Short title and commencement:-
1. (1) This Act may be called the Gujarat Sales Tax (Amendment) Act, 1998.
(2) It shall come into force on the 1st August, 1998.
Amendment of section 2 of Gujarat 1 of 1970:-
2. In the Gujarat Sales Tax Act, 1969 (hereinafter referred to as “the principal Act”), in section 2,-
(1) after clause (3), the following clause shall be inserted, namely:-
“(3A) “brand” means a particular make of goods, indicated by a trademark or a mark such as symbol, monogram or label or other method, whether registered or not;”
(2) for clause (21), the following clause shall be substituted, namely:-
“(21) “prohibited goods” means the goods described in entries 2, 4, 5, 12, 15, 17, 19, 20, 21, 22, 25, 27, 32, 33, 34, 35, 36, 37, 38, 40, 42, 44, 45, 46, 54, 55 and 60 in Schedule II, Part A or in entries 1 and 7 in Schedule-II, Part B and such other goods as the State Government may, from time to time, by notification in the Official Gazette, specify,”;
(3) in clause (25), the words and figures “or 30” shall be deleted;
(4) in clause (26), for the figures and letter “15, 19A” the figures “15” shall be substituted;
Amendment of section 3 of Gujarat 1 of 1970:-
3. In the principal Act, in section 3, in sub-section (4),-
(1) in clause (ii), for the words, brackets and figures “to whom clause (i), (iii), and (iv) do not apply”, the words, brackets figures and letter “to whom clauses (ia), (i), (iii) and (iv) do not apply;” shall be substituted;
(2) in clause (iii),-
(a) for the letters and figures “Rs. 75000”, the letters and figures “Rs. 2,00,000” shall be substituted;
(b) for item (a), the following item shall be substituted, namely:-
“(a) in the case of a dealer who is an importer to whom clause (i) does not apply and the value of any taxable goods sold or purchased by him during the year exceeds Rs. 10,000 and the value of any taxable goods brought by him the State or dispatched to him from outside the State during the year exceeds Rs. 10,000, or”;
(c) in item (b), for the letters and figures “Rs. 5000”, the letters and figures “Rs. 10,000”, shall be substituted;
(d) in item (c)-
(i) for the words, brackets and figures “to whom neither clause (i)” the words, brackets, figures and letter” to whom neither clause (ia) nor clause (i)” shall be substituted;
(ii) for the letters and figures “Rs. 5000” occurring at two places, the letters and figures “Rs. 10000” shall be substituted;
(3) in clause (iv),-
(a) for the letters and figures “Rs. 2,00,000”, the letters and figures “Rs. 5,00,000” shall be substituted;
(b) for the words brackets and figures “to whom neither clause (i)”, the words, brackets, figures and letter” to whom neither clause (ia) nor clause (i)” shall be substituted;
(c) for the letters and figures “Rs. 5000” the letters and figures “Rs. 10,000” shall be substituted.
Amendment of section 12 of Gujarat 1 of 1970:-
4. In the principal Act, in section 12,-
(1) in clause (1),-
(a) in sub-clause (b), the word “or” occurring at the end shall be deleted;
(b) sub-clause (aa) shall be deleted;
(2) in clause (2),-
(a) in sub-clause (c), the words “or” occurring at the end shall be deleted;
(b) sub-clause (aa) shall be deleted.
Amendment of section 16 of Gujarat 1 of 1970:-
5. In the principal Act, in section 16, in sub-section (5), the portion beginning with the words “the sales tax levied” and ending with the words and figures “ of section 12, shall be deleted.
Amendment of section 17 of Gujarat 1 of 1970:-
6. In the principal Act, in section 17, in sub-section (1) and (2) for the figures and letters “15A, 16, 19A”, the figures and letters “15A, 16” shall be substituted.
Deletion of section 19A of Gujarat 1 of 1970:-
7. In the principal Act, section 19A, shall be deleted.
Amendment of section 19B of Gujarat 1 of 1970:-
8. In the principal Act, in section 19B, the words “or peanut” wherever they occur, shall be deleted.
Amendment of section 29 of Gujarat 1 of 1970:-
9. In the principal Act, in section 29, to sub-section (3), the following proviso shall be added, namely:-
“Provided that where an application is made under sub-section (2) by a dealer whose earlier certificate of registration is cancelled under clause (b) of sub-section (2) of section 30AA, the prescribed authority shall not register the applicant nor issue to him a certificate of registration unless the applicant furnishes the declarations or returns as required by the notice served upon him under clause (a) of sub-section (2) of section 30AA in relation to the cancellation of certificate of registration and makes payment of penalty, if any, imposed under sub-section (3A) of section 45.”
Deletion of section 30 of Gujarat 1 of 1970:-
10. In the principal Act, section 30 shall be deleted.
Amendment of section 30AA of Gujarat 1 of 1970:-
11. In the principal Act, section 30AA shall be renumbered as sub-section (1) of that section; and
(1) in sub-section (1) as so renumbered, in the proviso, for the words “under this section” the words “under this sub-section” shall be substituted; and
(2) after sub-section (1) as so renumbered, the following sub-sections shall be added, namely:-
“(2) (a) Where a dealer does not furnish declaration or return for three or more consecutive periods in contravention of sub-section (1) of section 40, the Commissioner shall serve on such dealer in the prescribed manner a notice requiring him on or before the date specified therein to furnish or cause to be furnished declarations or returns for the periods specified therein.
(b) Where a dealer fails to furnish declarations or returns as required by the notice served upon him under clause (a), before the expiry of the date specified therein, the Commissioner shall, without prejudice to any penalty leviable on such dealer such this Act, cancel the certificate of registration of such dealer:
Provided that notwithstanding the cancellation of a certificate of registration under this sub-section, the liability of the dealer shall continue is respect of any tax, penalty or interest for any period prior to the date of the order of the Commissioner cancelling the certificate of registration.
(3) For the purpose of cancellation of certificate of registration under sub-section (1) or clause (b) of sub-section (2), the Commissioner shall call upon the dealer to forthwith produce before him the certificate and on such production, the Commissioner shall make an endorsement of cancellation on the certificate.”
Amendment of section 30B of Gujarat 1 of 1970:-
12. In the principal Act, in section 30B, in sub-section (1), for the words, figures and letter “section 29, 30 or 30A” the words, figures and letter” section 29 or 30A “ shall be substituted;
Insertion of new section 41B in Gujarat 1 of 1970:-
13. In the principal Act, after section 41AA, the following section shall be inserted, namely:-
Provisional assessment:-
“41B. (1) Where the Commissioner has reason to believe that the dealer has evaded the tax, he may, after taking into account all relevant materials gathered by him and after giving the dealer a reasonable opportunity of being heard, provisionally assess to the best of his judgment the amount of tax payable by the dealer.
(2) The provisions of this Act shall mutatis mutandis apply to the provisional assessment as if provisional assessment were an assessment made under this Act.”
Substitution of section 42 of Gujarat 1 of 1970:-
14. In the principal Act, for section 42, the following section shall be substituted, namely:-
Time limit for completion of assessment:-
“42. (1) No order of assessment for a year commencing on the 1st day of April, 1998 or part of such year or any year thereafter or part of such year shall be made under sub-section (3) or (4) of section 41 at any time after the expiry of three years from the end of the year in which the last monthly, quarterly or, as the case may be, annual return is filed.
(2) Where the Commissioner issues a notice under sub-section (6) of section 41 to any dealer for assessment of tax in respect of any period, no order of assessment shall be made for such part of the period, if any, as is prior to-
(a) a period of eight years ending on the last date of the year immediately preceding the year in which such notice is issued, in a case where the Commissioner has reason to believe that such dealer has failed to apply for registration with intention to defraud Government revenue; and
(b) a period of four year ending on the last date as aforesaid, in any other case:
Provided that for the purpose of this section if it is considered necessary so to do the State Government may, subject to such conditions as it may deem fit, and the Commissioner may, subject to such conditions as may be prescribed by a general or special order, extend, either generally or specially, the period specified in sub-section (1):
Provided further that where a fresh assessment is required to be made in pursuance of any order under section 65, 67 or 69 or in pursuance of any order of any court or authority, such fresh assessment shall be made at any time within three years from the date of such order.
Provided also that in computing the period, of limitation for the purpose of this section, any period by which the period of limitation is extended under the first proviso or any period during which assessment proceedings are stayed by an order or injunction of any court or authority shall be excluded.”
Amendment of section 45 of Gujarat 1 of 1970:-
15. In the principal Act, in section 45,-
(1) after sub-section (3), the following sub-section shall be inserted, namely:-
“(3A) If a dealer fails to furnish any declaration or any return by the prescribed date as required under sub-section (1) of section 40, the Commissioner shall impose upon such dealer by way of penalty for each declaration or return, a sum of two hundred rupees for every month or part of a month comprised in the period commencing from the day immediately after the expiry of prescribed date and ending on the date on which a declaration or returns is furnished.”;
(2) in sub-section (4), for the words and figures “as required by section 40” the words brackets and figures “as required by proviso to sub-section (1) or sub-section (2) of section 40” shall be substituted.
Amendment of section 47 of Gujarat 1 of 1970:-
16. In the principal Act, in section 47,-
(1) in sub-section (4), in clause (a), after sub-clause (ii), the following sub-clause shall be inserted, namely:-
“(iii) provisionally assessed for any period under section 41B less any sum already paid by the dealer in respect of such period.”;
(2) after sub-section (4), the following sub-section shall be inserted, namely:-
“(4AA) Where provisional assessment is made in respect of any period under sub-section (1) of section 41B and thereafter assessment is made in respect of that period or part of that period under section 41, the amount of tax provisionally assessed and paid by a dealer shall be adjusted against the amount of tax assessed and payable by a dealer.”
Insertion of new section 48A in Gujarat 1 of 1970:-
17. In the principal Act, after section 48, the following sections hall be inserted namely:-
Provisional attachment to protect revenue:-
“48A. (1) Where during the pendency of any proceedings of provisional assessment or assessment of tax or reassessment of turnover escaping assessment, the Commissioner is of the opinion that for the purpose of protecting the interest of the revenue, if is necessary so to do, he may by order in writing attach provisionally any property belonging to the dealer in such manner as may be prescribed.
(2) Every such provisions attachment shall cease to have effect after the expiry of a period of six months from the date of the order made under sub-section (1):
Provided that the Commissioner may, for reasons to be recorded in writing, extend the aforesaid period by such further period or periods as he thinks fit so however that the total period shall not in any case exceed one year.”
Amendment of section 57B of Gujarat 1 of 1970:-
18. In the principal Act, in section 57B,-
(1) after sub-section (3), the following sub-section shall be inserted, namely:-
“(3A) If a person has entered into a works contract with a contractor and the contractor has entered into a contract with sub-contractor entrusting to the sub-contractor the carrying out of the whole or part of the work (hereinafter referred to as “the sub-contract”) relating to the said works contract and the contractor has at the time of payment of the specified sale price in respect of the said sub-contract to the sub-contractor deducted an amount as tax under clause (b) of sub-section (3) and has paid the same under sub-section (6)m then notwithstanding anything contained in clause (a) of the said sub-section (3) the person shall not at the time of payment of the specified sale price to the contractor deduct an amount under clause (a) of sub-section (3) equal to the amount of tax paid by the contractor under sub-section (6).”
(2) in sub-section (6),-
(i) in clause (a), for the words “within ten days from the date of deduction of the amount”, the words “in such manner and within such period as may be prescribed” shall be substituted;
(ii) in clause (c), the following shall be added, at the end, namely:-
Within thirty days from the date on which he obtains the receipt”.
Insertion of new section 57C in Gujarat 1 of 1970:-
19. In the principal Act, Chapter V A, after section 57B, the following sections hall be inserted, namely:-
Person deducting tax to furnish return:-
“57C. Every person deducting tax under section 57B shall furnish or cause to be furnished returns in such from and within such period as may be prescribed to the Sales Tax Officer within whose jurisdiction the person resides or carries on his business.”
Amendment of section 65 of Gujarat 1 of 1970:-
20. In the principal Act, in section 65,-
(1) in sub-section (1), in clause (b), for the words “Commissioner”, the words “Deputy Commissioner” shall be substituted;
(2) in sub-section (2), after the words “Assistant Commissioner”, the words “or, as the case may be, by a Deputy Commissioner” shall be inserted.
(3) in sub-section (5), after the words “Assistant Commissioner”, where they occur at two places, the words, “or, as the case may be, by the Deputy Commissioner” shall be inserted.
Amendment of section 75 of Gujarat 1 of 1970:-
21. In the principal Act, in section 75, in sub-section (1) in clause (c), the word and figures “or 30” shall be deleted.
Amendment of Schedule of Gujarat 1 of 1970:-
22. In the principal Act, in Schedule I, -
(1) in the entry at serial No. 9,-
(a) after item (15), the following item shall be inserted, namely:-
“(15A) Heart valves”;
(b) after item (19), the following item shall be inserted, namely:-
“(19A) Orthopedic implants”;
(2) for the entry at serial No. 16, the following entry shall be substituted, namely:-
1
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2
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3
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“16
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(i) Cereals and pulses
(ii) Flours of cereals and pulses except Maize flour
(iii) Wheat flour.
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Except when sold in sealed package under a brand”;
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(3) in the entry at serial No. 20, in columns 3, the words “except when sold in sealed package under a brand” shall be inserted;
(4) in the entry at serial No. 23, in columns 2, for the words “Twenty five rupees”, the words “Seventy five rupees” shall be substituted;
(5) in the entries at serial Nos. 31 and 34, in columns 3, the words “except when sold in sealed package under a brand “ shall be inserted.
Amendment of Schedule II Part A of Gujarat 1 of 1970:-
23. In the principal Act, in Schedule II, in Part A, -
(1) entry at serial No. 1 shall be renumbered as sub-entry (i) of that entry and after sub-entry (i) as so renumbered, the following sub-entry shall be added, namely:-
1
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2
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3
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4
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“(ii)
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Fly ash of coal
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Four paise in the rupee
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Four paise in the rupee”;
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(2) in the entry at serial No.12, in columns 3 and 4, for the words “Two paise”, the words “One paise” shall be substituted;
(3) in the entry at serial No.21, in columns 3 and 4, for the words “Six paise”, the words “Four paise” shall be substituted;
(4) entry at serial No. 23 shall be renumbered as sub-entry (i) of that entry and after sub-entry (i) as so renumbered, the following sub-entry shall be inserted, namely:-
1
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2
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3
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4
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“(ii)
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Oil cakes
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Two paise in the rupee
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Two paise in the rupee”;
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(5) for the entry at serial No. 24, the following entry shall be substituted, namely:-
1
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2
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3
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4
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“24.
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Drilling rigs of all types and spare parts and accessories thereof.
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Four paise in the rupee
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Four paise in the rupee”;
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(6) the entry at serial No. 35, shall be renumbered as sub-entry (i) of that entry, and after the sub-entry (i) as so renumbered, the following sub-entry shall be added, namely:-
1
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2
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3
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4
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“(ii).
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Burnt ash of lignite.
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Four paise in the rupee
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Four paise in the rupee”;
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(7) in the entry at serial No. 43, in columns 3 and 4, for the words “Six paise” in the words “Four paise” shall be substituted;
(8) in the entry at serial No. 44, after item (viii), the following item shall be inserted, namely:-
1
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2
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3
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4
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“(viii-a).
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Empty cylinders of gas of all types.
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Six paise in the rupee
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Six paise in the rupee”;
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(9) in the entry at serial No. 71, in columns 3 and 4, for the words “Six paise”, the words “Four paise” shall be substituted;
(10) after the entry at serial No. 79, the following entry shall be inserted, namely:-
1
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2
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3
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4
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“79A.
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Camphor.
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Four paise in the rupee
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Four paise in the rupee”;
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(11) in the entry at serial No. 85,-
(i) in sub-entry (i), the words “other than watch cases” shall be added at the end;
(2) after sub-entry (ii), the following sub-entry shall be inserted, namely:-
1
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2
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3
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4
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“(iii).
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Watch cases.
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Four paise in the rupee
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Four paise in the rupee”;
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(12) in the entry at serial No. 88, in columns 2, for the words “Twenty five rupees”, the words “Seventy five rupees” shall be substituted;
(13) after the entry at serial No. 100, the following entry shall be inserted, namely:-
1
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2
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3
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4
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“100A
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The following goods not falling under any other entry in this Schedule when sold in sealed package under a brand.
(i) Flours of cereals and pulses other than wheat flour.
(ii) Powder of chillies, tamarind or turmeric or powder of any other masala.
(iii) Farsan that is to say, eatables, (other than sweet preparations) prepared wholly or mainly from gram or other pulses or gram flour or flour of other pulses and such preparations as the State Government may by notification in the Official Gazette specify for the purpose of this entry.
(iv) Fish and all sea food.
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Two paise in the rupee
Two paise in the rupee
Two paise in the rupee
Two paise in the rupee.
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Two paise in the rupee.
Two paise in the rupee.
Two paise in the rupee.
Two paise in the rupee.”
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(14) in the entry at serial No. 104, in sub-entry (ii), in columns 3 and 4, for the words “Fifteen paise” the words “Eight paise” shall be substituted.
(15) after entry at serial No. 111, the following entry shall be inserted, namely:-
1
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2
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3
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4
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“111A
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Hydraulic jacks for trailers of tractors.
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Four paise in the rupee
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Four paise in the rupee”;
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(16) in the entry at serial No. 113, in columns (3) and (4), for the words “Fifteen paise” the words “Eight paise” shall be substituted;
(17) in the entry at serial No. 119, in columns 3 and 4, for the words “Four paise in the rupee”, the words “One paise in the rupee” shall be substituted;
(18) after the entry at serial No. 133, the following entry shall be inserted, namely:-
1
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2
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3
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4
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“133A
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Peanut
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Four paise in the rupee
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Four paise in the rupee”;
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(19) in the entry at serial No. 159, in columns 3 and 4, for the words “Six paise” the words “Four paise” shall be substituted;
(20) the entry at serial No. 173 shall be renumbered as sub-entry (i) of that entry and after sub-entry (i) as so renumbered, the following sub-entry shall be inserted, namely:-
1
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2
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3
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4
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“(ii)
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Saw dust
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Eight paise in the rupee
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Eight paise in the rupee”;
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(21) in entry at serial No. 184B, in columns (3) and (4), for the words “Six paise”, the words “Four paise” shall be substituted;
(22) in the entry at serial No. 195, the figures and letter “19A” shall be deleted.
Amendment of Schedule III to Gujarat I to 1970:-
24. In the principal Act, in Schedule III, after the entry 18, the following entries shall be added, namely:-
“19. Heavy equipments such as cranes.
20. Telephones.
21. Patents, trade marks and brands.” |
