The 8th May, 2002
No. LL(B) 5/2002/24- The Meghalaya (Mobile Phone Connection ) Cess, Act, 2002 (Act No.5 of 2002) is hereby published for general information.
MEGHALAYA ACT NO. 5 OF 2002
(As passed by the Meghalaya Legislative Assembly)
Received the assent of the Governor on 7th May, 2002
(Published in the Gazette of Meghalaya, Extra-ordinary issue, dated 8th May, 2002)
THE MEGHALAYA (MOBILE PHONE CONNECTION) CESS ACT, 2002.
An
Act
To provide for levy of Cess on Mobile Phone Connection
Be it enacted by the Legislature of the State of Meghalaya in the Fifty-third Year of the Republic of India as follows:-
Short title, extend and 1 (1) This A ct m ay b e c alled t he Meghalaya ( Mobile P hone commencement Connection) Cess Act, 2002 (2) It extends to the whole of the State of Meghalaya. (3) It s hall be deemed t o have c ome into f orce o n a nd f rom 18th January, 2002 Definition 2 In this Act, unless the context otherwise requires:-
(a) “Act” m eans t he Meghalaya (Mobile P hone C onnection) Cess Act,2002;
(b) “Authorised O fficer” m eans t he o fficer co mpetent t o collect the Cess an d ex ercise t he p ower an d f unctions a s referred to in section 5 of this Act;
(c) “Business” includes the activity of providing mobile phone connection and any other service in connection, incidental or ancillary to activity for monetary consideration;
(d) “Cess” means o ne t ime p ayment o f t ax f or mobile p hone connection provided to customer;
(e) “Magistrate” means Magistrate of the First class as defined under the Code of Criminal Procedure, 1973
(f) “Operator” include f irm/company i ssuing m obile pho ne connection including a f irm or c ompany of s ociety or association who owns the operation and also a person who for t he t ime be ing i s i n c harge of t he management o f t he operation and registered under Section 6 of this Act;
(g) “place o f b usiness” i nclude an o ffice, o r an y other p lace which a c ompany us es f or t he pur pose of hi s business o r where he keeps his books of accounts; (h) “prescribed” means rules made under this Act; (i) “State Government” means the Government of the State of Meghalaya. Levy and collection 3 Subject to the provisions of this Act there shall be levied and of Cess collected a one time Cess at the rate of rupees five hundred per mobile phone connection including existing connection at the commencement of this Act. Liability of operator 4 (1) The cess leviable u nder t his A ct sh all b e p aid to to pay the tax Government by a operator. (2) If a person other than the operator is for the time being in- charge of the operation then such person shall jointly and severally be liable to pay the Cess. Exercise of powers 5 The authorities competent to recover and enforce payment of and authorities Cess hear appeals and exercise powers and functions incidental thereto u nder t he Meg halaya S ales t ax ( Assam Act X VII o f 1947 as adapted by Meghalaya) and rules framed there under shall, w ithin th e lo cal lim its o f their ju risdiction b e th e authorities competent t o e xercise t he c orresponding pow ers and functions under this Act and the rules so prescribed. Registration 6 (1) No operator who is liable to pay Cess under section 3 shall
run t he b usiness u nless h e p ossess a v alid certificate o f registration as provided under this Act; Provided that such operator who, at the commencement of this Act, is running the business may continue to do so but shall apply to the Authorised Officer for registration within thirty days there from.
(2) Every operator who is required t o possess a certificate o f registration s hall a pply in th e p rescribed f orm to th e Authorised Officer w ithin th irty d ays f rom th e d ate o n which he first become liable to pay the Cess.
(3) If the Authorised Officer after such enquiry as he deems fit is satisfied that an application for registration is in order he shall re gister th e a pplicant a nd is sue h im a c ertificate o f registration in the prescribed form.
(4) The A uthorised O fficer m ay, a fter c onsidering the information furnished or received under any provisions of this A ct, a mend, f rom tim e to tim e th e c ertificate o f registration.
(5) Where a r egistered o perator d iscontinue, transfers o r otherwise disposes of the business applies in the prescribed form t o t he asse ssing o fficer f or can cellation o f t he registration, t he l atter shall, after such en quiry as m ay necessary, cancel the certificate of registration with effect from such date as he may fix in accordance with the rules. (6) Where t he A uthorised O fficer i s sat isfied t hat an y registered operator h as di scontinued, t ransferred or otherwise disposed of the business and has failed to apply under sub-section (5) for cancellation of the registration the Authorised O fficer m ay, a fter g iving th e o perator a reasonable oppor tunity of be ing he ard, cancel t he certificate of registration with effect f rom such date as he may fix a nd t he s aid a ctivity shall b e di scontinued transferred or otherwise disposed of from that date: Provided that the cancellation of a certificate of registration shall n ot affect the liability o f th e operator to pay th e C ess, including a ny pe nalty, due f or a ny pe riod up to t he da te of cancellation w hether s uch C ess i ncluding a ny pe nalty is recovered before or after the date of cancellation. Registration 7 Save as o therwise p rovided i n sect ion 9 , cer tificate o f Certificate not registration shall b e p ersonal to th e o perator to w hom it i s transferrable. granted and shall not be transferable. Information to be 8 (1) If an operator liable to pay Cess under the Act- furnished regarding (a) Sells or otherwise disposes of his business or any parts changes in business thereof or makes any other changes in the ownership of etc. the business or, (b) Discontinues his business or changes the name, nature or place thereof or opens a new place of business, or (c) Enters into a partnership of association in regard to his business, he shall within the prescribed time inform the Authorised Officer of the change. (2) Where an operator dies, the executor, administration other legal r epresentative o r where an y s uch o perator i s a f irm and there is a change in the constitution of the firm or the firm i s di ssolved e very pe rson w ho w as a pa rtner thereof shall, in l ike m anner i nform t he A uthorised Officer, of such death or, as the case may be, change or dissolution of the firm. Certificate of 9 Where a registered operator- registration to (a) Effect any change in the name of his business; or continue in certain (b) Is a f irm, a nd t here i s a c hange in t he c onstitution of t he circumstances firm without dissolving it; or
(c) Is a t rustee of a t rust, and t here is change in t he t rustees thereof;
It shall not be necessary for the operator or the f irm with the changed co nstitution o r t he n ew t rustees to ap ply f or a f resh certificate of registration and of information being furnished in the manner required by section 8, the certificate of registration shall be amended accordingly Furnish of returns 10 (1) Every r egistered op erator s hall f urnish r eturns s howing total m obile phone c onnection f or such pe riods on s uch dates and to such authority as may be prescribed (2) If operator discovers any omission or incorrect statement to the returns f urnished u nder s ub-section (1 ) s hall furnish revised r eturns be fore the e xpiry of t hree m onths ne xt following t he la st p rescribed f or f urnishing the o riginal returns. Prohibition against 11 (1) No, operator- collection of tax in (a) Who i s not r equired to pa y t he C ess, s hall collect i t certain cases and from any person; and imposition or penalty (b) Who is required to pay the Cess, shall collect from any person a ny amount on that account i n e xcess of t hat due under this Act. (2) Whoever c ontravenes t he P rovision of s ub-section; (1 ) shall be pu nishable w ith f ine of r upees t wo t housand or twice the amount collected or, the case may be, collected in excess of the Cess due whichever is higher and the amount so collected shall be forfeited to the State Government and the pe rson f rom whom the operator had recovered i t may claim f or it f und f rom th e G overnment w ithin one ye ar from the date he became aware of its forfeiture. Bill or cash 12 A r egistered o perator shall i ssue t o a cu stomer a b ill o r cash memorandum to be memorandum s erially nu mbered s igned by hi m or hi s issued to a customer. employee, manager or agent showing therein such pa rticulars as m ay b e p rescribed a nd s hall r etain t he c ounterfoil or duplicate copy of such bill or cash memorandum and preserve it for a period of not less than eight years. Account 13 (1) Every operator liable to pay Cess under this Act and every
operator who is required so to do by the Authorised Officer shall ke ep as a ccount of t he c onnection by h im i n s uch form as may be prescribed.
(2) The Commissioner of T axes by not ice i n w riting or by notification in the Official Gazette, direct any operator o r any cl ass o f o perator t o maintain accounts an d r ecords showing s uch pa rticulars r egarding their bus iness i n s uch manner as may be specified by him.
(3) A register operator shall keep a ll books of accounts, r egisters and documents relating to his business at the place of business specified in th e certificate o f r egistration w ith h is p revious approval, at such other place, as Authorised Officer may allow. Declaration in 14 Where the operator is a firm, company, society, association or trust respect of an the pe rson who i s i n c harge of a nd hi s r esponsible t o the f irm, operation which is company, s ociety, a ssociation o r t rust as t he case m ay b e sh all a firm, company furnish a de claration s tating t he n ames o f t he pe rsons w ho a re etc. members of the Board of Directors or Governing Body thereof and such other particulars as may be prescribed. Offences and 15 (1) Any r egistered ope rator w ho und er S ection 10 know ingly imposition of furnishes false returns shall on conviction be punished- penalty (a) Where the Cess at tempted to the evaded by submission of
the false returns exceeds rupees two thousand, with simple imprisonment f or a t erm which s hall no t be l ess t han six months a nd w ith f ine w hich m ay e xtend t o rupees t wo thousand; and
(b) In a ny o ther c ase, w ith rig orous i mprisonment f or a te rm which shall not be l ess t han t hree months but w hich may extend t o o ne ye ar and w ith f ine which m ay e xtend to rupees one thousand.
(2) Any operator who knowingly keeps false copies of bill or cash memorandum a s r equired i n S ection 12 or o ther books a s requires un der S ection 13 s hall on c onviction be fore a magistrate be punished with rigorous imprisonment for a terms which s hall not be l ess t han t hree months b ut w hich may extend to one year and with f ine which may extend to rupees one thousand.
(3) Any ope rator w ho a ttempts i n a ny manner t o e vade pa yment the Cess shall on conviction be punished- (a) Where the amount involved exceeds rupees fifty thousand,
with rigorous imprisonment for a t erm which shall not be less than s ix months but which may extend to three years and w ith f ine w hich m ay e xtend t o r upees t wo t housand; and
(b) In a ny o ther c ase, w ith rig orous i mprisonment f or a te rm which s hall not be less t han t hree months but w hich may extend t o o ne ye ar and w ith f ine which m ay e xtend to rupees one thousand.
(4) Whoever c ontravenes t he pr ovisions of S ection 6 or f ails to comply with those of Section 8 or Section 10 to issue a bill or cash memorandum to any customer as required under Section 12, or whoever obstructs an officer from discharging his duties under t his A ct, s hall, on c onviction be puni shed w ith imprisonment f or a t erm which may e xtends to one ye ar or with or with both.
(5) Whoever aids or abets any person in the commission of an of fence under t his Act or rules f ramed t here unde r shall, on conviction, be pun ished w ith rigorous imprisonment which shall not be less than three months but which may extend to one year and with fine which may extend to rupees one thousand. Cognizance of 16 No C ourt s hall t ake c ognizance of a ny of fence unde r t his Offences Act, or und er t he r ules m ade t here unde r e xcept w ith the previous s anction of t he C ommissioner, a nd no C ourt inferior to that of a Magistrate of the first class shall try and such offence under this Act. Power to make Rules 17 (1) The S tate G overnment may, by notification i n t he Offence Gazette, make rules to carry out the purposes of this Act. (2) In pa rticular and without prejudice to t he generality of the foregoing provision, such rules may provide for a ll or any of the following matters, namely- (a) The manner of payment or refund of Cess; (b) The f orm i n w hich a ccounts a nd r egisters s hall be maintained by an operator; (c) The manner in which registration under Section 6 is to be made a nd t he forms o f t he l icence t o b e granted; (d) The form of returns to be submitted; (e) The manner of and period for payment of the Cess; and (f) Any other matter which is required to be prescribed for the purpose of this Act; Power to remove 18 Rules except rules made for the first t ime, shall be subject difficulties to the condition of previous publication for a period of not less than three weeks. Repeal 19 If a ny di fficulty a rise in gi ving e ffect t o a ny p rovision of
this A ct t he S tate G overnment may, b y g eneral o r sp ecial order, do a nything not inconsistent with such provision for the purpose of removing the difficulty. The Meg halaya ( Mobile P hone C onnection) C ess Ordinance, 2002 ( Ordinance N o. 3 of 2002) i s he reby repealed.