided that if the appeal involves a question of law on which the appellate tribunal has previously given its decision in another appeal and either a revision petition in the High Court against such decision or an appeal in the Supreme Court against the order of the High Court thereon is pending, the appellate tribunal may defer the hearing of the appeal before it till such revision petition in the High Court or the appeal in the Supreme Court is disposed of
Provided further that if as a result of the appeal any change becomes necessary in the assessment, which is the subject-matter of the appeal, the appellate tribunal may authorise the assessing authority to amend the assessment, and the assessing authority shall amend the assessment accordingly and thereupon, any amount over-paid by the assessee shall be refunded to him without interest, or any additional amount of tax due from him shall be collected in accordance with the provisions of the Act, as the case may be.
(6) Notwithstanding that an appeal has been preferred under sub-section (1) tax shall be paid in accordance with the assessment made in the case:
Provided that the appellate tribunal may except in case of an appeal against an order passed by the Deputy Commissioner or Joint Commissioner under Section 13, in its discretion, give such directions as it thinks fit, in regard to the payment of tax, if the appellant furnishes sufficient security to its satisfaction in such form and manner as may be prescribed.
(7)
(a) The appellate tribunal may, on the application either of the appellant or of the respondent, review any order passed by it under sub-section (5) on the basis of facts which were not before it when it passed the order:
Provided that no such application shall be preferred more than once in respect of the same order.
(b) The application for review shall be preferred in the prescribed manner within six months from the date on which the order to which application relates was communicated to the applicant; and where the application is preferred by any person other than an officer empowered by the State Government under sub-section (1), it shall be accompanied by a fee equal to that which had been paid in respect of the appeal:
Provided that if the application for review is preferred within ninety days from the date on which the order to which application relates is communicated to the applicant, the application shall be accompanied by half the fee which had been paid in respect of the appeal.
(8) With a view to rectifying any mistake apparent from the record, the appellate tribunal may, at any time, within five years from the date of any order passed by it under sub-section (5) or sub-section (7) amend such order:
Provided that no order under this sub-section shall be made without giving both parties affected by the order a reasonable opportunity of being heard.
(9) Except as provided in the rules made under this Act, the appellate tribunal shall not have the power to award costs to either of the parties to the appeal or review.
(10) Every order passed by the appellate tribunal under sub-section (5) or sub-section (7) or sub-section (8) shall be communicated to the appellant, the respondent, the authority on whose order the appeal was preferred and the Joint Commissioner concerned if he is not such authority, and the Commissioner.
(11) Every order passed by the appellate tribunal under sub-section (5) shall, subject to the provisions of sub-section (6), sub-section (7) and Section 15A, be final.]
Section 15 Revisional powers of Commissioner, Additional Commissioner, Joint Commissioner and Deputy Commissioner
(1) The Commissioner may on his own motion call for and examine the record of any proceeding
(2) The Additional Commissioner may on his own motion call for and examine the record of any proceedings under this Act, and if he considers that any order passed therein by [a Joint Commissioner, or an Appellate Authority of the rank of a Deputy Commissioner] is erroneous in so far as it is prejudicial to the interests of revenue, hemay, if necessary, stay the operation of such order for such period as he deems fit and after giving the assessee an opportunity of being heard and after making or causing to be made such inquiry as he deems necessary, pass such order thereon enhancing or modifying the assessment or cancelling the assessment or directing a fresh assessment.
(3) The Joint Commissioner may on his own motion call for and examine the record of proceeding under this Act, and if he considers that any order passed therein by any officer who is not above the rank of a Deputy Commissioner is erroneous in so far as it is prejudicial to the interests of revenue, he may, after giving the assessee an opportunity of being heard and after making or causing to be made such inquiry as he deems necessary, pass such order thereon as the circumstances of the case justify, including an order enhancing or modifying the assessment, or cancelling the assessment or directing a fresh assessment.
(4) The power under sub-sections (1) to (3) shall be exercisable only within a period of four years from the date of the order sought to be revised was passed.
Explanation.-In computing the period of limitation for the purpose of sub-section (4) any period during which any proceeding under this section is stayed by an order or injunction of any court shall be excluded.]
Section 15A Revision by High Court
(1) Within sixty days from the date on which an order under sub-section (5) or clause (a) of sub-section (7) or sub-section (8) of Section 14 was communicated to him, the appellant or the respondent may prefer a petition to the High Court against the order on the grand that the appellate tribunal has either failed to decide or decided erroneously any question of law:
Provided that the High Court may admit a petition preferred after the period of sixty days aforesaid if it is satisfied that the petitioner has sufficient cause for not preferring the petition within that period.
(2) The petition shall be in the prescribed form, shall be verified in the prescribed manner, and shall, when it is preferred by any person other than an officer empowered by the State Government, under sub-section (1) of Section 14 be accompanied by a fee of one hundred rupees.
(3) If the High Court, on perusing the petition considers that there is no sufficient ground for interfering, it may dismiss the petition summarily:
Provided that no petition shall be dismissed unless the petitioner has a reasonable opportunity of being heard in support thereof.
(4)
(a) If the High Court does not dismiss the petition summarily, it shall, after giving both the parties to the petition a reasonable opportunity of being heard, determine the question or questions of law raised and either reverse, affirm or amend the order against which the petition was preferred or remit the thatter to the appellate tribunal with the opinion of the High Court on the questions or question of law raised or pass such other order in relation to the thatter as the High Court thinks fit.
(b) Where the High Court remits the thatter to the appellate tribunal under clause (a) with its opinion on question of law raised, the latter shall amend the order passed by it in conformity with such opinion.
(5) Before passing an order under sub-section (4), the High Court may, if it considers necessary so to do remit the petition to the appellate tribunal and direct it to return the petition with its finding on any specific questions or issue.
(6) Notwithstanding that a petition has been preferred under sub-section (1), the tax shall be paid in accordance with the assessment made in the case:
Provided that if as a result of the petition, any change becomes necessary in such assessment, the High Court may authorise the assessing authority, to amend the assessment and the assessing authority shall amend the assessment accordingly and thereupon the amount overpaid by the assessee shall be refunded to him without interest or the additional amount of tax due from him shall be collected in accordance with the provisions of this Act, as the case may be.
(7) With a view to rectify any mistake apparent from the record, the High Court may, at any time, within five years from the date of the order passed by it under sub-section (4) amend such order:
Provided that no order under this sub-section shall be made without giving both parties affected by the order a reasonable opportunity of being heard.
(8) In respect of every petition preferred under sub-section (1) or (7), the costs shall be in the discretion of the High Court.]
Section 15B Limitation in regard to passing orders in respect of certain proceedings
(1) Notwithstanding anything contained in Section 6 and Section 15, where any proceeding is initiated under Section 6 or any records have been called for under Section 15, the authority referred to in the said sections shall pass orders within a period of [three years] from the date of initiation of such proceedings or calling for the records, as the case may be:
Provided that in respect of the proceedings initiated or records called for before the date of commencement of the Karnataka Taxation Laws (Amendment) Act, 1997, orders shall be passed within a period of [four years] from such commencement.
(2) In computing the period specified in sub-section (1), the period during which a proceeding has been deferred on account of any stay granted by any Court or any other authority shall be excluded.]
Section 16 Appeal to High Court
(1) Any assessee objecting to an order passed under [sub-sections (1) and (2) of Section 15] may appeal to the High Court within sixty days from the date on which the order was communicated to him:
Provided that the High Court may admit an appeal preferred after the period of sixty days aforesaid if it is satisfied that the assessee had sufficient cause for not preferring the appeal within that period.
(2) The appeal shall be in the prescribed form, shall be verified in the prescribed manner, and shall be accompanied by a fee of [five hundred rupees.]
(3) The High Court shall, after giving both parties to the appeal a reasonable opportunity of being heard pass such order thereon as it thinks fit.
Section 17 Rectification of mistakes
(1) With a view to rectifying any mistake apparent from the record, the assessing authority, appellate authority or revising authority may, at any time, within five years from the date of an order passed by it, amend such order:
Provided that an amendment which has the effect of enhancing an assessment or otherwise increasing the liability of the assessee shall not be made unless the assessing authority, appellate authority or revising authority, as the case may be, has given notice to the assessee of its intention to do so and has allowed the assessee a reasonable opportunity of being heard.
(2) Where an order has been considered and decided in any proceeding by way of appeal or revision relating to an order referred to in sub-section (1), the authority passing such order may, notwithstanding anything
(3) An order passed under sub-section (1), shall be deemed to be an order passed under the same provision of law under which the original order the mistake in which was rectified had been passed.
CHAPTER 6 Miscellaneous
Section 17A Maintenance of accounts by dealers and issue of sale bills or cash memorandum
(1) Every registered dealer and every dealer liable to get himself registered for the purposes of this Act shall maintain and keep true and complete accounts relating to his business as well as such other registers or records as may be prescribed in this regard. All such accounts, registers or records shall be retained by the dealer in his safe custody till his assessment or re-assessment, as the case may be, for the relevant year is completed or, in cases where any appeal, revision or other proceedings in respect of such year has been filed and is pending, the same is disposed of.
(2) Every registered dealer and every dealer liable to get himself registered for the purposes of this Act shall issue, in respect of all [goods] sold by him a bill or cash memorandum signed and dated by him or his servant, manager or agent, showing particulars of his name, address, registration number, if any, and description, quantity and value of the goods sold, and shall keep the counterfoil or duplicate of such bill or cash memorandum with him and retain it in his custody for the period mentioned in sub-section (1):
Provided that the selling dealer shall also obtain and record in the sale bill or cash memorandum, the name and full address of the buyer, together with his registration number, if any, where the buyer is a dealer, in cases where the sale price of goods is one thousand rupees or more:
Provided further that the provisions of this sub-section shall not apply to a dealer whose total turn-over in scheduled as well as other goods in a year does not exceed [fifty thousand rupees.]
(3) Every sale bill or cash memorandum to be issued as per sub-section (2) shall be serially machine numbered.]
Section 18 Powers to order production of accounts and powers of entry, inspection and seizure
(1) Any officer empowered by the State Government [or the Commissioner] in this behalf, may for the purpose of this Act, require any dealer carrying on business in any [goods] to produce before him the accounts and other documents, and to furnish [goods] of or purchases, sales and deliveries of the [goods] by the dealer and also any other information relating to his business.
(2)
(i) All accounts and registers maintained by dealers in the ordinary course of their business and documents relating to the stock of the [goods], or purchases, sales and deliveries of the [goods] by any dealer,[computer hardware and software used for data inputting, processing and storage of all such information] the [goods] in their possession and their offices, shops, godowns, vessels, receptacles or vehicles, shall be open to inspection at all reasonable times by such officers as may be authorised by State Government in this behalf.
(ii) For the purpose of inspection referred to in clause (i), any such officer shall have power to enter and search any office, shop, godown, vessel, receptacle, vehicle or any other place of business or any building or place where such officer has reason to believe that the dealer keeps or is for the time being keeping, any accounts, registers or documents of his business:
Provided that no residential accommodation (not being a place of business-cum-residence) shall be entered into and searched by such officer except on the authority of a search warrant issued by a Magistrate having jurisdiction over the area, and all searches under this sub-section shall, so far as may be, made in accordance with the provisions of the Code of Criminal Procedure, 1973 (Central Act 2 of 1974).
(3) If any such officer has reason to suspect that any dealer is attempting to evade the payment of any tax, fee or other amounts due from him under this Act, he may, for reasons to be recorded in writing, seize such accounts, registers, records, [and computer hardware and software] or other documents of the dealer as he may consider necessary and shall give the dealer a receipt for the same. The accounts, registers, records [and computer hardware and software] and documents so seized shall be retained by such officer only for so long as may be necessary for their examination and for any inquiry or proceeding under this Act Provided that accounts, registers, records [and computer hardware and software] and other documents so seized shall not be retained by such officer for a period exceeding one hundred and eighty days from the date of seizure, unless the reasons for retaining the same beyond the said period are recorded by him, in writing and the approval of the next higher
(4) It shall be open to the State Government to authorise different classes of officers for the purpose of taking action under clause (i) of sub-section (2).]
Section 18A Recognition of sales tax checkposts or barriers for the purposes of the Act
(1) With a view to prevent or check evasion of tax under this Act checkposts or barriers or both, as the case may be, established or erected under the provisions of the (Karnataka Act 25 of 1957) (hereinafter referred to as the "Sales Tax Act") shall be recognised for the purposes of this Act.
(2) The owner or person-in-charge of a goods vehicle carrying any of the [goods] shall carry with him the documents prescribed for the purpose of sub-section (2) of S.28A of the Sales Tax Act and produce and give a copy of the same in the manner and to the officer prescribed in the said Section. [(2-A) Where the owner or person in-charge of the goods vehicle carrying any goods is not required to carry the documents prescribed for the purpose of sub-section (2) of S.28A of the Karnataka Sales Tax Act, 1957, he shall give a declaration in the prescribed form to the officer prescribed in the said section.]
(3) The officer referred to in sub-section (4) of S.28A of the Sales Tax Act may, in cases of the type arid in the circumstances mentioned in the said sub-section levy penalty not exceeding double the amount of tax leviable under this Act in respect of the [goods] under transport.
(3-A)Where goods are delivered to a carrier or other bailee for transmission, the movement of the goods shall be deemed to commence at the time of such delivery and terminate at the time when delivery is taken from such carrier or bailee. Where before delivery is taken from him a carrier or bailee to whom goods are delivered for transmission, keeps the said goods in any office, shop, godown, vessel, receptacle, vehicle or any other place of business or any building or place, any officer empowered to exercise the powers under this section shall have power to enter into and search such office, shop, godown, vessel, receptacle, vehicle or other place of business or building or place, and to examine the goods and inspect all records relating to such goods. The carrier or bailee or the person-in-charge of the goods and records shall give all facilities for such examination or inspection and shall, if so required, produce the bill of sale or delivery note or other documents referred to in sub-section (2) and give a declaration containing such particulars as may be prescribed regarding
(3-B) If any officer empowered to enter into and search any office, shop, godown, vessel, receptacle, vehicle or any other place of business or any building or place where a carrier or bailee keeps the goods delivered to him for transmissior, has reason to suspect that such carrier or bailee has colluded with the owner of the goods in evading payment of any tax, he may for reasons to be recorded in writing, seize accounts, registers, records or other documents of the bailee or carrier as he may consider necessary and shall give a receipt for the same. The accounts, registers, records and other documents seized shall be retained by such officer only for so long as may be necessary for their examination and for any inquiry or proceeding under this Act:
Provided that all searches and seizures under sub-section (3-A) or (3-B) shall, so far as may be, made in accordance with the provisions of the Code of Criminal Procedure, 1973 (Central Act 2 of 1974):
Provided further that accounts, registers, records and other documents so seized shall not be retained by such officer for a period exceeding one hundred eighty days from the date of seizure, unless the reasons for retaining the same beyond the said period are recorded by him in writing and the approval of the next higher authority is obtained and such approval in any case shall not be for more than sixty days at a time.
(3-C) Where the officer-in-charge of the checkpost or barrier, or the officer empowered as aforesaid on interception of the goods vehicle or inspection of any godown, is of the opinion that further verification is necessary with respect to either accuracy of the particulars furnished in the documents accompanying the goods under transport or in transit/ or, as to the sufficiency and the cause adduced in respect of any contravention of sub-section (2), he may verify the particulars himself or if it is necessary cause it to be verified by referring the thatter to any other officer and if such verification is not likely to be completed within a reasonable time, he may direct in writing the carrier or the person-in-charge of the goods vehicle or the godown not to deliver the goods until permitted to do so by him or such other officer to whom the thatter is referred for verification and allow the intercepted vehicle, if any, to pass through.
(3-D) The verification under sub-section (3-C) shall be completed within a period of fifteen days from the date of the direction issued under that sub-section and where such verification cannot be completed within the aforesaid period the officer who has issued such direction, or, as the case may be, the officer to whom the thatter is referred for verification shall obtain the permission in writing of the next higher authority to extend such period for completion of the verification, so however such extension shall not be permitted for the period exceeding fifteen days at a time.
(3-E) Where such officer or other officer to whom the thatter is referred, upon such verification is of the opinion that there is a non- compliance with sub-section (2), punishable under sub-section (3), he may, proceed against such goods in the custody of the carrier, or the person-in-charge of vehicle or the godown in accordance with sub-sections (3) and (4) of this Section.
(3-F) Where the officer-in-charge of the checkpost or any empowered officer has issued a notice for contravention of any of the provisions of this Section, further proceedings in pursuance to such notice may, subject to such conditions and in such manner as may be prescribed, be continued by any other officer empowered by the Commissioner in this behalf, from the stage at which it is pending.]
(4) The provisions of S.28A of the Sales Tax Act relating to the recovery of penalty and appeals shall mutatis mutandis apply to the penalty leviable under sub-section (3) of this Section.] Act 15 of 1992 (1-5-1992 to 31-3-2000)
Section 18B Transit of goods by road through the State and issue of Transit pass
(1) When a vehicle coming from any place outside the State and bound for any other place outside the State and carrying goods taxable under this Act, passes through the State, the driver or any other person in-charge of such vehicle shall furnish the necessary information and obtain a transit pass in duplicate containing such particulars as may be prescribed from the officer-in-charge of the first checkpost or barrier after his entry into the State. Act 5 of 2000 (From 1-4-2000)
Section 18C Transit of goods by road through the State and issue of Transit pass
[(1) Where a vehicle is carrying goods taxable under this Act -
(a) from any place outside the State and bound for any place outside the State and passes through this State; or
(b) and which goods are imported into the State from any place outside the country and such goods are being carried to any place outside the State, the driver or any other person-in-charge of such vehicle shall furnish the necessary information and obtain a transit pass in duplicate containing such particulars as may be prescribed, from the officer-in-charge of the first check post or barrier after his entry into the State or after movement has commenced from the State, as the case may be, or from the Officer empowered for the purposes of sub-section (3) of Section 28-A, upon interception of the goods vehicle after its entry into the State or after movement has commenced, as the case may be.]
(2) The driver or the person in-charge of the vehicle shall deliver within the stipulated time a copy of transit pass obtained under sub-section (1) to
(3) If for any reason, the goods carried in a goods vehicle are, after entry into the State [or after commencement of movement, as the case may be] not moved out of the State within the time stipulated in the transit pass, the owner of the goods vehicle shall furnish to the officer empowered in this behalf the reasons for such delay and other particulars if any thereof and such officer shall after due enquiry extend the time of exit by suitably amending the transit pass:
Provided that where the goods carried by a vehicle are, after their entry into the State, [or after commencement of movement, as the case may be] transported outside the State by any other vehicle or conveyances, the onus of proving that the goods have actually moved out of the State shall be on the owner of the vehicle who originally brought the goods into the State.
(4) If the driver or any other person in-charge of the vehicle does not comply with sub-section (2), it shall be presumed that the goods carried thereby have been sold within the State by the owner of the vehicle and shall, notwithstanding anything contained in this Act, be assessed to tax by the officer empowered in this behalf in the prescribed manner.
(5) If the owner of the vehicle fails to obtain the transit pass as provided under sub-section (1), or fails to deliver the same as provided under sub-section (2), he shall be liable to pay by way of penalty a sum not exceeding double the amount of tax leviable on the goods transported;
(6) The amount of tax and the penalty levied under this section shall be recovered in the prescribed manner.
Explanation.-In case where a vehicle owned by a person is hired for transportation of goods by some other person, the hirer of the vehicle shall for the purposes of this section be deemed to be the owner of the vehicle.]
Section 19 Forwarding agency, etc, to submit returns
Every clearing or forwarding house or agency, transporting agency, shipping agency, shipping out-agency or steamer agency in the State shall submit to the assessing authority of the area such return as may be prescribed of all [goods] cleared, forwarded, transported or shipped by it into the concerned local area. The assessing authority concerned shall have the power to call for and examine the books of accounts or other documents in the possession of such agency with a view to verify the correctness of the return submitted.
Section 20 Submission of certain records, by owners, etc., of vehicles and boats
The owner or other person-in-charge of a [goods] vehicle or boat shall, in respect of the goods transported by him in such vehicle or boat submit to the assessing authority having jurisdiction over the local area in which the [goods] are delivered, such particulars thereof anand within such time and manner as may be prescribed.
Section 21 Offences and penalties
(1) Any person who
[(a) being a person obliged to get himself registered under this Act does not get himself so registered; or
(b) being a dealer in goods fails to submit a return as required by the provisions of this Act or the Rules made thereunder; or
(c) fails to comply with a notice issued under Section 6; or
(d) fails to submit a statement as required by Section 7; or
(e) fails to pay within the time allowed any tax assessed on him or any penalty levied on him under this Act; or
(f) being a sugar factory including a khandasari sugar factory fails to collect tax as required by sub-section (1) or having collected the tax fails to pay the tax so collected as required by sub-section (2) of Section 9A; or
(g) fails to issue a sale bill or cash memorandum in accordance with the provisions of sub-sections (2) and (3) of Section 17A; or
(h) fails to keep true and complete accounts,] shall/ on conviction by a Magistrate, [be liable to a fine which shall not be less than [five hundred rupees] but which may extend to two thousand rupees;]
(2) Any person who.-
(a) wilfully submits an untrue return, or not being already an assessee under this Act, fails to submit a return as required by the provisions of this Act or the Rules made thereunder, or
(b) wilfully submits an untrue statement under Section 7;
(c) fraudulently evades the payments of any tax assessed on him or other amount due from him under this Act; or
(d) wilfully acts in contravention of any of the provisions of this Act or the Rules made thereunder, shall, on conviction, in addition to the recovery of any tax that may be due from him, be punishable with simple imprisonment [which may extend to twelve 'months or with fine which shall not be less than [five thousand rupees but which may extend to twenty-five thousand rupees or with both and when the offence is a continuing one with a daily fine not exceeding two hundred rupees] during the period of the continuance of the offence.
Section 22 Cognizance of offences
(1) No Court shall take cognizance of any offence punishable under sub-section (2) of Section 21 except with the previous sanction of the Commissioner.
(2) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (Central Act 2 of 1974) all offences punishable under sub-section (2) of Section 21 shall be cognizable and bailable.
Section 23 Composition of offences
The prescribed authority may accept from any person who has committed or is reasonably suspected of having committed an offence punishable under this Act, by way of composition of such offence.
(a) where the offence consists of the failure to pay or the evasion of any tax or other amount recoverable under this Act in addition to the tax or amount so recoverable, a sum of money not exceeding [five thousand rupees] or double the amount of the tax or amount recoverable whichever is greater, and
(b) in other cases, a sum of money not exceeding [two thousand rupees but not less than five hundred rupees.]
Section 24 Offences by Companies
(1) If the person committing an offence under this Act is a company, the company as well as every person-in-charge of, and responsible, to the company for the conduct of its business at the time of the commission of the offence shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1) where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or that the commission of the offence is attributable to any neglect on the part of any director, manager, managing agent or any other officer of the company, such director, manager, managing agent or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation.-For the purposes of this Section,-
(a) "company" means any body corporate and includes a firm or other association of individuals; and
(b) "director" in relation to a firm means a partner in the firm.
Section 25 Assessment, etc., not to be questioned in prosecution
The validity of the assessment of any tax or of the levy of any fee or other amount made under this Act, or the liability of any person to pay any tax, fee or other amount so assessed or levied shall not be questioned in any criminal Court in any prosecution or other proceeding whether under this Act or otherwise.
Section 26 Bar of certain proceedings
(1) No suit, prosecution or other proceedings shall lie against any officer or servant of the State Government, for any act done or purporting to be done under this Act without the previous sanction of the State Government.
(2) No officer or servant of the State Government shall be liable in respect of any such act in any civil or criminal proceeding if the act was done in good faith in the course of the execution of duties or the discharge of the functions imposed by or under this Act.
Section 27 Courts not to set aside or modify assessment except as provided in this Act
No suit or other proceeding shall, except as expressly provided in this Act, be instituted in any Court to set aside or modify any assessment made under this Act.
Section 28 Exemptions
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Section 28A Burden of proof
[(1) For purposes of assessment of tax under this Act, the burden of proving that goods brought into or caused to be brought into a local area or taken delivery of by a dealer, is not liable to tax under this Act shall be on such dealer.
[(2) Notwithstanding anything contained in this Act or any other Law, where any dealer or person prefers claim under sub-section (3) of Section 3 that he is not liable to pay tax under this Act in respect of any goods on which tax is leviable, such dealer or person shall be deemed to be the dealer or person liable to tax under this Act, unless he proves that in respect of such goods tax under this Act has already been paid or has become payable or that tax under the Karnataka Tax on Luxuries Act, 1979 (Karnataka Act 22 of 1979) has already been paid or has become payable, as the case may be.]
[(3)] Where a dealer furnishes, issues or produces bill of sale, voucher, the declaration, certificate or any other document which he knows or has reason to believe to be false with a view to support or make any claim that
(i) in the case of first detection, three times the tax levied or leviable in respect of such goods; and
(ii) in the case of second or subsequent detection, five times the tax levied or leviable in respect of such goods:
Provided that before issuing any direction for payment of penalty under this sub-section, the assessing authority shall give to the dealer an opportunity of being heard against the levy of such penalty.]
Section 28B Refund of tax in certain cases
The tax paid by a registered dealer in respect of any [goods] shall be refunded to him, where such goods are sold by him in the course of export out of the territory of India.
Explanation.-
(1) For the purposes of this Section, the expression "export out of the territory of India" shall have the meaning assigned to it under the provisions of sub-section (1) of S.5 of the Central Sales Tax Act, 1956 (Central Act 74 of 1956).
(2) The burden of proving that any [goods] were sold in the course of export out of the territory of India shall be on the registered dealer.]
Section 29 Assignment of proceeds of the tax
Subject to such conditions as may be prescribed, mere shall be paid to each local authority every year such sum as may be determined by the Government from out of the tax collected under this Act.
Section 30 Power to make Rules
(1) The State Government may, subject to the conditions of previous publication, make Rules, by notification, to carry out the purpose of this Act Provided that previous publication shall not be necessary where the Rules are made for the first time after the commencement of this Act
(2) In particular and without prejudice to the generality of the foregoing power, such Rules may provide for,-
(a) all thatters expressly required or allowed by this Act to be prescribed;
(b) the assessment to tax in respect of a business which is discontinued or the ownership of which has changed;
[(b-1) the procedure for assessment of Central and State Government Departments, Statutory bothes and local authorities;]
(c) the assessment to tax in respect of a business owned by minors and other incapacitated persons or by persons residing outside the State of Karnataka;
(d) the assessment of tax under this Act of any [goods] which have escaped assessment;
(e) procedure for registration of dealers under Section 4;
(f) refund of tax collected if the [goods] have not been consumed, sold or used within the local area;
(g) compelling the submission of returns and the production of documents and enforcing the attendance of persons and examining them on oath or affirmation;
[(g-1) specifying the class of dealers who need not furnish statement under Section 7;]
(h) the duties and powers of officers appointed for the purpose of enforcing the provisions of this Act;
(i) generally regulating the procedure to be followed, and the forms to be adopted in proceedings under this Act;
(j) any other thatter including levy of fees for which there is no provision or no sufficient provision in this Act and for which provision is in the opinion of the State Government necessary for giving effect to the purposes of this Act.
(3) In making a Rule under sub-section (1) or sub-section (2), the Government may provide that a person guilty of a breach thereof shall on conviction be punishable with fine which may extend to [five thousand rupees] and, where the breach is a continuing one, with further fine which may extend to [one hundred rupees] for every day after the first day during which the breach continues.
(4) Any Rule under this Act may be made to have effect retrospectively and when any such Rule is made, a statement specifying the reasons for making such a Rule shall be laid before both Houses of the State Legislature along with the Rule, under sub-section (5). All Rules made under this Act, snail, subject to any modification made under sub-section
(5) have effect as if enacted in this Act. [(5)xxxxx.]
Section 30A Assessment to tax in certain cases
[(1)] Notwithstanding anything contained in this Act, every registered dealer and every dealer liable to get himself registered under this Act whose assessment year commenced on a date after the First day of April, 1986, shall complete his accounts and dose them on Thiry-first day of March, 1987. He shall be Section 5 of this Act.]
[(2) Notwithstanding anything contained in this Act, where a dealer who is permitted to pay tax under Section 5C has caused entry of goods into, local area for use, sale or consumption therein and has not paid tax on such goods under that section up to the date of commencement of the Karnataka Tax on Entry of Goods (Third Amendment) Act, 1993 shall pay tax under Section 3 at the rates prevailing on the date immediately prior to the date of such commencement.]
Section 31 Laying of Rules and Notifications before the State Legislature
Every rule made under this Act and every Notification issued under the provisions of this Act shall be laid as soon as may be after it is published before each House of the State Legislature while it is in session for a total period of thirty days which may be comprised in one session or two or more successive sessions, and if before the expiry of the session in which it is so laid or the sessions immediately following, both Houses agree in making any modification in the Rule or Notification or both Houses agree that the Rule or Notification should not be made, the Rule or Notification shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that Rule or Notification.]
Section 32 Power to remove difficulties
If any difficulty arises in giving effect to the provisions of this Act, the State Government may, by notification, make such provisions as appear to it to be necessary or expethent for removing the difficulty
SCHEDULE 1 SCHWDULE
FIRST SCHEDULE
[See Section 3(1)]
1. Air-conditioning plants, air-coolers and air-conditioners and parts thereof.
2. Arms of all kinds including guns, rifles, revolvers, pistols and ammunition for the same.
3. Batteries and parts thereof including dry cells and dry cell batteries,
4. Brass, bronze and copper articles including sheets, circles, rods, rounds, squares and flats made of brass, bronze and copper but excluding those specified elsewhere.
5. Bricks and tiles other than those specified elsewhere.
6. Bullion and specie and articles made of gold and silver other than those specified elsewhere.
7. Butter, ghee and cheese.
8. Cassettee tape recorders and players (audio and video) including audio and video cassettes.
9. Cement and water and weather proofing compounds.
10. Chemicals of all kinds.
11. Chinaware, porcelainware and stoneware (articles) other than those specified elsewhere.
12. Chicory powder.
13. Cigar and cigarette cases, holders and lighters and tobacco pipes,
14. Cinematographic, photographic and other cameras, projectors, enlargers, lenses and parts and accessories thereof.
15. Clocks, timepieces and watches (all kinds) and parts thereof including watch straps and chains (made of base metals).
16. Coir products including rubberised coir products.
17. Confectionery, biscuits and cakes.
18. Copper sulphate.
19. Cotton, yarn waste and cotton waste.
20. Crockery and cutlery.
21. Deodorants, disinfectants, germicides other than those falling under any other entry;
22. Dictaphones and other similar apparatus for recording sound and parts and accessories thereof.
23. thesel engines and parts thereof.
24. Dry fruits including almonds, walnuts and pista.
25. Edible oils including hydrogenated oils and cooking medium.
26. Druggets and durries.
27. Dyes.
28. Electrical and electronic goods, appliances, instruments and apparatus and parts and accessories thereof but excluding those specified elsewhere.
29. Fibreglass sheets and articles made of fibreglass.
30. Films (all kinds) including X-ray film.
31. Fire fighting equipments and devices.
32. Fire works and colour matches.
33. Foamed rubber, plastic foam or any other synthetic foam articles such as sheets, cushions, pillows, mattresses and the like.
34. Food and non-alcoholic drinks that is to say:
(i) Ready to serve foods, processed foods, semi-cooked or semi-processed food-stuffe, fruits (other man dry fruits including almonds, walnuts and pista), dried vegetables (whether cooked or not), fruits and vegetable products when sold in tins, cans, bottles or in any kind of sealed containers;
(ii) Instant mix, such as, jamoon mix, idli mix, ice cream mix, jelly mix and the like, samber and rasam powders and pastes, curry powder and pastes and the like, soft drink concentrates (other than fruit and vegetable concentrates) whether in liquid or powder or crystal form;
(iii) Aerated water including ready to drink soft drinks whether or not flavoured or sweetened and whether or not containing vegetable or fruit juice or fruit pulp when sold in bottles, tins, cans or in any kind of sealed containers but excluding soft drink concentrates.
35. Food preservatives, food colours and food flavours.
36. Footwear and polishes.
37. Furniture of all kinds including treasure chests, safes and lockers and parts and accessories thereof.
38. Furs and skins and articles made therefrom-including hides and skins.
39. Glass sheets and all articles made of glass.
40. Gramaphones of every description and accessories and parts thereof.
41. Gramaphone records and needles.
42. Hardware, that is to say:
(i) Fittings of doors, windows and furniture (made of base metal and alloy thereof);
(ii) Bolts, nuts, rivets, screws of base metal or alloy thereof including bolt ends, screw studdings, self tapped screws, screw hooks, screw rings, wire nails, measuring tapes and scales;
(iii) Metallic barbed wire, metallic wire mesh and metallic wire nettings.
43. Industrial gas, such as oxygen, acetylene, nitrogen and the like.
44. Insecticides, pesticides, weedicides, fungicides and plant nutrients and plant regulators.
45. Ivory and sandal wood articles including sandal wood oil.
46. Jaggery.
47. Kitchen ware (all kinds) used for cooking as well as serving.
48. Laminated impregnated or coated matting materials such as linoleum generally used for floor covering (other than floor tiles).
49. Leather goods other than footwear and those specified elsewhere.
50. Lifts, elevators and escalators whether operated by electricity or hydraulic power.
51. Liquor including arrack and toddy.
52. Machinery (all kinds) and parts and accessories thereof but excluding agricultural machinery.
53. Man made or synthetic staple fibres, fibre yarn, or filament yarn (all kinds).
54. Marble slabs and articles made therefrom.
55. Medicinal and Pharamaceutical preparations.
56. Mill yarn (all kinds) excluding cotton yarn and those specified elsewhere.
57. Mineral water sold in containers.
58. Motor vehicles (all kinds) and parts and accessories thereof including chassis of motor vehicles.
59. Non-edible oils (other than petroleum products) and those specified elsewhere.
Act 3 of 1995 (1-5-92 to 31-3-95)
60. Non-ferrous castings and ingots and scrap base metals (other than iron and steel scrap) and alloys thereof.
60. xxx x x x x.
61. Oil cake.
62. Opium, Ganja and Bhang.
63. Optical goods (all kinds) including spectacles, sunglasses, goggles, lenses and frames including attachments, parts and accessories thereof.
64. Paints, colours, varnishes, pigments, polishes, indigo, enamel, bale oil, white oil, turpentine (all kinds), thinners, primers and paint brushes.
65. Paper (all kinds) including carbon paper, blotting paper, waterproof paper, PVC coated paper, ferropaper, ammonia paper, stencil paper but excluding photographic paper, pulp boards, art boards, duplex boards, triplex boards, card boards, corrugated boards and the like; cellophane.
66. Packing materials namely:
(i) fibre board cases, paper boxes, folding cartons, paper bags, carrier bags and card board boxes, corrugated board boxes and the like;
(ii) Tin plate containers (cans, tins and boxes), tin sheets, aluminium foil, aluminium tubes, collapsible tubes, aluminium or steel drums, barrels and crates and the like;
(iii) Plastic, poly-vinyl chloride and polyethylene films, bottles, pots, jars, boxes, crates, cans, carboys, drums, bags and cushion materials and the like;
(iv) Wooden boxes, crates, casks and containers and the like;
(v) Gunny bags, harden (including batars), hessian cloth, and the like;
(vi) Glass bottles, jars and carboys and the like;
(vii) Laminated packing materials, such as bituminized paper and hessian based paper and the like.
67. Petroleum products; that is to say; petrol, thesel, crude oil, lubricating oil, transformer oil, brake or dutch fluid, bitumen (asphalt), tar and others, but excluding aviation fuel, liquid petroleum gas (LPG), kerosene and naptha for use in the manufacture of fertilizers.
68. Photographic paper and photo albums.
69. Pipes, tubes and fittings of iron and steel (other than those specified in Section 14 of the Central Sales Tax Act, 1956), cement and asbestos.
70. Plastic sheets, granules and articles made from all kinds and all forms of plastic including articles made of polypropylene, polyesterene and the like materials.
71. Precious stones, namely, diamonds, emeralds, rubies, real pearls and sapphires and articles in which such precious stones are set, semi-precious stones and articles in which such semi-precious stones are set.
72. Playing cards of every description.
73. Pressure cookers and parts and accessories thereof.
74. Raw-wool/ woollen yarn and woollen blended yarn.
75. Readymade garments including caps, neck ties and bows.
76. Refrigerators including deep freezers, bottle coolers, water coolers/ cold storage equipments and the like and parts thereof.
77. Rolling shutters and collapsible gates whether operated manually, mechanically or electrically and their parts.
78. Roofing, light roofing and false roofing materials including cement and asbestos sheets, asphalt sheets, straw boards, hard and soft boards, plywood, veneered boards and panels and laminated sheets.
79. Rubber, namely, that is to say.
(i) Rubber plates, sheets and strips un-hardened whether vulcanised or not and whether combined with any textile material or otherwise;
(ii) Piping and tubing of un-hardened vulcanised rubber;
(iii) Transmission, conveyor or elevator belts or belting of vulcanised rubber whether combined with any textile material or otherwise;
(iv) Synthetic rubber including butathene rubber and butyl rubber, synthetic rubber latex including pre-vulcanised synthetic rubber latex;
(v) Rubber articles, that is, articles made wholly of rubber (other than those specified elsewhere).
80. Raw materials, component parts and inputs which are used in the manufacture of an intermediate or finished product other than those specified in the Second Schedule.
Act 5 of 2001 (From 1-4-2001)
80. Raw materials, component parts and inputs which are used in the manufacture of an intermediate or a finished product.
81. Rubber and other tyres, tubes and flaps other than those specified in Section 14 of the Central Sales Tax Act, 1956.
82. Sanitary fittings of every description excluding pipes and fittings of stoneware, cement and iron and steel.
83. Slotted angles and ready to assemble parts and steel racks.
84. Soaps, soap flakes, soap powders, detergent powders and liquids ana laundry brighteners.
85. Sound transmitting equipments including loud-speakers and parts thereof but excluding telephones and its parts.
86. Spirits and alcohol, that is to say,
(i) Denatured spirit; (ii) rectified spirit; (iii) ethyl alcohol.
87. Stationery articles, namely:
(i) Account books, paper envelopes, diaries, calenders, race cards, catalogues, greeting cards, invitation cards, humour post cards, picture post cards, cards for special occasions and stamp albums;
(ii) Office desk materials.
88. Stones, that is to say,
(i) Granite stones, slabs and chips; (ii) Cuddapah stones and slabs; (iii) Shahabad stones and slabs.
89. Stoves and parts and accessories thereof.
90. Sugar other than confectionery and the like.
91. Suit-cases, brief-cases, attache cases and despatch cases including those made of leather but excluding steel trunks.
92. Silk yarn, that is to say, twisted or thrown silk yarn, spun silk yarn and noil silk yarn.
93. Telephones of every description and parts thereof.
94. Textiles, namely, cotton, woollen or silk or artificial silk including rayon or nylon and other man-made or synthetic fabrics manufactured in mills or powerlooms and hosiery cloth in length; and including fabrics coated with or impregnated with PVC or cellulose derivatives (whether or not manufactured in mills or powerlooms).
95. Tiles (all kinds) used for floors and walls other than those specified elsewhere.
96. Tobacco products of all description including beethes, cigarettes, cigars, churuts, snuff, zarda, quimam/ etc.
97. Toilet articles (whether medicated or not) except toilet soaps but including razors and razor blades and cartridges.
98. Typewriters, parts and accessories thereof and typewriter ribbons.
99. Vacuum flasks and refills.
100. Weights and measures.
101. Wireless reception instruments and apparatus including televisions and components thereof; amplifiers and synthesisers.
102. X-ray apparatus.
103. Goods other man those specified in any of entries in mis Schedule, but excluding those specified in the Second Schedule.
SCHEDULE 2 SCHWDULE
SECOND SCHEDULE
[See Section 3(6)]
SI No.
Description of goods
1.
Agricultural implements
2.
Agricultural produce including Tea, Coffee and Cotton (whether ginned or unginned) [xxxxx]
3.
Agricultural machinery
4.
Aviation fuel
5.
Books meant for reading
6.
Bread
7.
Ballot boxes
8.
Contraceptives
9.
Coal including coke
10.
Cotton Yarn
11.
Charakas and its parts and accessories
12.
Country bullock carts and spare parts thereof
13.
Compost manure
14.
Dinner leaves including plantain leaves
15.
Electrical energy
16.
Earthern pots
17.
Fishmeal, poultry feed and processed animal feed
18.
Fodder
19.
Fish, eggs and meat except when sold in sealed containers
RULE:
KARNATAKA TAX ON ENTRY OF GOODS RULES, 1979
In exercise of the powers conferred by the proviso to sub-section (1) of Section 30 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 (Karnataka Act No. 27 of 1979), the Government of Karnataka hereby makes the following Rules, namely
PART 1 PART
Rule 1 Title and commencement
(1) These Rules may be called as Karnataka Tax on Entry of Goods 22. Omitted by Notification No. FD 319 CET 92, dated 294-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). Omitted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [x x x x x] Rules, 1979.
(2) They shall be deemed to have come into force on 1st June, 1979.
Rule 2 Definitions
In these Rules, unless the context otherwise requires,
(a) "Act" means the Karnataka Tax on Entry of Goods [x x x x x] Act, 1979;
(b) "Assistant Commissioner", "Assistant Entry Tax Officer", "Deputy Commissioner" and "Entry Tax Officer" mean the Assistant Commissioner, Assistant Entry Tax Officer, Deputy Commissioner and Entry Tax Officer respectively appointed under sub-section (2) of S.12 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979;
(c) "Fees" means any fee leviable under the provisions of the Act;
(d) "Form" means a Form appended to these Rules;
(e) "Government Treasury" means in relation to a dealer registered within the jurisdiction of any Entry Tax Officer or Assistant Entry Tax Officer, the treasury of the district or the taluk where the dealer's place of business or if he has more than one such place, where his principal place of business within that jurisdiction is situated;
(f) "Month" means a calendar month;
(g) "Registering Authority" means the Registering Authority as specified in Rule 3;
(h) "Section" means section of the Act.
PART 2 PART
Rule 3 Registering Authority and Assessing Authority
(1) The Entry Tax Officer shall be the Registering Authority in respect of dealers in respect of whom Commercial Tax Officers are the Registering Authorities 11. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-983. [and Assessing Authority] under the Karnataka Sales Tax Act, 1957 (Karnataka Act No. 25 of 1957).
22. Inserted by GSR 302, dated 1-12-1984, w.e.f. 27-12-1984. [(1-A) The Assistant Commissioner of Commercial Taxes shall be 33. Inserted by Notification No. FD 104 CET 85, dated 7-3-1986, w.e.f. 6-5-1986. [Registering Authority and] the Assessing Authority in respect of dealers in respect of whom the Assistant Commissioner of Commercial Taxes is the Assessing Authority under the Karnataka Sales Tax Act, 1957 (Karnataka Act No. 25 of 1957.]
(2) The Assistant Entry Tax Officer of the area shall be the Registering Authority 44. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [and Assessing Authority] in respect of all other dealers not failing under sub-rule (1) [and (1-a)]:
[Provided that the State Government may, by notification, appoint an Entry Tax Officer to be the Registering Authority and Assessing Authority of an area in respect of all the dealers liable for registration under this Act]
(3) In the case of dealers having more than one place of business the authority having jurisdiction over the principal place of business shall be the Registering Authority [and Assessing Authority.]
Rule 4 Registration of dealers
(1) Every dealer liable to get himself registered under the Act shall apply for a registration to the Registering Authority within thirty days from the date of publication of these Rules or within thirty days from the date of commencement of his business if he commences his business after the date of such publication.
(2) The application for registration shall be made in Form-1.
(3) Each application for registration shall be accompanied by a receipt from the Government Treasury or crossed cheque or money order in favour 11. Substituted for the words "twenty-five rupees" by Notification No. FD 191 CET 97, dated 25-9-1997 and shall be deemed to have come into force w.e.f. 1-4-1997. [five hundred rupees], 22. Added by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [and such additional sum as is required to cover the additional places of business at the rate of one rupee for each copy.]
(4) The Registering Authority receiving the application, shall, if he is satisfied after making such enquiry as he thinks necessary that the particulars contained in the application are correct and complete, register the dealers and grant a Registration Certificate in Form-2 and also grant a copy of such registration for every place of business within the State, other than the principal place of business mentioned therein. Such Registration shall be held by the dealer subject to the provisions of the Act and these Rules and the restrictions and conditions specified in that Certificate.
(5) When the said authority is not satisfied that the particulars contained in the application are correct and complete, he shall reject the application for reasons to be recorded in writing:
Provided that such rejection shall not be made before giving the applicant, an opportunity of being heard in the matter.
(6) Every registered dealer shall until his registration is cancelled shall continue to pay a fee of twenty-five rupees for every year, subsequent to that in which, he applied for registration within thirty days after the commencement of that year.
(7) Every Registration Certificate granted under sub-rule (4) shall be deemed to have been granted personally to the dealer specified therein and no registration certificate shall be sold or transferred.
(8) Registration Certificate granted under sub-rule (4) shall be exhibited in a conspicuous place within the premises of the principal place of business mentioned in the certificate and a copy of such certificate shall also be exhibited at a conspicuous place within the premises of every other place of business mentioned in the certificate.
(9) Every registered dealer who discontinues or transfers his business or otherwise gets his registration certificate cancelled shall forthwith surrender to the Registering Authority the Certificate of Registration and the copies thereof, if any, granted to him.
Rule 5 Amendment of Registration Certificate
(1) Where the dealer desires the Registration Certificate granted to him under these Rules to be amended, he shall submit an application for this purpose to the Registering Authority setting out the specific matters in respect of which, he desires such amendment and the reasons therefor, together with the Registration Certificate granted to him and such authority may, if satisfied with the reasons given, make such amendment as he thinks necessary, in the Registration Certificate and the copies thereof, if any, granted to him:
Provided that the amendment so made shall not be inconsistent with the provisions of the Act or these Rules.
(2) The provisions of sub-rule (8) of Rule 4 shall apply in relation to such amended certificate and copies thereof as they apply in relation to the original certificate and copies thereof.
Rule 6 Issue of duplicate Registration Certificate
Where the Registration Certificate granted under these Rules is lost, destroyed, defaced or mutilated, a duplicate copy of the Registration Certificate may be granted by the Registering Authority, it he is satisfied of such loss, destruction, defacement or mutilation on payment of a fee of one rupee.
Rule 6A Security to be furnished by certain dealers
(1) The Security to be furnished under Section 5A may be furnished by the dealer in any of the following ways, namely,
(a) by depositing as security in Government Treasury, the amount fixed by the said authority; or
(b) by depositing with the said authority Government Securities for the amount fixed by the said authority; or
(c) by depositing security amount in the Post Office Savings Bank and pledging the pass book to and depositing it with the said authority; or
(d) by furnishing to the said authority a guarantee from a Scheduled Bank as defined in the Reserve Bank of India Act, 1934 agreeing to pay the State Government, on demand, the amount of security fixed by the said authority.
(2) The Security furnished may, in the extent of default of any tax due, be adjusted towards such tax. The assessing authority may in any case where such adjustment has been made, demand fresh security or additional security to make-up the amount adjusted towards the tax:
Provided that no action under this sub-rule shall be taken unless the dealer affected has had a reasonable opportunity of showing cause against such action.]
PART 3 Returns and Assessments
Rule 7 Payment of tax in advance
(1) The statement under sub-section (1) of Section 7 shall be in Form 3 and shall be sent to the assessing authority so as to reach it within 22. Substituted by Notation No. FD 104 CET 85, dated 7-3-1986, w.e.f. 6-5-1986. [twenty days] after the close of the month to which such statement relates. Such statement shall be accompanied by a receipt from a Government Treasury, crossed postal order, a crossed cheque or a crossed demand draft in favour of the assessing authority for the full amount of tax payable by him on the basis of 33. Substituted for the words 'his actual taxable turnover' by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [total value of goods liable to tax] during the month to which the statement relates.
11. Provisos inserted by Notification No. FD 52 CET 2000, dated 21-7-2000 and shall be deemed to have come into force w.e.f. 1-4-2000. [Provided that in the case of a dealer whose total turnover in a year is not more than seven lakh fifty thousand rupees, such dealer shall file such statements and shall pay such tax in advance once in a quarter:
Provided further that the full amount of tax payable by a dealer in advance for the year as reduced by the amount of tax already paid under this rule shall be paid within thirty days after the close of the year to which such tax relates.]
(2) If the amount sent by any dealer along with the statement is less than the amount of tax payable by him the assessing authority shall serve upon the dealer a notice in Form-4 and the dealer shall pay the sum demanded in the said notice within the time and in the manner specified in the notice.
22. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [(3) After making the provisional assessment under sub-section (3) of Section 7, the assessing authority shall examine whether any and if so, what amount is due from the dealer after deducting any tax already paid under sub-rule (1) or (2). If any amount is found to be due from the dealer towards the provisional assessment, the assessing authority shall serve upon the dealer a notice in Form 4-A and dealer shall pay the sum demanded within the time and in the manner specified in the notice.]
33. Inserted by Notification No. FD 104 CET 85, dated 7-3-1986, w.e.f. 6-5-1986. [(4) If any registered dealer shows to the satisfaction of the assessing authority that the goods which he brings or causes to be brought into the local area are not liable to entry tax, and makes an application in this behalf, the assessing authority may direct that it shall not be necessary for dealer to furnish the statements specified in sub-rule (1), and may grant the dealer a certificate in 44. Substituted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [Form-34]. If during the period of validity of the above certificate, the dealer becomes liable to pay tax under the Act when he brings or causes to bring such goods into the local area, the certificate issued above, shall be deemed to have been cancelled.
(5) A certificate issued under sub-rule (4) shall be valid till the expiry of the year of issue unless otherwise cancelled. On an application made in that behalf by the dealer, the assessing authority may after such enquiry as he deems fit renew the certificate for further period of one year at a time:
Provided that the application for renewal is made one month before the date of expiry of such certificate. The assessing authority may for reasons to be recorded in writing accept the application beyond the specified period but within a year for which the certificate relates.]
55. Explanation inserted by Notification No. FD 52 CET 2000, dated 21-7-2000 and shall be deemed to have come into force w.e.f. 1-4-2000. [Explanation. For the purpose of Section 7 "Quarter" means, the period of three months ending on 31st day of May, 31st day of August, 30th day of November and 28th day (or 29th day) of February.]
Rule 8 Form of returns.
The return to be submitted under Section 5 shall be in Form 5
Rule 8A Statements and returns to be submitted by the Head Office
(1) In the case of a dealer having more than one place of business in the State, the aggregate turn-over of all such places of business shall be taken as the turn-over of the business for the purposes of these Rules.
(2) All statements and returns prescribed by these Rules shall, in the case of dealers referred to in sub-rule (1), be submitted by the Head Office in the State to the assessing authority of the Area in which such Head Office is located and shall include the total turn-overs of all the branches of his business.
(3) Each branch shall also.
(a) submit to the assessing authority of the area in which it is situated an annual return of the total turn-over of the branch in Form 5, and
(b) intimate to such authority the fact that the total turn-over of its business in the branch is included in the annual return submitted by its Head Office and specify the name and address of such Head Office:
Provided that the Commissioner may, for reasons to be recorded in writing, exempt a dealer having more than one place of business in the State, from submitting a return in respect of each branch to the assessing authority of the area in which it is situated.]
Rule 8AA Return to be submitted by Government Department, etc
(1) Every Department of a Government, Statutory Body or a Local Authority except when they buy, sell, supply or distribute goods liable to tax under this Act shall submit a return in Form 5 showing the total and taxable turnover for each quarter and the amount or amounts actually collected by it by way of tax or taxes during that quarter. The return duly filled and signed by the Officer authorised by the Head of the Department, the Statutory body or the Local Authority shall be submitted so as to reach the Assessing Authority of the area of the rank of an Assistant Commissioner of Commercial Taxes having jurisdiction over the place of location of the Office of the Department, Statutory body or Local Authority on or before the twentieth day of the month succeeding the quarter to which such return relates. Along with the return, it shall also submit proof of payment as specified in sub-rule (1) of Rule 7 for the full amount of tax or taxes payable under any of the sections under the Act for the quarter to which the return relates.
(2) The return so submitted shall be provisionally accepted. The Assessing Authority shall, after the receipt of the return, as soon as may be, inspect the accounts of the Department, Statutory Body or Local Authority and verify the correctness of the return. If the return or the rates of taxes applied
Rule 8B Composition of tax
xxxxx
Rule 8C Form of return
xxxxx
Rule 9 Annual returns and final assessment
(1)
(a) Every registered dealer shall submit a return in Form-5 to the assessing authority so as to reach within thirty days after the close of the year to which the return relates, provided that every dealer who discontinues his business during the course of the year, shall submit to the assessing authority, a return in Form-5 or the period upto and inclusive of the date of discontinuance, within fifteen days from the date of such discontinuance.
(b) Every dealer, who submits a return under clause (a) shall submit along with the return, receipt from the Government Treasury, crossed postal order, crossed cheque or crossed demand draft in favour of the assessing authority for the full amount of tax payable for the year on the basis of the returns after deducting therefrom the tax, if any, already paid for the year.(c) If the full amount of tax payable under clause (b) is not paid along with the return, the assessing authority shall serve upon the dealer a notice in Form-6 and the dealer shall pay the amount demanded in the said notice within the time and in the manner specified in the notice.
(2) On receipt of the return in 22. Substituted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [Form 5], the assessing authority shall, if he is satisfied after such scrutiny of accounts and such enquiries as he considers necessary, that the return is correct and complete, finally assess on the basis of the returns, the tax payable under the Act for the preceding year or for the part of the year to which the return relates, as the case may be.
(3) Before making the assessment to the best of his judgment under sub-section (4) of Section 5, the assessing authority shall,
(i) if no return is submitted by the dealer, issue a notice in Form-7;
(ii) if the return submitted by the dealer appears to the assessing authority to be incorrect or incomplete, issue a notice in Form-8.
(4) If in any case, the assessing authority assess a figure different from that shown in the return submitted under the provisions of these Rules, it shall record its reasons briefly in writing and shall furnish the dealer with a
(5) 11. Substituted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [After making the final assessment under sub-rule (2) or (4), the assessing authority shall examine whether any and if so, what amount is due from the dealer after deducting any tax, already paid in advance under Section 7 and the amount of tax, if paid under clause (b) or (c) of sub-rule (1)], any tax already paid in advance under Section 7 and the amount of tax, if any, paid under clause (b) of sub-rule (1). If any amount is found to be due from the dealer towards the final assessment, the assessing authority shall serve upon the dealer a notice in Form-9 and the dealer .shall pay the sum demanded within the time and in the manner specified in the notice. If the tax due on the final assessment is lower than the tax already paid, it shall serve upon the dealer, a notice in Form-10 for refund of the excess tax 22. Added by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [along with a refund payment order in Form 28, for the amount of refund due.] If the final assessment is exactly equal to the tax already paid, the assessing authority shall inform the dealer what the final assessment is and that no further amount is due from him towards it:
Provided that the excess tax refundable to the dealer may be adjusted towards any other amount due by him under the Act, 33. Added by Notification No. FD 29 CET 8Z dated 31-3-1983, w.e.f. 1-4-1983. [and for this purpose a refund adjustment order in Form 29 shall be issued.]
44. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [(6) The Commissioner may, by order, in writing, at any time transfer any case pending before an assessing authority to another assessing authority, and the authority to which the case is so transferred may proceed either denovo or from the stage to which it was transferred. Where a case pending before an assessing authority is transferred to another assessing authority, the assessing authority to which the case is so transferred shall, notwithstanding anything contained in any notification issued under sub-section (2) of Section 12, have the same powers and perform the same duties as those respectively conferred and imposed upon the assessing authority from which the case was so transferred.]
55. Inserted by Notification No. FD 104 CET 85, dated 7-3-1986, w.e.f. 6-5-1986. [(7) A dealer who is liable for summary assessment under Section 5-B shall enclose to his returns or revised returns the following enclosures, namely:
(a) a statement specifying the value of the scheduled goods purchased or received from outside the local area;
(b) a statement specifying the value of the scheduled goods purchased or received from within the local area;
(c) a statement specifying the value of the scheduled goods purchased or received from outside the local area but returned to the supplier;
(d) a statement specifying the value of the scheduled goods purchased or received from outside the local area, but sent out of the local area otherwise than by way of sale excluding the value of the scheduled goods specified in Item No. (c);
(e) a statement specifying correct and complete particulars of purchase or receipt of scheduled goods which are claimed as not liable to tax; and
(f) a proof regarding the payment of tax under the Act.]
Rule 9A Exemption and deductions
(1)
(a) In determining the purchase price liable to tax, the amount relating to the purchases made within the local area from a registered dealer doing business in the same local area shall be deducted.
(b) Every dealer dealing in the scheduled goods and who is not liable to tax in respect of such scheduled goods by reason of his not being the person causing entry of the scheduled goods into the local area for consumption, use or sale therein shall furnish to the assessing authority a declaration in Form 22. Substituted for the figures "30" by Notification No. FD 191 CET 97, dated 25-9-1997 and shall be deemed to have come into force w.e.f. 1-4-1997. [40] obtained from the dealer from whom he purchased the scheduled goods in the same local area and for this purpose the seller shall issue the declaration to the buying dealer.
(c) The declarations issued in Form 33. Substituted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [40] shall be serially machine numbered for each year and the dealer issuing the same shall maintain a day-to-day account thereof in a register in Form 44. Substituted by Notification No. FD 319 CET 92, dated 29-1-1993, w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [41].
(2) All amounts received from the seller in respect of the goods returned to them by the dealer shall be deducted from the purchase price liable to tax provided that the goods were returned within a period of six months from the date of delivery of the goods and the accounts show the date on which the goods were returned and the date on which and the amount for which the refund was received.
55. Inserted by GSR 14, dated 17-1-1985, w.e.f. 17-1-1985. [(3) In determining the 66. Substituted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [the value of goods] liable to tax, the value of goods purchased or received from outside the local area but subsequently sent out of the local area otherwise than by way of sale shall be deducted,
provided that the goods are sent out of the local area within a period of six months from the date of entry of such goods into the local area and entries are made in the stock register in the manner specified in sub-rule (5) of Rule 10.]
11. Sub-rule (4) inserted by Notification No. FD 191 CET 97, dated 25-9- 1997 and shall bedeemed to have come into force w.e.f. 1-4-1997. [(4) In determining the value of goods liable to tax, the turnover of stock of luxuries relating to luxuries received from a registered stockist in the State, on which tax under the Karnataka Tax on Luxuries Act, 1979 (Karnataka Act 22 of 1979) has been paid or has become payable, shall be deducted, subject to production of proof in Form XII obtained from the registered stockist, as prescribed in Karnataka Tax on Luxuries Rules, 1979.]
Rule 9AA Provision relating to declarations under Section 3-C(2)
xxxx
Rule 9AAA
The declaration to be furnished under sub-section (4-A) of Section 3 shall be in Form 4-A and the provisions of Rule 9A shall apply mutatis mutandis insofar as obtaining and issuing of such forms and maintaining of accounts regarding such forms.]
Rule 9B Conditions for remission of penalty
In respect of penalty accrued under sub-section (2) of Section 8, in a case, where such penalty is not exceeding five lakh rupees, the Commissioner and in other cases, the State Government shall, for reasons to be recorded in writing, have power to remit the whole or part of such penalty:
Provided that, no remission shall be made in a case in which the amount of tax finally determined is not paid in full.]
Rule 9C Action on the tax collected prior to 18th February, 1981
The accounts of every dealer liable to submit a return under Section 5 shall be verified by the assessing authority and it shall be ascertained whether any amount is collected or is deemed to have been collected by the dealer by way of tax or purporting to be by way of tax under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 (Karnataka Act No. 27 of 1979) (hereinafter referred to in this Rule as the 1979 Act) or the Karnataka Tax on Entry of Goods into a Local Area for Consumption, Use or Sale Therein Act, 1980 (Karnataka Act No. 21 of 1980) (i) during the period between the First day of June, 1979 and the Thirtieth day of September, 1980, (ii) during the period between the First day of October, 1980 and the First day of March, 1981 in excess of one per cent. The tax so collected during the periods mentioned above be deemed to be tax collected under the 1979 Act and the same shall be recovered from the assessee by an order, after giving him a reasonable opportunity of hearing.
Rule 9D Instalments for payment of finally assessed tax
(1) A dealer in respect of payment of finally assessed tax in instalments shall apply 22. Inserted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [in Form 35] before the authority specified under sub-rule (2) within twenty-one days from the date of service of demand notice (Form-9).
(2) The authorities for the purpose of sub-rule (1) shall be.
(a) The Government in cases where the payment of tax in instalments exceeds rupees one lakh or where the period within which such tax to be paid in instalments exceeds twelve months; and
(b) The Commissioner in cases where the payment of tax in instalments not exceeding rupees one lakh or where the period within which such tax to be paid in instalments not exceeding twelve months.
(3) The authorities specified under sub-rule (2) may relax the period specified above in cases where the assessee furnishes to their satisfaction that the delay in 33. Substituted by Notification No. FD 319 CET 92, dated 29-1-1993 and shall be deemed to have come into force w.e.f. 1-5-1992 (GSR 26, Karnataka Gazette, dated 29-1-1993). [filing the application for grant of instalments] is for reasons beyond his control.
(4) The granting of instalments under sub-rule (2), shall be subject to the following conditions, namely.
(a) The dealer is not in arrears of payment of tax or any other sum due under the Act except the payment of tax which instalments are sought on the date of making the application under sub-rule (1).
(b) The dealer furnishes adequate security to the satisfaction of the assessing authority concerned for payment of tax in respect of which the instalments are sought.
(c) The dealer pays along with each permitted instalment interest at eighteen per cent per annum on the sums remaining unpaid from time to time.
(d) The dealer makes a declaration to the effect that no other application has been made to authorities or Courts other than
(5) The authority to whom the application is made under sub-rule (1), may after making such inquiry as he deems fit by an order in writing subject to the limits specified under sub-rule (2) permit an assessee to pay the tax or other sums due in such instalments and subject to such conditions as may be specified in its order.
(6) If the dealer contravenes any of the conditions specified in the order or in the sub-rule (4) or commits any default in making payments in accordance with the provisions of these Rules, the whole of the sum remaining unpaid on the date of such default shall become recoverable at once in a lumpsum together with the interest and penalties, if any, levied in accordance with the provisions of the Act or Rules.]
Rule 9DD Disbursement of amount wrongly collected as tax
(1)
(a) The application to the Commissioner under Section 3-BB shall be made in Form 42.
(b) The person claiming refund shall enclose to the application copies of the sale bills or invoices duly certified by the dealer in respect of whom the order of forfeiture under Section 3-BB is passed and an authenticated copy of the order of forfeiture so passed.
(2) If the claim of refund of amount relates, to collection of tax by more than one dealer, separate application in respect of each of such dealer shall be made.
(3) On receipt of the application, if the Commissioner is satisfied after scrutiny of the sale bills or invoices and after holding such enquiry as he considers necessary, that the claim of refund is valid and admissible, he shall pass orders for refund of the amount or any part thereof.]
Rule 9E Declaration in sub-section (4) of Section 3
(1) The declaration referred to in sub-section (4) of Section 3 shall be in Form 40.
(2) The declaration issued in Form 40 shall be serially machine numbered for each year and the dealer issuing the same shall maintain a day-to-day account in a register in Form 41.
Rule 9F Declaration under Section 5-C
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Rule 9G Sugar factories to submit monthly statements of tax collected and to issue certificates to buyers from whom tax collected
xxxxx
PART 4 Accounts
Rule 10 Nature of accounts to be maintained by dealers
(1) Every registered dealer and every person liable to CET himself registered under the Act shall keep and maintain a true and correct account of his daily transaction in Kannada or English or Hindi or Marathi or Tamil or Gujarathi or Telugu 11. Inserted by GSR 223, dated 20-9-1984, w.e.f. 20-9-1984. [or Urdu or in such other language as the State Government may by Notification specify in that behalf] showing the value of the entry of Scheduled goods into a local area for consumption, use or sale therein.
(2) Every such dealer or person shall keep separate purchase and sales account in respect of each of the scheduled goods.
(3) Every such dealer or person shall keep the current books of accounts at the place or places of business entered in the Registration Certificate. Every purchase shall be brought to account then and there as soon as the purchase is effected.
22. Explanation inserted by Notification No. FD 191 CET 97, dated 25-9-1997 and shall be deemed to have come into force w.e.f. 1-4-1997. [Explanation.For the purpose of this sub-rule, current books of accounts shall include computer hardwares and softwares used in connection with accounting of business activities.]
33. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [(4) Every wholesale dealer or manufacturer shall maintain day to day stock accounts in respect of each of the scheduled goods and each variety of the same scheduled goods dealt with by him. The stock account shall contain particulars of purchases or stock receipts, sales or stock transfers and balance of stock.
(5) Every dealer shall maintain subsidiary accounts of stock for each branch, depot or godown. Every branch shall also maintain the stock accounts in respect of its own transactions in the form adopted for this purpose by its Head Office.
(6) Every dealer while delivering goods to another dealer in pursuance of sale or while consigning the goods to his branch or depot or vice versa, where the aggregate amount of the goods so sold or consigned is one thousand rupees or more, shall issue a delivery note in triplicate in Form 24-A. The delivery notes shall be maintained in the form of books containing one hundred Forms, and the Forms shall be serially machine numbered and one series of numbers shall be adopted for each assessment year.
(7) Any officer requiring any dealer to produce before him the accounts and other documents or to furnish any information relating to his business under sub-section (1) of Section 18 shall serve upon the dealer a notice in Form 27. The dealer on whom the notice is served shall produce the accounts and other documents and shall furnish information relating to his business on the date and time specified in the notice.]
PART 5 Appeals and Revisions
Rule 11 Appeal against orders of assessing authorities
(1) An Appeal under Section 13 shall be preferred to the Joint Commissioner:]
22. Inserted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [Provided that the Commissioner may, either suo motu or on application, for reasons to be recorded in writing, transfer an appeal pending before an appellate authority to another appellate authority. The order of transfer shall be communicated to the appellant, to the assessing authority against whose order the appeal was preferred, to the appellate authority concerned and to every other party affected by the order.]
(2) Every such appeal shall be in Form-11 and shall be verified in the manner specified therein.
(3) The appeal may be sent to the appellate authority by registered post or may be presented to that authority or to such officer as the appellate authority may appoint in this behalf by the appellant or by his authorised agent or a legal practitioner or an accountant duly authorised by the appellant in writing.
Rule 11A Appeal to the Appellate Tribunal
(i) Every appeal under Section 14 to the Appellate Tribunal shall be in Form 11-A and shall be verified in the manner specified;
(ii) It shall be in quadruplicate and accompanied by four copies of the order appealed against one of which shall be the original or an authenticated copy, and also four copies of the order of the assessing authority in respect of which order appealed against was passed;
(iii) In the case of an appeal preferred by any person other than an officer empowered by the State Government under sub-section (1) of Section 14, it shall also be accompanied by a Treasury receipt in support of having paid the fee calculated at the rate of two per cent of the amount of assessment objected to subject to a minimum of rupees twenty and a maximum of rupees two hundred.
44. Inserted by Notification No. FD 109 CET 89, dated 20-2-1990, w.e.f. 1-1-1989. [(iv) Every Memorandum of cross objections under Section 14 shall be in Form 11-AA and shall be verified in the manner specified therein.]
Rule 11B Procedure in case of death of an appellant or applicant
(1) If an appellant or an applicant dies while the appeal or application is pending and it cannot be proceeded with unless his legal representative is brought on record, the Appellate or Revisional Authority or the Appellate Tribunal, as
(2) Notwithstanding anything contained in sub-rule (1) there shall be no abatement by reason of the death of any party between the conclusion of the hearing and passing of the order but the order may, in such case, be passed notwithstanding the death, and shall have the same force and effect as if it had been passed before the death took place.
(3) If a question arises in any appeal or revision whether a person is not the legal representative of a deceased appellant or applicant, such question may be determined by the Appellate or the Revisional Authority or the Appellate Tribunal, as the case may be, in a summary way, if necessary, after recording evidence.
Rule 11C Furnishing of security by an appellant
The security to be furnished by an appellant under the proviso to clause (b) of sub-section (3) of S.13 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 shall be properly security or Bank guarantee as the authority before which the appeal is preferred may in its discretion direct. The security bond shall be in Form 11-B with suitable modifications wherever necessary.]
Rule 12 Appeal to High Court
Every appeal under Section 16 to the High Court shall be in Form-12 and shall be verified in the manner specified therein. It shall be accompanied by the original order or a certified copy of the order of the Commissioner appealed against.
Rule 12A Revision petition to High Court
(1)
(a) Every petition under Section 15-A to the High Court shall be in Form 12-A and shall be verified in the manner specified therein.
(b) The petition shall be accompanied by a certified copy of the order of the Appellate Tribunal.
(2) It shall be preferred within ninety days from the date of communication of the order sought to be reviewed.]
Rule 13 Communication of appellate or revisional orders
(1) Every order of an Appellate or Revising Authority under Section 22. Substituted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-1-1983. [13 or 15,] as the case may be, shall be communicated to the appellant or to every other party affected by the order to the assessing authority against whose order the appeal or revision was filed and to any other authority concerned.
(2) The order passed on appeal or revision shall be given effect to by the assessing authority who shall refund without interest any excess tax found to have been collected and shall collect any tax which is found to be due, in the same manner as a tax assessed by itself.
Rule 14 Procedure when higher assessment is made in appeal or revision
If the tax as determined in the appeal or revision is in excess of the powers of assessment of the assessing authority, the Appellate or Revising Authority shall transfer the original records of assessment to the appropriate assessing authority which shall have power to collect the tax due in the same manner as if it were a tax assessed by itself.
Rule 15
Action on the orders of the Appellate Tribunal and the High Court Every order passed by the Appellate Tribunal or the High Court shall, on authorisation by the Appellate Tribunal or the High Court, as the case may be, be given effect to by the assessing authority, which shall refund without interest any excess tax found to have been collected and shall also collect any tax which is found to be due in the manner as a tax assessed by itself.
Rule 16 Payment of tax on entry of goods escaping assessment
The assessing authority shall serve on the dealer on whom an assessment has been made under Section 6 a notice in 22. Substituted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [Form-9] subject to such modification as may be necessary.
Rule 16A Rectification of mistake
(1) Where any rectification under S.17 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 has the effect of enhancing the assessment, the assessing authority shall serve on the dealer, revised notice in Form 9 and thereupon the provisions of the Act and these Rules shall apply as if such notice had been served in the first instance.
(2) Where such rectification has the effect of reducing the assessment, the assessing authority shall make any refund which may be due to the dealer by the issue of a refund payment order in Form 28 or refund adjustment order in Form 29.] PART VI Procedure for recovery of tax General Provisions
Rule 17 Definitions
In this Fart, unless the context otherwise requires,
(a) "certificate" means a certificate received by the Tax Recovery Officer under Rule 18;
(b) "defaulter" means the dealer or any other person mentioned in 'the certificate;
(c) "execution" in relation to a certificate, means recovery of arrears in pursuance of the certificate;
(d) "movable property" includes growing crops; and
(e) "share in a corporation" includes stock, debentures or bonds;
(f) "Tax Recovery Officer" means the assessing authority or any other officer exercising powers under clause (b) of sub-section
Rule 18 Issue of certificate
(1) Where a dealer or any other person is in default or is deemed to be in default in making a payment of tax or any other amount due under the Act, the assessing authority may forward to the Tax Recovery Officer a certificate in Form 13 under his signature specifying the amount of tax and any other amount due from the assessee or dealer or any other person and the Tax Recovery Officer on receipt of such certificate, shall proceed to recover from such assessee, dealer or other person the amount specified therein in accordance with the provisions in this Part.
(2) The assessing authority may issue a certificate under sub-rule (1) notwithstanding that proceedings for recovery of the amount by any other mode has been taken.
Rule 19 Issue of notice
When a certificate has been received by the Tax Recovery Officer from the assessing authority for the recovery of arrears, the Tax Recovery Officer shall cause to be served upon the defaulter a notice in Form 14 requiring the defaulter to pay the amount specified in the certificate within fifteen days from the date of service of the notice and intimating that in default, steps would be taken to realise the amount under this Fart.
Rule 20 When certificate may be executed
No step in execution of a certificate shall be taken until the period of fifteen days has elapsed since the date of the service of the notice required by the preceding Rule;
Provided that, if the Tax Recovery Officer is satisfied that the defaulter is likely to conceal, remove or dispose of the whole or any part of such of his movable property as would be liable to attachment or distraint in execution of a decree of a civil court and that the realisation of the amount of the certificate would in consequence be delayed or obstructed, he may at any time for reasons to be recorded in writing attach or distrain the whole or any part of such property:
Provided further that if the defaulter whose property has been so attached or distrained furnishes security to the satisfaction of the Tax Recovery Officer, such attachment or distraint shall be cancelled from the date on which such security is accepted by the Tax Recovery Officer.
Rule 21 Mode of recovery
If the amount mentioned in the notice is not paid within the time specified therein or within such further time as the Tax Recovery Officer may grant in his discretion, the Tax Recovery Officer shall proceed to realise the amount by one or more of the modes.
(a) by attachment or distraint and sale of the defaulter's movable property;
(b) by attachment and sale of the defaulter's immovable property;
Rule 22 Interest, costs and charges recoverable
There shall be recoverable in the proceedings in execution of every certificate.
(a) interest at the rate of seven per cent per annum from the day commencing after the end of the period in Rule 19;
(b) all charges incurred in respect of.
(i) the service of notice upon the defaulter to pay the arrears and of warrants and other processes; and
(ii) all other proceedings taken for realising the arrears.
Rule 23 Purchaser's title
(1) Where property is sold in execution of certificate, there shall vest in the purchaser merely the right, title and interest of the defaulter at the time of the sale, eventhough the property itself be specified.
(2) Where immovable property is sold in execution of a certificate, and such sale has become absolute/ the purchaser's right, title and interest shall be deemed to have vested in him from the time when the property is sold, and not from the time when the sale becomes absolute.
Rule 24
Suit against purchaser not maintainable on ground of purchase being made on behalf of plaintiff.(1) No suit shall be maintained against any person claiming title under a purchase certified by the Tax Recovery Officer in the manner laid down in this Part on the ground that the purchase was made on behalf of the plaintiff or on behalf of some one through whom the plaintiff claims.
(2) Nothing in this Rule shall bar a suit to obtain a declaration that the name of any purchaser certified fraudulently or without the consent of the real purchaser, or interfere with the right of a third person to proceed against that property, though ostensibly sold to the certified purchaser, on the ground that it is liable to satisfy a claim of such third persons against the real owner.
Rule 25 Disposal of proceeds of executions
(1) Whenever assets are realised, by sale or otherwise in execution of a certificate, they shall be disposed of in the following manner.
(a) there shall first be paid to the assessing authority the costs incurred by him;
(b) there shall, in the next place, be paid to the assessing authority the amount due under the certificate in execution of which the assets were realised;
(c) if there remains a balance after these sums have been paid, there shall be paid to the assessing authority therefrom any other amount recoverable under the procedure provided by the Act and these Rules which may be due upon the date upon which the assets were realised; and
(d) the balance (if any) remaining after the payment of the amount (if any) referred to in clause (c) shall be paid to the defaulter.
(2) If defaulter disputes any claim made by the assessing authority to receive any amount referred to in clause (c), the Tax Recovery Officer shall determine the dispute.
Rule 26
General bar to jurisdiction of civil courts, save where fraud alleged. Except as otherwise expressly provided in the Act and these Rules every question arising between the assessing authority and the defaulter or their representatives, relating to the execution, discharge or satisfaction of a certificate or relating to the confirmation or setting aside of a sale held in execution of such certificate, shall be determined, not by suit, but by the order of the Tax Recovery Officer before whom such question arises:
Provided that a suit may be brought in a civil court in respect of any such question upon the ground of fraud.
Rule 27 Property exempt from attachment
(1) All such property as is by the Code of Civil Procedure, 1908 (Central Act 5 of 1908) exempted from attachment and sale in execution of a decree of a civil court shall be exempt from attachment or distraint and sale under this Part.
(2) The Tax Recovery Officer's decision as to what property is so entitled to exemption shall be conclusive.
Rule 28 Investigation by Tax Recovery Officer
(1) Where any claim is preferred to, or any objection is made to the attachment, distraint or sale of, any property in execution of a certificate, on the ground that property is not liable to such attachment, distraint or sale, the Tax Recovery Officer shall proceed to investigate the claim or objection:
Provided that no such investigation shall be made where the Tax Recovery Officer considers that the claims or objections were designedly or unnecessarily delayed.
(2) Where the property to which the claim or objection applies has been advertised for sale, the Tax Recovery Officer ordering the sale may postpone it pending the investigation of the claim or objection, upon such terms as to security or otherwise as the Tax Recovery Officer shall deem fit,
(3) The claimant or objector must adduce evidence to show that,
(a) in the case of immovable property, at the date of the service of the notice issued under this Part to pay the arrears; or
(b) in the case of movable property at the date of the distraint or attachment he had some interest in, or was possessed of, the property in question.
(4) Where, upon the said investigation, the Tax Recovery Officer is satisfied that, for the reason stated in the claim or objection, such property was not, at the said date, in the possession of the defaulter or of some person in trust for him or that, being in the possession of the defaulter at the said date, it was so in his possession, not on his own account or as his own property, but on account of or in trust for some other persons, or partly on his own account and for some other person, or partly on account of some other person, the Tax Recovery Officer shall make an order releasing the property, wholly or to such extent as he thinks fit, from distraint or attachment or sale.
(5) Where the Tax Recovery Officer is satisfied that the property was, at the said date, in the possession of the defaulter as his own property and not on account of any other person, or was in the possession of some other person in trust for him, or in the occupancy of a tenant or other person paying rent to him, the Tax Recovery Officer shall disallow the claim.
(6) Where a claim or an objection is preferred, the party against whom an order is made may institute a suit in a Civil Court to establish the right which he claims to the property in dispute, but subject to the result of such suit (if any), the order of the Tax Recovery Officer shall be conclusive.
Rule 29 Removal of attachment or distraint on satisfaction or cancellation of certificates
Where
(a) the amount due, with costs and all charges and expenses resulting from the attachment or distraint of any property or incurred in order to hold a sale, are paid to the Tax Recovery Officer, or
(b) the certificate is cancelled, the attachment or distraint shall be deemed to be withdrawn and in the case of immovable property, the withdrawal shall, if the defaulter so desires, be proclaimed at his expense, and a copy of the proclamation shall be affixed in the manner provided by this Part for a proclamation of sale of immovable property.
Rule 30 Officer entitled to attach, distrain and sell
The attachment or distraint and sale of movable property and the attachment and sale of immovable property shall be made by the Tax Recovery Officer.
Rule 31 Defaulting purchaser answerable for loss on resale
Any deficiency of price which may happen on a resale by reason of the purchaser's default, and all expenses attending such resale, shall be certified by the Tax Recovery Officer and shall, at the instance of either the assessing authority or the defaulter, be recoverable from the defaulting purchaser under the procedure provided by this Part:
Provided that no such application shall be entertained unless filed within fifteen days from the date of resale.
Rule 32 Adjournment or stopping of sale
(1) The Tax Recovery Officer may, in his discretion, adjourn any sale hereunder to a specified day and hour.
(2) Where a sale of immovable property is adjourned under sub-rule (1) for a longer period than one calendar month, a fresh proclamation of the sale under this Part shall be made unless the defaulter consents to waive it.
(3) Every sale shall be stopped if, before the lot is knocked down, the arrears and costs (including the costs of the sale) are tendered to the Tax Recovery Officer.
Rule 33 Private alienation to be void in certain cases
(1) Where a notice has been served on a defaulter under Rule 19, the defaulter or his representative in interest shall not be competent to mortgage, charge, lease or otherwise deal with any property belonging to him except with the permission of the Tax Recovery Officer, nor shall any Civil Court issue any process against such property in execution of a decree for the payment of money.
(2) Where an attachment has been made under this Part, any private transfer or delivery of the property attached or of any interest therein and any payment to the defaulter of any debt, dividend or other moneys contrary to such attachment, shall be void as against all claims enforceable under the attachment.
Rule 34 Prohibition against bidding or purchase by officer
No officer or other person having any duty to perform in connection with any sale under this Part shall, either directly or indirectly bid for, acquire or attempt to acquire any interest in the property sold.
Rule 35 Prohibition against sale on holidays
No sale under this Part shall take place on a Sunday or other general holidays recognised by the State Government or any day which has been notified by the State Government to be local holiday for the area in which the sale is to take place.
Rule 36 Assistance by police
The Tax Recovery Officer may apply to the Officer-in-charge of the nearest police station for such assistance as may be necessary in the discharge of his duties, and the authority to whom such application is made shall depute sufficient number of police officers for furnishing such assistance.
Rule 37
Attachment or distraint and sale of movable property-warrant When any movable property is to be attached or distrained, the Tax Recovery Officer shall prepare a warrant under his signature in Form 15 specifying the name of the defaulter and the amount to be realised and cause a copy of the warrant to be served on the defaulter.
Rule 38 Attachment.
If, after service of the copy of the warrant, the amount is not paid forthwith, the Tax Recovery Officer shall proceed to attach or distrain the movable property of the defaulter.
Rule 39 Property in defaulter's possession
Where the property proceeded against is movable property (other than agricultural produce) in the possession of the defaulter, it shall be distrained by actual seizure, and the officer shall keep the property in his own custody or the custody of one of his subordinates and shall be responsible for due custody thereof:
Provided that when the property seized is subject to speedy and natural decay or when the expense of keeping it in custody is likely to exceed its value the officer may sell it at once.
Rule 40 Agricultural produce.
When the property proceeded against is agricultural produce, it shall be attached by affixing a copy of the warrant,
(a) Where such produce is growing crop on the land on which such crop has grown, or
(b) Where such produce has been cut or gathered on the threshing floor or place for treading out grain or the like, or fodder-stack, on or in which it is deposited, and another copy on the outer door or on some other conspicuous part of the house in which the defaulter ordinarily resides, or on the outer door, or on some other conspicuous part of the house in which he carries on business or personally works for gain, or in which he is known to have last resided or carried on business or personally worked for gain. The produce shall, thereupon, be deemed to have passed into the possession of the Tax Recovery Officer.
Rule 41 Provisions as to agricultural produce under attachment
(1) Where agricultural produce is distrained, the Tax Recovery Officer shall make such arrangements for the custody, watching, tending, cutting and gathering thereof as he may deem sufficient and the assessing authority shall bear such amount as the Tax Recovery Officer shall require in order to defray the cost of such arrangements.
(2) Subject to such conditions as may be imposed by the Tax Recovery Officer in this behalf, either in the order of attachment or in any subsequent order, the defaulter may tend, cut, gather and store the produce and do any other act necessary for maturing or preserving it and, if the defaulter fails to do all or any of such acts, any person appointed by the Tax Recovery Officer in this behalf may, subject to the like conditions, do all or any such act, and the costs incurred by such person shall be recoverable from the defaulter as if they were included in the certificate.
(3) Agricultural produce attached as a growing crop shall not be deemed to have ceased to be under attachment or to require re-attachment merely because it has been severed from the soil.
(4) Where an order for the attachment of a growing crop has been made at a considerable time before the crop is likely to be fit to be cut or gathered, the Tax Recovery Officer may suspend the execution of the order for such time as he thinks fit, and may, in his discretion, make a further order prohibiting the removal of the crop pending execution of the order of attachment.
(5) A growing crop which from its nature does not admit of being stored shall notbe attached under this Rule at any time less than twenty days before the time at which it is likely to be cut or gathered.
Rule 42 Debts or shares, etc
(1) In the case of:
(a) a debt not secured by a negotiable instrument,
(b) a share in a corporation, or
(c) other movable property not in the possession of the defaulter except property deposited in, or in the custody of any Court, it shall be attached and the attachment shall be made by a written order in Form 16 prohibiting.
(i) in a case of a debt the credit or from recovering the debt and the debtor from making payment thereof until further order of the Tax Recovery Officer;
(ii) in the case of a share the person in whose name the share may be standing from transferring the same or receiving any dividend thereon;
(iii) in the case of any other movable property (except as aforesaid) the person in possession of the same from giving it over to the defaulter.
(2) A copy of such order shall be affixed on some conspicuous part of the office of the Tax Recovery Officer, and another copy shall be sent in the case of a debt to the debtor, in the case of the share, to the proper officer of the corporation and in the case of the other movable property (except as aforesaid), to the person in possession of the same.
(3) A debtor prohibited under clause (i) of sub-rule (l)(c) may pay the amount of his debt to the Tax Recovery Officer and such payment shall discharge him as effectually as payment to the party entitled to receive the same.
Rule 43 Attachment of decrees
(1) Where the property proceeded against is a decree of a Civil Court for the payment of money or for sale in enforcement of a mortgage or charge, it shall be attached and the attachment shall be made by the issue to the Civil Court of a notice in Form 17 requesting the Civil Court to stay the execution of the decree unless and until,
(i) the Tax Recovery Officer cancels the notice; or
(ii) the assessing authority or the defaulter applies to the Court receiving such notice to execute the decree.
(2) Where a Civil Court receives an application under clause (ii) of sub-rule (1) it shall, on the application of the assessing authority or the defaulter and subject to the provisions of the Code of Civil Procedure, 1908 (Central Act 5 of 1908), proceed to execute the attached decree and apply the net proceeds in satisfaction of the certificate.
(3) The assessing authority shall be deemed to be the representative of the holder of the attachment decree, and to be entitled to execute such attachment decree, and to be entitled to execute such attachment decree in any manner lawful for the holder thereof.
Rule 44 Share in movable property
where the property proceeded against consists of the share or interest of the defaulter in movable property belonging to him and another as co-owners, it shall be attached and the attachment shall be made by a notice in Form 18 to the defaulter prohibiting him from transferring the share or interest or charging it in any way.
Rule 45 Attachment of negotiable instrument
Where the property is negotiable instrument not deposited in a Court nor in the custody of a public officer, it shall be distrained by the Tax Recovery Officer.
Rule 46 Attachment of property in custody of Courts or Public Officer
Where the property proceeded against is in the custody of any Court or Public Officer, it shall be attached and the attachment shall be made by a notice in Form 19 to such Court or officer requesting that such property, and any interest or dividend becoming payable thereon, may be held subject to the further orders of the Tax Recovery Officer by whom the notice is issued:
Provided that, where such property is in the custody of a Court any question of title or priority arising between the assessing authority and any other person not being the defaulter, claiming to be interested in such property by virtue of any assignment, attachment or otherwise shall be determined by such Court.
Rule 47 Attachment of partnership property
(1) Where the property proceeded against consists of an interest of the defaulter being a partner, in the partnership property, the Tax Recovery Officer may make an order charging the share of such partner in the partnership property and profits with payment of the amount due under the certificate, and may, by the same or subsequent order, appoint a receiver of the share of such partner in the profits, whether already declared or accruing and of any other money which may become due to him in respect of the partnership, and direct accounts and enquiries and make an order for the sale of such interest or such other order as the circumstances of the case may require.
(2) The other persons shall be at liberty at any time to redeem the interest charged or, in the case of a sale being directed to purchase the same.
Rule 48 Value of property
In the case of distraint the seizure shall not be excessive, that is to say, the property seized shall be as nearly as possible proportionate to the amount specified in the warrant.
Rule 49 Inventory
In the case of distraint of movable property by actual seizure, the Tax Recovery Officer shall, after seizure of the property, prepare an inventory of all the property attached, specifying in it the place where it is lodged or kept, and a copy of the inventory shall be delivered to the defaulter.
Rule 50 Seizure between sunrise and sunset
Attachment by seizure shall be made after sunrise and before sunset and not otherwise.
Rule 51 Power to break open door, etc
The Tax Recovery Officer may break open any inner or outer door of any building and enter any building in order to seize any moveable property if he has reasonable grounds to believe that such building contains moveable property liable to seizure under the warrant and he has notified his authority and intention of breaking open if admission is not given. He shall, however, give all reasonable opportunity to women to withdraw.
Rule 52 Sale
The Tax Recovery Officer may direct that any moveable property attached to or distrained under this Part or such portion thereof as may seem necessary to satisfy the certificate shall be sold.
Rule 53 Issue of proclamation
When any sale of moveable property is ordered by the Tax Recovery Officer, the Tax Recovery Officer shall issue a proclamation in Form 20 in the language of the district, of the intended sale, specifying the time and place of sale and whether the sale is subject to confirmation or not.
Rule 54 Proclamation how made
(1) Such proclamation shall be made by beat of drum or other customary mode.
(a) in the case of property distrained.
(i) in the village in which the property was seized or if the property was seized in a town or city, then in the locality in which it was seized; and
(ii) at, such other places as the Tax Recovery Officer may direct;
(b) in the case of property attached otherwise than by distraint in such places, if any, as the Tax Recovery Officer may direct
(2) A copy of the proclamation shall also be affixed in a conspicuous part of the office of the Tax Recovery Officer.
Rule 55 Sale after fifteen days
Except where the property is subject to speedy and natural decay or when the expense of keeping it in custody is likely to exceed its value, no sale of movable property under this Part shall, without the consent in writing of the defaulter take place until after the expiry of atleast fifteen days calculated from the date on which a copy of the sale proclamation was affixed in the office of the Tax Recovery Officer.
Rule 56 Sale of agricultural produce
(1) Where the property to be sold is agricultural produce, the sale shall be held,
(a) if such produce is a growing crop on or near the land on which crop has grown, or
(b) if such produce has been cut or gathered at or near the threshing floor or place for treacling out grain or the like, of fodder-stack on or in which it is deposited:
Provided that the Tax Recovery Officer may direct that the sale to be held at the nearest place of public resort if he is of opinion that the produce is thereby likely to sell to greater advantage.
(2) Where, on the produce being put up for sale.
(a) a fair price, in the estimation of the Tax Recovery Officer is not offered for it, and
(b) the owner of the produce, or a person authorised to act on his behalf, applies to have the sale postponed till the next day or, if a market is held at the place of sale, the next market day, the sale shall be postponed accordingly, and shall be then completed whatever price may be offered for the produce.
Rule 57 Special provisions relating to growing crops
(1) Where the property to be sold is a growing crop and the crop from its nature admits of being stored but has not yet been stored, the day of the sale shall be so fixed as to admit of the crop being made ready for storing before the arrival of such day, and the sale shall not be held until the crop has been cut or gathered and is ready for storing.
(2) Where the crop from its nature does not admit of being stored or can be sold to a greater advantage in an unripe stage e.g., as green wheat, it may be sold before it is cut and gathered, and the purchaser shall be entitled to enter on the land, and to do all that is necessary for the purpose of tending or cutting or gathering the crop.
Rule 58 Sale to be by auction
The property shall be sold by public auction in one or more lots as the Tax Recovery Officer may consider advisable and if the amount to be realised by sale is satisfied by the sale of a portion of the property the sale shall be immediately stopped with respect to the remainder of the lots. .
Rule 59 Sale by public auction
(1) Where moveable property is sold by public auction, the price of each lot shall be paid at the time of sale or as soon after as the Tax Recovery Officer directs and in default of payment, the property shall forthwith be resold.
(2) On payment of the purchase money, the Tax Recovery Officer shall grant a certificate specifying the property purchased, the price paid and the name of the purchaser and the sale shall become absolute.
(3) Where the moveable property to be sold is a share in goods belonging to the defaulter and co-owner, and two or more persons of whom one is such co-owner, respectively bid the same sum for such property or for any lot, the bidding shall be deemed to be the bidding of the co-owner.
Rule 60 Irregularity not to vitiate sale, but any person injured may sue
No irregularity in publishing or conducting the sale of movable property shall vitiate the sale, but any person sustaining substantial injury by reason of such irregularity at the hands of any other person may institute a suit in a Civil Court against him for compensation, or (if such other person is the purchaser) for the recovery of the specific property and for compensation in default of such recovery.
Rule 61 Negotiable instruments and shares in corporation
Notwithstanding anything contained in this Part, where the property to be sold is a negotiable instrument or a share in a corporation, the Tax Recovery Officer may, instead of selling it by public auction, sell such instrument of share through a broker.
Rule 62 Order for payment of coin or currency notes to the tax recovery officer
Where the property attached or distrained is current coin or currency notes the Tax Recovery Officer may, at any time during the continuance of the attachment or distraint direct that such coin or notes, or a part thereof sufficient to satisfy the certificate, be paid over to the assessing authority.
Rule 63 Attachment and sale of immovable property attachment
Attachment of the immovable property of the defaulter shall be made by an order in Form 21 prohibiting the defaulter from transferring or charging the property in any way and prohibiting all persons from taking any benefit under such transfer or charge.
Rule 64 Service of notice of attachment
A copy of the order of attachment shall be served on the defaulter.
Rule 65 Proclamation of attachment
The order of attachment shall be proclaimed at some place on or adjacent to the property attached by beat of drum or other customary mode and a copy of the order shall be affixed on a conspicuous part of the property and on the notice board of the office of the Tax Recovery Officer.
Rule 66 Attachment to relate back from the date of service of notice.
Where any immovable property is attached under this Part, the attachment shall relate back to, and take effect from the date on which the notice to pay the arrears, issued under this Part, was served upon the defaulter.
Rule 67 Sale and proclamation of sale
(1) The Tax Recovery Officer may direct that any immovable property which has been attached or such portion thereof as may be seen necessary to satisfy the certificate, shall be sold.
(2) Where any immovable property is ordered to be sold, the Tax Recovery Officer shall cause a proclamation in Form 20 of the intended sale to be made in the language of the district.
Rule 68 Contents of proclamation
A proclamation of sale of immovable property shall be drawn after notice to the defaulter, and shall state the time and place of sale and shall specify, as fairly and accurately as possible,
(a) the property to be sold;
(b) the revenue, if any, assessed upon the property or any part thereof;
(c) the amount for the recovery of which the sale is ordered, and
(d) any other thing which the Tax Recovery Officer considers it material for a purchaser to know, in order to judge the nature and value of property.
Rule 69 Mode of making proclamation
(1) Every proclamation for the sale of immovable property shall be made at some place on or near such property by beat of drum or other customary mode, and a copy of proclamation shall be affixed on a conspicuous part of the property and also upon a conspicuous part of the office of the Tax Recovery Officer.
(2) Where the Tax Recovery Officer so directs, such proclamation shall also be published in the Official Gazette or in a local newspaper, or in both; and the cost of such publication shall be deemed to be cost of the sale.
(3) Where the property is divided into lots for the purpose of being sold separately, it shall not be necessary to make a separate proclamation for each lot, unless proper notice of the sale cannot in the opinion of the Tax Recovery Officer, otherwise be given.
Rule 70 Time of sale
No sale of immovable property under this Chapter shall, without the consent in writing of the defaulter, take place until after the expiration of atleast thirty days calculated from the date on which a copy of the proclamation of the sale had been affixed on the property or in the office of the Tax Recovery Officer, whichever is later.
Rule 71 Sale to be by auction
The sale shall be by public auction to the highest bidder and shall be subject to confirmation by the Tax Recovery Officer.
Rule 72 Deposit by purchaser and resale in default
(1) On every sale of immovable property, the person declared to be the purchaser shall pay, immediately after declaration a deposit of twenty-five per cent of the amount of his purchase money, to the Tax Recovery Officer and in default of such deposit, the property shall forthwith be resold.
(2) The full amount of purchase money payable shall be paid by the purchaser to the Tax Recovery Officer on or before the fifteenth day from the date of the sale of the property.
Rule 73 Procedure in default of payment
In default of payment within the period mentioned in the preceding Rule, the deposit may, if the Tax Recovery Officer thinks fit, after defraying the expenses of the sale, be forfeited to the Government, and the property shall be resold, and the defaulting purchaser shall forfeit all claims to the property or any part of the sum for which it may subsequently be sold.
Rule 74 Authority to bid
All persons bidding at the sale shall be required to declare if they are bidding on their own behalf or on behalf of their principal, in the latter case, they shall be required to deposit their authority, and in default their bids shall be rejected.
Rule 75 Application to set aside sale of immovable property on deposit
(1) Where immovable property has been sold in execution of certificate, the defaulter, or any person whose interests are affected by the sale, may at any time within thirty days from the date of the sale apply to the Tax Recovery Officer to set aside the sale on his depositing,
(a) for payment to assessing authority, the amount specified in the proclamation of sale as that for the recovery of which the sale was ordered, with interest thereon at the rate of six per cent per annum calculated from the date of the proclamation of sale to the date when the deposit is made; and
(b) for payment to the purchaser, as penalty, a sum equal to five per cent, of the purchase money but not less than one rupee.
(2) Where a person makes an application under Rule 76 for setting aside the sale of his immovable property he shall not, unless he withdraws application, be entitled to make or prosecute an application under this Rule.
Rule 76 Application to set aside sale of immovable property on ground of non-service of notice or irregularity
Where immovable property has been sold in execution of a certificate, the assessing authority, the defaulter, or any person whose interests are affected by the sale, may, at any time within thirty days from the date of the sale, apply to the Tax Recovery Officer to set aside the sale of the immovable property on the ground that notice was not served on the defaulter to pay the arrears as required by this Part or on the ground of a material irregularity in publishing or conducting the sale:
Provided that.
(a) no sale shall be set aside on any such ground unless the Tax Recovery Officer is satisfied that the applicant has sustained substantial injury by reason of the non-service or irregularity; and
(b) an application made by a defaulter under this Rule shall be disallowed unless the applicant deposits the amount recoverable from him in execution of the certificate.
Rule 77 Setting aside sale where defaulter has no saleable interest
At any time within thirty days of the sale, the purchaser may apply to the Tax Recovery Officer to set aside the sale on the ground that the defaulter had no saleable interest in the property sold.
Rule 78 Confirmation of sale
(1) Where no application is made for setting aside the sale under foregoing Rules or where such an application is made and disallowed by the Tax Recovery Officer, the Tax Recovery Officer shall (if the full amount of the purchase money has been paid) make an order confirming the sale and thereupon the sale shall become absolute.
(2) Where such application is made and allowed and where, in the case of an application made to set aside the sale on deposit of the amount and penalty and charges, the deposit is made within thirty days from the date of the sale, the Tax Recovery Officer shall make an order setting aside the sale:
Provided that no order shall be made unless notice of the application has been given to the persons affected thereby.
Rule 79 Return of purchase money in certain cases
When a sale of immovable property is set aside, any money paid or deposited by the purchaser on account of the purchaser, together with the penalty, if any, deposited for payment to the purchaser, and such interest as the Tax Recovery Officer may allow, shall be paid to the purchaser.
Rule 80 Sale certificate
(1) Where a sale of immovable property has become absolute, the Tax Recovery Officer shall grant a certificate in Form 22 specifying the property sold and the name of the person who at the time of sale is declared to be the purchaser.
(2) Such certificate shall state the date on which the sale became absolute.
Rule 81 Postponement of sale to enable defaulter to raise amount due under certificate
(1) Where an order for the sale of immovable property has been made, if the defaulter can satisfy the Tax Recovery Officer that there is reason to believe that the amount of the certificate may be raised by the mortgage or lease or private sale of such property or some part thereof or of any other immovable property of the defaulter, the Tax Recovery Officer may, on his application, postpone the sale of the property comprised in the order for sale, on such terms and for such period as he thinks proper to enable him to raise the amount.
(2) In such case, the Tax Recovery Officer shall grant a certificate to the defaulter, authorising him, within a period to be mentioned therein and notwithstanding anything contained in this Part, to make the proposed mortgage, lease or sale:
Provided that all moneys payable under such mortgage, lease or sale shall be paid not to the defaulter, but to the Tax Recovery Officer:
Provided also that no mortgage, lease or sale under this Rule shall become as absolute until it has been confirmed by the Tax Recovery Officer.
Rule 82 Fresh proclamation before resale
Every resale of immovable property in default of payment of the purchase money within the period allowed for such payment, shall be made after the issue of a fresh proclamation, in the manner and for the period hereinbefore provided for the sale.
Rule 83 Bid of co-sharer to have preference
When the property sold is a share of undivided immovable property and two or more persons, of whom one is a co-sharer, respectively bid the same sum for such property or for any lot, the bid shall be deemed to be the bid of the co-sharer.
Rule 84 Power to take evidence
Every Tax Recovery Officer or other acting under this Part shall have the powers of Civil Court while trying a suit for the purpose of receiving evidence, administering oaths, enforcing the attendance of witness and compelling the production of documents.
Rule 85 Appeals
(1) An appeal from any original order passed by the Tax Recovery Officer under this Part not beingan order which is conclusive, shall lie,-
(a) in the case of a Tax Recovery Officer being the assessing authority, to the authority to which appeals He against the orders of the assessing authority under Section 13; and
(b) in any other case, to the assessing authority.
(2) Every appeal under this Rule must be presented within thirty days from the date of the order appealed against.
(3) Pending the decision on any appeal, execution of the certificate may be stayed if the appellate authority so directs, but not otherwise.
Rule 86 Review
Any order passed under this Part may after notice to all persons interested be reviewed by the officer who made the order, or by his successor in office on account of any mistake apparent from the record.
Rule 87 Recovery from surety
Where any person has under this Part become surety for the amount due by the defaulter, he may be proceeded against under this Part as if he were the defaulter.
Rule 88 Saving regarding charge
Nothing in this Part shall affect any provision of the Act where under the tax is a first charge upon any asset.
PART 6A PART
Rule 88A Return
(1) An importer of a motor vehicle who is not a dealer liable for registration under the Act, shall furnish a return in Form 3-AA to the authority notified by the Commissioner under Section 4-C (hereinafter referred to as the notified authority) declaring the purchase value of the motor vehicle imported and the tax payable thereon.
(2) The return shall be made within seven days from the date of causing entry of the motor vehicle into a local area.
(3) Alongwith the return, such importer shall pay either in cash or through a demand draft encashable at a bank situated in the place of location of office of the notified authority, the tax admitted to be due in return,
(4) The notified authority shall after hearing the importer and making such verification as may be considered necessary, within three days from the date of receipt of the return make an order assessing the tax due on the purchase value of the motor vehicle.
(5)
(a) Where the assessed tax is higher than the tax paid along with the return, the importer shall pay the difference within three days from the date of service of the assessment order and demand notice.
(b) Where the tax assessed and demanded is paid by the importer, the notified authority shall issue a tax paid certificate in Form 42 to the importer.
(c) Where the tax paid along with the return is higher than the tax assessed, the notified authority shall issue a refund payment order in Form 28, along with the tax payment certificate in Form 42 to the importer.
(6) Where the importer of the motor vehicle is a dealer registered under the Act, he shall furnish a return in Form 3-AA and pay the tax due on the purchase value of the motor vehicle imported by him in accordance with sub-rules (1) to (5) and, he shall include such purchase value of such motor vehicle in the total value of goods in Column 3 of the table in Form 3 as well as in the annual return of turnover in Form 5, and thereafter deduct the same under Column 4(d) of the table in Form 3 as well as Form 5.
Rule 88B
(1) Any person causing entry of a motor vehicle into a local area under Section 4, shall make an application to the Commissioner for exemption from payment of tax under that section.
(2) The Commissioner on being satisfied that the particulars furnished in the application are true and correct and are supported by necessary proof, may issue a certificate that such person is exempt from payment of tax according to Section 4-D in respect of such Motor Vehicle.]
PART 7 Miscellaneous
Rule 89 Notice regarding entering into partnership or dissolution of partnership
(1) If a dealer enters into partnership in regard to his business, he shall report the fact to the assessing authority concerned within fifteen days of his entering into such partnership. The dealer and the partner shall jointly and severally be responsible for the payment of tax leviable under the Act.
(2) If a partnership is dissolved, every person who was a partner shall send a report of the dissolution to the assessing authority concerned within fifteen days of such dissolution.
Rule 90 Notice of discontinuance of business or change of place of business
If, at any time, a dealer,
(1) discontinues or sells or otherwise disposes of the whole or any part of any business carried on by him; or
(2) changes his place of business or any of his places of business; or
(3) opens a new place of business; or
(4) changes the name of any business carried on by him, the dealer or if he is dead, his legal representative shall notify the fact to the assessing authority concerned within thirty days hereafter.
Rule 91 Liability to tax on a legal representative
(1) Where any dealer doing business in respect of which tax is payable under this Act is dead, the Executor, Administrator, successor in title or other legal representative of the deceased shall, in respect of such business be liable to submit the return due under these Rules, and to assessment under Section 5 or 6 and to pay out of the estate of the deceased dealer the tax and/or any penalty assessed or levied, as the case may be, as payable by the deceased dealer.
(2) The provisions relating to appeals and revisions shall be applicable to assessments made under sub-rule (1) as if the Executor, Administrator, Successor in title or other legal representative were himself the dealer.
(3) The provisions of sub-rules (1) and (2) shall apply mutatis mutandis to a partnership firm of which the managing partners have died.
Rule 91A liability for payment of tax and penalty in respect of firm, etc, discontinued or dissolved
(1) When any business carried on by a firm, a Hindu Undivided Family or an Association has been discontinued or
(2) Where any Hindu Undivided Family, firm or other association of persons is partitioned, dissolved or discontinued, notice, summons or orders issued under the Act or these Rules may be served on any member of the Hindu Undivided Family or any person who was a partner, not being a minor, of the firm or member of the Association, as the case may be, immediately before such partition, dissolution or discontinuance.
Rule 92 Liability to tax of guardian, trustees, agents, etc
Where any business is carried on by or is incharge of any guardian, trustee or agent of a minor or other incapacitated person on behalf and for the benefit of such minor or other incapacitated person, such guardian, trustee or agent shall in respect of the business be liable to submit the returns due under these Rules and to assessment under Section 5 or 6. The tax and/or any penalty leviable shall be levied upon and be recoverable from such guardian, trustee or agent, as the case may be, in like manner and to the same extent as it would be leviable upon and be recoverable from any such minor or other incapacitated person, if he were of full age, of sound mind and if he were conducting the business himself, and all the provisions of the Act and these Rules shall apply accordingly.
Rule 93 Liability to tax of managers, receivers, etc
If the estate or any portion thereof of a dealer owning business in respect of which tax is payable under this Act, is under the control of the Court of Wards, the Administrator General, the Official Trustee or any Receiver or Manager (including any person whatever his designation who in fact manages the business on behalf of the dealer) appointed by or any order of a Court, such Court of Wards, Administrator General, Official Trustee, Receiver, Manager or any other person, shall in respect of the turn-over of such business be liable to submit the returns due under these Rules and to assessment under Section 5 or 6. The tax and/or any penalty leviable shall be levied upon and be recoverable from such Court of Wards, Administrator General, Official Trustee, Receiver or Manager or any person in like manner and to the same extent as it would be leviable upon and recoverable from the dealer if he were conducting the business himself and all the provisions of the Act and these Rules shall apply accordingly.
Rule 93A Declaration to be given in certain cases.
Every dealer liable for registration under Section 4 shall, within ninety days from the date on which he becomes liable for registration, send to the registering authority a declaration in Form 26 stating the name or names of the person or persons who are authorised to sign returns under the Act on their behalf or to make statements in any enquiry under the Act. All returns signed and statements so made by such person or persons shall be binding on the dealer concerned. The declaration furnished may be revised from time to time.]
Rule 94 Composition offences
The Assistant Entry Tax Officers, Entry Tax Officers and Assistant Commissioners, 11. Inserted by Notification No. FD 104 CET 85, dated 7-3-1986, w.e.t 6-5-1986. [Commercial Tax Officers (Intelligence) and Assistant Commercial Tax Officers (Intelligence)] subject to the control and direction of the Deputy Commissioner and Commissioner may exercise the powers specified in Section 23.
Rule 95 Returns and other particulars to be furnished by the forwarding agency and others.
Every clearing and forwarding house or agency, transporting agency, shipping agency, shipping out-agency or steamer agency in the State shall submit to the entry tax authority of the area a statement in Form 23 every month. The statement shall be submitted within fifteen days from the dose of the month to which it relates.
Rule 96 Submission of certain records by owners, etc of vehicles and boats.
The owner or other person-in-charge of the goods vehicle or boat shall, in respect of the goods transported by him in such vehicle or boat, submit to the entry tax officer having jurisdiction over the local area in which the scheduled goods are delivered, a statement in Form 24, every month within 15 days after the close of the month to which it relates.
Rule 96A Particulars to be furnished by Banks
Every Bank including any branch of a Bank in the State shall, if so required by an officer not below the rank of an Assistant Entry Tax Officer, furnish any such particulars as he may require in respect of the transactions of any dealer with such Bank.]
Rule 97 Service of Notices, etc
The service on a dealer 33. Omitted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [x x x x] of any notice, summons or order under the Act or these Rules may be effected in any of the following ways, namely:
(a) by giving or tendering it to such dealer 44. Omitted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [x x x x] or his manager or agent; or
(b) if such dealer 55. Omitted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [x x x x] or his manager or agent is not found by leaving it at his last known place of business or residence or by giving or tendering it to some adult member of his family; or
(c) if the address of such dealer 66. Omitted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-1-1983. [x x x x] is known to the assessing 77. Omitted by Notification No. FD 29 CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [x x x x] authority by sending it to him by registered post;
(d) if none of the modes aforesaid is practicable, by affixing it in some conspicuous place at his last known place of business or residence.
Rule 98 Method of payment of money into Treasury or Bank
(1) The tax 11. Omitted by Notification No. FD 29 CET 82, dated 31-34983, w.e.f. 1-4-1983. [x x x x] or other miscellaneous amounts payable under the Act or these Rules shall be paid by the dealer
(i) by Money Order or in Cash to the Assessing Authority; or
(ii) by remittance into the Government Treasury through the challan in Form No. 25; or
(iii) by crossed cheque, crossed demand draft or postal order in favour of the Assessing Authority; or
22. Inserted by Notification No. FD 29CET 82, dated 31-3-1983, w.e.f. 1-4-1983. [(iv) where the amount does not exceed one thousand rupees to the Commercial Tax Inspector; or
(v) where the amount does not exceed five hundred rupees to the Bill Collector.]
(2) Every payment made under the Act or under these Rules into a Government Treasury or the State Bank of India or the Reserve Bank of India, shall be accompanied by a Chalian in Form 25. The Challan Form may be obtained from any Government Treasury or at the office of any Assessing Authority.
Rule 99 Fees for grant of copies
The fees payable for the grant of certified copies of any document under the Act or these Rules shall be as follows:
(1) for the first two hundred words or less-75 paise
(2) for every additional one hundred words or fraction thereof-40 paise
Rule 99A Fee for clarification of rate of tax
(1) The fee payable for seeking clarifications under sub-section (7) of Section 12 shall be one hundred rupees.
(2) The fee specified in sub-rule (1) shall be paid by way of Crossed Demand Draft in favour of the Commissioner of Commercial Taxes, in Karnataka, Bangalore.]
Rule 100 Appearance before any authority in proceedings
Any person who is required to appear before any authority other than the High Court in connection with any proceedings under the Act may be represented before such authority.
(a) by his relative or a person regularly employed by him if such relative or person is duly authorised by him in writing in this behalf, or
(b) by a legal practitioner, or
(c) by a chartered accountant, or
(d) by a person enrolled as a Sales Tax Practitioner by the Commissioner of Commercial Taxes under S.36 of the Karnataka Sales Tax Act, 1957 and duly authorised by the person whom he represents.
Rule 101 Forms, registers, etc., to be written in ink
(1) All entries in all Forms, registers and other documents prescribed by the Act or these Rules shall be made in ink:
Provided that where more than one copy of Form, declaration, return, register or other documents has to be filled or written at the same time entries may be made by a ball point pen or typewriter or a computer.
(2) No entry in such Forms, register and other documents shall be erased or overwritten. Incorrect entries shall be scored out under attestation and correct entry shall be recorded.
Rule 102 Penalty
Whoever commits a breach of any of the following Rules, namely, Rules 4(6), 4(8), 4(9), 8-A(2), 8-A(3), 9-A(l)(c), 10(4), 10(5), 10(6), 10(7), 89, 90, 95, 96, 96-A and 101 shall on conviction by a Magistrate of First Class, be punishable with fine which shall not be less than Rs. Two hundred and fifty but may extend to 11. Substituted for the words "one thousand rupees" by Notification No. FD 191 CET 97, dated 25-9-1997 and shall be deemed to have come into force w.e.f. 1-4-1997. [five thousand rupees] and, where the breach is a continuing one, with further fine which may extend to 22. Substituted for the words "fifty rupees" by Notification No. FD 191 CET 97, dated 25-9-1997 and shall be deemed to have come into force w.e.f. 1-4-1997. [one hundred rupees] for every day after the first during which the breach continues.]
Rule 103 Penalty for failure to issue prescribed declaration
(1) Every registered dealer who is required to issue declaration in Form 40 under Rule 9A(1)(B) shall issue the said declaration to the other registered dealer to whom he delivered any goods liable to tax under the Act, within one month but not later than three months from the date of such delivery.
(2) Any registered dealer who defaults in issuing the declaration as required by sub-rule (1) shall be liable to be proceeded against by the affected registered dealer and on conviction be punishable with a fine which may extend to five thousand rupees and where the default is continuing with a further fine which may extend to one hundred rupees for every day after the first during which the default continues:
Provided that no act or omission on the part of any registered dealer before the publication of these rules in the Official Gazette shall be punishable as an offence under this rule.
Rule 104
Forms to be used. Where a Form has been prescribed in these rules for keeping or maintaining of any accounts or for submission of any returns or any statement, only the appropriate Form prescribed in these rules shall be used for the purpose.
APPENDIX 1 Application for the grant of a registration certificate [as a dealer under the Karnataka Tax on Entry of Goods Act, 1979
FORM[See Rule 4(2)]
FORM
1
[See Rule 4(2)]
Application for the grant of a registration certificate as a dealer under the Karnataka Tax on  Entry of Goods Act, 1979.
To,
The Registering Authority,
I,..........son of..........carrying on business whose particulars are given below, hereby apply for registration under Rule 4 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979.
1. Name and full postal address of the applicant (if there is a trade name, the trade name shall also be given).
2. Name and address of the Manager of the business, if a Manager has been so appointed.
3. Name and address and status of the person who signs this application (as regards status, state whether proprietor, manager, director, partner.)
4. Name and full postal address of the principal place of business with particulars of building name and number, ward name and number, road name, street name etc.
5. Name and full postal address of ail the other places of business in the municipal area or elsewhere in the State with particulars of building name and number, ward name and number, road name, street name, etc., for each place of business (if the space in this column is found to be insufficient additional sheet may be used and duly signed.)
6. Complete list of godowns in which the scheduled goods are stored and address of every such godown.
7. Date of commencement of business.
8. The language in which the accounts are kept and maintained.
9. The accounting year followed by the applicant.
10. Whether the applicant is a proprietor, firm, company, society, club, association of persons, Hindu undivided family, Aliyasanthana family or trust, etc, (here give full description.)
Sl. No. Name in full of each person Name of father of each person Age of each person Permanent Postal address of each person 1 2 3 4 5
Present postal address of each person Extent of interest of each person in the business Signature of each person Name, address and signature of witness attesting signature 6 7 8 9
12. Whether business is wholly wholesale, or mainly wholesale and partly retail, whether manufacturer etc., (here enter the general nature of business conducted by the dealer).
13. The total value of purchases/stock receipts of scheduled goods in the year preceding that to which the application is submitted.
14. Actual value of purchases/stock receipts of scheduled goods in the year upto the date of submission of the application.
15. Amount of registration fee paid with particulars of Receipt No. and date.
16. Amount of fee paid for copies of certificate for the other places of business with particulars of receipt No. and date, challan No. and date, cheque No. and date/name of the Treasury/Bank etc.
DECLARATION
I,................son of............hereby declare that to the best of my knowledge and belief the information contained in this application given above are true and correct.
Place:
Name, address and signature of the person signing with status and relationship to the dealer (here state whether proprietor, manager, director, partners etc.)
Date:
(for official useby the Registering Authority)
1. Date of receipt of application
2. Nature of order passed by the Registering Authority in the application.
3. Licence No. and date if, any.
4. Date of issue of registration certificate.
Signature of the registering authority with date.
APPENDIX 2 FORM
FORM[See Rule 4(4)]
FORM
2
[See Rule 4(4)]
Certificate of registration [x x x x]
Registration No.
This is to certify that .................................
Here enter the name and style under which the business is carried on. whose principal place of business is situated at ............. has been granted a registration under 2[Section 4 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979, subject] to the provisions of the said Act and the Rules framed thereunder and also to the following conditions:
(1)
This certificate should be exhibited at a conspicuous place within the premises of the business.
(2) A correct account should be kept of the daily transactions at the place of business.
(3) The registered dealer shall afford all facilities for the checking of his stock and shall, at all reasonable times, produce for inspection accounts or other documents and shall furnish fully and correctly any information in his possession as may be required for the purpose of these Rules by any officer empowered in this behalf.
(4) The [prescribed statement(s) and returns] should be sent to the prescribed authority within the prescribed time.
(5) This registration certificate should not be transferred or sold. Nor should it be amended without the permission of the registering authority which should be applied for and obtained.
(6) All corrections in this certificate should be made and attested by the registering authority.
(7) The registered dealer shall be responsible for all the acts of his manager, agent or servant.
The registered dealer has additional places of business as noted below:
(a)
(b)
(c)
(d)
This Registration Certificate is valid from...................until cancelled.
Date:
(Signed) Registering Authority.
APPENDIX 3 Monthly Statement of Tax
FORM[See Rule 7(1)]
FORM 3
[See Rule 7(1)]
Monthly Statement of Tax
1. Month and year
2. Registration Certificate No. .. under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
3. Name and full address of the dealer
4. Style of business
5. Status
6. Tax payable for the month (See overleaf for details)
7. Tax paid (Bank Draft/Crossed Cheques to be enclosed or Challan/ Receipt No. and date to be furnished).
8. Balance due/Excess paid.
DECLARATION
I,................do solemnly declare that to the best of my knowledge and belief the information furnished in the above statement is true and complete and that it relates to the month covering the period from...............to..............
Place:
Signature
Date:
Name of the Signatory Proprietor/
Partner/Manager/ Director.
Details of the value of Scheduled Goods dealt in during the month and Tax payable
Sl. No. Description of the goods Total Value of goods purchased/ received (both from within and outside the State) Value of goods purchased/ received from within the local area Value of goods purchased/ received from outside the local area but returned to the suppliers 1 2 3 4(a) 4(b) (i) (ii) (iii) (iv)(v) (vi)(vii) (viii) (ix) (x) (xi) (xii) (xiii) (xiv)(xv)(xvi)
APPENDIX 3A Monthly Statement for Traders
FORM[See Rule 8C(1)]
FORM
3-A
[See Rule 8-C(1)]
Monthly Statement for Traders
1. Month and year
2. Registration Certificate No. under the Karnataka Tax on Entry of Goods Act, 1979
3. Name and full address of the dealer
4. Style of business
5. Status
6. Tax payable for the month (See overleaf for details) . . .
7. Tax paid (Bank Draft/Crossed Cheque/to be .. enclosed or Challan Receipt No. and date to be furnished)
8. Balance due/Excess paid
DECLARATION
I,...............................do solemnly declare that to the best of my knowledge and belief the information furnished in the above statement is true and complete and that it relates to the month covering the period from............to.......
Date:
Place:
Signature
Name of the Signatory Proprietor/
Partner/Manager/ Director.
Details of the value of the First Scheduled goods dealt in during the month and Tax payable
Description of goods Turn over goods Standard deduction of 10% on col 2 Turnover of goods on which tax is already paid/turnover exempted under the Act Turnover of goods liable to taxed. 2 -(3 +4) Rate of tax Tax payable 1 2 3 4 5 6 7
APPENDIX 3AA Monthly Statement for Traders
FORM [See Rule 8C(1)]
FORM 3-AA
(See Rule 88-A)
Return for turnovers and Tax Payable by an Importer of the Motor Vehicle under the Karnataka Tax on Entry of Goods Act, 1979
(Karnataka Act No. 27 of 1979)
1. Name and address of the importer :
2. KTEG No. (if registered) :
3. Period of import: : from to
I. Description of Motor Vehicle imported into the local area from any place outside the State:
Class of Motor Vehicle Model Engine No. Chassis No. Purchase value 1 2 3 4 5
Rate of tax Tax payable Tax paid Balance dueexcess paid 6 7 8 9
II. Tax paid Challan No./Cash Receipt No......dated...... D.p, No..........dated.....drawn on.........Bank.
DECLARATION
I,
.........do solemnly declare that to the best of my knowledge and belief the information furnished in the above return is true and complete and that it relates to the period mentioned above.
Signature Name of the Signatory:
APPENDIX 3B Return for turnovers and Tax Payable by an Importer of the Motor Vehicle under the Karnataka Tax on Entry of Goods Act, 1979
FORM(See Rule 88A)
FORM 3-B
[See Rule 8-C(3)]
Monthly Statement for Manufacturers
1. Month and year
2. Registration Certificate No. under the Karnataka Tax on Entry of Goods Act, 1979
3. Name and full address of the dealer
4. Style of business
5. Status
6. Tax payable for the month (See overleaf for details)
7. Tax paid (Bank Draft/Crossed Cheque/to be enclosed or Challan Receipt No. and date to be furnished)
8. Balance due/Excess paid
DECLARATION
I, ...................do solemnly declare that to the best of my knowledge and belief the information furnished in the above statement is true and complete and that it relates to the month covering the period from.............to................
Date:
Place:
Signature
Name of the Signatory Proprietor/Partner/Manager/Director.
Statement of Monthly Manufacture of Value of Goods
Description of goods manufactured Value of goods manufactured Standard reduction of 40% on col. 2 Amount paid towards purchase of raw materials, component parts, inputs brought into local area on which tax is already paid/exempted under this Act relatable to the value of goods at col. 2 1 2 3 4
Value of raw materials, component parts, inputs brought into an area not being a local area and used or consumed in the manufacture of goods related to the goods at col. 2 Value of goods liable to taxed col. 2 - (3 + 4 + 5) Rate of tax Tax payable 5 6 7 8
APPENDIX 3C Monthly Statement for Manufacturers
FORM [See Rule 8C(3)]
FORM
3-C
[See Rule 9-G(1)]
Monthly statement of tax collected by sugar factories
1. Month and Year
2. Name and address of sugar factory
3. Registration Certificate No.
4. No. of buyers from whom tax collected
5. Amount of tax collected Rs.
6. Amount of tax paid along with this statement Rs.
7. Name, designation/status of the person filing the statement
DECLARATION
I,.............do solemnly declare that to the best of my knowledge and belief, the information furnished in the above statement is true and complete and that it relates to the period from ..............to..................
Place;
Signature:
Date:
Seal of sugar factory
ANNEXUREParticulars of buyers and amounts of tax collected Sl.No. Machines Sl. No. of certificate of Form 3-D and date Nos. and dates of sale bills for which certificate in Form 3-D issued Total value of sugar covered by certificate in Form 3-D Amount of tax collected Name of buyer from whom tax collected (1) (2) (3) (4) (5) (6)
Place:
Signature
Date:
Seal of sugar factory
APPENDIX 3D Monthly Statement for Manufacturers
FORM [See Rule 8C(3)]
FORM
3-D
[See Rule 9-G(2)]
Certificate of tax collected from buyers of sugar
1. Name and address of buyer
2. Registration Certificate No. of buyers
3. Particulars of sales of sugar and amount of tax collected
SI. No. Sale Bill No. and date Quantity of sugar Value of sugar Amount of entry tax collected (1) (2) (3) (4) (5) Total
CERTIFICATE
Certified that tax collected as per details above has been remitted into Government Treasury in accordance with Section 9-A and that the particulars furnished above are true and complete to the best of my knowledge.
Place:
Signature
Date:
Name:
Designation/status
Seal:
APPENDIX 4 Monthly statement of tax collected by sugar factories
FORM [See Rule 9G(1)]
FORM 4
[See Rule 7(3)]
Notice
To
Registration
Certificate No......................
Take notice that you have been provisionally assessed under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 to a tax of Rs............(Rupees)........... (in words) only for the month covering the period from........... to...........After deducting the tax already paid, you have to pay a further sum of Rs............(Rupees)...........(in words) only.
This balance of tax shall be paid within 21 days from the date of service of this notice,
By Money Order to the undersigned, or
By Crossed Cheque in favour of the undersigned, or
By remittance into the Government Treasury, or
By Crossed Demand Draft, or
By Crossed Postal Order, or to the Entry Tax Officer/Assistant Entry Tax Officer/Commercial Tax Inspector/Bill Collector, failing which the amount will be recovered in accordance with sub-section (4) of Section 8 and you will also be liable to penalty as provided in sub-section (2) of Section 8.
(i) Total Tax provisionally assessed Rs.
(ii) Less Tax paid provisionally under sub-rule (1) and/or (2) Rs. of Rule 7
(iii) Balance of tax due Rs.
Place:
Signature of the Assessing Authority.
Date:
APPENDIX 5 Certificate of tax collected from buyers of sugar
FORM [See Rule 9G(2)]
FORM 5
[See Rules 8 and 9(2)]
Annual return of turn-overs and tax payable
1. Return for the year from.....to ....
2. Registration Certificate No. under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
3. Name and full address of the dealer
4. Style of business
5. Status of the assessee
6. Tax payable for the year (see overleaf for details)
7. Tax paid (details to be furnished)
8. Balance due/Excess paid.
DECLARATION
I,..........do solemnly declare that to the best of my knowledge and belief the information furnished in the above return is true and complete and that it relates to the year covering the period from............to............
Place:
Signature
Date:
Name of the Signatory
Proprietor/ Partner/ Manager/Director.
Details of the purchase value of Scheduled Goods dealt in during the year and Tax payable
Sl. No. Description of the goods Value of goods purchased/ received (both from within and outside the local area and motor vehicles imported from outside the state) Value of goods purchased/ received from within the local area Value of goods purchased/ receivedfrom outside the local area, but returned to the suppliers 1 2 3 4(a) 4(b)
Value of goods purchased/received from outside the local area, but sent out of the local area otherwise than by way of sale (excluding the amount shown under Col 4(b)) Purchase value of motor vehicle imported from outside the siate on which tax has already been paid by filing statement in Form-3AA Total deductions4(a)+4(b)+ 4(c) +4(d) Total valueof goods liable to tax (3-5) Rateof Tax Tax due (Rs. Ps.) 4(c) 4(d) 5 6 7 8 Total:
APPENDIX 5A FORM
FORM
FORM
5A
[See Rule 8-C(2)]
Annual Return for Traders
1. Return for the year from......To .......
2. Registration Certificate No.......under the Karnataka Tax on Entry of Goods Act, 1979
3. Name and full address of the dealer
4. Style of business
5. Status of the assessee
6. Tax payable for the year (See overleaf for details)
7. Tax paid (details to be furnished)
8. Balance due/Excess paid
DECLARATION
I,.........................do solemnly declare that to the best of my knowledge and belief the information furnished in the above return is true and complete and that it relates to the year covering the period from..............to.............
Place:
Date:
Signature
Name of the Signatory Proprietor/Partner/Manager/Director.
Details of the value of First Scheduled Goods dealt in during the year and tax payable
Description of goods Turnover of goods Standard deduction of 10% on col 2 Turnover of goods on which tax is already paid/turnover exempted under the Act Turnover of goods liable to tax col. 2 -(3 +4) Rate of tax Tax payable 1 2 3 4 5 6 7
APPENDIX 5B FORM
FORM
FORM
5-B
[See Rule 8-C(4)]
Annual Return for Manufacturers
1. Return for the year from......To ....
2. Registration Certificate No.......under the Karnataka Tax on Entry of Goods Act, 1979
3. Name and full address of the dealer
4. Style of business
5. Status of the assessee
6. Tax payable for the year (See overleaf for details)
7. Tax paid (details to be furnished)
8. Balance due/Excess paid
DECLARATION
I,..........................do solemnly declare that to the best of my knowledge and belief the information furnished in the above return is true and complete and that it relates to the year covering the period from..........to..
Place:
Date:
Signature
Name of the Signatory Proprietor/Partner/Manager/Director.
Statement of Annual Return of Manufacturers
Description of goods manufactured Value of goods manufactured Standard deduction of 40% on col. 2 Amount paid towards purchase of raw materials, component parts, inputs brought into local area on which tax is already paid/exempted under this Act relatable to the value of goods at col. 2 1 2 3 4
Value of raw materials, component parts, inputs brought into an area not being a local area and used or consumed in the manufacture of goods relatable to the value of goods at col, 2 Value of goods liable to taxed col.2-(3+4 +5) Rate of tax Tax payable 5 6 7 8
APPENDIX 6 FORM
FORM
FORM 6
[See Rule 9(1)(c)]
To
(Dealers)
Take notice that for the year ending.................you have submitted a return of turn-over in [Form 5] showing the tax payable by you as Rs...............After deducting the tax already paid by you under Section 7 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979, for the said year, a sum of Rs................(in words) ................. is still payable by you which amount you should have paid on or before................. the dates on which you submitted the return. You are hereby called upon to pay the said amount along with penalty under sub-section (2) of Section 8 within twenty-one days from the date of service of this notice on you, by money order to the undersigned by crossed cheque or crossed demand draft or crossed postal order in favour of the undersigned by remittance to the Government Treasury at......................................................failing which the amount and the said penalty will be recovered in the manner specified in sub-section (4) of Section 8 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
Assessing Authority,
APPENDIX 7 FORM
FORM [See Rule 7(2)]
FORM 7
[See Rule 9(3)(i)]
Proposition Notice
To
Registration
Certificate No........................
Whereas being liable to pay tax under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979, you have failed to submit the return of turn-over in Form 5 within the time prescribed under Rule 9, for the period........................... I propose to determine and assess the tax payable by you to the best of my judgment under Section 5 and also to direct the payment of penalty under sub-section (5) of Section 5.
You are hereby given an opportunity of being heard. Accordingly, you are required to attend in person or by a legal practitioner or by an agent authorised in writing at (place)...........................at (time) .....................on (date)........................... and to show cause why you should not be assessed to tax and penalty for the said period.
You may produce or cause to be produced your account books and other documents and file the return for scrutiny and consideration while making the assessment.
Place:
Designation:
Date:
Signature:
APPENDIX 8 FORM
FORM
FORM
8
[See Rule 9(3)(ii)]
Office of the Entry Tax Officer
Circle.......................
Dated.......................
PROPOSITION NOTICE
To
Sri.................................
Whereas I am of the opinion that the return of value of goods in Form 5 of the year ending........................submitted by you is incorrect and incomplete, I propose to determine your total value of the goods for the said period to the best of my judgment at Rs.........................and Rs......................respectively. The reasons for non-acceptance of the return and the basis of the proposed assessment are furnished below. You are hereby called upon to show cause against the proposed assessment, adducing evidence, if any, either in person or through a legal practitioner or an agent authorized in writing, at........................a.m,/p.m. on.................... at my office/camp at........................failing which it will be presumed that you have no objections to the proposed assessment and orders as deemed fit will be passed.
Assessing Authority
APPENDIX 9 FORM
FORM
FORM 9
[See Rules 9(5), 16 and 16-A]
Year of Assessment: FORM
Registration Certificate No. CODE
To
NOTICE
Take notice that you have been finally assessed under Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979, a tax of Rs.........(Rupees..........................(in words) only for the year ending.........the period upto and inclusive of the date of discontinuance of business, and that, after deducting the total amount of the payment already made by you towards the tax for the year, you have to pay a further sum of Rs.................. (Rupees.............(in words) only. This balance of tax shall be paid within twenty-one days from the date of service of this notice:
By money order to the undersigned, or
By crossed cheque in favour of the undersigned, or
By remittance into the Government Treasury, or
By crossed demand draft, or
Crossed postal order.
to the Entry
Tax Officer/Assistant Entry Tax Officer, failing which the amount will be recovered as if it were an arrear of land revenue and you will be liable to penalty as provided in Section 8 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
Total Tax payable Total Tax paid Balance due Date of Assessment
Place:
Signature of the Assessing Authority.
Date:
APPENDIX 10 FORM
FORM
FORM 10
[See Rule 9(5)]
Year of Assessment : FORM
Registration Certificate No. CODE
To
NOTICE
Take notice that you have been finally assessed under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 a tax of Rs................. (Rupees......................................... (in words), only for the year ending........................................The total amount of tax paid by you already is Rs .................... (Rupees ............................... (in words) only that is............................in excess of the tax due.
2. The sum of Rs....................paid by you in excess as stated above is refunded/adjusted towards............due by you for the year.....
The refund payment order and refund adjustment order is/are enclosed.
Value of Goods determined by the assessing authority is given [below.]
Total Tax payable Total Tax paid Excess amount due Date of Assessment
Place:
Signature of the Assessing Authority.
Date:
APPENDIX 10A FORM
FORM
FORM 10-A
[See Rule 9-DD]
To
The
Commissioner of Commercial Taxes in Karnataka, Bangalore.
Sir,
Sub: Reimbursement of wrongfully collected tax under Karnataka Tax on Entry of Goods Rules, 1979regarding.
It has come to my/our knowledge that an order dated................has been passed under Section 3-BB forfeiting the amounts collected by way of tax by Sri/M/s....................in contravention of Section 3-A.
I/We.....................residing/doing business at (full address).......................with registration number (if registered) ..................... under the Act, hereby apply for refund of the amount of Rs....................wrongfully collected by way of tax from M/s. ............................doing business at (full address)..................................with registration number........................during the year....................and forfeited under the said order.
The details of the sale bill/invoice in which the said amount was collected from me/us as follows:
Sl.No. Sale bill/ invoice No. and date Description of commodity Aggregate value (as shown in the bill /invoice) The rate at which the tax is collected {as shown in the bill/invoice) Amount of tax collected in the bill/invoice
I/We, enclose herewith.
(i) an authenticated copy of the order passed under Section 3-BB,
(ii) copies of sale bills/invoices duly certified by the issuing dealer.
I/We undertake to produce the original sale bills/in voices as detailed above whenever required or called for by the Commissioner.
Place:
Signature of the person
Date:
Name and address of the person signing with status and relationship to the claimant.
APPENDIX 11 FORM
FORM
FORM 11
[See Rule 11]
Form of Appeal against an order of assessment under Section 5
To
The
Deputy/Assistant Commissioner of Entry Taxes.
Division The day of 19
1. Name(s) of appellant(s)
2. Assessment year
3. Assessing authority passing the Assessment orders disputed
4. Date on which the order was communicated
5. Address to which notice may be sent to the Appellant
6. Relief claimed in appeal
(a) Value of goods determined by the assessing authority
(b) If value is disputed
(i) Disputed value
(ii) Tax due on the disputed value
(c) If rate of tax is disputed
(i) Value involved
(ii) Amount of Tax disputed
(d) Any other relief claimed
7. Grounds of appeal, etc.
(Signed)
Appellant(s)
(Signed)
Authorised representative, if any.
VERIFICATION
I/We,...............the appellant(s) named in the above appeal do hereby declare that what is stated therein is true to the best of my/our knowledge and belief.
Verified today the day of 19
(Signed) Appellant(s)
(Signed) Authorised Representative, if any.
Notes :-
(1)
The appeal should be accompanied by the order appealed against in original or by a certified copy
(2) thereof unless the omission to produce such order or copy is explained to the satisfaction of the
(3) appellate authority and by proof of payment of the tax admitted by the appellant(s) to be due
(4) or of such instalments thereof as might have become payable.
The appeal should be written in English and should set forth. Concisely and under distinct heads the grounds of appeal (without any argument or narrative) and such grounds should be numbered consecutively.
APPENDIX 11A FORM
FORM
FORM 11-A
[See Rule 11-A(i)]
Form of Appeal Memorandum to the Appellate Tribunal Appeal Memorandum to the Appellate Tribunal under Section 14(1) of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
Before the Karnataka Appellate Tribunal, Bangalore.
No...........of...........19......
Appellant(s)
Respondent
1. Place in which the assessment was made.
2. Assessment year.
3. Assessing authority passing the assessment/order disputed.
4. Deputy Commissioner/Assistant Commissioner passing the order in appeal under Section 13.
5. Date of Communication of the order now appealed against.
6. Address to which notices may be sent to the appellant.
7. Address to which notice may be sent to the respondent.
8. Relief claimed in appeal
(a) Turn-over determined by the Assessing Authority passing the assessment order disputed.
(b) Turnover confirmed by the Deputy Commissioner/Assistant Commissioner.
(c) If turn-over is disputed, (i) Disputed rum-over (ii) Tax due thereon.
(d) If the rate of tax is disputed, (i) Turn-over involved
(ii) Amount of tax disputed.
(e) Any other relief claimed.
9. Grounds of appeal, etc.
(Sd.)
Appellants)
(Sd.) Authorised representative, if any.
VERIFICATION
I/We,............the appellant(s) do hereby solemnly declare that what is stated above is true to the best of my/our knowledge and belief.
Place:
(Sd.) Appellants)
Date:
(Sd.) Authorised representative, if any.
Major
Head : 042
O.T.D. Tax on goods and passengers
Minor Heads: The tax on entry of goods into local areas
Sub-Head
: I. Tax Collections
II.
Deduct Refunds
(in case of refunds only.)
(in case of refunds only.)
3. The appeal should be written in English and should set forth concisely and under distinct heads the grounds of appeal (without any argument or narrative) and such grounds should be numbered consecutively.
APPENDIX 11AA FORM
FORM
FORM 11-AA
[See Rule 11-A(iv)]
Form of Memorandum of Cross Objections
BEFORE THE KARNATAKA APPELLATE TRIBUNAL UNDER SECTION
14(2-A) OF THE K.T.E.G. ACT, 1979
Cross objection
No.....................of 19..................
In appeal No.....................of
19..................
Appellant Vs. Respondent
1. Appeal No. allotted by the Tribunal to which memorandum of cross- objection relates.
2. District in which assessment was made.
3. Section under which the order appealed against was passed.
4. Assessment year in connection with which the memorandum of cross- objections is preferred.
5. Date of receipt of notice of appeal filed by the appellant to the Tribunal.
6. Address to which notice may be sent to the respondent (objector).
7. Address to which notices may be sent to the appellant
8. Relief claimed in the memorandum of cross objections. Grounds of cross-objections.
1.
2.
3.
4.
5.
6.
7.
8.
etc.
(Signed)
(Respondent)
(Authorised representative, if any).
VERIFICATION
I, .......................the respondent, do hereby declare that what is stated above is true to the best of my information and belief.
Verified today the.............day of.............19..........Signed.
APPENDIX 11B FORM
FORM
FORM 11B
[See Rule 11-C]
Security bond for stay of collection of Tax or other amount in dispute
Before the Karnataka Appellate Tribunal/Deputy
Commissioner/Assistant Commissioner.
No...........
Dated.......
Security Bond executed in favour of the Governor of Karnataka and his successors in office and assigns.
Whereas...........holding R.C. No.............in the office of the..............has filed an appeal before the Karnataka Appellate Tribunal/Deputy Commissioner/Assistant Commissioner............ against the order of...........in his/its order No.............. dated..........and the said appeal is pending.
And whereas, the said appellant has applied for direction in regard to the payment of disputed tax/penalty and has been called upon to furnish security.
Accordingly and in consideration whereof
I/We,..........hereby personally undertake and bind myself/ourselves, my/our heirs, successors and legal representatives to pay the Government of Karnataka the sum of Rs.........and mortgage/charge properties in the schedule hereunto annexed for the payment of the said sum of Rs............to the Government of Karnataka and covenant that if the aforesaid appellant complies with all the directions in regard to the payment of tax or other amount made by the Karnataka Appellate Tribunal/Deputy Commissioner/Assistant Commissioner in the said appeal this bond shall be void and of no effect, otherwise it shall remain in full force and effect, In witness whereof I/We,.........hereunto affix my/our handsand seal this day...........dated..........................
Witnesses: Appellant/Surety.
1. 1.
2. 2.
APPENDIX 12 FORM
FORM
FORM 12
[See Rule 12]
Appeal Before the High Court of Karnataka
Memorandum of Appeal against Order under Section 16 of the Act/1979 Appeal under Order No.
Appellant v Respondent Appeal against the order of the Commissioner, dated and passed in.
1. District in which the assessment was made.
2. Assessment year
3. Assessing authority passing the original order.
4. State if the order was modified at any time previously by any Officer subordinate to the Commissioner and if so in what manner (state the results of modification briefly).
5. Date of Communication of the order of the Commissioner.
6. Address to which notice may be sent to the appellant
7. Address to which notice may be sent to the respondent
8. Relief claimed in appeal
(a) Value determined by the assessing authority
(b) Value as modified prior to suo-motu by the Commissioner.
(c) Value of goods modified and fixed by the Commissioner.
(d) Relief claimed.
(e) Grounds of appeal.
(i) State the facts disputed briefly
(ii) State the questions of law raised for decision by the High Court.
(Signed)
Appellants)
(Signed)
Authorised Representative, if any.
VERIFICATION
I/We,............the appellant(s) do hereby declare that what is stated above is true to the best of my/our knowledge and belief.
Verified today the day of 19
(Signed) Appellants)
(Signed) Authorised Representative, if any.
APPENDIX 12A FORM
FORM
FORM
12-A
[See Rule 12-A]
BEFORE THE HIGH COURT OF KARNATAKA
Memorandum of Civil Revision Petition Under Section 15-A of the Act
Petitioner v Respondent
Revision petition presented to the High Court to revise the Order of the Sales Tax Appellate Tribunal dated.................and passed in.
1. District in which the assessment was made,
2. Assessment year,
3. The designation of the officer whose orders were appealed against before the Appellate Tribunal,
4. Date of communication of the order of the Appellate Tribunal,
5. Findings of the Appellate Tribunal (State in serial and appropriate order of the relevant findings arrived at by the (Tribunal),
6. Questions of law raised for decision by the High Court (Here formulate the questions of law raised concisely, etc..)
(Signed)
Petitioner(s)
(Signed)
Authorised Representative, if any.
VERIFICATION
I/We.....................the Petitioner(s) do hereby declare that what is stated above is true to the best of my/our knowledge and belief.
Verified today the............................day of................19.............
(Signed) Petitioner(s)
(Signed) Authorised Representative, if any
APPENDIX 13 FORM
FORM
FORM 13
[See Rule 18(1)]
Certificate of Tax, etc., due
To
The Tax Recovery Officer,
Sir,
This is to certify that Sri..............doing business in (Goods)..............at (Place)..............is in arrears of tax/registration fee/penalty as shown in the following Table. I request you to take action to recover the said amount of Rs...............under clause (b) of sub-section (4) of Section 8 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 and Part VI of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979.
TABLE
Year of Assessment Date of Assessment order Date of Service of Demand Notice Amount in arrears Whether Tax, registration fee or penalty 1 2 3 4 5 Rs. P. Rs. P. Total
APPENDIX 14 FORM
FORM
FORM
14
[See Rule 19]
NOTICE
Take notice that you have failed to pay Rs............being the arrears of the Tax/Registration fee/Penalty levied on you under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 19/9 and/or the details of which are furnished in the following Table. If the said amount is not paid within a period of fifteen days from the date of service of this notice, it shall be recovered by attachment or distraint and sale of your moveable or immoveable property. In addition to the said amount you will also be liable to pay the expenses involved in the attachment, distraint and/or sale of your moveable or/and immoveable property.
TABLE
Assessment year to which the amount in arrears relate Whether the amount due is tax, registration fee or penalty The amount in arrears (tax, registration fee or penalty should be shown separately) Date of service of the Demand notice in respect of the amount in arrears Date on which the Amount became due 1 2 3 4 5
Tax Recovery Officer
APPENDIX 15 FORM
FORM
FORM 15
[See Rule 37]
Warrant of distraint or attachment
Whereas Sri.............has failed to pay Rs.............being the tax/registration fee/penalty the details of which are furnished in the Table below, the moveable property of the said Sri..........as set forth in the Schedule thereunto annexed for which shall be found by me shall be distrained or attached and sold unless the said Sri ............ pays the said sum of Rs.............(in words)...........with Rs...........costs of this distraint or attachment.
TABLE
Amount in arrears Whether tax/registration fee/penalty 1 2
APPENDIX 16 FORM
FORM
FORM 16
[See Rule 42]
Attachment of a debt not secured by negotiable instrument/share in a corporation/moveable property not in the possession of the defaulter except property in the custody of a Court.
To
Sir,
Whereas Sri...................has failed to pay Rs.....................being the tax/registration fee/penalty; it is ordered that said Sri.................be and is hereby prohibited and restrained until further order by me.
(i) from receiving from you the debt alleged now to be due from you to the said Sri...........and that you are hereby prohibited and restrained until further order by me from making payment of the said debt or any part thereof to any person whomsoever or otherwise than to me.
(ii) from making any transfer of shares in...........
Corporation or from receiving payment of any dividend thereon any, you the Secretary of the said
Corporation are hereby prohibited and restrained from permitting any such transfer or making any such payment.
(iii) from receiving from you following property in your possession to which defaulter Sri.............is entitled and you are hereby prohibited and restrained until further order by me from delivering the said property to any person or persons whomsoever.
DESCRIPTION OF PROPERTY
Given under my hand and seal on this .... day of.....19 ...
Strike off whichever is not applicable.
Tax Recovery Officer.
APPENDIX 17 FORM
FORM
FORM 17
[See Rule 43(1)]
Attachment of a decree
To
The Munsiff..........Judge of the Court of...........
Sir,
I have the honour to inform you that the decree obtained in your Court on the day of.............19.....by Sri................... in Suit No..........of 19.....has been attached by me in execution of a certificate issued by the assessing authority. You are, therefore, requested to stay the execution of the decree of your Court until you receive an intimation from me that the present notice has been cancelled or until execution of the said decree is applied for by the assessing authority i.e.,............or by Sri..........
Dated the..........day of.........19.....
I have the honour to be
Sir,
Your most obedient servant Tax Recovery Officer.
APPENDIX 18 FORM
FORM
FORM
18
[See Rule 44]
Attachment of the share or interest in property
Sri
Whereas you have failed to pay Rs...........being the tax/registration fee/penalty you are hereby prohibited and restrained until further order by me from transferring the share or interest you have in the property specified below or from changing it in any way.
Description of the property.
Dated this.............day of.............19.....
Tax Recovery Officer.
APPENDIX 19 FORM
FORM
FORM 19
[See Rule 46]
Prohibitory Order
Sri
Sir,
The assessing authority.........................has issued a certificate under Rule 18 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979 for recovery of Rs....................from Sri..................It is stated that Rs...............is due by you to the said Sri..................on account of..............(Specify how money is due and on what
account)...................I request that you will hold the said money subject to the further order by me.
I have the honour to be
Sir, Your most obedient Servant
Dated...........day of.......19.....
Tax Recovery Officer.
SCHEDULE 1 SCHEDULE
SCHEDULE 1
No. of lots Description of the property with the name of the owner Assessment paid and nature of the interest in the property Encumbrances to which the property is liable Claims put forward
1
2
3
4
5
Date.............day of........19....
Tax Recovery Officer.
Date.............day of........19....
Tax Recovery Officer.
APPENDIX 20 FORM
FORM
FORM
20
[See Rules 53 and 67(2)]
Proclamation of Sale
Name and address of the defaulter.........................
Whereas an order has been made by me for the sale of the attached or distrained property specified in the schedule below in satisfaction of the certificate issued by the assessing authority..................under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979, for Rs..........interest thereon and costs of this execution.
The sale will be by public auction and the property shall be put up for sale in the lots specified in the schedule. The sale will be of the right, title and interest of the defaulter said Sri..............and the liabilities and claims attaching to the said property so far they have been ascertained are those specified in the schedule against each lot.
The sale will be subject to and in accordance with the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979.
In the case of movaeble property the price of each lot shall be paid at the time of sale or as soon as after the Tax Recovery Officer directs and in default of payment the property shall forthwith be again put up and sold.
In the case of immovable property the person declared to be the purchaser shall pay immediately after such declaration twenty-five per cent of the amount of his purchase money to the Tax Recovery Officer and in default the property shall forthwith be resold. The balance purchase money shall be paid by the purchaser to the Tax Recovery Officer on or before the fifteenth day of the date of the sale of the property if the fifteenth day be a Sunday or other holiday then on the first office day after the fifteenth day.
APPENDIX 21 FORM
FORM
FORM
21
[See Rule 63]
Commercial Taxes Department Notice of attachment of immovable property
PART 1
To
.......................
Take notice that you have failed to pay the amount of Rs......(in words) .... being the arrears of tax, registration fee, penalty payable by you under the provisions of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act 1979 and/or within the time specified in the Recovery Notice served on you on........ The immovable property mentioned in the following Table are, therefore, hereby attached and they will be sold for the recovery of the said amount. You are hereby prohibited from transferring or charging the said property in any way and any transfer or charge created by you shall be invalid.
TABLE
St.No. SurveyNo. Boundaries Village Taluk District Name of the defaulter who holds the property 1 2 3 4 5 6 7
PART II
To
The General Public,
A copy of the notice of attachment issued to Sri...........is enclosed herewith. The immoveable property mentioned therein have been attached by me in exercise of the powers conferred on me by clause (b) of sub-section (4) of Section 8 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979 and Rules made thereunder. The said owner of the property has been prohibited from transferring or charging the said property in any way. Notice is hereby given to the General Public that any transfer of or delivery of the said property or of any interest therein and any payment to the (said) defaulter of any debt, dividend or other moneys contrary to such attachment shall be void against all claims enforceable under the attachment.
Tax Recovery Officer.
APPENDIX 22 FORM
FORM
FORM
23
[See Rule 95]
Return of clearing, forwarding, transporting, shipping, etc.
Name and address of the clearing, forwarding, house-transporting agent/shipping agent or steamer agent............ etc ......... the periods to which the return relates..........
Sl. No. Date of clearing,forwarding, transporting, shipping, etc. Name and full address of the consignor Name and full address of the consignee Number and date of delivery note/bill of lading/R.R. etc. No. Date 1 2 3 4 5
Description of goods Quantity Value of goods Remarks No. of packing Weight
DECLARATION
I/We,............... declare that to the best of my/our knowledge that the information furnished in the above return is true and correct and that it relates to the period of.............
Name and signature with status of the person signing.
APPENDIX 24 FORM
FORM
FORM
24
[See Rule 96]
Statement to be submitted by owners, etc, of vehicles or boats
1. Number of the Vehicle
2. Name and address of the person furnishing statement
3. Status
4. Period for which the statementrelates
Sl. No. Name and address of persons to whom the goods are delivered No, and date of delivery note/bill of lading etc. Description of goods 1 2 3 4
Quantity Value of the goods Remarks No. of packings Weight 5 6 7 S
DECLARATION
I,................ declare to the best of my knowledge that the information furnished in the above statement is true and correct.
Name and signature with status of the person signing.
APPENDIX 24A FORM
FORM
FORM 24-A
[See Rule 10(6)]
Delivery Note
1. Name and complete address of the Consginer.
2. Registration Certificate No. of the Consigner under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
3. Bill No. or Cash Memorandum issued by the seller.
4. Name and complete address of the Consignee.
5. Registration Certificate No. of the Consignee under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
From To
6. Destination of Goods
7. Description of Goods
8. Quantity of the goods.
9. Name and address of the person-in-charge of the goods (Name of the Transport Agency).
10. Name and address of the person-in-charge of the vehicle
11. Vehicle No.
12. Signature of the officer-in-charge of the Transport Agency/the person-in-charge of the vehicle
Place:
Signature of Consigner/Consignee.
Date:
APPENDIX 25 FORM
FORM
FORM 25
Challan
[See Rule 98(1)(ii)]
Head of Account
"042-Taxes on goods and passengers - Tax on entry of goods into Local Areas
Sub heads:
I – Tax Collections
II - Deduct - Refunds"
Challan of Tax, Registration Fee, Penalty and Composition money paid to the Treasury/Sub-Treasury/State Bank of India/Reserve Bank of India.
For the period from..................to..................By whom tendered...........Name and address of the person on whose behalf money is paid..............
1. Registration No.
2. Year to which payment relates.
3. Month in which the assessment concluded
4. In the case of monthly tax, month to which it relates
Minor and detailed head (For registered dealers only) Amount in figures 1. Entry Tax 2. Registration Fee 3. Composition money 4. Penalty 5. Miscellaneous Total: (To be filled by persons or Departments other than Registered dealers) 1. Entry Tax. 2. Registration Fee 3. Composition Money 4. Penalty 5. Miscellaneous fee Total:
Signature of Dealer/Depositor. For Use in the Treasury
1. Received payment of Rs.......(in figures) Rupess........
2. Date of entry:
Challan No. Accountant
Code No. of Treasurer
Treasurer Treasury Officer
Agent/ Manager.
APPENDIX 26 FORM
FORM
FORM
26
[See Rule 93-A]
Declaration regarding the person(s) authorised to sign document(s)
I/We,................of...............carrying on the business under the name and style of .... at .... and other places in the State of Karnataka, namely............and liable to pay tax under the Karnataka Tax on Entry of Goods into Local Areas for onsumption, Use or Sale Therein Act, 1979 do hereby declare and authorise the following person(s), namely...........whose signature(s) are appended herein and identified by me/us and who is/are..........of the said concern shall be person(s) authorised to sign the returns, statements, applications under the Act on behalf of the aforesaid business concern or to make statements in any enquiry under the Act.
Sl. No. Name Status Signature 1.2.
Place:
Signature of the declarant,
Date:
Status of the declarant.
APPENDIX 27 FORM
FORM
FORM 27
[See Rule 10(7)]
Notice calling for Accounts and other Documents
Whereas I desire to ascertain whether you are liable to register/renew your registration certificate under Section 4 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979/Rule 4 of the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Rules, 1979.
Whereas I desire to satisfy myself that the return /statements) furnished by you in respect of the period from................to ........................is correct and complete.
Whereas I am of the opinion that though you are liable to furnish the return under Section 5(1), Rule 9(1) or Statements) under Section 7(l)/Rule 7(1) you have failed to furnish it.
Whereas I desire to satisfy that the books of accounts maintained by you for the period from............ to........are true and correct and are in accordance with the Rules, you are hereby requested to appear in person before me or arrange to represent you before me by a legal practitioner or a duly authorised representative at............(place).............(time) on............ (date) add to produce the following documents before me:-
(1) All your account books and registers, sale bills, purchase vouchers, sale/purchase advices, declarations, delivery notes relating to purchases, sales, deliveries and stocks of goods.
(2) Any other document containing information relating to your business.
You are also informed that failure to comply with the terms of this notice is an offence punishable under Rule 102.
Place:
Signature
Date:
Assistant/Entry Tax officer.
APPENDIX 28 FORM
FORM
FORM
28
[See Rule 9(5)]
Refund Payment
Order Book No. Voucher No.
Counterfoil order for the refund of tax/penalty under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
1. Refund payable to........................
2. Registration Certificate No.........
3. No. and date of order directing refund................................................
4. Year of assessment to which refund relates....................................
5. Amount of refund....................
Place:
Date:
Designation
Signature
Asst/Entry Tax officer
Signature of the recipient of Refund Payment order
Date of encashment of the refund payment order..........
APPENDIX 28A FORM
FORM
FORM 28-A
[See Rule 9(5)]
Refund Payment Order Book No. Voucher No.
Order for the refund of tax/penalty under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
Payable at the Government Treasury/Bank within three months of the date of issue.
To..............................................................
The Treasury Officer.......................
Manager.........................................
1. Certified that with reference to the assessment records of the assessee .... .... whose registration certificate No. is .... for the period from...........a refund of Rs..........is due.
2. Certified that the amount concerning which this refund is allowed has been duly credited to the Government Treasury.
3. Certified that no refund payment order/refund adjustment order regarding the sum now in question has previously been granted.
4. Certified that this refund payment order has been entered in the original file of assessment under my signature.
Please pay to..........a sum of Rs..........(Figures) Rupees.............(in words)
Place:
Signature
Date:
Designation
Particulars of encashment in Government Treasury/Bank....... paid Rs..........this day.........
Signature
Designation.
APPENDIX 29 FORM
FORM
FORM
29
[See Rule 9(5) Proviso]
Refund Adjustment Order Name and address of the assessee........................
Registration Certificate No. under the Karnataka Tax on Entry of Goods into Local Areas for Consumption, Use or Sale Therein Act, 1979.
1. Certified with reference to the assessment record of the assessee for the period from........to.........a refund of Rs............. (Figures) Rupees............(in words) is due.
2. Certified that the amount concerning which this refund is allowed has been credited to the Treasury.
3. Certified that no refund payment order/refund adjustment order regarding the sum in question has previously been granted and that this order of refund adjustment has been entered in the original file of assessment under my signature.
4. This refund" is adjusted towards the amount of.......... due from the said refund for the period from.......to........
Place:
Signature
Date:
Designation,
Asst/Entry Tax Officer
APPENDIX 30 FORM
FORM
FORM
30
[x x x x x]
APPENDIX 31 FORM
FORM
FORM 31
[x x x x x]
APPENDIX 32 FORM
FORM
FORM 32
[See Section 3-C(2) and Rule 9-AA(1)]
Form of declaration (Otiginal/Duplicate/Triplicate)
(To be completed by the Assessing Authority)
Name and address of the dealer to whom issued ....................................................... Registration Certificate Number of the dealer to whom issued................................ Officer issuing the Form.
Date of issue
Seal of issuing authority
(To be completed by the purchasing dealer) To:
............................(Selling dealer's name and ...........................address and Registration ............................certificate number)
1. Certified that, the goods (Raw materials/component parts/inputs) details of which are given in the Table below, have been purchased from you by me/us;
Details as per selling dealer's cash memos/invoices.
Sl.No. My/ourpurchase order No. & date Cashmemo/invoice No. &date Description of goods Quantity Amount Remarks 1 2 3 4 5 6 7
2. Certified further that my/our annual total turn-over under the K.S.T. Act, 1957, during the year ................. (financial year) is/would be less than Rs. Ten lakhs.
3. Certified that, the Statements made above are true to the best of my/our knowledge and belief.
Place
Date:
Signature
Name in Full
Status of the person.
APPENDIX 33 FORM
FORM
FORM 33
[See Rule 9-AA(7)(a)]
Register of declarations in Form 32
PART I
Details of Receipts of Form 32
Sl.No. Date of receipt Authority from whom received No. of books received SI. No. of each book and of declaration Forms contained in each book Remarks 1 2 3 4 5 6
PART II
Details of Issue of Form 32
Sl. No. Date of issue Sl. No. of the book Sl. No. of the declaration Form issued No. and date of purchase order in respect of which issued 1 2 3 4 5
Name and address of the seller to whom issued Cash memo/ invoice No. and date Description of goods Quantity Amount Remarks 6 7 8 9 10 11
APPENDIX 34 FORM
FORM 34
[See Rule 7(4)]
Certificate of Exemption from Submission of Returns
Whereas, ............................. (dealer) holding R.C. No................ dated ..................and carrying on business known as....................in the district of..................situated at.........................has shown to may satisfaction that goods dealt in by him are not eligible to tax under the provision of the Karnataka Tax on Entry of Goods Act, 1979. It is hereby certified that the said ...................... (dealer) is not required to furnish any statement in Form 3 appended to the Karnataka Tax on Entry of Goods Rules, 1979 during the year ending...................the day of........................year.
Place:
Signature
Date:
Designation.
RENEWAL
Date of renewal Year for which renewed Signature and Designation of the issuing/Assessing Authority 1 2 3
APPENDIX 35 FORM
FORM
FORM
35
[See Rule 9-D(i)]
Application for permission to pay finally assessed tax under the Karnataka Tax on Entry of Goods Act/1979, in instalments
To.
I,..................son of....................being an assessee..................under the Karnataka Tax on Entry of Goods Act, 1979 hereby apply for permission to pay in instalments the finally assessed tax due from me as per the following details:
1. Name and address of the applicant
2. Registration No. (if any) KST CST KTEG
3. Sum of payment of finally assessed tax for which instalments are sought
4. If the sums in column 3 are payable under an order of assessment, the date of service of Notice in Form 10
5. The period within which permission to pay the sum in column 3 is sought
6. Reasons for the applicant's inability to pay the tax/other amount due within the due date
7. Any other relevant information which the applicant may desire to furnish.
DECLARATIONS
(a) I hereby declare that to the best of my knowledge and belief the information contained in the above application is true and correct.
(b) I hereby declare that no application for instalments has been made to any other authority in regard to the sums mentioned in column 3.
(c) I hereby declare that no sums other than those mentioned in column 3 are due from me on the date of making this application.
(d) I hereby undertake to pay interest at the rate of 18 per cent per annum along with each instalment on the sums remaining unpaid from time to time.
(e) I hereby undertake to furnish necessary security to the satisfaction of the concerned assessing authority for the recovery of the sums in relation to which the grant of instalments is applied for.
Signature of the Assessee, Name and address of the person signing with status and relationship to the Assessee (whether Proprietor, Manager, Director, Partner, etc.).
APPENDIX 36 FORM
FORM
FORM 36
[x x x x x]
APPENDIX 37 FORM
FORM
FORM
37
[x x x x x]
APPENDIX 38 FORM
FORM
FORM
38
[See Rule 8-B(1)]
Application for permission for composition of tax payable by a dealer
To,
The Assessing Authority
I, .................. being a registered dealer holding registration certificate No, .................dated............... under the Karnataka Tax on Entry of Goods Act, 1979 and carrying on business in the name and style of ........... at ..................... (full address) do hereby apply for:
(i) Permission to pay tax for the years from............ to .................. in accordance with the provisions of Section 5-C read with Rule 8-B; or
(ii) Renewal of the permission granted to me on...............in Form 39 the validity of which expires on..............
Place:
Date:
Signature
Name of the Signatory Proprietor / Partner/Manager / Director.
In case of an application for renewal, this should be accompanied by the Form 39 in which permission was granted earlier.
Received an application in Form 38 from Sri/Smt. M/s.................................for grant/renewal of permission.
Date:
Signature of the Assessing Authority.
APPENDIX 39 FORM
FORM
FORM
39
[See Rule 8-B(2)(ii)]
Permission for composition of tax payable by the dealer
Whereas........................holding Registration Certificate No............dated ......... and carrying on business in the name and style of.................is hereby permitted to pay tax for the years from ............ to .................... in accordance with the provisions of Section 5-C read with Rule 8-F.
2. The permission hereby granted is liable for cancellation if the dealer:
(a) fails to pay tax in any month within the time stipulated; or
(b) contravenes any of the provisions of the Act or the Rules made thereunder.
3. The permission is valid from..............to.......................
4. The dealer shall maintain true and correct account related to his business.
Place:
Date:
Signature of Authority granting permission.
APPENDIX 40 FORM
FORM
FORM
40-A
[See Rule 9-AAA]
Declaration to be furnished by the dealer having more than one place of business/ located in two different local areas
I/we ................. being a registered dealer holding Registration Certificate No ............................ dated ................. underthe KTEG Act, 1979 and born on the files of..................(designation of the assessing authority) is/are carrying on business in the name and style of..................and my principal place of business is located at.................... (Full address) and branches and godowns are located at the following addresses, namely.
1.....................
10....................
11....................
I/We have sold...............quantity of..........to M/s. ..............(Name and full address) in my/our bill No ............. dated ................ I/We have delivered the above goods to M/s.....................from our business premises located at ........................ I/We have caused the entry of the above goods from local area................(Name of the local area) and I am/We are liable to tax under the KTEG Act, 1979, and we shall pay the same.
I/We have delivered the above goods to M/s............................ at ............................and I/We are not liable to pay tax under the KTEG Act, 1979 by virtue of the fact that the entry of above goods had not been caused into the above local area by me/us.
Place:
Signature
Date:
Name oft he Signatory Proprietor/ Partner / Manager /Director Strike out which have is not applicable.
APPENDIX 41 FORM
FORM
FORM 41
[See Rule 9:A(1)(c)]
Register of declaration in Form 40 issued to other dealers within the
Slate
Sl No. Date of issue Sl. No. of Form 40 Name and address of the dealer to whom issued Sale Bill No. and date 1 2 3 4 5
Description of the goods Quantity Value Remarks 6 7 8 9
APPENDIX 42 FORM
FORM
FORM
42
[See Rule 88-A]
Entry tax paid Certificate
Sl. No.
Office of the (notified authority)
This is to certify that entry tax payable under Section 4-B of the Karnataka Tax on Entry of Goods Act, 1979, in respect of the motor vehicle imported from outside the State of Karnataka described below has been paid vide Challan No./Cash receipts No.........dated........ D.D. No.........dated.........Drawn on.......Bank by the importer of the Motor Vehicle Sri...........who has imported the Motor Vehicle not for sale within the local area but for own use.
OR
This is to certify that the importer of below described Motor Vehicle Sri. ........is a registered dealer under the Karnataka Tax on Entry of Goods Act, 1979, with Registration No..........has paid entry tax payable under Section 4-B in respect of the Motor Vehicle imported from outside the State of Karnataka described below vide Challan No./Cash receipt No............. dated.........D.D. No..........dated.........drawn.........Bank:
Class of Motor Vehicle Model Engine No. Chassis No. 1 2 3 4
Signature and seal of the Notified Authority. |
