Tamil Nadu General Sales Tax (Second Amendment) Act, 1982*
| [Tamil Nadu Act No. 22 of 1982]* | [29th April, 1982] |
An Act further to amend the Tamil Nadu General Sales Tax Act, 1959.
Be it enacted by the Legislature of the State of Tamil Nadu in the Thirty-third Year of the Republic of India as follows:-
* For Statement of Objects and Reasons, see Tamil Nadu Government Gazette Extraordinary, dated the 22nd August, 1981, Part IV-Section 1, pages 666-667.
* Received the assent of the Governor on the 27th April, 1982, first published in the Tamil Nadu Government Gazette Extraordinary on the 29th April, 1982 (Chithirai 16, Thuntlwbi, Tiruvalluvar Aandu-2013)
1. Short title and commencement.- (1) This Act may be called the Tamil Nadu General Sales Tax (Second Amendment) Act, 1982.
(2) It shall come into force on such date as the State Government may, by notification, appoint.
2. Amendment of section 17, Tamil Nadu Act 1 of 1959.- In section 17 of the Tamil Nadu General Sales Tax Act, 1959 (Tamil Nadu Act 1 of 1959) (hereinafter referred to as the principal Act), after sub-section (3), the following sub-section shall be added, namely
"(4) The Government may, in such circumstances and subject to such conditions as may be prescribed, by notification, remit the whole or any part of the tax or penalty or fee payable in respect of any period by any dealer under this Act.".
3. Amendment of section 21, Tamil Nadu Act 1 of 1959.- In section 20 of the principal Act, for sub-section (1), the following sub-sections shall be substituted, namely:-
"(1) Every dealer whose total turnover in any year is not less thin thirty thousand rupees shall, and any other dealer or person intending to commence business may, get himself registered under this Act.
(1-A) Where a person intending to commence business is a minor or where a minor inherits an existing business or succeeds a dealer, the certificate of registration shall be issued in the name of any guardian, trustee or agent of the minor carrying on business on behalf of and for the benefit of such minor.".
4. Amendment of section 21, Tamil Nadu Act 1 of 1959.- In section 21 of the principal Act,-
(1) for sub-section (1), the following sub-section shall be substituted, namely:-
"(1) An application for legislation shall be made to such authority in such manner and within such period as may be prescribed and shall be accompanied by a ??? of ten rupees for the principal place of business, and in addition a further fee of live rupees in respect of each of his places of business other than the Principe all place of business.
(1-A) Where it appears necessary to the authority to whom an application is made under sub-section (1) so to do for the proper realization of the tax payable under this Act, it may, by order in writing and for reasons to be recorded therein, impose as a condition for the issue of a certificate of registration a requirement that the dealer shall furnish in the prescribed manner and within such time as may be specified in the order, such security as may be specified for the aforesaid purpose:
Provided that, the security shall not exceed one half of the tax payable on the taxable turnover upto the end of the year as estimated by the applicant himself.";
(ii) for sub-section (2), the following sub-section shall be substituted, namely:-
"(2) If the prescribed authority is satisfied that the application is in order and the condition, if any, imposed under sub-section (1-A) has been complied with, it shall register the applicant and grant to him a certificate of registration in the prescribed form specifying all his places of business with copies for each of his place of business other than the principal place of business.";
(iii) after sub-section (2-A), the following sub-sections shall be inserted, namely:-
"(2-B) Where it appears necessary to the authority granting a certificate of registration under this section so to do for the proper realisation of the tax payable under this Act it may, at any time, while such certificate is in force, by an order in writing and for reasons to be recorded therein, require the dealer to ??? the certificate has been granted, to furnish within such time as may be specified in the order and in the prescribed manner such security or, if the dealer has already furnished any security in pursuance of an order under this sub-section or sub-section (1-A) such additional security, as may be specified in the order for the aforesaid purpose.
(2-C) No dealer shall be required to furnish, any security under sub-section (1-A) or any security or Additional security under sub-section (2-B) by the authority referred to therein, unless he has been given an opportunity of being heard. The amount of security which a dealer may be required to furnish under sub-section (1-A) or sub-section (2-B) or the aggregate of the amount of such security and the amount of additional security which the may be required to furnish under sub-section (2-B) by the authority referred to therein, shall not exceed one half of the tax payable, in accordance with the estimate of such authority, on the turnover of such deader for the year in which such security, or as the case may be, additional security is required to be furnished.
(2-D) Where the security furnished by a dealer under sub-section (1-A) or sub-section (2-B) is in the form of a surety bond and the surety becomes insolvent or dies, the dealer shall, within thirty days of the occurrence of any of the aforesaid events, inform the authority granting the certificate of registration and shall within ninety day's of such occurrence furnish a fresh surety bond or furnish in the prescribed manner other security for the amount of the bond.
(2-E) The authority granting the certificate of registration may by order and for good and sufficient cause forfeit the whole or any part of the security furnished by the dealer for realising any amount of tax or penalty payable by the dealer:
Provided that no order shall be passed under this sub-section without giving the dealer an opportunity of being heard.
(2-F) Where by reason of an order under sub-section (2-F.), the security furnished by any dealer is rendered insufficient, he shall make up the deficiency in such manner and within such time as may be prescribed.
(2-G) The authority granting a certificate, registration may on application by the dealer to whom it has been granted, order the refund of any a mourn or pan thereof deposited by the dealer by may of security under this section or where the ??? by ??? it is not required for the purpose of this Act, or if in the course of three years the dealt proves himself to be prompt in payment of tax and above reproach in the conduct of his business.";
(iv) sub-section (3-A) shall be omitted;
(v) for sub-section (5), the following sub-section shall be substituted, namely:-
"(5) The prescribed authority shall have power for good and sufficient reasons to cancel, modify or amend any certificate of registration granted by him.".
5. Amendment of section 24, Tamil Nadu Act 1 of 1959.- In section 24 of the principal Act,-
(i) in sub-section (1), for the words "The tax assessed under this Act", the words "The tax assessed or has become payable under this Act" shall be substituted;
(ii) in sub-section (2), for the words "Any tax assessed on", the words "Any tax assessed on, or has become payable by," shall be substituted;
(iii) in sub-section (3),-
(a) for the words "tax assessed" the words "tax assessed or has become payable" shall be substituted;
(b) for the words "by way of penalty", the words "by way of interest" shall be substituted;
(c) for the first and second provisos, the following provisos shall be substituted, namely:-
"Provided that if the tax assessed or has become payable under this Act or any instalment thereof is less than one hundred rupees, no interest shall be levied for a period of one month after the expiry of the time specified in the notice of assessment or the order aforesaid:
Provided further that where a dealer or person has preferred an appeal or revision against any order of assessment under this Act, the interest payable under this sub-section, in respect of the amount in dispute in the appeal or revision, shall be postponed till the disposal of the appeal or revision, as the case may be, and shall be calculate of on the amount that becomes due in accordance with the final order passed on the appeal or revision as if such amount had been the subject matter of the appeal of revision.";
(iv) after sub-section (3), the following sub-section shall be added, namely:-
"(4) Where the tax paid under this Act is found to be in excess on final assessment or revision of assessment, or as a result of an order passed in appeal, revision or review, excess amount shall be refunded to the dealer after adjustment of arrears of tax, if any, due from him. Where the excess amount is not refunded to the dealer within a period of ninety days from the date of the order of assessment or revision of assessment or order passed in appeal, revision or review, the Government shall pay by way of interest, where the amount refundable is not less than one hundred rupees, a sum equal to a sum calculated at the rate of one per cent or part thereof of such amount for each month or part thereof after the expiry of the said period of ninety days.".
6.- In section 25 of the principal Act,-
(i) in the marginal heading, for the word "penalty", the words "penalty or interest" shall be substituted;
(ii) for the word "penalty", the words "penalty or interest" shall be substituted.
7. Amendment of section 32, Tamil Nadu Act 1 of 1959.- In section 32 of the principal Act,-
(i) for sub-section (1), the following sub-section shall substituted, namely:-
(1) The Deputy Commissioner may of his own motion, call for and examine an order passed or proceeding recorded by the appropriate authority under section 4-A, section 12, section 12-A, section 14, section 15, or sub-sections (1) and (2) of section 16 and if such, order or proceeding recorded is prejudicial to the interests of revenue may make such inquiry or cause such inquiry to be made and, subject to the provisions of this Act, may initiate proceedings to revise, modify or set aside such order or proceeding and may pass such order thereon as he thinks fit.";
(ii) in sub-section (2), for the expression "The Deputy Commissioner shall not pass any order under sub-section (1), if", the expression. "The Deputy Commissioner shall not initiate proceedings against any such order or proceeding referred to in sub-section (1), if" shall be substituted;
(iii) to sub-section (2), the following proviso shall be added, namely:-
"Provided that if the order passed or proceeding recorded by the appropriate authority referred to in sub-section (1) involves an issue on which the High Court has given its decision adverse 10 the revenue in any other proceedings, and an appeal to the Supreme Court against the order of the High Court is pending, the period of time between the date of the above said order of the High Court and the date of the order of the Supreme Court shall be excluded in computing the period referred to in clause (c).".
8. Amendment of section 43, Tamil Nadu Act 1 of 1959.- In section 34 of the principal Act,-
(i) in the marginal heading, for the words "Board of Revenue", the words "Joint Commissioner of Commercial Taxes" shall be substituted;
(ii) for sub-section (1), the following sub-section shall be substituted, namely:-
"(1) The Joint Commissioner of ??? Taxes may, of his own motion, call for and examine an order passed or proceeding recorded by the appropriate authority under section 4-A, section 12, section 12-A, section 14, section 15 or sub-section (1) or (2) of section 16 or an order passed by the Appellate Assistant Commissioner under sub-section (3) of section 31 or by Deputy Commissioner under sub-section (3) of section 31-A or sub-section (1) of section 32 and if such order or ??? recorded is prejudicial the in crests of revenue, may make such inquiry or cause such inquiry to be made and, subject to the provisions of this Act, may initial proceeding, to revise, modify or set aside such order or ??? and may pass such order thereon as he think ???";
(iii) in sub-section (2), for the expression "The Board of Revenue shall not pass any order under sub-sect ion(1) if", the expression "The Joint Commissioner of Commercial Taxes shall not ??? proceeding, against any such order or proceeding referred to in sub-section (1) if" shall be substituted:
(iv) to sub-section (2), the following provision shall be added, namely:-
"Provided that if the order passed or proceeding recorded by the appropriate authority, Appellate Assistant Commissioner or Deputy Commissioner referred to in sub-section (1) involves an issue on which the High Court has given its decision adverse to the revenue in any other proceedings, and an appeal to the Supreme Court against the order of the High Court is pending, the period of time between the date of the above said order of the High Court and the date of the order of the Supreme Court shall be excluded in computing the period referred to in clause (c)";
(v) in sub-section (4), for the words "the Board of Revenue" the words "the Joint Commissioner of Commercial Taxes" shall be substituted.
9. Amendment of section 36, Tamil Nadu Act 1 of 1959.- In section 36 of the principal Act, after sub-section (3), the following sub-section shall be inserted, namely:-
"(3-A) Within a period of sixty days from the date of receipt of notice that an appeal against the order passed by the Appellate Assistant Commissioner under sub-section (3) of section 31 or an order passed by the Deputy Commissioner under sub-section (3) of section 31-A or sub-section (1) of section 32 has been filed, any assessing; authority or his representative appearing before the Appellate Tribunal may file an enhancement petition in the prescribed form and in the prescribed manner against the order of the Appellate Assistant Commissioner or the. Deputy Commissioner, as the case maybe. The Appellate Tribunal may, after giving a reasonable opportunity to the appellant and the representative of the assessing authority of being heard pass such orders on the petition as it thinks fit:
Provided that the Appellate Tribunal may admit an enhancement petition presented after the expiration of the said period if it is satisfied that the assessing authority or his representative had sufficient cause for not filing the enhancement petition within the said period.".