A Parent Act : PONDICHERRY GENERAL SALES TAX ACT 1967
Act No. 06 of 1967
2nd November, 1967
An act to levy general tax on sale or purchase of goods in the Union territory of Pondicherry, and to validate the levy and collection of such tax under certain Act of Pondicherry. BE it enacted by the Legislative Assembly of the Union territory of Pondicherry in the Eighteenth year of the Republic of India as follows:-
(1) This Act may be called the Pondicherry General Sales Tax Act, 1967.
(2) It extends to the whole of the Union territory of Pondicherry.
(3) It shall be deemed to have come into force on the 1st day of April, 1966.
In this Act, unless the context otherwise requires,-
Explanation (1).- A society (including a co-operative society), club or firm or an association which, whether or not in the course of business, buys or sells, 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 (2).- The Central Government or any State Government which, whether or not in the course of business, buy, sell, supply or distribute goods, directly or otherwise, 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(1).- Every transfer of property in goods by, the Central Government or any State Government for cash or for deferred payment or other valuable consideration, whether or not in the course of business, shall be deemed to be a sale for the purposes of this Act.
Explanation (2).- In the case of transfer of goods under a hire-purchase agreement or any other agreement providing for installment system of payments, the sale of the goods shall be deemed to have taken place at the time when the property therein passes under the agreement from one party to the other party.
Explanation (3) -(a) The sale or purchase of goods shall be deemed, for the purposes of this Act, to have taken place in the Union territory, wherever the contract of sale or purchase might have been made, if the goods arc within the Union territory-
(b) where there is a single contract of sale or purchase of goods situated at more places than one, the provisions of clause (a) shall apply as if there were separate contracts in respect of the goods at each of such places.
Explanation (4).- Notwithstanding anything to the contrary contained in this Act, two independent sales or purchases shall, for the purposes of this Act, be deemed to have taken place-
Explanation (1).- "Agricultural or horticultural produce" shall not include 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;
Explanation (2).- Subject to such conditions and restrictions, if any, as may be prescribed in this behalf-
(1) Every dealer (other than a casual trader or agent of a non-resident dealer) whose total turnover for a year is not less than fifteen thousand rupees and every casual trader or agent of a non-resident dealer, whatever be his turnover for the year, shall pay a tax for each year at the rate of two and one half per cent of his taxable turnover.
(2) Notwithstanding anything contained in subsection (1), in the case of goods mentioned in the First" Schedule, the tax under this Act shall be payable by a dealer, at the rate and only at the point specified therein on the turnover in each year relating to such goods whatever be the quantum of turnover in that year.
(3) Notwithstanding anything contained in subsection (1) or sub-section (2), the tax payable by a dealer in respect of any sale of goods mentioned in the First Schedule by such dealer to another for use by the latter as component part of any other goods mentioned in that Schedule which he intends to manufacture inside the Union territory for sale shall be at the rate of only one and one half per cent on the turnover relating to such sale:
Provided that the provisions of this sub-section shall not apply to any sale unless the dealer selling the goods furnishes to the assessing authority in the prescribed manner a declaration duly filled in and signed by the dealer to whom the goods arc sold containing the prescribed particulars in a prescribed form obtained from the prescribed authority
Explanation.- For the purposes of this sub-section, component part means an article which forms an identifiable constituent of the finished product and which along with others goes lo make up the finished product.
Notwithstanding anything contained in section 3, the tax under this Act shall be payable by a dealer on the sale or purchase inside the Union territory of declared goods at the rate and only at the point specified against each in the Second Schedule on the turnover m such goods in each year, whatever be the quantum of turnover in that year.
(1) Where a tax has been levied and collected under section 4 in respect of the sale or purchase of declared goods and such goods are sold in the course of inter-State trade or commerce, the tax so levied and collected shall be refunded to such person in such manner and subject to such conditions as may be prescribed,
(2) Where a tax at the point of last purchase in the Union territory has been levied and collected under this Act in respect of goods liable to tax at such point and where the said purchase ceases to be the last purchase in the Union territory by reason of a subsequent purchase of such goods by another dealer in tin Union territory, the tax so levied and collected shall be refunded to the dealer concerned in such manner and subject to such conditions as may be prescribed
Notwithstanding anything contained in sub-section (1) of section 3, every dealer registered under sub-section (3) of section 7 of the Central Sales Tax Act, 1956 (Central Act 74 of 1956), shall, whatever be the quantum of his turnover, pay tax for each year in respect of the sale of goods with reference to the purchase of which he has furnished a declaration under sub-section (4) of section 8 of the aforesaid Central Act, at the rate of two and one half per cent of his taxable turnover in the ease of goods liable to tax under sub-section (1) of section 3.
The provisions of this Act relating to taxation of successive sales or purchases inside the Union territory only at a single point or at one or more points shall apply only to sales or purchases inside the Union territory (other than sales or purchases hi the course of inter-State trade or commerce) and the tax under this Act shall be levied in addition to any tax levied under the Central Sales Tax Act, 1956(Central Act 74 of 19(sic)) or any other law for the time being in force.
(1) Notwithstanding anything contained in subsection (1), of section 3, every dealer whose total, turnover is not less than fifteen thousand rupees but not more than fifty thousand rupees, may at his option instead of paying the tax in accordance with the provisions of that sub-section pay tax at the following rates, namely :-
(2) Any dealer who estimates his total turnover for a year to be not more than fifty thousand rupees may apply to the assessing authority to be permitted to pay the tax under this section and on being so permitted he shall pay the tax due in advance during the year in monthly or prescribed instalments and for that purpose shall submit such returns in such manner as may be prescribed.
(3) The tax paid under sub-section (2) shall be subject to such adjustment as may be prescribed on the completion of final assessment in the, manner prescribed.
(1) Subject to such restrictions, and conditions as may be prescribed, a dealer who deals in the goods specified in the Third Schedule shall not be liable to pay any tax under this Act in respect of such goods.
(2) Notwithstanding anything contained in section 3, a dealer who deals in the goods mentioned at Serial No. 47 in the First Schedule shall not be liable to pay any tax under this Act in respect of any dealings in such goods during any period before the 9th, day of November, 1966.
Where in the case of any goods tax is livable at one point in a series of sales or purchases, such series shall-.
The burden of proving that any dealer of any of his transactions is not liable to tax under this Act shall lie on such dealer.
The tax under this Act, shall be assessed, levied and collected in such manner as may be prescribed.
(1) The assessment of a dealer shall be on the basis of the prescribed return relating to his turnover submitted in the prescribed manner within the prescribed period.
(2) If no return is submitted by the dealer under sub-section (1) within the prescribed period, or if the return, submitted by him appears to the assessing authority to be incomplete or incorrect, the assessing authority, shall, after making such enquiry as it may consider necessary assesses the dealer to the best of its judgment :
Provided that before taking action under this sub-section the dealer shall be given a reasonable opportunity of proving the correctness or completeness of any return submitted by him.
(3) which making any assessment under sub-section (2), 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 on the turn over that was not disclosed by the 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.
(1) The tax for each year payable under any of the provisions of this Act may be assessed, levied and collected in advance during the year in monthly of other prescribed installments, and for that purpose a dealer may be required to furnish within the prescribed period, such returns as may be prescribed. The assessing authority may determine the amount of tax payable in respect of any period and on such assessment the dealer shall pay the sum demanded within such time as may be fixed by such authority.
(2) If no return is submitted by the dealer under sub-section (I) within the prescribed period, or if the return submitted by him appears to the assessing authority to be incomplete or incorrect, the assessing authority may, after making such enquiry as it may consider necessary, assess the dealer to the best of its judgment:
provided that, before taking action under this subsection on the ground 'that the return submitted by the dealer is incomplete or incorrect, the dealer shall be given a reasonable opportunity of proving the correctness of completeness of the return submitted by him
(3) If the assessing authority has reason to believe that the provisional assessment made by it for any period was based on too low a turnover or was made at too low a rate 01 was based on too high a turnover or was made at too high a rate it may enhance of reduce, as the case may be, such provisional assessment.
Provided that before making an enhancement of the provisional assessment as aforesaid, the assessing authority shall except where such enhancement is based on the turnover finally determined for the preceding year, give a reasonable opportunity to the dealer to show cause against such enhancement and make such enquiry as it may consider necessary.
(4) The assessment, levy and collection of tax under this section shall be subject to such adjustment as may be prescribed on the completion of final assessment in the manner prescribed.
(5) Where a dealer has refunded the price of articles returned by customers together with the tax collected from such customers in respect of the sale of such articles and where the amount representing the price refunded by the dealer is included in his turnover, the dealer shall be entitled to claim deduction of the tax levied in respect of such sale within a period of six months from the date of sale by adjustment in the assessment and the final assessment shall be completed accordingly but such dealer shall not be entitled to claim any adjustment or refund of the tax in respect of the sale of such articles after the expiry of the said period of six months.
(1) A dealer who has been provisionally assessed to tax during the preceding year under section 14 shall, unless he is not liable to pay tax for the year, continue to pay for the year the tax so assessed in the preceding year in the prescribed manner until he-is again provisionally assessed to tax for the year under section 14.
(2) Any tax paid m accordance with the provisions, of sub-section (l) shall be, adjusted in the prescribed manner against the tax found due on the completion of provisional assessment for the year under section 14.
(1) Any dealer assessed under sub-section (2) of section 13 may, within a period of thirty days from the date of service of the assessment order, apply to the assessing authority for re-assessment, along with the correct and complete return as prescribed. On such application, the assessing authority shall, if it is satisfied that the failure to submit the return in time or the submission of the incorrect or incomplete return was due to reasons beyond the control of the applicant, cancel the assessment made and make a fresh assessment on the basis of the return submitted:
Provided that no application shall be entertained under this sub-section unless it is accompanied by satisfactory proof of the payment of tax admitted by the applicant to be due or any such installment thereof as might have become payable, as the case may be.
(2) If the amount of tax on the basis of the cancelled assessment has already been collected and if the amount of tax arrived at as a result of the fresh assessment is different from it, any amount overpaid by the dealer shall be refunded to him without interest or the further amount of tax, if any, due from him shall be collected in accordance with the provisions of this Act, as the case may be.
(3) Penalty, if any, imposed and collected under sub-section (3) of section 13, shall be refunded to the dealer without interest on cancellation of the order of original assessment.
Where a dealer dies, his executor, administrator, of 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 or fee assessed as payable by any such dealer or any tax or fee which would have been payable by him under this Act if he had not died, the executor, administrator or other legal representative shall be liable only to the extent of the assets of the deceased in his hands.
(1) Where, for any reason the whole or any part of turnover of business of a dealer has escaped assessment to tax, the assessing authority may, subject to the provisions of sub-section (3), at any time within a period of five years from the expiry of the year to which the tax relates, determine to the best of its judgment the turnover which has escaped assessment and assess the tax payable on such turnover after making such enquiry as it may consider necessary and after giving the dealer a reasonable opportunity to show cause against such assessment
(2) Where, for any reason, the whole or any part of the turnover of business of a dealer has been assessed at a rate lower than the rate at which it is assessable, the assessing authority may, at any time within a period of five years from the expiry of the year to which the tax relates, re-assess the tax due after making such enquiry as it may consider necessary and after giving the dealer a reasonable opportunity to show cause against such re-assessment.
(3) 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 assessable turnover by the dealer, direct the dealer 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 shall be imposed under this section unless the dealer affected has had a reasonable opportunity of showing cause against such imposition.
(4) The powers under sub-section (1) or subsection (2) may be exercised by the assessing authority even though the original order of assessment, if any, passed in the matter has been the subject matter of an appeal or revision.
(5) In computing the period of limitation for assessment or re-assessment under this section, the time during which the proceedings for assessment or re-assessment remained stayed under the orders of a civil court or other authority shall be excluded.
(1) The Government may, if it is satisfied that it is necessary so to do in the public interests, by notification, make an exemption or reduction in rate, in respect of any tax payable under this Act-
(2) Any exemption from tax, or reduction in the rate of tux notified under sub-section (1)-
(3) The Government may, by notification, cancel or vary any notification issued under sub-section (1).
If any restriction or condition notified under section 19 is contravened or is not observed by a dealer, the sales or purchases of such dealer may, with effect from the commencement of the year in which such contravention or non-observance took place, be assessed to tax or (axes under the appropriate provisions of this Act as if the provisions of the notification under section 19 did not apply to such sales or purchases.
(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 any 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 up to the date of retirement, though unassessed.
(1) Every dealer whose total turnover in any year is not less than ten thousand rupees shall, and any other dealer may, get himself registered under this Act.
(2) Notwithstanding anything contained in subsection (1)-
shall get himself registered under this Act irrespective of the quatum of his total turnover in such goods.
(3) The Government may, from time to time, by notification-
(4) Any exemption under clause (i), and any enhancement of the total turnover limit under clause (ii), of subsection (3)--
(5) The Government may, by notification, cancel or vary any notification issued under sub-section (3).
(6) Nothing contained in this section shall apply to any State Government or the Central Government,
(1) An application for registration shall be made to such authority, in such manner and within such period as may be prescribed, and shall be accompanied by a fee of ten rupees.
(2) If the prescribed authority is satisfied that the application is in order, it shall register the applicant and issue to him a certificate in the prescribed form specifying all his places of business.
(3) A certificate issued under sub-section (2) shall be valid for a year and shall be renewed from year to year on payment of the fee specified in sub-section (1).
(4) A registered dealer may apply to the prescribed authority for a copy or copies of the registration certificate along with a fee of five rupees for each copy, and if the prescribed authority is satisfied that the application is in order, it shall issue to the registered dealer a copy or copies of the registration certificate.
(5) If the prescribed authority is satisfied that a registration certificate or a copy thereof is lost or accidentally destroyed, it shall, on an application by the registered dealer accompanied by a fee of one rupee, issue to him a duplicate of the registration certificate.
(6) A registered dealer shall exhibit at each place of his business the registration certificate, or a duplicate or a copy thereof.
(7) A registered dealer shall be entitled to have his registration cancelled, if he is able to prove to the satisfaction of the prescribed authority that his turnover in each of the two consecutive years immediately preceding the application was less than ten thousand rupees.
(8) The prescribed authority shall have power for good and sufficient reasons-
(9) No application for registration or for a copy or duplicate of the certificate and no renewal under this section shall be refused and no order under sub-section (8) shall be made, unless the dealer concerned has been given an opportunity of being heard.
(10) A dealer shall, until his registration is cancelled, be liable to pay the fees specified in sub-section (1) for every year subsequent to that in which he applied for registration.
Provided that when a dealer has ceased to do business in any year, and gives notice of the same to the prescribed authority, he shall not be liable to pay any registration fee from the commencement of the following year unless he resumes business.
(1) Every registered dealer who transacts business at places other than his registered place or places of business 01 employs/a travelling salesman or representative to transact business as aforesaid shall obtain a permit issued under this Act authorizing himself 01, as the case may be, the travelling salesman on representative so to do.
(2) The entire turnover of business carried on under the permit shall be included and accounted for by the registered dealer in his account and returns and shall be dealt with as if it were the turnover of business done by the registered dealer himself at the registered place of business
(3) Every permit holder shall carry the permit on his person and shall produce it on demand by any officer empowered by the Government in this behalf. He shall maintain and produce on demand to any such officer a true and correct account of all the transactions carried on under the permit and also a stock book showing the quantities of goods entrusted to him by the registered dealer, the quantities disposed of from day to day by sale or otherwise and the balance on hand at the end of each day.
(4) An application for permit referred to in sub-section (1) shall be made to such authority, in such manner and within such period as may be prescribed and shall be accompanied by such fee not exceeding ten rupees as may be prescribed
Explanation.- A separate application with a separate fee shall be necessary for the registered dealer and for each travelling salesman or representative employed by him.
(5) If the prescribed authority is satisfied that the application is an order it shall issue the permit in the prescribed form.
(6) A permit issued under sub-section (5) shall be valid for a year and shall be renewed from year to year on receipt of an application from the registered, dealer accompanied by such fee not exceeding ten rupees as may be prescribed.
(7) If the prescribed authority is satisfied that the permit issued under sub-section (5) is lost or accidentally destroyed, it shall, on application by the registered dealer accompanied by a fee of one rupee, issue to him a duplicate of the permit.
(8) The prescribed authority shall cancel a permit-
(9) The prescribed authority may cancel a permit if the permit holder has contravened any, of the terms or conditions of the permit or any of the provisions of this Act or the rules made thereunder.
(10) No application for a permit or for a duplicate thereof shall be refused and no permit shall be cancelled under clause (b) of sub-section (8) unless the registered dealer has been given a reasonable opportunity of being heard and no permit shall be cancelled under sub section (9) unless the permit holder has been given a reasonable opportunity of being heard..
No person who is not a registered dealer shall collect any amount by way of tax under this Act; nor shall a registered dealer make any such collection except in accordance with such conditions and restrictions, if any, as may be prescribed.
If any person after purchasing any goods in respect of which he has made a declaration under the proviso to sub-section (3) of section 3 fails without reasonable excuse to make use of the goods for the declared purpose the assessing authority may after giving him a reasonable opportunity of being heard, by order in writing impose upon him by way of penalty a sum not exceeding one and half times the tax payable on the turnover relating to the sale of such goods at a rate which is equal to the rate prescribed in the First Schedule less the tax already paid on such turnover:
Provided that no prosecution for an offence under section 49 shall be instituted in respect of the same facts on which a penalty has been imposed under this section.
(1) The tax assessed under this Act shall be paid in such manner and in such installments, if any, and within such time as may be specified in the notice of assessment, not being less than twenty-one days from the date of service of the notice if default is made in paying according to the notice of assessment, the whole of the amount outstanding on date of default shall become immediately due and shall be a charge on the properties of the person or persons liable to pay the tax under this Act.
(2) Any tax assessed on, or any other amount due under this Act from, a dealer or person and any fee due from him under this Act, may without prejudice to any other mode of collection be recovered-
Provided that no proceedings for such recovery shall be taken or continued as long as he has, in regard to the payment of such tax, other amount or fee, as the case may be, complied with an order by any of the authorities to whom the dealer or person has appealed or applied for revision, under sections 34, 36, 39, 40, 41 or 42.
(3) If the tax assessed under this Act or any instalment thereof is not paid by any dealer or person within the time specified therefor in the notice of assessment or in the order permitting payment in instalment, the dealer or person shall pay by, way of penalty, in addition to the amount due a sum equal to-
Any penalty payable under this Act shall be deemed to be tax under this Act for the purposes of collection and recovery and shall be without prejudice to the institution of any proceeding for an offence under this Act, or for the, recovery of the entire amount remaining unpaid under this Act.
(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 dealer at his last address known to the assessing authority) require any person from whom money is due or may become due to the dealer or any person who holds or may subsequently hold money for or on account of the dealer to pay to the assessing authority, either forthwith upon the money becoming due or being held at or within the time specified m 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 dealer in respect of arrears of tax or fee or the whole of the money when it is equal to or less than the arrears of tax or fee.
(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 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 making any payment to the dealer after receipt of the notice referred to in this section shall be personally liable to the assessing authority to the extent of the payment made or to the extent of the liability of the 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 dealer, or that he does not hold any money for or on account of the dealer, then nothing contained in this section shall be deemed to require such person to pay the sum demanded 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 of 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 a dealer or money held for or on account of a dealer by any person shall be computed after taking into account such claims, if any, as may have fallen due for payment by such dealer to such person and as may be lawfully subsisting.
Where the ownership of the business of a dealer liable to pay tax or other amount is transferred, any tax or other amount payable under this Act in respect of such business and remaming unpaid at the time of the transfer and any tax or other amount due up to the date of transfer though unassessed, may, without prejudice to any action that may be taken for its recovery from the transferor, be recovered from the transferee as if he was the dealer liable to pay such tax or other amount:
Provided that the recovery from the transferee of the arrears of taxes due for the period prior to the date of the transfer shall be limited to the value of the assets he obtained by transfer.
The Government may appoint as many Deputy Commissioners of Sales Tax, Appellate Assistant Commissioners of Sales Tax and Commercial Tax Officers as may be necessary, for the purpose of performing the functions respectively conferred on them by or under this Act and such officers shall perform the said functions within such local limits as the Government or any authority or officer empowered by them in this behalf may assign to them.
For the purposes of recovery of any" amounts due under this Act, a Commercial Tax Officer shall have the powers of the Chief of the Contributions Department under the Arrete dated the 25th June, 1918 and he shall follow for recovering such amounts the procedure laid down in that Arrete.
(1) The Government shall appoint a Judical Officer who is otherwise qualified to be appointed as a Judge of the Tribunal Superieur d' Appel to be the Appellate Tribunal and to exercise the, functions conferred under the Act:
Provided that the Government may entrust the duties of the Appellate Tribunal to a sitting Judge of the Tribunal Superieur d' Appel.
(2) The Appellate Tribunal shall, with the previous sanction of the Government, make, by notification, regulations consistent with the provisions of this Act and the rules made thereunder for regulating the procedure and the disposal of its business
(1) Any person objecting to an order passed by the appropriate authority under section 5, section 13, section 16, section 17 sub-sections (1), (2) or (3) of section 18, section 20, section 26, section 30, sub-section (4) of section 45, or sub-section (3) of section 46, may, within a period of thirty days from the date on which the order was served on him in the manner prescribed, appeal against such order to the Appellate Assistant Commissioner having jurisdiction:
Provided that the Appellate Assistant Commissioner may admit an appeal presented after the expiration of the said period if he is satisfied that the appellant had sufficient cause for not presenting the appeal within the said period.
Provided further that in the case of an order under section 13, section 16, section 17, or sub-sections (1), (2) or (3) of section 18, no appeal shall be entertained under this sub-section unless it is accompanied by satisfactory proof of the payment of the tax admitted by the appellant" to be due or of such instalments thereof as might have become payable, as the case may be
(2) The appeal shall be in the prescribed form and shall be verified in the prescribed manner
(3) In disposing of an appeal, the Appellate Assistant Commissioner may, after giving the appellant a reasonable opportunity of being heard,
Provided that at the hearing of any appeal against an order of the assessing authority, the assessing authority shall have the right to be heard either in person or by a representative.
(4) Where as a result of the appeal any change becomes necessary in the order appealed against, the Appellate Assistant Commissioner may authorize the assessing authority to amend such order accordingly and on such amendment being made; any amount overpaid by the appellant shall be refunded to him without interest or the further amount of tax, if any, due from him shall be collected in accordance with the provisions of this Act, as the case may be.
(5) Notwithstanding that an appeal has been preferred under sub-section (1), the tax shall be paid in accordance with the order of assessment against which the appeal has been preferred:
Provided that the Appellate Assistant Commissioner may, in his discretion, give such direction as he thinks fit in regard to the payment of the tax before the disposal of the appeal, if the appellant furnishes sufficient security to his satisfaction, in such form and in such manner, as may be prescribed.
(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 5, section 13, section 16, section 17, or sub-sections (1), (2) or (3) of section 18 and may make such inquiry or cause such inquiry to be made and, subject to the provisions of this Act, may pass such order thereon as he thinks fit.
(2) The Deputy Commissioner shall not pass any order under sub-section (1), if-
(3) No order under this section adversely affecting a person shall be passed unless that person has had a reasonable opportunity of being heard.
(4) In computing the period referred to in clause (c) of sub-section (2) the time during which the proceedings before the Deputy Commissioner remained stayed under the orders of a Civil Court or other competent authority shall be excluded.
(1) Any person objecting to an order passed or proceeding recorded under this Act, for which an appeal has not been provided for in section 34 may, within a period of thirty days from the date on which a copy of the order or proceeding was served on him in the manner prescribed, file an application for revision of such order or proceeding to the Deputy Commissioner:
Provided that the Deputy Commissioner may admit an application for revision presented after the expiration of the said period, if he is satisfied that the applicant had sufficient cause for not presenting the, application within the said period.
(2) An application for revision shall be in the 'prescribed form and shall be verified in the prescribed manner.
(3) On admitting an application for revision, the Deputy Commissioner may call for and examine the record of the order of proceeding against which the application has been preferred and may make such inquiry or cause such inquiry to be made and, subject to the provisions of this Act, pass such order thereon as he thinks fit.
(4) Notwithstanding that an application has been preferred under sub-section (1), the tax, fee or other amount shall be paid in accordance with the order or proceeding against which the application has been preferred:
Provided that the Deputy Commissioner may, in his discretion, give such directions as he thinks fit, in regard to the payment of such tax, fee or other amount, if the applicant furnishes sufficient security to his satisfaction in such form and in such manner as may be prescribed.
(5) No order under this section, adversely affecting a person shall be passed unless that person has had a reasonable opportunity of being heard,
(1) The Secretary to Government, Finance Department Pondicherry, (hereafter in this Act referred to as the Secretary) may, of his own motion, call for and examine an order passed or proceeding recorded by the appropriate authority under section 5, section 13, section 16, section 17, or sub-section (1), (2) or (3) of section 18 or an order passed by the Appellate Assistant Commissioner under sub-section (3) of section 34 or by the Deputy Commissioner under sub-section (1) of section 35 and may make such inquiry or cause such inquiry to be made and subject to the provisions of this Act may pass such-order thereon as he thinks fit.
(2) The Secretary shall not pass any order under sub-section (1) if-
(3) No order under this section adversely affecting a person shall be passed unless that person has had a reasonable opportunity of being heard.
(4) In computing the period referred to in clause (c) of sub-section (2), the time during which the proceedings before the Secretary remained stayed under the orders of a Civil Court or other competent authority shall be excluded.
(1) The Secretary may, either on his motion or on application, for reasons to be recorded in writing, transfer an appeal pending before an Appellate-Assistant Commissioner to another Appellate Assistant Commissioner.
(2) The Secretary may when exercising the powers under sub-section (1), direct the stay of further proceedings before an Appellate Assistant Commissioner.
(3) No order under this section adversely affecting a person shall be passed unless that person has had a reasonable opportunity of being heard.
(1) Any person objecting to an order passed by the Deputy Commissioner under sub-section (3) of section 36, may within a period of thirty days from the date on which a copy of the order was served on him in the manner prescribed, file an application for revision of such order to the Secretary :
Provided that the Secretary may admit an application presented after the expiry of the said period if he is satisfied that the applicant had sufficient cause for not presenting the application within the said period.
(2) Such application for revision shall be in the prescribed form and shall be verified in the prescribed manner.
(3) On admitting an application for revision, the Secretary may call for and examine the record of the order against which the application has been preferred and may make such inquiry or cause such inquiry to be made and, subject to the provisions of, this Act, pass such order thereon as he thinks fit and such an order shall be final.
(4) Notwithstanding' that an application has been preferred under sub-section (1), the tax, fee or other amount shall be paid in accordance with the order against which the application has been preferred :
Provided that the Secretary may, in his discretion, give such directions as he thinks fit, in regard to the payment of such tax, fee or other amount, if the applicant furnishes sufficient security to his satisfaction in such manner as may be prescribed.
(5) No order under this section adversely affecting a person shall be passed unless that person has had a reasonable opportunity of being heard.
(1) Any parson objecting to an order passed by the Appellate Assistant Commissioner under sub-section (3) of section 34, or an order passed by the Deputy Commissioner under sub-section (1) of section 35 may, within a period of sixty days from the date on which the order was served on him in the manner prescribed, appeal against such order to the Appellate Tribunal:
Provided that the Appellate Tribunal may admit an appeal presented after the expiration of the said period if it is satisfied that the appellant had sufficient cause for not presenting the appeal within the said period.
(2) The appeal shall be in the prescribed form and shall be verified in the prescribed manner and shall be accompanied by such fee not exceeding one hundred rupees as may be prescribed.
(3) In disposing of an appeal, the Appellate Tribunal may, after giving the appellant a reasonable opportunity of being heard,
Provided that at the hearing of any appeal against an order of the Appellate Assistant Commissioner or the Deputy Commissioner, the assessing authority shall have the right to be heard either in person or by a representative:
Provided further 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.
(4) Where as a result of the appeal any change becomes necessary in the order appealed against, the Appellate Tribunal may authorise the assessing authority to amend such order accordingly and on such amendment being made any amount overpaid by the appellant shall be refunded to him without interest, or the further amount of tax, if any, due from him shall be collected in accordance with provisions of this Act, as the case may be.
(5) Notwithstanding that an appeal has been preferred under sub-section (1), the tax shall be paid in accordance with the order of assessment against which the appeal has been preferred :
Provided that the Appellate Tribunal may, in its discretion, give such directions as it thinks fit in regard to the payment of the tax before the disposal of the appeal, if the appellant furnishes sufficient security to its satisfaction, in such form and in such manner as may be prescribed.
(6) (a) The appellant or the respondent may apply for review of any order passed by the Appellate Tribunal under sub-section (3) on the basis of the discovery of new and important facts which after the exercise of due diligence were not within his knowledge or could not be produced by him when the order was made :
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 and within one year from the date on which a copy of the order to which the application relates was served on the applicant in the manner prescribed and where the application is preferred by any party other than a departmental authority it shall be accompanied by such fee not exceeding one hundred rupees as may be prescribed.
(7) Except as provided in the rules made under this Act, the Appellate Tribunal shall not have power to award costs to either of the parties to the appeal or review.
(8) Every order passed by the Appellate Tribunal under sub-section (3) or (6) shall be communicated in the manner prescribed to the appellant, the respondent, the authority from whose order the appeal was preferred, the Deputy Commissioner, if he is not such authority, and the Secretary.
(9) Every order passed by the Appellate Tribunal under sub-section (3) shall subject to the provisions of sub-section (6) and section 42, be final.
(1) Any person objecting to an order passed by the Secretary under section 37 may," within a period of sixty days from the date on which the order was served on him in the manner prescribed, appeal against such order to the High Court.
(2) The appeal shall be in the prescribed form and shall be verified in the prescribed manner.
(3) In disposing of an appeal, the High-Court may, after giving the appellant a reasonable opportunity of being heard,
Provided that at the hearing of any appeal the assessing authority shall have the right to be heard either in person or by a representative.
(4) Where as a result of the appeal any change becomes necessary in the order appealed against, the High Court may authorise the assessing authority to amend such order accordingly and on such amendment being made, any amount overpaid by the appellant shall be refunded to him without interest, or the further amount of tax, if any, due from him shall be collected in accordance with the provisions of this Act, as the case may be.
(5) Every order passed in appeal under this section shall be final.
(6) Notwithstanding that an appeal has been preferred under sub-section, (1), the tax shall be paid in accordance with the order of assessment against which the appeal has been preferred :
Provided that the High Court may, in its discretion, give such directions as it thinks fit in regard to the payment of the tax before the disposal of the appeal, if the appellant furnishes sufficient security to its satisfaction, in such form and in such manner as may be prescribed.
(7) (a) The appellant or respondent may apply for review of any order passed by the High Court under sub' section (3) on the basis of the discovery of new and important facts which after the exercise of due diligence "were not within his knowledge or could not be produced by him when the order was made.
(b) The application for review shall be preferred within such time and in such manner as may be prescribed, and shall, where it is preferred by the assessee, be accompanied by a fee of one hundred rupees.
(1) Within ninety days from" the date on which a copy of the order under sub-section (3) of section 40 is served in the manner prescribed, any person who objects to such order or the Deputy Commissioner may prefer a petition to the High Court on the ground that the Appellate Tribunal has either decided erroneously or failed to decide any question of law :
Provided that the High Court may admit a petition preferred after the period of ninety days aforesaid if it is satisfied that the petitioner had sufficient cause for not preferring the petition within the said period.
(2) The petition shall be in the prescribed form, shall be verified in the prescribed manner, and shall, where it is preferred by any party other than the Deputy Commissioner 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 had a reasonable opportunity of being heard.
(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 of law raised and either reverse, affirm or amend the order against which the petition was preferred or remit the matter to the Appellate Tribunal, with the opinion of the High Court on the question of law raised or pass such order in relation to the matter as the High Court thinks fit.
(b) Where the High Court remits the matter under clause (a) with its opinion on the question of law raised, the Appellate Tribunal 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 it necessary so to do, remit the petition to the Appellate Tribunal, and direct it to return the petition with its finding on any specific question or issue.
(6) Notwithstanding that a petition has been preferred under sub-section (1), the tax shall be paid in accordance with the order against which the revision has been preferred :
Provided that the High Court may, in its discretion, give such direction as it thinks fit in regard to the payment of the tax before the disposal of the petitions, if the petitioner furnishes sufficient security to its satisfaction, in such form and in such manner as may be prescribed.
(7) If as a result of the petition any change becomes necessary in such assessment, the High Court may direct the assessing authority to amend the assessment accordingly, and on such amendment being made, any amount overpaid by the assesses shall be refunded to him without interest, or the further amount of tax due from him shall be collected in accordance with the provisions of this Act, as the case may be.
(8) (a) The petitioner or the respondent may apply for review of any order passed by the High Court under clause (a) of sub-section (4) on the basis, of the discovery of new and important facts which after the exercise of due diligence were not within his knowledge or could not be produced by him when the order was made
(b) The application for review shall be preferred within such time, and in such manner as may be prescribed, and shall where it is preferred by any party other than the Deputy Commissioner be accompanied by a fee of one Hundred rupees.
(9) In respect of every petition or application preferred under sub-section (1), or clause (a) of sub-section (8), the costs shall be in the discretion of the High Court.
(1) Every appeal preferred to the High Court under section 41 and every petition under section 42 shall be heard by a Bench of not less than two judges.
(2) Where an appeal is heard by a Bench of two or more judges, the appeal shall be decided in accordance with the opinion of such judges or of the majority (if any) of such judges.
(3) Where there is no such majority which concurs in a judgment, varying or reversing the order appealed from, such order shall be confirmed:
Provided that where the Bench hearing the appeal is composed of two judges arid judges composing the Bench differ in opinion on a point of law, they may state the point of law upon which they differ and the appeal shall then be heard upon that point only by one or more other judges of the High Court and such point shall be decided according to the opinion of the majority, if any, of the judges who have heard the appeal, including those who first heard it.
Every person registered under this Act, every dealer liable to get himself registered under this Act, and every other dealer who is required so to do by the prescribed authority by notice served in the prescribed manner shall keep and maintain in relation to his business true and correct accounts and such other record as may be prescribed in any of the languages specified in the Eighth Schedule to the Constitution, or in English, showing such particulars as may be prescribed; and different particulars may be prescribed for different classes of dealers.
(1) Any officer empowered by the Government in this behalf may, for the purposes of this Act require any dealer to produce before him the accounts, registers, records and other documents and to furnish any other information relating to his business.
(2) All accounts, registers, records and other documents maintained by a dealer in the course of his business, the goods in his possession and his offices, shops, godowns, vessels or vehicles shall be open to inspection at all reasonable times by such officer :
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 maybe, be made in accordance with the provisions of the Code of Criminal Procedure 1898 (Central Act of 1898).
(3) If any such officer has reason to suspect that any dealer is attempting to evade the payment of any tax, fee or other amount due from him under this Act, he may, ' for reasons to be recorded in writing, seize such accounts, registers, records 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 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 such accounts, registers and documents shall not be retained for more than thirty days at a time except with the permission of the next higher authority.
(4) Any such officer shall have power to seize and confiscate any goods which are found in any office, shop, godown, vessel, vehicle, or any other place of business or any building or place of the dealer, but not accounted for by the dealer in his accounts, registers, records and other documents, maintained in the course of his business :
Provided that before ordering the confiscation of goods under this sub-section, the officer shall give the person affected an opportunity of being heard and make an inquiry in the prescribed manner:
Provided further that the officer ordering the confiscation shall give the person affected option to pay in lieu of confiscation-.
Explanation.- It shall be open to the Government to empower different classes of officers for the purpose of taking action under subsections (1), (2), and (3).
(1) If the Government consider that with a view to prevent or check evasion of tax under this Act, in any place or places in the Union territory, it is necessary so to does they may, by notification, direct the setting up of a check-post or the erection of a barrier or both, at such place or places as may be notified.
(2) At every check-post or barrier mentioned in subs section (1), or at any other place when so required by any officer empowered by the Government in this behalf, the driver or any other person in charge of any vehicle or boat shall stop the vehicle or boat, as the case may be and keep it stationary as long as may, reasonably be necessary, and allow the officer-in-change of the check-post or barrier, or the officer empowered as aforesaid, to examine the contents in the vehicle or boat and inspect all records relating to the goods carried, which are in the possession of such driver, or other person in charge, who shall, if so required, give his name and address and the name and address of the owner of the vehicle or boat as well as those of the consignor and the consignee of the goods.
(3) The" officer-in-charge of the check-post or barrier, or the officer empowered as aforesaid shall have power to seize and confiscate any goods which are under transport by any vehicle or boat and are not covered by,
Provided that before ordering confiscation the officer shall give the person affected an opportunity of being heard and make an inquiry in the prescribed manner :
Provided further that the officer ordering the confiscation shall give the person affected option to pay in lieu of confiscation-
The owner or other person in charge of a boat shall carry with him-
The owner of other person in charge of it goods vehicle shall carry with him -
relating to the goods under transport and containing such particulars as may be prescribed and shall submit to the Commercial Tax Officer, having jurisdiction over the area in which the goods are delivered, the documents aforesaid or copies thereof within such time as may be prescribed
(1) Any person who-
shall, on conviction by a Magistrate, not below the rank of a Second-Class Magistrate, be liable to fine which may extend to two hundred rupees.
(2) Any person who-
shall, on conviction by a Magistrate of the First-class, be liable to a fine which may extend to one thousand rupees and in the event of a second 01 subsequent conviction, to simple imprisonment which may extend to six months or a fine which may extend to two thousand rupees or both.
(3) Any person who-
shall, on conviction, be liable to simple imprisonment which may extend to six months or a fine which may extend to two thousand rupees or both.
(1) The prescribed authority may, whether on application made to it in this behalf or otherwise, give any person who has committed or is reasonably suspected of, having committed an offence under this Act, option to pay within a specified period by way of composition of such offence -
(2) On payment of such sum of money and the tax, if any, recoverable under this Act, no prosecution for an offence under this Act shall be instituted in respect of the same facts on which a composition has been allowed under this section.
(3) Where the prescribed authority, on application made under sub-section (1), passes an order refusing to allow composition under this section, it shall record in writing the reasons therefor and furnish to the applicant on, request a brief statement of the same unless in any case the prescribed authority is of the opinion that it will not be in the public interest to furnish such statement.
No prosecution for any offence under sub-section (3) of section 49 shall be instituted except with the written consent of the Deputy Commissioner.
(1) The order of assessment made under this Act shall be conclusive evidence in any prosecution or other proceeding.
(2) 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 of levied shall not be questioned in any criminal court in any prosecution or other proceeding, Whether under this Act or otherwise,
(1) No suit, prosecution or other proceeding shall he against any officer or servant of the Government for any act done or purporting to be done under this Act, Without the previous sanction of the Government.
(2) No officer or servant of the 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 functions imposed by or under this Act.
No suit shall be instituted against the Government and no suit, prosecution or other proceeding shall be instituted against any officer or servant of the Government in respect of any act done or purporting to be done under this Act, unless the suit, prosecution or other proceeding' is instituted within six months from the date of the act complained of.
No suit or other proceedings shall, except as expressly provided by or under this Act, be instituted in any court to set aside of modify any assessment made under this Act.
Any person who is entitled to appear before any authority other than the High Court in connection with any proceedings under this Act may be represented before such authority-
(1) The Government may make rules to carry out the purposes of this Act
(2) In particular and without prejudice to the generality of the foregoing power, such rules may provide for-
(3) (a) 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 be punishable with fine which may extend to one thousand rupees and, where the breach is a continuing one, with further fine which may extend to fifty rupees for every day after the first during which the breach continues,
(b) No court inferior to that of a Magistrate of the Second-class shall inquire into or try any offence consisting of a breach of a rule.
(4) (a) All rules made under this Act shall be published in the Official Gazette and, unless they are expressed to come into force on a particular day, shall come into force on the day on which they are so published.
(b) All notifications issued under this Act shall be published in the Official Gazette and, unless they are expressed to come into, force on a particular day, shall come into force on the day on which they are so published.
(5) Any rule made or any notification issued under this Act may be made or issued so as to be retrospective to any date not earlier than the commencement of this Act.
(6) Every rule made or notification issued under this Act shall, as soon as may be after it is made or issued be laid before the Legislative Assembly, Pondicherry, while it is in session for a total period of fourteen days, which may be comprised in one session or in two or more successive sessions, and, if before the expiry of the session in which it is so laid or the successive sessions aforesaid, the Legislative Assembly makes any modification in the rule or notification or decides that any such rule or notification should not be made or issued, that 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.
An, assessing authority or an appellate or revising authority (including the Appellate Tribunal; or any officer of the Sales Tax Department not lower in rank than an Assistant Commercial Tax Officer shall, for the purposes of this Act, have all the powers conferred on a Court under the law relating to civil procedure for the time being in force, for the purpose of-
(1) An assessing authority or an appellate or revising authority (including the Appellate Tribunal may, at any time within three years, from the date of any order passed by it, rectify any error apparent on the face of the record:
Provided that no such rectification which has the effect of enhancing an assessment or any penalty shall be made unless such authority has given notice to the dealer and has allowed him a reasonable opportunity of being heard.
(2) Where such rectification has the effect of reducing an assessment or penalty, the assessing authority shall make any refund which may be due to the dealer.
(3) Where any such rectification has the effect of enhancing an assessment or penalty, the assessing authority shall give the dealer a revised notice of assessment or penalty and thereupon the provisions of this Act, and the rules made thereunder shall apply as if such notice had been given in the first instance.
(1) If any difficulty arises in giving effect to the' provisions of this Act, the Government may, by general or special order, do anything not inconsistent with such provisions which appears to the Government to be necessary for the purpose of removing the difficulty:
Provided that no such order shall be made under this section after the expiration of two years from the publication of this Act in the Official Gazette.
(2) Every order made under this section shall, as soon as may be after it is made, be laid before the Legislative Assembly of Pondicherry and the provisions of subsections (4) and (6) of section 57 shall apply in respect of such order as they apply in respect of a notification issued under this Act.
(1) All particulars contained in any statement made, return furnished or accounts, registers, records or documents produced under the provisions, of this Act or in any evidence given or affidavit or deposition made, in the course of any proceeding under this Act or in any record of any proceeding relating to the recovery of a demand, prepared for the purposes of this Act shall be treated as confidential and shall not be disclosed.
(2) Nothing contained in sub-section (1) shall apply to the disclosure of any such particulars-
Provided that such particulars shall be furnished under this clause only in exceptional cases and any officer obtaining such particulars shall keep them as confidential and use them as confidential and use them only in the lawful exercise of the powers conferred by or under any enactment:
(3) Nothing contained in this section shall prevent the publication of the final assessment of any party in the prescribed manner.
(1) The Government may, by notification, alter add to, or cancel any of the Schedules.
(2) Where a notification has been issued under sub-section (1),- there shall, unless the notification is, in the meantime rescinded, be introduced in the Legislative Assembly of Pondicherry, as soon as may be, but in any case during the next session of the Legislative Assembly following the date of the issue of the notification, a Bill on behalf of the Government to give effect to the alteration, addition or cancellation, as the case may be, of the Schedules specified in the notification and the notification shall cease to have effect,-
Provided that if the notification under sub-section (J) is issued when the Legislative Assembly is in session every endeavour shall be made to introduce such a Bill in the Legislative Assembly during that session :
Provided further that where for any reason a Bill as aforesaid does not become law within six months from the date of its introduction in the Legislative Assembly, the notification shall cease to have effect on the expiration of the said period of six months except as respect's things done or omitted to be done before the notification so ceases to have effect.
(3) All references made in this Act to any of the Schedules shall be construed as relating to the Schedules for the time being amended in exercise of the powers conferred by this section.
Notwithstanding anything contained in this Act the sale or purchase of such of those goods -
shall be deemed to be the first sale or purchase for the purposes of this Act although any sale or purchase of such goods has taken place within the Union territory before such commencement.
(1) The Deliberation of the erstwhile Representative Assembly dated the 25th April, 1953 as amended by the subsequent Deliberation dated the 23rd October, 1953 providing for the levy of a tax on transactions in Pondicherry is hereby repealed :
Provided that such repeal shall not affect the previous operation of the said Deliberation or any right, title, obligation or liability already acquired, accrued or incurred thereunder and all arrears of tax and other amounts due at the commencement of this Act may be recovered as if they had accrued under this Act.
(2) Notwithstanding anything contained in subsection (1), any application, appeal, revision or other proceedings made or preferred to any officer or authority under the said Deliberation and pending at the commencement of this Act, shall, after such commencement, be transferred to and disposed of by the officer or authority who would have had jurisdiction to entertain such application, appeal, revision or other proceeding under this Act if it had been in force on the date on which such application, appeal, revision or other proceeding was made or preferred.
Notwithstanding the retrospective operation of-
no person shall be convicted of any offence for the contravention of, or failure to comply with, any provisions of this Act or, as the case may be, of any such rule or notification, if such contravention or failure occurred before the publication of this Act or, as the case may be, the publication of such rule or notification in the Official Gazette,
(1) Notwithstanding anything contained in any judgment, decree or order of any court, -
and accordingly,-
(2) For the removal of doubt, it is hereby declared that nothing in sub-section (1) shall be construed as preventing any person, -