THE UTTAR PRADESH VALUE ADDED TAX ACT, 2008
AS AMENDED
BY
· Act no. 19 of 2010 (dt. 20-08-2010)
· Notification No 1335 dt 10-09-2010
· Notification No 421 dt 31-03-2011
· Notification No 930 dt 01-09-2011
· Notification No 385 dt 19-05-2012
· Notification No 564 dt 30-06-2012
· Notification No 869 dt 30-08-2012
· Notification No 899 dt 07-09-2012
· Notification No 1070 dt 10-10-2012
· Notification No 546 dt 29-04-2013
· Notification No 603 dt 13-05-2013
· Notification No 606 dt 22-05-2013
· Notification No 729 dt 13-06-2013
· Notification No 730 dt 13-06-2013
· Notification No 857 dt 08-07-2013
· Notification No 1039 dt 26-09-2013
· Notification No 1542 dt 21-11-2013
· Notification No 1690 dt 24-12-2013
· Notification No 1730 dt 30-12-2013
· Notification No 42 dt 10-01-2014
· Notification No 611 dt 11-06-2014
· Noti_no_683 dt 10/07/2014
· Noti_no_1109 dt 04/09/2014
· Noti_no_1270 dt 26/09/2014
· Noti_no_1574 dt 20/11/2014
· Noti_no_1795 dt 19/12/2014
· Noti_no_1796 dt 19/12/2014
· Noti_no_1797 dt 19/12/2014
· Noti_no_136 dt 28/01/2015
· Noti_no_221 dt 13/02/2015
· Noti_no_222 dt 13/02/2015
· Noti_no_292 dt 12/03/2015
***
2
THE UTTAR PRADESH VALUE ADDED TAX Act 2008
(UP Act no.5of 2008)
CHAPTER I
Preliminary
1. (1) This Act may be called the Uttar Pradesh Value Added Tax Act, 2008.
(2) It extends to the whole of Uttar Pradesh.
(3) It shall be deemed to have come into force on January 1, 2008
2. In this Act, unless there is anything repugnant in the subject or context;
(a) "appellate authority" means the authority to whom an appeal lies under section
55;
(b) "assessing authority" means any person -
(i) appointed and posted by the State Government; or
(ii) appointed by the State Government and posted by the Commissioner; or
(iii) appointed and posted by the Commissioner,
and empowered under rules framed under this Act to perform all or any of
the functions of the assessing authority under this Act.
(c) "assessment year" means the period of twelve months commencing on the first
day of April of a calendar year;
(d) "board" means the Uttar Pradesh State Tax Board established under section
78.
(e) "business" in relation to business of buying or selling goods includes-
(i) any trade, commerce or manufacture or any adventure or concern in
the nature of trade, commerce or manufacture, whether or not such
trade, commerce, manufacture, adventure or concern is carried on
with a motive to make profit and whether or not any profit accrues
from such trade, commerce, manufacture, adventure or concern;
(ii) the execution of any works contract or the transfer of the right to use
any goods for any purpose (whether or not for a specified period);
(iii) any transaction of buying, selling or supplying plant, machinery, raw
materials, processing materials, packing materials, empties,
consumable stores, waste or by-products, or any other goods of a
similar nature or any unserviceable or obsolete or discarded
machinery or any parts or accessories thereof or any waste or scrap or
any of them or any other transaction whatsoever, which is ancillary to
or is connected with or is incidental to, or results from such trade,
commerce, manufacture, adventure or concern, works contract or
lease,
(iv)
any transaction, even after the closure of business, if it relates to sale of goods acquired during the
period in which business was carried out. *
*
Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
Short title, extent
and
commencement
Definitions
3
but does not include any activity in the nature of mere service or profession
which does not involve the purchase or sale of goods.
(f) “capital goods” means any plant, machine, machinery, equipment, apparatus, tool,
appliance or electrical installation used for manufacture or processing of any
goods for sale by the dealer and includes:-
(i) components, spare parts and accessories of such plant, machine,
machinery, equipment, apparatus, tool, appliance or electrical
installation;
(ii) moulds and dies;
(iii) storage tank;
(iv) pollution control equipment;
(v) refractory and refractory materials;
(vi) tubes and pipes and fittings thereof,
(vii) lab equipments, instruments and accessories,
(viii) machinery, loader, equipment for lifting or moving goods
within factory premises, or
(ix) generator and boiler
used in manufacture of goods for sale by him but for the purpose of section
13, does not include:-
(i) air-conditioning units or air conditioners, refrigerators, air coolers,
fans, and air circulators if not connected with manufacturing process;
(ii) an automobile including commercial vehicles, and two or three
wheelers, and parts, components and accessories for repair and
maintenance thereof;
(iii) goods purchased and accounted for in business but utilised for the
purpose of providing facility to the employees.
(iv) vehicle used for transporting goods or passengers or both;
(v)capital goods used in the execution of a works contract; and
(vi) deleted w.e.f. 16.07.2008
(g) "Commissioner" means the person appointed by the State Government as the
Commissioner of Commercial Taxes and includes a Special Commissioner of
Commercial Taxes, an Additional Commissioner of Commercial Taxes and a
Joint Commissioner of Commercial Taxes.
(h) "dealer" means any person who carries on in Uttar Pradesh (whether regularly
or otherwise) the business of buying, selling, supplying or distributing goods
directly or indirectly, for cash or deferred payment or for commission,
remuneration or other valuable consideration and includes, -
(i) a local authority, body corporate, company, any co-operative society
or other society, club, firm, Hindu undivided family or other
association of persons which carries on such business;
(ii) a factor, broker, arhati, commission agent, del credere agent, or any
other mercantile agent, by whatever name called, and whether of
the same description as hereinbefore mentioned or not, who
carries on the business of buying, selling, supplying or
distributing goods belonging to any principal, whether disclosed
or not;
(iii) an auctioneer who carries on the business of selling or
auctioning goods belonging to any principal, whether disclosed
or not, and whether the offer of the intending purchaser is
accepted by him or by the principal or nominee of the principal;
(iv) a Government which, whether in the course of business or
otherwise, buys, sells, supplies or distributes goods, directly or
otherwise, for cash or for deferred payment or for commission,
remuneration or other valuable consideration;
(v) any person who acts within the State as an agent of a dealer residing
outside the State, and buys, sells, supplies or distributes goods in
the State or acts on behalf of such dealer as-
4
(A) a mercantile agent as defined in Sale of Goods Act, 1930; or
(B) an agent for handling of goods or documents of title relating
to goods; or
(C) an agent for the collection or the payment of the sale price of
goods or as a guarantor for such collection or such payment;
(vi) a firm or a company or other body corporate, the principal office or
head quarter whereof is situated outside the State, having a branch
or office in the State, in respect of purchases or sales, supplies or
distribution of goods through such branch or office;
(vii) any person who carries on the business of transfer of property in
goods (whether as goods or in some other form) involved in the
execution of a works contract;
(viii) any person who carries on the business of transfer of the right to
use any goods for any purpose (whether or not for a specified
period) for cash or for deferred payment or other valuable
consideration;
(ix)
a railway container contractor, an air cargo operator, a courier service provider, who fails to
disclose the name and complete address of consigner or consignee or if discloses such name or
address of consigner or consignee is found bogus, forged or not verifiable; or the owner or
person in-charge of a vehicle who obtained authorization for transit of goods from the officer
in charge of entry check post but failed to deliver the same to the officer in -charge of the exit
check post or fails to carry such documents as provided under section 52 and follow such
procedure as prescribed; *
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
(x) an owner or person in-charge of a go down, cold storage or
warehouse who stores commercial goods, other than those of
transporters except those referred to in sub-clause (ix);
Provided that a person who, not being a body corporate, sells
agricultural or horticultural produce grown by himself or grown on any
land in which he has an interest, whether as owner, usufructuary
mortgagee, tenant, lessee or otherwise, or who sells poultry or dairy
products from fowls or animals kept by him shall not, in respect of such
goods, be treated as a dealer;
(i) "declared goods" means goods declared under section 14 of the Central Sales
Tax Act, 1956, to be of special importance in the inter-State trade or
commerce;
(j) "document" means any matter expressed or described upon any substance by
means of letters, figures or marks, or by more than one of those means,
intended to be used, or which may be used for the purpose of recording that
matter and includes-
(i)an electronic document including data, record or data generated,
image or sound stored, received or sent in an electronic form or micro
film or computer generated micro fiche; and
(ii)such other document as may be notified by the State Government.
(k) "erstwhile Act" means the Uttar Pradesh Trade Tax Act, 1948 (U.P. Act No. 15
of 1948)
(l) “exempt goods” means any of the goods mentioned or described in column 2 of
the Schedule-I;
(m) "goods" means every kind or class of movable property and includes all
materials, commodities and articles involved in the execution of a works
contract, and growing crops, grass, trees and things attached to, or fastened to
anything permanently attached to the earth which, under the contract of sale,
are agreed to be severed, but does not include actionable claims, stocks,
shares or securities;
(n) “import” In relation to any goods, means to bring or receive any goods at any
place within the State from any place situated outside the State where journey
5
of such goods originates from such place outside the State and terminates at
any place within the State;
(o) “importer” means a dealer who brings or receives any goods into the State
from any place outside the State and includes a dealer –
(i)who makes first sale of any goods brought or received into the State
from any place outside the State; or
(ii)who receives any goods into the State on behalf of any other person
from any place outside the State; or
(iii)on whose behalf any goods are received into the State from any
place outside the State by any other person;
(p) "input tax" in relation to a registered dealer who has purchased any goods from
within the State, means the aggregate of the amounts of tax, -
(i) paid or payable by such registered dealer to the registered selling dealer
of such goods in respect of purchase of such goods; and
(ii) paid directly to the State Government by the purchasing dealer himself
in respect of purchase of such goods where such purchasing dealer is
liable to pay tax under this Act on the turnover of purchase of such
goods
Provided that tax paid or payable in respect of transfer of right to
use any goods shall not form part of the input tax
(q) "lease" means any agreement or arrangement whereby the right to use any
goods for any purpose is transferred by one person to another (whether or
not for a specified period) for cash, deferred payment or other valuable
consideration without the transfer of ownership and includes a sub-lease
but does not include any transfer on hire purchase or any system of
payment by installments;
(r) "lessee" means any person to whom the right to use goods for any purpose is
transferred under a lease;
(s) "lessor" means any person by whom the right to use any goods for any purpose
is transferred under a lease;
(t) "manufacture" means producing, making, mining, collecting, extracting, mixing,
blending, altering, ornamenting, finishing, or otherwise processing, treating
or adapting any goods; but does not include such manufacture or
manufacturing processes as may be prescribed;
(u) “manufacturer” in relation to any goods mentioned or described in column 2 of
Schedule IV, means a dealer who, by application of any process of
manufacture, after manufacture of a new commercial commodity inside the
State, makes first sale of such new commercial commodity within the State,
whether directly or otherwise; and includes a selling agent who makes sale
of such new commodity on behalf of the person who has manufactured it;
(v) “non-vat goods” means any of the goods mentioned or described in column 2
of Schedule-IV;
(w) "officer-in-charge of a check-post or barrier" includes an officer not below the
rank of assessing authority posted at a check post or barrier,
(x) "place of business" means any place where a dealer carries on business and
includes-
(i) any shop, ware-house, godown or other place where a dealer stores
his goods;
(ii) any place where a dealer produces or manufactures goods;
(iii) any place where a dealer keeps his books of accounts and documents;
(iv) any place where a dealer executes the works contract or where the
right to use goods is exercised;
(v) in a case of a dealer who carries on business through an agent (by
whatever name called), the place of business of such agent;
(y) "purchase price" means the amount payable by a purchaser to a seller as
consideration for the purchase of any goods made by or through him after
deducting the amount, if any refunded to the purchaser by the seller in respect
of any goods returned to such seller within such period as may be prescribed.
Explanation: Purchase price does not include
6
(i) the amount representing the cost of outward freight or cost of
installation, charged by the seller from the purchaser of goods if such
amount has been shown separately on sale invoice or tax invoice
issued by the seller;
(ii) amount of tax if such amount is shown separately on the sale invoice
or tax invoice.
(z) "registered dealer" means a dealer registered under section 17 or section 18;
(aa) "registering authority" means the officer empowered under the rules framed
under this Act to deal with issue, suspension, cancellation of registration
certificate or any other matter related to registration under this Act and includes
an assessing authority;
(ab) "re-sale" means a sale by any person, of any goods in the same form and
condition in which such goods were purchased by such person;
(ac) "sale" with its grammatical variations and cognate expressions, means any
transfer of property in goods (otherwise than by way of a mortgage,
hypothecation, charge or pledge) by one person to another, for cash or for
deferred payment or for any other valuable consideration and includes, -
(i) a transfer, otherwise than in pursuance of a contract of property in any
goods for cash, deferred payment or other valuable consideration;
(ii) a transfer of property in goods (whether as goods or in some other
form) involved in the execution of a works contract;
(iii) the delivery of goods on hire purchase or any other system of payment
by installments;
(iv) a transfer of the right to use any goods for any purpose (whether or not
for a specified period) for cash, deferred payment or other valuable
consideration;
(v) the supply of goods by an association or body of persons (whether
incorporated or not) to a member thereof for cash, deferred payment or
other valuable consideration;
(vi) the supply, by way of or as part of any service or in any other manner
whatsoever of goods, being food or any other article for human
consumption or any drink (whether or not intoxicating) where such
supply or service is for cash, deferred payment or other valuable
consideration
and such delivery, transfer or supply of any goods under sub-clause (i) to
sub-clause (vi) above shall be deemed to be sale of those goods by the
person making the delivery, transfer or supply and a purchase of those
goods by the person to whom such delivery, transfer or supply is made.
(ad) "sale price" means the amount payable to a dealer as consideration for the
sale of any goods, less any sum allowed as cash discount according to the
practice normally prevailing in the trade, but inclusive of any sum charged
for anything done by the dealer in respect of goods at the time of or before
the delivery of such goods, other than cost of outward freight or delivery or
cost of installation in cases where such cost is separately charged;
Explanation:
(i) In a case in which any amount of any duty payable by a dealer is
deferred for a period or in a case in which point of payment of any
duty is shifted, amount of such duty shall be deemed part of the sale
price;
(ii) The price of packing material in which any goods are packed shall be
deemed part of sale price of goods sold.
(iii) Sale price of goods in relation to transfer of property in goods
(whether as goods or in some other form) involved in the execution
of a works contract, shall be determined after deducting the aggregate
of actual amount incurred towards labour and services, amount of
profit relating to supply of labour and services and such other
amounts as may be prescribed from the total amount received or
receivable in respect of such works contract;
(iv) In respect of transfer of right to use goods, any goods for any purpose
(whether or not for a specified period) sale price means the valuable
7
consideration received or receivable in respect of such transfer of
right to use goods but does not include any sum payable as a penalty
or as compensation or damages for breach of contract
(v) Tax charged or chargeable shall not form the part of the sale price;
(vi) Cash or trade discount at the time of sale as evident from the invoice
shall be excluded from the sale price but any ex post facto grant of
discounts or incentives or rebates or rewards and the like shall not be
excluded from the sale price;
(ae) “Schedule” means any of the Schedule appended to this Act;
(af) "Settlement Commission" means the Commission constituted under section
62;
(ag) "tax" means a tax leviable under this Act, on the sale or purchase or both, as
the case may be, of goods other than news paper; and shall include,-
(i) composition money either at an agreed rate or in lump sum, as the
case may be, payable, in lieu of actual amount of tax due on
turnover of
sales or purchases or both, as the case may be*
in accordance with provisions of
section 6 or section 6A;
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P.
ORDINANCE NO. 6 OF 2014 )
(ii) amount of reverse input tax credit;(w.e.f.01.01.2008)
(iii) the amount of additional tax leviable under section 3-A
(iv) the amount of cess leviable under section 3-B **
**
Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
(ah) "taxable dealer" means a dealer who is liable to pay tax under this Act;
(w.e.f.01.01.2008)
(ai) "taxable goods" means any goods except goods mentioned or described in
column 2 of Schedule I;
(aj) "tax invoice" means a bill or a cash memo issued in the prescribed form and
manner by a registered selling dealer to a registered purchasing dealer or to a
person or body referred to in clauses (ii), (iii, (iv) and (v) of sub-section (1) of
section 22 in respect of sale of any goods except exempt goods and non-vat
goods;
(ak) “tax period” means period for which a dealer is liable to submit a tax return of
turnover and tax under section 24 and where a dealer either commences or
discontinues his business during any tax period, tax period includes part of
such tax period during which business of the dealer has remained in
existence;
(al) "tax return" means any return of turnover and tax prescribed or required to be
furnished under this Act or the rules made thereunder;
(am) “taxable turnover of purchase” means turnover obtained after deducting from
the gross turnover of purchase such amounts as may be prescribed;
(an) “taxable turnover of sale” means turnover obtained after deducting from the
gross turnover of sale such amounts as may be prescribed;
(ao) "Tribunal" means the Tribunal constituted under section 57;
(ap) "turnover of purchase" with its cognate expressions means the aggregate of
the amounts of purchase prices paid or payable in respect of purchase of
goods made by a dealer either directly or through another dealer, whether
on his own account or on account of others, after deducting the amount, if
any, refunded by the seller in respect of any goods returned to such seller
within such period as may be prescribed;
(aq) "turnover of sale" means the aggregate of amount of sale prices of
goods, sold or supplied or distributed by way of sale by a dealer,
either directly or through another, whether on his own account or on
account of others;
(ar) "vehicle" means any kind of mode of transportation used for carriage
of goods including motor vehicle constructed or adapted for the
carriage of goods, or any other motor vehicle not so constructed or
8
adapted when used for the carriage of goods solely or in addition to
passengers including every wheeled conveyance, pull or push cart
including animal drawn cart, animal, trailer, trolley, bicycle, tricycle,
carrier and such other mode of transportation as may be specified in
the notification issued by the State Government in this behalf;
(as) "vessel" includes any container, ship, barge, boat, raft, timber, bamboo or
floating materials propelled in any manner;
"(at) “Web Site” means World Wide Web of the Department of Commercial Taxes
of Uttar Pradesh with such domain “up.nic.in” and with address
“http://comtax.up.nic.in” or any other website notified by the State
Government.
(au) "works contract" includes any agreement for carrying out, for cash, deferred
payment or other valuable consideration, the building construction,
manufacture, processing, fabrication, erection, installation, fitting out,
improvement, modification, repair or commissioning of any movable or
immovable property.
9
CHAPTER – II
Incidence, Levy and Rate of Tax
(1) Subject to the other provisions contained in this Act, every dealer shall be liable to pay
tax under this Act, for each assessment year, on his taxable turnover of sale or purchase or
both, as the case may be, of taxable goods, at such rates and at such point of sale or
purchase as provided under section 4 or section 5:
Provided that tax shall be levied on and charged from every dealer on such sales and
purchases as are made on or after the date on which the dealer becomes liable for
payment of tax in accordance with provisions of sub-section (3) or sub-section (5), as the
case may be.
(2) Where a dealer carries on business for part of any assessment year he shall, subject to the
other provisions contained in this Act, be liable to pay tax on the taxable turnover of sale
or purchase or both, as the case may be, of taxable goods, at such rates and at such point
of sale or purchase as provided under section 4 or section 5, where such sales or
purchases are affected during the period in which he is liable for payment of tax in
accordance with the provisions of sub-section (3) or sub-section (5).
(3) Dealers, of the class mentioned in column 2 against the serial no. mentioned in column 1,
shall be liable to pay tax on sales or purchases or both, as the case may be, where such
sales or purchases of goods are made by them on or after the date mentioned in column 3
against the same serial no. of the table below:
TABLE
Seria
l No.
Class of dealers Date
(1)
(2)
(3)
1.
(i)
Dealers whose registration certificate, under this
Act, is effective on January 1, 2008
January 1, 2008
(ii) Dealers whose registration certificate, issued
under the Central Sales Tax Act, 1956, is valid
on January 1, 2008
(iii)
Dealers who hold any imported taxable goods in
opening stock on January 1, 2008
(iv) Dealers who hold any taxable goods in opening
stock on January 1, 2008 where such goods have
been manufactured, processed or packed by
using or consuming of any imported goods
(v) Dealers who hold any taxable goods in opening
stock on January 1, 2008 where such goods have
been manufactured, processed or packed by
using or consuming any goods purchased after
furnishing to the selling dealer any form of
declaration or certificate prescribed under the
erstwhile Act or the rules framed there under.
(vi) Dealers who hold any goods in opening stock on
January 1, 2008 where such goods have been
purchased after furnishing to the selling dealer
any form of declaration or certificate prescribed
under the erstwhile Act or the rules framed there
under
(vii) Dealers who, in the assessment year of
commencement of this Act, have commenced
exclusive business of purchase of any goods
from within the State or sale of any goods within
the State or both, as the case may be, on any date
before January 1, 2008 and-
(a) whose aggregate, of the turnover of such
purchase and turnover of such sale, of all
goods, as defined hereunder, during the
Incidence
and levy of
tax
3.
10
assessment year of
commencement of this
Act, from first day of the business during
such assessment year, has, on or before
January 1, 2008, exceeded the taxable
quantum as provided in sub-section (4); and
(b) who have not made any change in the nature
of their business before their aggregate of
turnovers as stated in clause (a) has exceeded
the taxable quantum as provided in sub-
section (4)
(viii) Dealers who have been carrying on exclusive
business of purchase of any goods from within
the State or sale of any goods within the State or
both, as the case may be, of any goods during the
assessment year immediately preceding first
assessment year under this Act and whose
aggregate, of the turnover of such purchase and
turnover of such sale, of all goods, as defined
hereunder, during such preceding assessment
year had exceeded the taxable quantum as
provided in sub-section (4)
(ix) Dealers who, in the year of commencement of
this Act, have, before January 1, 2008,-
(a) made an inter-state sale of any taxable
goods; or
(b) made a sale in the course of the export of the
goods out of the territory of India; or
(c) consigned any taxable goods outside the
State except by reason of a sale and such
goods are delivered in the other State
without a sale; or
(d) brought or received any taxable goods from
any place outside the State;
2. Dealers, who with or without any other kind of business,
import any taxable goods on or after January 1, 2008
Date on which a
dealer receives
taxable goods for
the first time
3. Dealers who obtain registration certificate under the
Central Sales tax Act, 1956 on or after January 1, 2008
Date from which
registration
certificate is
effective
4.
Dealers, who, with or without any
other kind of business,
make sale of any taxable goods in the course of inter-
State trade or commerce on or after January 1, 2008
Date on which a
dealer makes first
sale of any taxable
goods in the
course of inter-
State trade or
commerce
5. Dealers, who, with or without any other kind of business,
on or after January 1, 2008, make a sale, in the course of
export of the goods out of the territory of India, of any
taxable goods or make such sale of any exempt goods
where in manufacture, processing or packing of such
exempt goods any taxable goods have been used,
consumed or utilized
Date on which a
dealer makes first
sale of the goods
in the course of
export of the
goods
6. Dealers, who, with or without any other kind of business,
consign any taxable goods on or after January 1, 2008 at
any place outside the State except by reason of a sale and
such goods are delivered in the other State without a sale
Date on which a
dealer for the first
time consigns any
taxable goods
outside the State
11
7.
Dealers who have
been carrying on exclusive business of
purchase of any goods from within the State or sale of
any goods within the State or both, as the case may be, of
any goods from a date prior to January 1, 2008 or dealers
who commence such business on or after January 1, 2008
and-
(i)whose aggregate, of the turnover of such purchase
and turnover of such sale, of all goods, as defined
hereunder, in any assessment year including
assessment year of the commencement of this Act,
from first day of business during such assessment
year, exceeds the taxable quantum as provided in
sub-section (4) of this section on any date after
January 1, 2008; and
(ii)who do not make any change in the nature of their
business before their aggregate of the turnovers as
stated in clause (a) exceeds the taxable quantum as
provided in sub-section (4) of this section
Date on which
aggregate of the
turnovers of
purchase from
within the State
and turnover of
sale within the
State or both, as
the case may be,
of all goods of a
dealer, as defined
hereunder, for the
first time in any
assessment year
exceeds the
taxable quantum
8
(i) A railway container contractor, an air cargo operator, a courier
service provider, who fails to disclose the name and complete
address of consigner or consignee or if discloses such name or
address of consigner or consignee is found bogus, forged or not
verifiable; or the owner or person in-charge of a vehicle who
obtained authorization for transit of goods from the officer in-
charge of entry check post but failed to deliver the same to the
officer in-charge of the exit check post or fails to carry such
documents as provided under section 52 and follow such procedure
as prescribed.*
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND)
ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
(ii) an owner or person in-charge, of a go-down or cold
storage or warehouse other than a transporter except
those covered under clause (i) who fails to disclose
the name and address of the owner of any taxable
goods stored in such godown, cold storage or
warehouse other than transporter except those
covered under clause (i) or if discloses such name
and address of owner of taxable goods is found
bogus, forged or not verifiable, (w.e.f.01.01.2008)
First date on
which any taxable
goods are found in
the possession or
custody,
9.
Dealers who do not fall in any of the classes mentioned
against serial no. 1 to 8 above and who obtain registration
certificate voluntarily under section 18.
Date from which
registration
certificate is
effective
Provided that a dealer who exclusively deals in purchase or sale, or both, as the case may
be, of exempt goods, shall not be liable to pay tax under this Act.
Explanation (1) - For the purposes of this sub-section and sub-section (4) *the expression
"aggregate of turnover of purchase from within the State and turnover of
sale within the State or both, as the case may be, of all goods” shall
mean the aggregate of the turnover of-
(a)purchase of all taxable goods where such purchases are made by
the dealer from within the State from persons other than registered
dealers; and
(b)sale of all goods except goods included in clause (a) where such
sales are made by the dealer within the State
**Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
12
Explanation (2) -Where a dealer falls in more than one category, mentioned in column 2 of
the table given above, then he shall be liable for payment of tax with
effect from the earliest date of all dates mentioned in column 3 of the
table referred to above.
(4) Taxable quantum referred to in sub-section (3) shall be five lakh rupees.
Provided that where a dealer carries on business during part of an assessment year,
taxable quantum shall be partial amount of five lakh rupees which shall be computed on
pro rata basis and for this purpose part of the month shall be counted as a full month.
(w.e.f.01.01.2008)
(5) Every dealer who has once become liable for payment of tax shall continue to be so liable
till the date on which he discontinues his business:
(6) For the purposes of this Act, following shall be determined in the prescribed manner:-
(a) Turnover of sale of goods-
(i) involved in the execution of works contract in which property in goods is
transferred; or
(ii) in cases of transfer of right to use any goods;
(b) Taxable turnover of sale; and
(c) Taxable turnover of purchase.
(7) Where in respect of transfer of property in goods involved in the execution of a works
contact, the contractor does not maintain proper accounts or the accounts maintained by
him are not found by the assessing authority to be worthy of credence and the amount
actually incurred towards charges for labour and other services and profit relating to
supply of labour and services are not ascertainable, for the purpose of determining
turnover of sale of goods under sub-clause (i) of clause (a) of sub-section (6) such charges
for labour and other services and such profits, may be determined on the basis of
deduction of such percentage of the value of works contract as may be prescribed and
different percentages may be prescribed for different types of works contract.
(8) Amount of tax, for which a dealer is liable for payment under any provision of this Act,
shall be paid in the prescribed manner.
(9) Notwithstanding anything to the contrary in this Act, where any goods are sold or
purchased together with any packing material, sale or purchase of packing material shall,
notwithstanding the fact that contracts of sale or purchase of such goods and such
packing material have been made separately or price of sale or purchase, as the case may
be, of the goods and the packing material has been shown separately,-
(a) be liable to tax under this Act at the rate applicable to sale or purchase of the
goods sold or purchased together with such packing material;
(b) not be liable to any tax under this Act if the sale or purchase of such goods is
exempt from tax at the hands of the dealer.
(10) Where tax is payable, and has been so paid by a commission agent on any turnover of
sale or turnover of purchase or both, as the case may be, of any goods on behalf of his
principal, the principal shall not be liable to pay tax in respect of such turnover.
Explanation: For the purposes of this Act, the dissolution of a firm or association of
persons or partition of a Hindu Undivided Family or transfer by a dealer of his business
shall be deemed to be cessation or discontinuance of business.
(11) Subject to such conditions as may be prescribed, the State Government may permit any
power project industrial unit engaged in generation, transmission and distribution of
electrical energy, having aggregate capital investment of Rs.1000 crore or more to own
the tax liabilities of a dealer of such sales as are made to that unit. (w.e.f.01.01.2008)
3-A (1) Notwithstanding anything to the contrary contained in any other provision of
the Act but subject to the provisions of sub-section(2), every dealer liable to pay
tax under the Act shall be liable to pay in addition to the tax payable under any
other provision of this Act, an additional tax on the taxable turnover of sale or
purchase of goods or both, at such rate not exceeding five percent, as may be
specified by the State Government by notification in the gazette. Different rate
may be specified in respect of different goods or class of goods.
(2) No additional tax under subsection (1) shall be levied and paid on
(a) the turnover of sale or purchase or both, as the case may be, of goods
specified in column 2 of the Schedule I and schedule III ;
A Levy of
Additional
Tax
13
(b) [……] *
(c) such sale or purchase, or sale or purchase of such goods by such class of
dealers, as may be specified in the notification issued by the State
Government under clause(c) of section7.
(3) the amount paid under subsection (1) shall be eligible for input tax credit in
accordance with the provisions of the section 13.
(4) Any dealer who avails the facility of composition of tax under section 6 shall
also be eligible for availing the facility of composition with respect of additional
tax.
(5)[……..]*
*Omitted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
3-B Levy
of Cess
(
1) Notwithstanding anything to the contrary contained in any other provision of this Act but subject
to the provisions of sub-section (2), every dealer liable
to pay tax under this Act shall also be liable to pay in addition to the tax payable under any other
provision of this Act, a cess on sale of petrol or diesel or both , at
such rate not exceeding five rupees per litre and at such point of sale, as may be specified by the State Government by notification in the
Gazette.
(2) Cess under sub-section (1) shall be levied and paid
only for such purposes as may be notified by the State
Government and in the manner specified in such
notification."
*
Inserted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
4. (1) The tax, payable on sale of goods under this Act, shall be levied and paid on
the taxable turnover of sale of –
(a) goods named or described in column 2 of the Schedule II, at every point of sale
and at the rate of four percent;
(b) goods named or described in column 2 of the Schedule III at every point of sale
and at the rate of one percent;
(c) goods named or described in column 2 of the Schedule IV at the point of sale
mentioned in column 3 and at the rate of tax mentioned in column 4 of the
Schedule against such goods;
(d) goods named or described in column 2 of the Schedule V at every point of sale
and at the rate of twelve and half percent;
Provided that in respect of goods mentioned in column 2 of Schedule IV, the
State Government may, by notification, declare different rates of tax, not
exceeding fifty percent, in respect of different goods or class of goods.
[ Provided further ……...]*
* Omitted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
(2) In respect of any entry of any Schedule, explanation or clarification, if any, given in
footnotes of such Schedule, shall be deemed to be a part of such entry of such
Schedule.
(3) Where a dealer, selling any goods, is not entitled to realize or has not realized if
entitled amount of tax, payable by him on the turnover of sale of such goods,
separately on tax invoice, sale invoice, cash memo or bill from the purchaser of the
goods, amount of tax payable by him on the turnover of such sale shall be computed
using the formula-
Rate of tax X aggregate of sale prices
Amount of tax payable =
100 + Rate of tax
Levy of tax
on turnover
of sale
14
(4) The State Government may, by notification in the Gazette, amend any entry of any
Schedule, add any new entry in any of the Schedule and in the like manner omit any
entry of any Schedule.
(5) Every notification made under this section shall, as soon as may be after it is made, be
laid before each House of the State Legislature, while it is in session, for a total period
of not less than fourteen days, extending in its one session or more than one
successive sessions, and shall, unless some later date is appointed take effect from the
date of its publication in Gazette subject to such modifications or annulments as the
two Houses of the Legislature may during the said period agree to make, so however,
that any such modification or annulment shall be without prejudice to the validity of
anything previously done thereunder except that any imposition, assessment, levy or
collection of tax or penalty shall be subject to the said modification or annulment.
(1) Every dealer, who, in the course of business, makes purchase of any taxable -
(i) goods other than non-vat goods from a person other than a registered dealer; or
(ii) non-vat goods, the earlier sale or purchase of which has not suffered levy of tax
either under the provisions of the erstwhile Act or under the provisions of this
Act, (w.e.f.01.01.2008)
shall be liable to pay tax levied on the turnover of purchase of such taxable goods except
non-vat goods or turnover of purchase of non-vat goods or both, as the case may be.
(w.e.f.01.01.2008)
(2) Tax on the turnover of purchase of taxable goods referred to in clause (i) or clause (ii) of
sub-section (1) shall be levied at the same rate at which turnover of sale of such goods is
liable to tax in accordance with the provisions of section 4.
6.
(1) Notwithstanding anything to the contrary contained in any other provision of this Act, but subject to other provisions of this section
and the directions of the State Government, the assessing authority may agree to accept a composition money either in lump sum or at an
agreed rate on his turnover of sale or purchase or both as the case may be, in lieu of tax that may be payable under this Act by a dealer in
respect of such goods or class of goods and for such period as may be agreed upon:
Provided that in the case of a dealer not being a dealer executing works contract, who carries on exclusive business of re-sale of goods
within the State after their purchase from a registered dealer within the State and whose turnover of sale of such goods, for any assessment
year, does not exceed fifty lakh rupees or his turnover, for the assessment year preceding that assessment year, has not exceeded fifty lakh
rupees, the State Government may notify a rate percent on sale of such goods. Different rates may be notified for different goods:
Provided further that any change in the rate of tax which may come into force after the date of such agreement shall have the effect
of making a proportionate change in the lump sum or the rate agreed upon in relation to that part of the period of assessment during which
the changed rate remains in force.
*
*Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
(2) Any dealer, who opts for payment of composition money under this section, shall not be
entitled to claim credit of input tax under section 13 in respect of purchase of goods
which are re-sold by him during the period in which he is liable to pay composition
money under this section or in respect of purchase of goods which have been used,
consumed or utilized in manufacture or processing of goods which are sold by him
during such period and where the dealer has claimed credit of input tax in respect of any
such goods, the same shall stand reversed and the dealer shall pay such amount of reverse
input tax credit in accordance with the provisions of section 14. (w.e.f.01.01.2008)
(3) Any dealer who opts for payment of composition money under this section shall not
issue any tax invoice and shall not realize any amount from the purchaser by way of tax
or by giving it a different name or colour. (w.e.f.01.01.2008)
(4) A dealer who makes purchase of any goods from a dealer, who has opted for payment of
composition money under this section, shall not be entitled to claim credit of input tax in
respect of goods purchased from such dealer. (w.e.f.01.01.2008)
(5) Where the turnover of sales, in case of a dealer who has opted to pay composition money
under first proviso of sub-section (1) exceeds Rs. fifty lakh, he shall be liable to pay tax
Levy of Tax
on turnover
of purchase
5.
Composition
of tax liability
15
at the rate provided under section 4 on and from the day the turnover exceeds Rs. fifty
lakh. (w.e.f.01.01.2008)
Explanation:- For the purposes of sub-sections (1) and (5) where a dealer carries on
business during a part of an assessment year, annual turnover shall be partial amount
of fifty lakh rupees which shall be computed on pro rata basis and for this purpose part
of a calendar month shall be counted as a full month. (w.e.f.01.01.2008)
6A. (1) Notwithstanding anything to the contrary contained in any other provision of this
Act, but subject to the directions of the Commissioner, the assessing authority may
accept from any person other than registered dealer by way of composition money
either in lump sum or at an agreed rate in lieu of tax or penalty leviable or imposable
under this Act, where any person -
(a) imports or attempts to import or abets the import of any goods, in contravention
of the provisions of section 50 or section 51 with a view to evading payment of
tax on sale of ,-
(i) such goods; or
(ii) goods manufactured, processed or packed by using such goods; or
(b) transports, attempts to transport any taxable goods in contravention of any
provision of this Act ; or
(c) carries taxable goods in a vehicle or vessel and such goods has not been
shown in the accounts, registers and other documents maintained in regular
course of business
a sum not less than the amount of tax involved under any provision of this Act but
not more than three times of the amount of such tax or forty percent of the value of
goods involved whichever is higher.
(2) The provision of sub-section (1) shall not apply to those persons who do not disclose,
before the assessing authority, the goods contained in the vessel or vehicle.
(3) Any person who has paid composition money under sub-section (1) shall not for the
same goods be required to,-
(a)furnish the return of the tax period under section 24;
(b)take registration under section 17;
(c)be assessed under any provision of this Act;
(d)be liable to tax under section 3.
Explanation-For the purposes of this section the assessing authority includes an officer
not below the rank of Commercial Tax Officer empowered to exercise the powers
under sections 45 or section 48.
(The words "or posted at the check post" was omited w.e.f. 20-08-2010 vide notif. no
1101(2) dt. 20-08-2010, U.P. Act No 19 of 2010)
7. No tax under this Act shall be levied and paid on the turnover of–
(a) sale or purchase where such sale or purchase takes place -
(i) in the course of inter-state trade or commerce; or
(ii) outside the State; or
(iii) in the course of the export out of or in the course of the import into, the
territory of India;
(b) sale or purchase of any goods named or described in column 2 of the Schedule I
or;
(c) such sale or purchase; or sale or purchase of such goods by such class of
dealers, as may be specified in the notification issued by the State Government in
this behalf:
Provided that while issuing notification under clause (c), the State Government
may impose such conditions and restrictions as may be specified.
Explanation: For the purposes of this Act, sections 3, 4 and 5 of the Central Sales
Tax Act, 1956, shall apply respectively for determining whether or not a
particular sale or purchase of any goods falls under any of the sub-clauses (i), (ii)
and (iii) of clause (a).
8. Notwithstanding anything to the contrary contained in any other provision of this Act
and without prejudice to the provisions of section 54, where it is found that any dealer
has issued tax invoice or sale invoice without making actual sale of goods shown in
such invoice then the selling dealer and the purchasing dealer who has received such
Liability on
fraudulent
issuance and
procurement of
tax invoice and
sale invoice
Compounding
of tax and
penalties in
certain cases
Tax not to be
levied on certain
sales and
purchases
16
invoice, jointly and severally, be liable for payment of an amount equal to amount of
tax shown to have been charged in such invoice:
Provided that before taking any action under this section, persons concerned shall be
given an opportunity of being heard.
8-
A Liability
on wrong or
false use of
certificate or
declaration
(1) Notwithstanding anything to the contrary contained in any other provisions of this Act
and without prejudice to the provisions of section 54, a person who issues a false or wrong
certificate or declaration, prescribed under any provision of this Act or the rules or the
notification issued thereunder, to another person by reason of which a tax leviable under
this Act on the purchase or sale as the case may be, ceases to be leviable or becomes
leviable at the concessional rate, shall be liable to pay an amount which would have been
payable as tax on such purchase or sale as the case may be, had such certificate or
declaration not been issued:
Provided that before taking any action under this section the person concerned shall
be given an opportunity of being heard.
(2) No input tax credit shall be claimed or allowed in respect of the
amount payable under this section.
Explanation: Where a person issuing a certificate or declaration to use the goods purchased
for such purpose as will make the tax not leviable or leviable at a concessional rate,
but uses the same for a purpose other than such purpose, the certificate or declaration
shall, for
the purposes of this section, be deemed to be wrong."*
**Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE,
2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
9. (1) Subject to the provisions of this Act, where the dealer is a firm or association of
persons or a Hindu Undivided Family -
(a) such firm or association and every person who is a partner of such firm or a
member of such association or Hindu undivided family shall be liable jointly
and severally for the payment of tax assessed and penalty imposed or any
amount due under this Act and is payable by such firm or association or
Hindu Undivided Family; and
(b) where such firm or association or Hindu Undivided Family has discontinued
its business, -
(i) tax, including penalty payable under this Act by such firm or
association or Hindu Undivided Family up to the date of such
discontinuance may be assessed and determined as if no such
discontinuance had taken place ; and
(ii) every person who was at the time of such discontinuance a partner of
such firm or a member of such association or Hindu Undivided
Family shall, notwithstanding such discontinuance, be liable jointly
and severally for the payment of tax assessed and penalty imposed
and payable by such firm or association or Hindu Undivided Family
whether such assessment is made or penalty is imposed prior to or
Liability of firm,
association of
persons and
Hindu undivided
family
17
after such discontinuance, and, subject to as aforesaid, the provisions
of this Act shall apply as if every such person or partner were himself
a dealer:
Provided that where it is found that a change has occurred in the constitution of
the firm or association, the firm or association as reconstituted as well as partners
or members of the firm or association, as it existed before re-constitution, shall
jointly and severally be liable to pay tax including penalty, if any, due from such
firm or association for any period before its reconstitution.
(2) Where the ownership of the business of any dealer, liable to pay, tax is transferred,
the transferor and transferee shall jointly and severally be liable to pay the tax
including penalty, if any, payable in respect of such business till the time of such
transfer, whether the assessment is made or the penalty is imposed prior to or after
such transfer.
(3) Where a tax including penalty, if any, is recovered from a reconstituted firm or
association under the proviso to sub-section (1) or from a transferee under sub-
section (2), such firm or association or a transferee shall be entitled to recover the
same from the person who was originally liable to pay the tax.
10.(1)Where a dealer dies, his executor, administrator or other legal representative
shall be deemed to be the dealer for the purposes of this Act and the
provisions of this Act shall apply to him in respect of the business of the said
deceased dealer:
Provided that -
(a)in respect of any liability of the deceased, his executor, administrator
or other legal representative shall be liable only to the extent of the
assets of the deceased in his hand;
(b)any proceeding including the proceeding for recovery may be
continued from the stage at which it was pending at the time of the
death of the dealer.
(2)The provisions of sub-section (1) shall mutatis mutandis apply to a dealer
being a partnership firm, which may stand dissolved in consequence of the
death of any partner.
11. In the case of any guardian, trustee or agent of any minor or other incapacitated
person, carrying on business on behalf of and for the benefit of such minor or
other incapacitated person, the tax shall be, levied upon and recoverable from
such guardian, trustee or agent, as the case may be, in like manner and to the
same extent as it would be leviable upon and recoverable from any such person or
other incapacitated person, if he were of full age and sound mind and if he were
conducting the business himself; and all the provisions of this Act and the rules
made thereunder shall apply accordingly.
12. In the case of business owned by a dealer whose estate or any portion of whose
estate is under the control of the Court of Wards, the Administrator General, the
Official Trustee or any Receiver or Manager (including any person whatever his
designation, who in fact manages the business on behalf of the dealer) appointed
by him or under any order of a court, the tax shall be levied upon and recoverable
from such Court of Wards, Administrator General, Official Trustee, Receiver or
Manager, in like manner and in the same terms as it would be leviable upon and
recoverable from the dealer, as if he were conducting the business himself, and all
the provisions of this Act and the rules made thereunder shall apply accordingly.
13. (1) Subject to provisions of this Act, dealers referred to in the following clauses and
holding valid registration certificate under this Act, shall, in respect of taxable
goods purchased from within the State and mentioned in such clauses, subject to
conditions given therein and such other conditions and restrictions as may be
prescribed, be allowed credit of an amount, as input tax credit, to the extent
provided by or under the relevant clause:
(a) Subject to conditions given in column 2, every dealer liable to pay tax,
shall, in respect of all taxable goods except non-vat goods, capital goods
Tax liability in
case of minor or
incapacitated
person
Tax liability in
Liability in case
of court of wards
I
nput tax
credit
Tax due from
deceased person
payable by his
representatives
18
and captive power plant, where such taxable goods are purchased on or
after the date of commencement of this Act, be allowed credit of the
amount, as input tax credit, to the extent provided in column 3 of the table
below:
TABLE
Serial
No.
Conditions
Extent of amount of
input tax credit
(1)
(2)
(3)
1 If purchased goods are re-sold-
(i) inside the State, or
(ii) in the course of inter-state trade or
commence; or
(iii) in the course of the export of the
goods out of the territory of India.
Full amount of input tax
2 If purchased goods are used in
manufacture of -
(i) any goods except non-vat goods and
where such manufactured goods are
sold in the course of the export of the
goods out of the territory of India; or
(ii) any taxable goods except non-vat
goods and where such manufactured
goods are sold either inside the State
or in the course of inter-state trade or
commerce
Full amount of input tax
3
If purchased goods are –
(i) transferred or consigned outside the
State otherwise than as a result of a
sale; or
(ii) used in manufacture of any taxable
goods except non-vat goods and such
manufactured goods are transferred
or consigned outside the State
otherwise than as a result of a sale.
Partial amount of input
tax, which is in excess
of rate prescribed
under sub-section(1) of
section 8 of the Central
Sales Tax Act,1956 of
the purchase price on
which the dealer has
paid tax either to the
registered selling
dealer or to the State
Government.
(b) Input tax credit of full amount of input tax shall be allowed to every
dealer, liable to pay tax, in respect of capital goods purchased on
or after the date on which dealer becomes liable for payment of tax
under this Act, if such goods are to be used in,-
(i) manufacture of any taxable goods except non-vat goods and
where such manufactured goods is,-
A- sold within the State or in the course of inter-state
trade or commerce or in the course of the export of the
goods out of the territory of India; or
B-transferred or consigned outside the State otherwise
than as a result of a sale; or
(ii) manufacture of any exempt goods except non-vat goods and
where such manufactured goods are sold in the course of
export of the goods out of the territory of India; or
(iii) generation of electrical energy, where such energy is used
for the manufacture of any taxable goods other than non
vat goods and such manufactured goods is,-
19
A- sold within the State or in the course of interstate
trade or commerce or in the course of export of the
goods out of territory of India; or
B-transferred or consigned outside the State
otherwise than as a result of a sale; or
(iv) generation of electrical energy where such energy is used
for the manufacture of any exempt goods and such exempt
goods is sold in the course of export of the goods out of
territory of India;
and the amount of input tax shall be computed and be claimed in
prescribed manner.
Explanation: For the purposes of this clause,-
(a) if 90% of electrical energy generated is consumed for the
purposes referred to in sub clauses (iii) and (iv), 100% Input Tax
may be claimed and be allowed as Input Tax Credit.
(b) the expression 'generation of electrical energy' shall mean
generation of electrical energy by using captive power plant including
repairing and maintenance thereof."
(c) Subject to conditions mentioned in column 2 of the table under clause (a),
every dealer, who is liable to pay tax on January 1, 2008 shall, in respect
of all taxable goods except non-vat goods, capital goods and captive
power plant, where such goods have been purchased within a
period of six months ending on the date of commencement of this Act
and where such goods-
(i) are held in opening stock on January 1, 2008 in the same form and
condition in which they were purchased; or
(ii) have been used in manufacture of finished or semi-finished goods
(in the process of manufacture of taxable goods except non-vat
goods) or finished taxable goods, except non-vat goods and such
finished or semi-finished goods are held in opening stock on January
1, 2008; and
(iii) have suffered levy of tax under the erstwhile Act,
be allowed credit of partial or full, as provided in column 3
against relevant entry of the said table, amount of input tax as input tax
credit and for this purpose amount of input tax shall be computed in the
prescribed manner.
(d) Subject to conditions mentioned in column 2 of the table under clause (a),
every dealer, who becomes liable to pay tax on a date after January 1,
2008, shall, in respect of all taxable goods, except non-vat goods, capital
goods and captive power plant, where such taxable goods have been
purchased on or after January 1, 2008 but within a period of six months
ending on the day preceding the date on which such dealer has become
liable to pay tax and -
(i) are held in opening stock, on the date on which the dealer has
become liable to pay tax, in the same form and condition in
which they were purchased;
(ii) have been used in manufacture of semi-finished goods (in the
process of manufacture of taxable goods except non-vat goods) or
finished taxable goods, except non-vat goods and such semi-
finished or finished goods as are held in opening stock on the date
on which the dealer has become liable to pay tax; or
(iii) have been purchased from a registered dealer after obtaining sale
invoice bearing name and address of purchasing dealer,
be allowed credit of partial or full, as provided in column 3 against relevant
entry of the said table, amount of input tax as input tax credit and for this
purpose amount of input tax shall be computed in the prescribed manner.
(e) Every dealer who is liable to pay tax and who opts for payment of tax or
lump sum under provisions of section 6, shall, in respect of all taxable
goods, except non-vat goods, capital goods and captive power plant, which
20
are held in stock at the end of the period during which provisions of section
6 remain applicable, be allowed credit of full or partial amount of input tax
or deemed input tax, as the case may be, in accordance with provisions of
clauses (a) to (d) above, as may be applicable:
Provided that unless the State Government, in exercise of its powers
under second proviso of sub-section (1) of section 4, issues notification
prescribing rate of tax and point of tax in respect of sale of sugar or
textile referred to therein, no facility of input tax credit, in respect of
goods purchased for use in manufacture of said goods, shall be allowed
under any of the aforesaid clauses.
Explanation: For the purposes of this sub-section,-
(a) re-sale of goods includes transfer of property in goods (whether as
goods or in some other form) involved in the execution of a works
contract.
(b) goods required for use in manufacture of any goods shall not include
goods required for running of captive power plant."
(f) Notwithstanding anything to the contrary contained in this sub-section
where goods purchased are resold or goods manufactured or processed by
using or utilizing such purchased goods are sold, at the price which is lower
than
(i) purchase price of such goods in case of resale; or
(ii) cost price in case of manufacture,
the amount of input tax credit shall be claimed and be allowed to the
extent of tax payable on the sale value of goods or manufactured goods.
(Clause (f) was inserted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-08-
2010, U.P. Act No 19 of 2010)
(2) Notwithstanding anything to the contrary in any provision of sub-section (1) of this
section, credit of full or partial amount of input tax, in respect of all taxable goods,
may be allowed to developer, co-developer and units established in Special
Economic Zone for authorized operations subject to such conditions as may be
specified in the notification issued by the state government.
Explanation - For the purposes of this sub-section the word "co-developer"
or "developer" and expressions "Special Economic Zone" or "authorized
operations" shall have the meanings assigned to them in the Special
Economic Zones Act, 2005.
(3) (a)Where purchased goods are to be used or disposed of partially for the
purpose specified in clause (a) of sub-section (1) or otherwise, the input
tax credit may be claimed and be allowed proportionate to the extent
they are used or disposed of for the purposes specified in such clause,
(b)Subject to the provisions of this section where during process of manufacture of
vat goods, exempt goods and non vat goods except as by product or waste
product are produced, the amount of input tax credit may be claimed and be
allowed in proportion to the extent they are used or consumed in manufacture
of taxable goods other than non vat goods and exempt goods
Explanation:- For the purpose of this subsection the "exempt goods" shall include
taxable goods other than non vat goods, which are disposed of otherwise than by
way of sale within the State or in the course of inter-State trade or commerce or
sale in the course of export of goods out of the territory of India or sale outside
the State."
(4) Except as provided otherwise in any provision of this Act or the rules framed there
under, in respect of purchase of any goods in respect of which facility of input tax
credit is admissible, input tax credit of the full amount of input tax can
provisionally be claimed on the date on which tax invoice related to such goods is
received by the dealer and where dealer himself is liable to pay tax in respect of
purchase of any goods, on the date on which amount of tax payable is accounted
for by the dealer in the account of tax payable by him and possesses the proof of
payment of tax on the turnover of purchase liable to tax"
21
(5) Where a dealer has claimed input tax credit in respect of any goods under sub-
section (4), but such goods; or goods manufactured by using such goods; or goods
packed by using or consuming such goods, are consigned outside the State or
disposed of or dispossessed in a manner for which facility of input tax credit is not
admissible or such facility is admissible for partial amount of input tax, the amount
which is the difference, of the full amount of input tax and admissible amount of
input tax credit, shall be deducted from the amount of the input tax credit, already
claimed by the dealer by debiting such amount into the account of input tax credit
maintained by him.
Provided that before debiting the amount of input tax credit reasonable
opportunity of being heard shall be given to the dealer.
(6) In the circumstances referred to in sub-section (5), the amount of difference of
full amount of input tax and admissible amount of input tax credit, shall be
debited by the dealer into the account of input tax credit maintained by him on
the day on which
(i) goods, in respect of which credit of full amount of input tax was claimed;
or
(ii) goods, manufactured by using goods in respect of which credit of full
amount of input tax was claimed; or
(iii) where goods, in respect of which credit of full amount of input tax was
claimed, are used or consumed in packing of any goods, such packed
goods,
are consigned outside the State; or disposed of or dispossessed by the dealer
in a manner for which facility of input tax credit is not admissible or
such facility is admissible for partial amount of input tax:
Provided that where the dealer discontinues his business, full amount of input
tax, which was claimed under sub-section (4), in respect of-
(i) goods held by the dealer in the same form and condition in which those
were purchased; or
(ii) goods which have been used in manufacture of any goods held by the
dealer, (whether in semi-manufactured or manufactured state);
(ii) goods which have been used or consumed in packing of any goods held
by the dealer,
in closing stock on the day on which he has discontinued
business, shall, before end of the tax period prescribed for submission of
the tax return for the tax period in which business is discontinued, shall
be debited by the dealer into the account of input tax credit maintained
by him.
(7) Except where-
(a) purchased goods; or
(b) manufactured goods which are manufactured by using purchased goods;
or
(c) packed goods which are packed by using or consuming purchased goods
are to be sold in the course of the export of the goods out of the territory
of India, no credit of any amount of input tax shall be claimed by a
dealer under sub section (4) and no facility of input tax credit shall be
allowed to a dealer in respect of purchase of any goods where -
(i) sale of such goods by the dealer is exempt from payment of tax
under clause (c) of section 7; or
(ii) such goods are to be used or consumed in manufacture or packing
of any goods and sale of such manufactured or packed goods by
the dealer is exempt from payment of tax either under clause (b)
or clause (c) of section 7.
(iii) such goods are for transfer of right to use such goods."
(8) Amount of admissible input tax credit for a tax period and for an assessment year
shall be computed in the prescribed manner and shall be claimed and allowed
within such time and in such manner as may be prescribed.
(9) (a)Where any goods, purchased from within the State, are sold by a principal
through a selling agent or where any goods are purchased by a purchasing
agent on behalf of a principal, input tax credit, in respect of purchase of such
22
goods, shall be claimed by and be allowed to the principal in such manner as
may be prescribed.
(b)Where works contract is partially executed by a sub contractor, the amount of
input tax credit, in respect of purchase of goods involved in the execution of
works contract shall be claimed by and be allowed to the contractor or such
sub contractor to the extent of purchase of goods by them. (w.e.f.01.01.2008)
(10) Every dealer, who claims input tax credit under this section, shall, in respect of
input tax, input tax credit and inventory of goods, maintain such records and
furnish such statements as may be prescribed.
(11) Where it appears to the assessing authority that the amount of input tax or amount of input tax credit is incorrect or is
not worthy of credence, it may, after giving reasonable opportunity of being heard to such dealer and after making
such inquiry as it may deem fit, determine the amount of input tax or amount of input tax credit, as the case may
be, by making an order in writing
*
* Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
Provided that where matter relates to any tax return submitted under
section 24 or in any assessment proceedings under any section of this Act,
proceedings shall be completed in accordance with provisions of relevant
sections.
(12) Where on account of any order passed under this Act or by depositing tax levied on enhanced turnover of purchase in
case of best judgement assessment by the assessing authourity or otherwise, the amount of input tax credit varies,
the account of input tax credit shall be amended accordingly.*
*
Inserted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014 )
Explanation ;-For the purposes of this section, –
(i) goods for use in manufacture of any goods includes goods required for use,
consumption or utilization in manufacture or processing of such goods or
goods required for use in packing of such manufactured or processed
goods;
(ii) manufacture of any goods includes processing of such goods and packing
of such manufactured or processed goods; and
(iii )where during the process of manufacture of any taxable goods any exempt
goods are produced as by-product or waste-product, it shall be deemed that
purchased goods have been used in the manufacture of taxable goods.
Conversely, where during the process of manufacture of any exempt goods
any taxable goods are produced as by-product or waste-product; it shall be
deemed that purchased goods have been used in the manufacture of exempt
goods.
(iv) where during the process of manufacture of any vat goods any non-vat
goods are produced as by-product or waste-product, it shall be deemed that
purchased goods have been used in the manufacture of vat goods.
Similarly, where during the process of manufacture of any non vat goods
any vat goods are produced as by-product or waste-product, it shall be
deemed that purchased goods have been used in the manufacture of non vat
goods. (w.e.f.01.01.2008)
14. (1) Consistent with the provisions of this Act, the State Government may prescribe the
circumstances in which and the goods in respect of which input tax credit shall be
neither claimed nor allowed.
(2) Where, in respect of any goods, a dealer has already claimed input tax credit against
the provisions of this Act or the rules framed there under or has wrongly claimed
input tax credit in respect of any goods, benefit of input tax credit to the extent it is
not admissible, shall stand reversed and such amount of reverse input tax credit shall
be deducted from the amount of input tax credit already claimed by the dealer in the
tax period in which event giving rise to reverse input tax credit has occurred:
Provided that where event, giving rise to reverse input tax credit, comes to the
notice of the dealer after the tax return, for the tax period in which such event has
Reverse
input tax
credit
23
occurred, has been submitted, the dealer shall be liable to pay such amount of
reverse input tax credit within thirty days after the event comes to the notice of the
dealer, along with simple interest at a rate of fifteen percent per annum for the
period commencing on the date following the last date prescribed for submitting tax
return of the tax period in which event has occurred and ending on the date on which
amount has been deposited.
15. (1) For any tax period, net amount of tax payable shall be computed using the following
equation:
Net amount of tax payable for any period = Gross amount of tax payable for such period – Gross amount
of admissible input tax credit for the period
Where-
[a] gross amount of tax payable for the period is the aggregate of amounts of-
(i) tax payable on the turnover of sale of goods made during the tax
period;
(ii) tax payable on turnover of purchase of goods made during the tax
period;
(iii) tax on the turnover of sale made during the period or any installment
of lump sum falling due during the period, as the case may be,
payable under the provisions of section 6;
(iv) any other amount of tax payable; and
[b] gross amount of admissible input tax credit for the period is the aggregate of
amounts of-
(i) input tax credit claimed in respect of purchase of goods made during
the period less amount of reverse input tax credit, if any;
(ii) input tax credit carried forward from the immediately preceding tax
period;
(iii) any installment of input tax credit in respect of goods held in opening
stock on the date from which dealer has become liable to pay tax or
in respect of purchase of capital goods;
(iv) input tax credit in respect of goods held in opening stock on the date
on which, in case of a dealer who has opted for payment of tax or a
lump sum under section 6 of this Act, provisions of section 6 cease
to apply and the dealer continues his business:
Provided that where a dealer has been allowed moratorium for payment of tax
under section 42, gross amount of tax payable for the period shall not include amount
in respect of which facility of moratorium is applicable. Amount for which facility of
moratorium is applicable shall be paid by the dealer separately in accordance with
provisions of section 42.
(2) If, for any tax period, gross amount of admissible input tax credit under sub-section (1)
exceeds the differential amount of gross amount of tax payable under that sub-section and
the aggregate of amounts of tax paid by the dealer towards tax for such tax period, the
excess amount of admissible input tax credit may be adjusted by the dealer against
amount of tax payable in the tax return of the corresponding tax period under the Central
Sales Tax Act, 1956 and where gross amount of such admissible input tax credit is a
negative figure, the dealer, while computing net amount of tax payable under sub-section
(1), shall add such amount to gross amount of tax payable by the dealer.
Explanation: For the purpose of this sub-section, expression “aggregate of amounts of tax
paid by the dealer towards tax of such tax period” shall mean the aggregate of amounts
of-
(a) tax deposited by the dealer towards tax of such tax period;
(b) tax deducted at source under provisions of section 34 in respect of any
sale of goods where such sale is made during such tax period; and
(c) refund adjusted towards tax of such tax period:
Provided that amount under clause (a), (b) or (c) shall not be included in the
aggregate of amounts of tax paid by the dealer towards tax of such tax period unless the
dealer furnishes adequate documentary proof in respect thereof alongwith tax return of
such tax period.
Net amount of
tax payable and
treatment of
input tax credit
exceeding tax
liability
24
(3) Any excess amount of input tax credit left over after adjustment as provided in sub-
section (2) shall be carried forward and be added to the amount of input tax credit for the
next tax period:
Provided that in case of a dealer whose main business is to sell goods in the course of
the export of the goods out of the territory of India, the assessing authority shall allow
provisional refund of excess amount of input tax credit for any tax period in accordance
with the provisions of section 41.
(4) Where a dealer has submitted returns for all tax periods of an assessment year, and if any
amount of excess admissible input tax credit still exists according to the tax return of the
last tax period, such excess amount of admissible input tax credit, subject to provisions of
sections 40, shall be refunded to the dealer within thirty days after the last date prescribed
or allowed for submission of the return of last tax period of such assessment year.
Provided that excess amount of admissible input tax credit remaining in balance on
the last day of the assessment year in which dealer has become liable for payment of tax,
shall, subject to provision of sub-section (3), be carried forward to the first tax return of
the next assessment year and any excess amount of input tax credit according to the tax
return of the last tax period of later assessment year shall be refunded to the dealer within
thirty days after the last date prescribed or allowed for submission of return of the last tax
period of the such later assessment year.
(5) Notwithstanding anything contained in sub-section (4) where a dealer discontinues
business, refund of any excess amount of admissible input tax credit relating to last tax
period of the assessment year during which business has been discontinued shall be
allowed within Ninety days after the date of passing of assessment order for such
assessment year.
(6) Where tax return for any tax period of any assessment year has not been submitted by the
last date prescribed or allowed for submission of tax return of the last tax period of the
assessment year, excess amount of admissible input tax credit, if any, for such assessment
year, subject to provisions of sections 40 shall be refunded to the dealer within a period of
Ninety days after the assessment order in respect of such assessment year has been
passed.
(7) Notwithstanding anything contained contrary to in sub-section (3) and sub-section (4), any
excess amount of admissible input tax credit left over in the tax return of the last tax
period of any assessment year, at the option of the dealer, may be carried forward to the
tax return of the first tax period of the succeeding assessment year.
16. In any assessment proceedings where any fact is specially within the knowledge of the
assessee, the burden of proving that fact shall lie upon him, and in particular, the burden
of proving the existence of the circumstances bringing the case within any of the
exemptions, exceptions or reliefs under any provisions of this Act including claim of any
amount as input tax credit, shall lie upon him and assessing authority shall presume the
absence of such circumstances.
Chapter III
Registration, Security and Maintenance of Accounts
17. (1) Every dealer liable to pay tax under this Act shall obtain registration certificate
issued by the prescribed registering authority in the prescribed form.
(2) Except as provided under sub-sections (3), (4) and (5), every dealer liable to pay
tax shall, for issue of registration certificate, apply to the registering authority
within a period of thirty days from the date on which such dealer has become so
liable, in the prescribed form and manner along with proof of deposit of
registration fee of one hundred rupees:
Provided that a dealer who fails to apply for issue of registration certificate
within the time prescribed, without prejudice to any other liability under this Act,
may apply after depositing late fee at the rate of rupees one hundred for every
month or part thereof for the period of delay.
(3) Subject to the provisions of sub-section (5), every dealer who has held
immediately before January 1, 2008 a registration certificate or a provisional
registration certificate issued under the erstwhile Act and is liable to pay tax
Burden of
proof
Registration
of dealers
25
under this Act from January 1, 2008, shall be deemed a registered dealer with
effect from January 1, 2008: (The words "Subject to the provisions of sub-section
(5), every dealer" was inserted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-08-
2010, U.P. Act No 19 of 2010)
Provided that where a dealer was required to pay any fee for renewal of the
registration certificate under the provisions of the erstwhile Act, if the same has
not been paid, the registration certificate shall not be deemed valid unless such
dealer deposits renewal fee along with late fee of one hundred rupees within a
period of thirty days from January 1, 2008.
(4) In the case of a dealer, who is liable for payment of tax under this Act from
January 1, 2008 and whose application for issue of registration certificate under
the erstwhile Act, is pending on January 1, 2008, shall be deemed a registered
dealer under this Act with effect from January 1, 2008 if –
(i) registration certificate is issued to him under the erstwhile Act; and
(ii) the dealer deposits renewal fee payable under the erstwhile Act and
late fee payable under this Act, if any, within thirty days from the
date on which registration certificate is issued to him under the
erstwhile Act.
(5) (a) Every dealer who holds a valid registration certificate issued under the
erstwhile Act and is liable to tax under this Act, shall submit to the
registering authority or the assessing authority, as the case may be, an
application in the prescribed form and in the prescribed manner, for issue of
registration certificate by such authority relating to validity of such
certificate under this Act, within a period of fifteen months from January 1,
2008: (w.e.f.01.01.2008)
Provided that if the Additional Commissioner posted in zone is
satisfied that circumstances exist preventing the dealer to submit the
Application within the stipulated period, he may condone the delay and
direct the registering authority or assessing authority, as the case may be, to
process the application in accordance with the provisions of this Act and
rules framed thereunder:
Provided further that no application for condoning the delay shall be
entertained unless it is accompanied with the proof of -
(i) payment of late fees of rupees five hundred per month or part
thereof up to December 31, 2010 and rupees one thousand per month
or part thereof after December 31, 2010, for the period of delay;
(ii) filing of tax returns of all tax periods upto the date of submitting
application; and
(iii) payment of net tax along with interest due under the Act in tax
return under clause(ii):
Provided also that no application under this clause shall be rejected
without giving opportunity to the applicant of being heard.
(all the three provisos were substituted w.e.f. 01-01-08 vide notif. no
1101(2) dt. 20-08-2010, U.P. Act No 19 of 2010)
(b) If a dealer who holds the registration certificate issued under erstwhile Act,
fails to submit the application to the assessing authority or registering
authority for validation and issue of registration certificate under this Act,
within the period referred to in clause (a) in prescribed form and manner, the
registration certificate shall cease to have effect
(6) (a) No railway container contractor, air cargo operator, courier service provider,
or owner or person in-charge of a godown, cold storage or warehouse other
than transporter who stores commercial goods, shall operate its business of
taxable goods in the State without being registered with the registering
authority in such manner as may be prescribed. Any operator of such
business shall apply within prescribed period for his registration to the
registering authority in the prescribed manner; (w.e.f.01.01.2008)
(b) a railway container contractor, an air cargo operator, a courier service
provider, an owner or person in-charge of a godown, cold storage or
26
warehouse other than transporter or carrier, who stores commercial goods
shall maintain such records as may be prescribed; (w.e.f.01.01.2008)
(c) every transporter or carrier who is covered under the Carriage By Road
Act, 2007 shall furnish to the assessing authority, such informations and
documents as may be prescribed. (w.e.f.01.01.2008)
(7) Where the registering authority is satisfied that -
(a) the application for issue of registration certificate is in order;
(b) the information furnished is correct and complete; and
(c) any requisite fee has been deposited and security where needed is
furnished,
the registering authority may, after making such inquiry as it may deem
necessary, cause the dealer to be registered and issue registration certificate in
the prescribed form and prescribed time.
(8) If the dealer who has applied for issue of registration certificate does not fulfill
any of the conditions mentioned in this section, or if any person having interest
in the business is a defaulter in payment of any dues, relating to any other
business, under this Act or under the Central Sales Tax Act, 1956 or under the
erstwhile Act, the registering authority, shall, after giving a reasonable
opportunity of being heard to the applicant, reject the application by an order in
writing.
(9) Subject to the provisions of sub-section (5) the registration certificate issued
under the erstwhile Act and validly held under this Act shall be valid with
effect from the date of commencement of this Act. (w.e.f.01.01.2008)
(10) Subject to provisions of sub-section (9), every registration certificate shall
remain in force till the date of discontinuance of business:
(11) The registering authority, after giving reasonable opportunity of being heard to
the dealer, may cancel the registration certificate with effect from the date -
(a) on which dealers' liability for payment of tax has ceased; or
(b) on which the dealer has discontinued the business; or
(c) of order of cancellation where-
(i) the dealer has obtained registration certificate by fraud or by mis-
representation of facts; or
(ii) the dealer has failed to furnish security or additional security, as the
case may be; or
(iii) the dealer has transferred any prescribed form of declaration or
certificate obtained by him to any person against provisions of this
Act or the rules made thereunder; or
(iv) the dealer has permitted some other person to carry on business in
his name; or
(v) the dealer has issued any tax invoice to a dealer without making
actual sale of goods; or
(vi) where a transporter or carrier or transporting agent or railway
container contractor fails to file return or otherwise acts in
contravention of the provisions of this Act or rules made there
under;
(vii) a person acts in contravention of provisions of section 43;
(viii) where a dealer has failed to pay the tax, penalty or other dues
within three months of the date such tax, penalty or other dues
become payable.
(ix) registration certificate has been cancelled for any other sufficient
cause.
(12) During cancellation proceedings under sub-section (11), where the registering
authority is satisfied that the dealer will succeed in causing revenue loss,
pending action for cancellation under sub-section (11), it may, after assigning
reasons therefore, suspend the registration certificate by passing an order in
writing, for the period during which the proceedings are pending:
Provided that if the dealer, by furnishing adequate security to the
satisfaction of the registering authority, satisfies that revenue loss, if any,
27
shall be made up by him, the registering authority may revoke the suspension
of registration certificate.
(13) During the period of suspension of registration certificate under sub-section
(12), the dealer shall be treated as unregistered dealer. However if the
registering authority himself by an order in writing drops the proceeding of
cancellation or the order of suspension passed by the registering authority is
set aside by any competent court or authority under this Act, the dealer shall
be treated as registered dealer during such period. (w.e.f.01.01.2008)
(14) The registering authority, after considering any information furnished or
otherwise received and after making such inquiry as it may deem fit, amend
from time to time any certificate of registration which shall take effect:
(a) in the case of change in the name, ownership or place of business, or
opening of a new place of business, from the date of the event
necessitating the amendment whether or not information in that behalf
is furnished within the time prescribed under section 75.
(b) in case of any addition or modification in the description of any goods
or class of goods in the certificate of registration, from the date of event
necessitating the amendment if information in that behalf is furnished
within the time prescribed under section 75 and in any other case, from
the date of receipt of request for such addition or modification by the
registering authority or the assessing authority, as the case may be;
(c) in case of deletion of any goods or class of goods, from the date of
order of deletion.
Provided that where in consequence of a change in the ownership of a
business, liability for payment of tax of any dealer ceases, the
amendment of the certificate of registration shall take effect from the
date on which information in respect of such change is furnished under
section 75.
Explanation (I) - Any amendment of a certificate of registration under this
sub-section shall be without prejudice to any liability for tax or penalty
imposable under this Act(w.e.f.01.01.2008)
Explanation (II)-For the removal of doubts, it is hereby declared that
where a registered dealer-
(a) affects a change in the name of his business; or
(b) is a firm and there is change in the constitution of the firm without
dissolution thereof; or
(c) is a trustee of a trust and there is a change in the trustees thereof; or
(d) is a guardian of the ward and there is a change in the guardian; or
(e) is a "Hindu Undivided Family" and the business of such family is
converted into a partnership business with all or any of the
coparceners as partners thereof,
(f) is proprietor of a business and such business is succeeded by
successor or successors of its proprietor on account of disability
or death of such proprietor,
*
* Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
then merely by reason of any of the circumstances aforesaid, it shall not
be necessary for the dealer or the firm the constitution whereof is changed,
or the new trustees, or the new guardian or
the partners of such partnership business or
successor or successors, as the case may be
,* to apply for a fresh certificate of
registration, and on information being furnished in the manner required by
section 75, the certificate of registration shall be amended.
*Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
(15) The registration certificate shall not be cancelled or amended by the registering
authority on its own motion unless the dealer has been given reasonable
opportunity of being heard.
28
18.(1) On January 1, 2008, a dealer, who is otherwise not liable to pay tax, and if such
dealer either carries on business or intends to carry on business, may apply at any
time on or after January 1, 2008 for issue of registration certificate in the form and
manner prescribed under sub-section (2) of section 17 alongwith proof of deposit
of fee prescribed under that sub-section.
(2) Every other dealer who has held immediately before January 1, 2008 a
registration certificate under the erstwhile Act but otherwise is not liable to pay
tax under this Act, shall be deemed a voluntarily registered dealer under this Act
provided he informs the registering authority within a period of thirty days from
January 1, 2008 in the form prescribed under sub-section (5) of section 17, of his
intention to remain registered dealer under this Act:
Provided that where a dealer was required to pay any fee for
renewal of the registration certificate under the provisions of the erstwhile Act, if
the same has not been paid, the registration certificate shall not be deemed valid
unless such dealer deposits renewal fee along with late fee of one hundred rupees
within a period of thirty days from the date of the commencement of this Act.
(3) A dealer to whom registration certificate is issued under the erstwhile Act after
January 1, 2008 and where such dealer is not otherwise liable to pay tax under
this Act from January 1, 2008, shall be deemed a registered dealer if such dealer,
after depositing renewal fee and late fee, if any, informs the registering authority
or the assessing authority, as the case may be, in the prescribed form, within
thirty days from the date on which registration certificate is issued to him, of his
intention to retain registration certificate voluntarily.
(4) Provisions of sub-sections (5) and (7) to (14) of section 17 shall mutatis mutandis
apply to every registration certificate issued or held under this section.
19. (1) Where it appears necessary to the registering authority so to do -
(a) for the proper realization of any tax, penalty or other sums due or
payable under this Act; or
(b) for the proper custody or use of forms prescribed under this Act or the
rules framed there under; or
(c) as a condition for the grant or, as the case may be, the continuance in
effect of registration certificate,
it may, by an order in writing and for reasons to be recorded therein,
direct, before the grant or as the case may be, at any time while such certificate
is in force, that the dealer or the person concerned shall furnish, in the
prescribed manner and within such time as may be specified in the order such
security or, if dealer or person concerned has already furnished such security,
additional security of any nature, as may be specified, for all or any of the
aforesaid purposes:
Provided that a valid security or an additional valid security, furnished
for any of the aforesaid purposes under the provisions of the erstwhile Act,
shall also be deemed valid for such purpose under this Act, if the dealer informs
his assessing authority or the registering authority, as the case may be, of his
intention to continue in effect such security or additional security along with
undertaking from the sureties on the stamp paper of proper face value and
denomination.
(2) No dealer or the person concerned shall be required to furnish any security or
additional security under sub-section (1) by the registering authority unless he
has been given an opportunity of being heard, and the amount of such security
or additional security that may be required to be furnished by any dealer shall
also in no case exceed the tax payable, in accordance with the estimate of such
authority on the turnover of the dealer for the assessment year in which such
security is required to be furnished.
(3) Notwithstanding anything contained in sub-section (1) or sub-section (2) the
Commissioner may, in respect of any goods notified by the Government in this
behalf, by a general order in writing, direct that a cash security of such amount
as may be specified in such order shall be required to be furnished by a dealer
or person requiring any of the forms prescribed under this Act.
Voluntary
Registration
Security in the
interest of
revenue
29
(4) Where the security furnished by a dealer or person concerned under sub-section
(1) is in the form of a surety bond and any surety dies or becomes insolvent, the
dealer or the person concerned shall, within thirty days of the occurrence of any
of the aforesaid events, inform the authority granting the certificate under
section 17 or section 18 or the authority issuing the forms referred to in clause
(b) of sub-section (1), as the case may be, and shall within sixty days of such
occurrence furnish a fresh surety bond or furnish in the prescribed manner other
security for the amount of the bond.
(5) The assessing authority may, by order and for good and sufficient cause, forfeit
the whole or any part of the security furnished by a dealer or the person
concerned -
(a) for realizing any amount of tax, penalty or other amount payable by the
dealer or the person concerned; or
(b) if any dealer or person concerned is found to have misused any of the
forms referred to in sub-section (1) or to have failed to keep them in
proper custody;
Provided that no order shall be passed under this sub-section without giving
the dealer or the person concerned an opportunity of being heard.
(6) Where by reason of an order under sub-section (5) the security furnished by any
dealer or the person concerned is rendered insufficient, he shall make up the
deficiency in such manner and within such time as may be directed by the
assessing authority.
(7) The registering authority may -
(a)refuse to grant registration certificate; or
(b)suspend any registration certificate already issued; or
(c)refuse to issue any of the forms referred to in sub- section (1) or sub-
section (3),
to any dealer or the person concerned, who has failed to comply with an
order under sub-section (1) or sub-section (3), or with the provisions of sub-
section (4) or sub-section (6), until the dealer or the person concerned has
complied with such order or such provisions, as the case may be:
Provided that no order, under clause (a) or clause (b) above, shall be
passed without giving the dealer or the person concerned an opportunity of
being heard.
(8) The registering authority may, on application by the dealer or the person
concerned, order the discharge of the surety or refund any amount or part
thereof deposited by way of security by the dealer or the person concerned
under this section or under any other section if it is not required for the purpose
of this Act.
(9) An appeal under section 55 shall lie against an order passed under this section.
(10) Any person aggrieved by an order of the appellate authority may, within ninety
days of the service of the order on him but after furnishing the security, file an
appeal before the Tribunal under section 57.
(11) The provisions of this section shall mutatis mutandis, apply in relation to
security required to be furnished under the order of any authority under this Act
or the Court.
20. (1) Every registered dealer shall quote his Taxpayers’ Identification number,
allotted to him on his registration certificate, on all correspondence made,
statement and return submitted, information furnished and documents issued by
him and on each copy of treasury challan while depositing amount of tax, fee or
any other dues under this Act.
(2) While making sale of any taxable goods, if purchaser of such goods demands,
the selling dealer shall show his registration certificate.
(3) While making purchases of any taxable goods, every purchasing dealer shall
give his name, address and Taxpayers’ Identification number, to the selling
dealer and the selling dealer shall mention such particulars on tax invoice, sale
invoice, transport memo, challan or transfer invoice, as the case may be, issued
by him.
Quoting of
Taxpayers'
Identification
Number
Quoting of
Taxpayers'
Identification
30
(4) Every registered dealer shall present registration certificate issued to him before
an officer or official authorized by the State Government whenever required by
such officer or official in connection with any proceedings under this Act.
(5) Every dealer who possesses Permanent Account Number allotted under
the Income-Tax Act, 1961, shall mention such number on every monthly or
quarterly return as the case may be, of turnover and tax and shall furnish
such number whenever required by any authority under this Act.
21. (1) Every taxable dealer shall keep and maintain a true and correct account
showing the value of the goods sold and bought by him, and in case the
accounts maintained in the ordinary course do not show the same in an
intelligible form, he shall maintain true and correct account in such form, as
may be prescribed in this behalf.
(2) A manufacturer liable to pay tax under this Act shall, in addition to the
accounts referred to in other sub-sections, maintain stock books in respect of
goods used or consumed in manufacture as well as the products obtained at
every stage of production.
Provided that in the case of any class of manufacturers, the aggregate of
whose turnover, in an assessment year does not exceed twenty five lakh rupees,
the Commissioner, or in any other case the State Government, may relax the
requirements of this sub-section subject to such conditions and restrictions as
may be deemed fit to be specified.
(3) The accounts, documents and the stock books required to be maintained under
this section shall be preserved by the dealer for such period as may be
prescribed.
(4) Every registered dealer who consigns or delivers any goods or class of goods
specified in the rules made thereunder or such other goods or class of goods, as
the State Government may, by notification in the Gazette, specify in this behalf,
of such quantity, measure or value as may be notified, to a dealer whether by
reason of sale or otherwise, shall issue to the purchaser or consignee person of
goods, a transport-memo in prescribed manner and in prescribed form obtained
from the assessing authority having jurisdiction over the area in which principal
place of business of such dealer is situated.
(5) Except as provided in sub-section (4) every dealer liable to pay tax while
consigning or delivering any taxable goods to another dealer whether as a result
of sale or otherwise, shall issue to the purchaser or consignee of goods, a
legible challan or transfer invoice in the prescribed manner containing such
particulars, as may be prescribed,.
(6) Where any goods are transported by road, original copy of transport memo
referred to in sub-section (4), challan or transfer invoice referred to in sub-
section (5), as the case may be, completed in all respects shall accompany the
goods during journey of goods.
(7) Person transporting the goods for delivery to the consignee shall fill in the
particulars in the relevant columns provided on transport memo, challan or
transfer invoice, as the case may be, and shall deliver such transport memo,
challan or transfer invoice to the consignee dealer along with goods.
(7-A) Notwithstanding anything to the contrary contained in sub-sections(4),
(6) and (7) the Commissioner may notify the website in which the
particulars prescribed to be contained in the transport memo referred to
in sub-section(4)shall be entered in respect of any specified class of goods
or any specified class of dealers or as a result of any specified class of
transaction to be notified by him. If the commissioner notifies the
website, the registered dealer who consigns or delivers any goods or class
of goods as notified by the Commissioner, shall enter the prescribed
particulars in the notified website and the proof of entering such
particulars in the website shall accompany the goods during journey of
goods, in the manner prescribed by the Commissioner.
Accounts and
documents to
be maintained
by dealers
Accounts and
31
(8) Every dealer who receives any form of declaration or certificate prescribed
under this Act or rules made thereunder, from its assessing authority or from
any other person, shall use them in the prescribed manner and shall keep an
account, in the prescribed manner, of all such used and unused forms of
declaration or certificates including forms of declaration or certificates received
from other persons.
(9) No dealer shall transfer to any person and no person shall receive from any
person any certificate or any form of declaration prescribed under the rules
made under this Act except as provided under this Act or the rules made
thereunder.
(10) Where a dealer disposes of taxable goods in more than one of the following
ways:
(i) makes sale of goods inside the State; or
(ii) consigns goods to other dealers for sale inside the State; or
(iii) makes sale of goods in the course of inter-state trade or commerce;
or
(iv) makes sale of goods in the course of the export of the goods out of
or in the course of the import of the goods into, the territory of
India; or
(v) consigns goods outside the State otherwise than as a result of sale,
shall, as far as possible, keep separate account of purchase, sale,
receipt and dispatch of goods for each such purpose.
(11) A dealer who claims input tax credit under section 13 shall maintain a register
in respect of tax period wise computations of amount of input tax credit.
(12) A dealer who maintains or keeps books, accounts or documents in a computer,
shall also maintain day to day print out of all such books, accounts and
documents.
(13) Every dealer liable to pay tax shall prepare an inventory of all goods held in
stock, as mentioned hereunder, along with their purchase value, on following
dates:
(a) goods held in opening stock on the date on which the dealer becomes
liable to pay tax;
(b) goods held in closing stock on the last date of each assessment year;
(c) goods held in closing stock on the date of discontinuance of business;
(d) in the case of a dealer who has opted for payment of composition
money under section 6,
(i) goods held in opening stock on the date on which
provisions of section 6 has become applicable and;
(ii) goods held in opening stock on the date on which
provisions of section 6 ceases to apply;"
Provided that a manufacturer shall also prepare a list of goods used or
consumed in manufacture, processing or packing of any manufactured or
semi-manufactured goods held in stock on the aforesaid dates along with
their purchase value.
(14) Where in any tax invoice, issued by the registered selling dealer to the
registered purchasing dealer, in respect of sale of any goods, amount shown
as tax exceeds the amount of tax payable on such sale under this Act, such
selling dealer, within 30 days from the date of issue of tax invoice, shall
provide such purchasing dealer with a credit note of excess amount realized
as tax and the purchasing dealer shall provide to the selling dealer with a
debit note of such amount containing such requisite particulars as may be
prescribed.
(15) Where in respect of sale of any goods, amount of tax payable under this Act
exceeds amount shown as tax in the tax invoice issued by the registered
selling dealer to the registered purchasing dealer, such selling dealer, within
30 days from the date of issue of tax invoice, shall provide to such purchasing
dealer with a debit note of differential amount of tax and the purchasing
dealer shall provide to the registered selling dealer a credit note containing
such requisite particulars as may be prescribed.
32
(16) In case of goods returned or rejected by the purchaser, a credit note shall be
issued by the selling dealer to the purchasing dealer and debit note shall be
issued by the purchasing dealer to the selling dealer containing such requisite
particulars as may be prescribed:
.
(17) If in respect of any particular assessment year, gross turnover of purchase or
sale or both, as the case may be, of any dealer exceeds rupees one crore, then
such dealer shall get his accounts verified and audited by a specified authority
within six months from end of that assessment year and obtain within that
period a report of such audit in the prescribed form duly signed and verified
by such specified authority along with such particulars as may be prescribed.
A true copy of such report shall be furnished by such dealer to the assessing
authority within such period as may be prescribed.
Explanation: For the purpose of this section, expression “specified authority”
means-
(i)a Chartered Accountant within the meaning of the Chartered
Accountants Act, 1940 and includes persons by virtue of provisions of
sub-section (2) of section 226 of the Companies Act, 1956, is entitled to
be appointed to act as an auditor of companies;
(ii)a Cost Accountant within the meaning of the Cost and Works
Accountant Act, 1959;
(18) If any dealer liable to get his accounts audited under sub-section (1) fails to
furnish copy of such report within the prescribed time, the assessing authority
shall, after giving the dealer a reasonable opportunity of being heard, impose
on him in addition to tax payable, a sum by way of penalty not exceeding ten
thousand rupees, as he may determine.
22. (1) In respect of all taxable goods, except non-vat goods, in the circumstances
mentioned below, every registered dealer except a dealer who opts for payment
of composition money under section 6, where such dealer is liable for payment
of tax on sale of any such goods, shall, while making sale of the goods, issue to
the purchaser, tax invoice containing such particulars as may be prescribed
including name and complete address and Taxpayer's Identification Number, if
any, of the person purchasing the goods, and shall charge separately on such tax
invoice the amount of tax payable by him, where such goods are sold to -
(i) a registered dealer; or
(ii) an official or personnel of any foreign diplomatic mission or consulate
in India; or
(iii) the United Nations or any other similar International body, entitled to
privileges under any convention to which India is a party or under any
other law for the time being in force; or
(iv) any consulate or diplomatic agent of any mission, the United Nations
or other body referred to in clause (ii) or clause (iii); or
(v) any developer or co-developer of any Special Economic Zone, for use
or consumption in the authorized operations:
(2) The dealer selling the goods referred to in sub-section (1) shall prepare tax
invoice referred to in sub-section (1) in three copies marked original, duplicate
and office copy and shall deliver copies marked original and duplicate to the
person purchasing the goods. Copy of tax invoice marked as duplicate shall
accompany the goods during transportation of such goods.
(3) All dealers except as provided in sub-section (1), shall issue sale invoice to the
purchaser in such manner and containing such particulars as may be prescribed.
Explanation- in this sub-section sale invoice means any invoice in the nature of
bill, invoice, cash/credit memo containing such particulars as may be
prescribed.
(4) Subject to provisions of sub-section (1) and sub-section (3), every taxable dealer
shall, in respect of sale of all goods, where–
(i) sale value of single sale exceeds the amount prescribed in this behalf; or
(ii) purchaser of goods demands sale invoice; or
Tax invoice, sale
invoice and purchase
invoice to be issued
by a dealer
33
(iii) any other law prescribes for issue of a sale invoice in respect of sale of
any goods; or
(iv) selling dealer as a practice issues a sale invoice in respect of sales made
by him,
issue to the purchaser a sale invoice in the prescribed manner
containing such particulars as may be prescribed.
(5) Every dealer referred to in sub-section (1) shall charge amount of tax
payable separately on every tax invoice. However, the dealer referred in
sub-section (3) may charge tax separately.
(6) Office copy of tax invoice, sale invoice as the case may be, prepared by the
selling dealer and copies of tax invoice, sale invoice, as the case may be,
received by the purchasing dealer shall be preserved by them for the period
provided under sub-section (3) of section 21."
(7) Every dealer, while making purchase of any goods from a registered dealer,
shall give his name, address and taxpayers’ identification number, if any, to the
selling dealer.
(8) The dealer, making sale of goods to any purchaser referred to in sub-section (1),
shall not issue tax invoice to such purchaser unless the purchaser has furnished
his name, complete address and taxpayer's identification number.
(9) Where a dealer liable to pay tax makes purchase of any taxable goods from a
person other than a registered dealer and if the person selling such goods does
not issue cash memo or bill, the purchasing dealer shall issue to the person
selling the goods a purchase invoice in respect of such purchase in the
prescribed manner containing such particulars as may be prescribed and shall
obtain signature or thumb impression of the person selling the goods.
(10) The purchasing dealer referred to in sub-section (9) shall prepare purchase
invoice in two copies marked as original copy and office copy. The purchasing
dealer shall deliver original copy of such purchase invoice to the person selling
the goods and shall preserve office copy of such purchase invoice for the period
prescribed under sub-section (3) of section 21.
23- (1) (a) No person who is not a dealer registered under this Act, shall in respect of any
sale or purchase made by or through him, realize from any person any amount
by way of tax on sale or purchase of goods or any amount in lieu of tax on sale
or purchase of goods by giving it different name or colour and no dealer
registered under this Act, shall in respect of any sale or purchase made by or
through him, realize from any person, other than a person to whom goods are
sold by him, any amount by way of tax on sale or purchase of goods, or any
amount in lieu of tax on sale or purchase of goods by giving it different name or
colour;
(b) Where tax is payable on sale or purchase of goods on any turnover by a dealer
including a commission agent or any person mentioned in clause (h) of section 2
registered under this Act, such dealer may recover an amount, equivalent to the
amount of tax on sale or purchase of goods payable, from the person to whom
any such goods is sold by him, whether on his own account or on behalf of his
principal.
(2) Where –
(i) the amount of tax charged in tax invoice or sale invoice, as the case
may be, exceeds the amount of tax payable; or
(ii) the amount of tax payable in respect of a sale exceeds the amount of
tax charged in a tax invoice or a sale invoice, as the case may be, or
(iii) a tax invoice or sale invoice has been issued by the selling dealer to the
purchasing dealer in respect of any goods but such goods or any part of
such goods is returned or rejected by such purchasing dealer,
debit note and credit note, of the amount of tax involved in each case, shall be
issued in accordance with provisions of sub-sections (14), (15) and (16) of section
21.
Realization of
tax on sale or
purchase of
goods
34
(3) Except as provided in section 34, no person shall deduct any amount as tax from
the amount payable to the person selling the goods.
(4) No dealer shall include the amount of tax already paid on the purchase of goods
in the sale price of such goods resold or goods manufactured by using such
goods.
CHAPTER – IV
Assessments, Payment, Recovery and Collection of Tax
24. (1) Every taxable dealer including a dealer from whom any amount of tax has been
deducted at source under section 34, shall, for such tax period and within such
time, as may be prescribed, submit tax return of his self assessed turnover and
tax, in such form and verified in such manner as may be prescribed, but the
assessing authority may in its discretion and for reasons to be recorded, extend
the date for submission of the return by any dealer or class of dealers:
Provided that every taxable dealer, including a dealer who claims
input tax credit, shall also submit along with tax return a list of-
(i) purchases of goods made from registered dealer in respect of which the
dealer has received tax invoices;
(ii) sales of goods made to registered dealers in respect of which the dealer
has issued tax invoices; and
(iii) sale made to dealers to whom sale invoices have been issued in the
names of such dealers,
containing such particulars as may be prescribed:
(2) Before submitting the tax return under sub-section (1), the dealer shall, in the
manner prescribed, deposit the net amount of tax payable shown in such tax
return alongwith amount, if any, realized in excess of amount of tax due under
this Act from purchasers of goods during the tax period.
(3) Every person or dealer to whom provisions of section 34 apply, shall, in respect
of dealers from whom any amount of tax has been deducted, submit such
statement within such time as may be prescribed.
(4) Where as a consequence of the date for the submission of return being extended
under sub-section (1) on the application of the dealer, the deposit of tax under
sub-section (2) is deferred, there shall be payable simple interest at the rate of
one and quarter percent per men sum on such deposit for the period
commencing on the last date prescribed for submission of the tax return and
ending with the date of deposit of such amount.
(5) If any dealer discovers any omission or other error in any tax return submitted
by him, he may, at any time before the expiry of the time prescribed for
submitting the next tax return, submit a revised tax return. If the revised tax
return shows a greater amount of tax to be due than was shown in the original
return, the dealer shall also deposit separately the difference of tax due and the
interest payable under sub-section (4) as if the time for submitting the original
tax return had been extended on the application of the dealer to the date of
submission of the revised tax return. If, the revised tax return shows lesser
amount of tax to be due than was shown in the original tax return the dealer
may adjust the excess amount towards the tax due for the subsequent tax
periods.
(6) If goods sold by a dealer are returned to him by the purchaser within six months
of the date of sale, and assessment of the selling dealer for the year to which
such sale relates is as yet to be made, the selling dealer, and where goods
purchased by a dealer are returned to the seller within six months of the date of
purchase, and assessment of the purchasing dealer for the year to which such
purchase relates is as yet to be made, the purchasing dealer, may, within thirty
days of the expiry of the month in which such goods are returned, submit for
that purpose only a revised return for the tax period during which such sale or
purchase, as the case may be, was made.
(7) Every taxable dealer, including a dealer who has carried on business
during part of an assessment year, shall, for such assessment year or for
part thereof as the case may be, submit Annexures of Consolidated Details
within such time and in such form and manner as may be prescribed.
Explanation:- For the purposes of this Act the words "Annexures
of Consolidated Details" shall mean the Annexures containing the details
of purchases and sales and computation of liability of tax in respect of such
purchases and sales as admitted by the dealer for the related assessment
year and shall also embody the details of input tax credit claimed by the
dealer and amount deposited as tax by and on behalf of such dealer during
Submission of
tax returns
36
the corresponding assessment year and such other particulars as may be
prescribed."
(8) Every person to whom provisions of section 34 apply, shall, for each
assessment year, in respect of a dealer from whom amount of tax has been
deducted, submit such details, in such form and manner and within such time as
may be prescribed.
(9) Every person transporting any goods by any public service motor vehicle or by
any vessel and every forwarding agent shall submit to the assessing authority of
the area from which the goods are dispatched such information and documents,
(w.e.f.01.01.2008)as may be prescribed of all goods transported or forwarded
by him. The assessing authority concerned shall have the power to call for and
examine the books of account or other documents in the possession of such
transporter or agent with a view to verifying the correctness of the information
and documents(w.e.f.01.01.2008) submitted and the transporter and agent shall
be bound to furnish the books of account or other documents when so called
for.
25. (1) Where in respect of any tax period of an assessment year-
(i) any dealer has not submitted tax return within the time prescribed or
within the time extended by the assessing authority, or if tax return has
been submitted without payment of tax shown payable in such return;
or
(ii) preliminary examination of tax return, by the assessing authority,
reveals that computations shown in the tax return are wrong or amount
of input tax credit claimed or tax payable shown is incorrect; or
(iii) on the basis of material available on records with the assessing
authority, it appears to the assessing authority that the turnover of sales
or purchases or both, disclosed by the dealer is not worthy of credence;
the assessing authority may, after making such inquiry as it may
deem fit and after giving a reasonable opportunity of being heard to the dealer,
determine -
(i) to the best of its judgment the turnover, amount of tax payable and
amount of input tax credit admissible, where the dealer has not
submitted tax return or if the tax return has been submitted, the
assessing authority is of the opinion that turnover disclosed by the
dealer in such return is not worthy of credence; or
(ii) the amount of tax payable and amount of input tax credit admissible, in
any other case,
by passing a provisional order of assessment for such tax
period.
(2) No provisional order of assessment, under sub-section (1) for any tax
period of an assessment year, shall be made after the dealer has submitted
Annexures of Consolidated Details, and where such Annexures have not
been submitted by the dealer, after expiration of the time prescribed or
extended by the assessing authority, for submission of such Annexures .
(3) Amount of tax, assessed under sub-section (1) in excess of the amount of tax
deposited by the dealer, shall be paid by the dealer in the prescribed manner
and within a period of thirty days from the date of service of the order of
assessment and prescribed notice of demand on him.
26. Subject to provisions of this Act, in respect of every taxable dealer, for each
assessment year, there shall be an assessment of tax payable by him and
amount of input tax credit admissible to him:
Provided that where the dealer has carried on business during a
part of the assessment year, such assessment shall be for such part of
the assessment year:
Provided further that in case of person who being a dealer other
than a registered dealer brings any taxable goods from outside the
Assessment of tax
for a tax period
Assessment of
tax for an
assessment
year
37
State, the assessing authority may make separate assessments for each
receipt of such goods by the dealer,
the assessing authority may make separate assessments for each such
authorisation for transit of goods or receipt of goods by the dealer, as the case
may be.
(The second Proviso substituted w.e.f. 20-08-2010 vide notif. no 1101(2) dt.
20-08-2010, U.P. Act No 19 of 2010)
26A- (1)Notwithstanding anything to the contrary contained in any other provision of
this Act, a casual trader shall-
(a)inform the assessing authority at least three days before beginning of his
business in Uttar Pradesh, such particulars of his business in such form and
in such manner as may be prescribed;
(b)deposit security in cash or in the form of bank draft, of such amount as
may be fixed by the assessing authority which shall not exceed estimated
liability to pay tax for such period for which the casual trader is
conducting the business in Uttar Pradesh;
(c) pay tax daily on sales made during the previous day;
(d)furnish to the assessing authority next day after the conclusion of his
business in Uttar Pradesh, a return in the prescribed form and manner; and
(e) not issue any tax invoice.
(2) The assessing authority shall, after verification of information furnished to
him under clause (a) and receiving the security under clause (b) of sub-
section (1), shall register the casual trader.
(3) After registration of casual trader, the assessing authority shall issue the
required forms to him for use as the declaration or certificate referred to in
section 50 and 51 of this Act for bringing goods for sale in Uttar Pradesh
and the casual trader shall maintain complete account of the used forms and
surrender the unused forms along with the return referred to in clause (d) of
sub-section (1).
(4) The assessing authority shall, after examining the return furnished by the
casual trader under clause (d) of sub-section (1), the forms referred to in
sub-section (3) and the accounts maintained by him including the sale
invoices issued, assess him to tax within one week and shall serve upon him
a notice of assessment and demand and after adjusting any tax and any other
dues payable under this Act, refund the balance amount of security to him in
case security is deposited.
(5) The casual trader shall pay immediately the amount mentioned in the notice
of assessment and demand.
(6) On being satisfied that the amount due has been paid the assessing authority
shall release the security or balance security, as the case may be.
(7) Notwithstanding anything to the contrary contained in any other provision of
this Act, the taxable quantum referred to in section 3 in respect of a casual
trader shall be nil.
Explanation:- In this section casual trader means a person who, whether as
principal, agent or in any other capacity undertakes occasional transactions
in the nature of business involving buying, selling, supply or distribution of
goods or conducting any exhibition-cum-sale in Uttar Pradesh whether for
cash, differed payment, commission, remuneration or other valuable
consideration.
27. (1) Subject to provisions of section 28, every dealer, who has submitted the
return of last tax period as well as the prescribed Annexures of
Consolidated Details in the prescribed form and manner, shall be deemed
to have been assessed to an amount of tax admittedly payable on the
turnover of purchase or sale or both, as the case may be, disclosed in such
Annexures and to an amount of input tax credit shown admissible in such
Annexures.
(2) For all purposes under this Act and rules made there under –
Self
assessment
Special provision
relating to casual
traders
38
(a) Annexures of Consolidated Details submitted by a dealer, shall be
deemed to be an assessment order and facts disclosed or figures
mentioned in such Annexures shall be deemed part of such
assessment order; and
(b) last date of the assessment year succeeding the assessment year in
which the date prescribed for submission of such Annexures of
Consolidated Details falls, shall be deemed to be the date of such
assessment order.
28. (1) In following types of cases or dealers, the assessing authority, after detailed
examination of books, accounts and documents kept by the dealer in relation
to his business and other relevant records, if any, and after making such
inquiry as it may deem fit, subject to provision of sub-section (9), shall pass
an assessment order for an assessment year in the manner provided in this
section: -
(a) in cases of such dealers as are specified or selected for tax audit by
the Commissioner or any other officer, not below the rank of a Joint
Commissioner, authorized by the Commissioner in this behalf; in
such manner and within such time as may be prescribed.
(b) in case of a dealer falling in any of the categories below,
(i) dealer who has not submitted Annexures of Consolidated
Details or revised Annexures of Consolidated Details of
turnover and tax, within the time prescribed or extended;
or such Annexures of Consolidated Details contain wrong
or incorrect particulars or do not accompany declaration
or certificate for exemption or reduction in the rate of
tax, or
(ii) dealer by whom tax return for one or more tax periods of the
assessment year have not been submitted; or
(iii) dealer in whose case assessing authority has passed
provisional assessment order under section 25 in respect of
one or more tax periods to the best of its judgment; or
(iv) dealer in whose case, on the basis of material available on
records, if the assessing authority is satisfied that the
turnover of sales or purchases or both, as the case may
be, and amount of tax shown payable as disclosed by the
dealer in Annexures of Consolidated Details are not
worthy of credence or tax shown payable in these
Annexures has not been deposited by the dealer, or the
amount of input tax credit claimed is wrong or the
amount of tax payable shown is incorrect; or
(v) dealer who has prevented or obstructed an officer
empowered to make audit, survey, inspection, search or
seizure under the provisions of this Act; or
(vi) (omitted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-08-
2010, U.P. Act No 19 of 2010)
Provided that where the aggregate turnover of any dealer, does not exceed rupees twenty five lakh or
such larger amount as may be determined by the State Government from time to time, in any
assessment year, the Commissioner shall determine the parameters and modalities to select the
dealers for the annual assessment after examining the books of accounts or records of such
dealers:
Provided further that notwithstanding anything contained in section 26, the dealer not selected under
the first proviso shall be deemed to have been assessed, on the last date of assessment year
succeeding the assessment year in which the date of filing of annexures of consolidated details of
the assessment year falls*
*Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
Assessment of
tax after
examination
of Records
39
(2) Where after examination of books, accounts, documents and other records
referred to in sub-section (1), -
(i) the assessing authority is satisfied about correctness of turnover of
sale or purchase or both, as the case may be, disclosed by the
dealer, it may assess the amount of tax payable by the dealer on
such turnover and determine the amount of input tax credit
admissible to the dealer or amount of reverse input tax credit
payable by the dealer; and
(ii) where assessing authority is of the opinion that turnover of sale or
purchase or both, as the case may be, disclosed by the dealer is not
worthy of credence, it may determine to the best of its judgment the
turnover of sale or purchase or both, as the case may be, and assess
the tax payable on such turnover and determine admissible amount
of input tax credit and reverse input tax credit payable by the
dealer.
(3) Before making an assessment under sub-section (2), dealer shall -
(i) be required to furnish Annexures of Consolidated Details if he
has not already submitted such Annexures;
(ii) be given reasonable opportunity of being heard; and
(iii) be served with a notice to show cause, where determination of
turnover, input tax credit or reverse input tax credit, or assessment
of tax, all or any one of them, as the case may be, are to be made
to the best of the judgment of the assessing authority.
(4) The show cause notice referred to in sub-section (3) shall contain all such
reasons on which the assessing authority has formed its opinion about
incorrectness of the turnover of sale or purchase or both, as the case may be,
amount of tax, amount of input tax credit or amount of reverse input tax
credit:
(5) Order of assessment shall be in writing and copy of assessment order along
with prescribed notice of demand of the balance amount of tax, if any, to be
deposited by the dealer, shall be served on the dealer.
(6) Dealer shall deposit amount of tax assessed in excess of amount of tax
deposited by him for the assessment year, within a period of thirty days after
the date of service of the assessment order and notice of demand.
(7) Where the amount of tax deposited by the dealer is found in excess of tax
assessed, the same shall be refunded to the dealer according to the
provisions of this Act.
(8) Assessing authority shall not be precluded from making assessment order
under this section on the ground of passing of any provisional assessment
order in respect of any tax period under section 25 and such provisional
assessment order, if any, shall stand merged in the assessment order passed
under this section.
(9) Notwithstanding anything to the contrary in any other provision of this Act,
where an unregistered dealer brings any taxable goods from outside the State
more than once during an assessment year, separate assessment relating to
goods brought on each occasion may be made for the same assessment year.
(sub-section (9) was substituted w.e.f. 20-08-2010 vide notif. no 1101(2) dt.
20-08-2010, U.P. Act No 19 of 2010
(10) The provisions of this Act shall apply to each assessment order passed under
sub-section (9) as they apply to an order passed under sub-section (2).
(11) Dealers under sub-section (9) shall not be required to furnish
Annexures of Consolidated Details and in cases of such dealers
assessment under sub-section (9) may be made even before the expiry
of the assessment year.
(12) Provisions of sub-sections (5), (6) and (7) shall, mutatis mutandis, apply to
every assessment order passed under any provisions of this Act.
29. (1) If the assessing authority has reason to believe that the whole or any part of the
turnover of a dealer, for any assessment year or part thereof, has escaped
assessment to tax or has been under assessed or has been assessed to tax at a
Assessment of
tax of turnover
escaped from
assessment
Assessment of
40
rate lower than that at which it is assessable under this Act, or any deductions
or exemptions have been wrongly allowed in respect thereof, the assessing
authority may, after issuing notice to the dealer and making such inquiry as it
may consider necessary, assess or re-assess the dealer to tax according to law :
Provided that the tax shall be charged at the rate at which it would have
been charged had the turnover not escaped assessment or full assessment as the
case may be.
Explanation I:- Nothing in this sub-section shall be deemed to prevent the
assessing authority from making an assessment to the best of
its judgment.
Explanation II:- For the purpose of this section and of section 31, "assessing
authority" means the officer or authority who passed the
earlier assessment order, if any, and includes the officer or
authority having jurisdiction for the time being to assess the
dealer.
Explanation III:- Notwithstanding the issuance of notice under this sub-section,
where an order of assessment or re-assessment is in existence
from before the issuance of such notice it shall continue to be
effective as such, until varied by an order of assessment or
re-assessment made under this section in pursuance of such
notice.
(2) Assessment order for any tax period of an assessment year may be made within
the time prescribed under section 25.
(3) Except as otherwise provided in this section or elsewhere in this Act, no order
of assessment or re-assessment under any provision of this Act for any
assessment year shall be made after the expiration of three years from the end
of such assessment year:
(4) Where the notice under sub-section (1) for any assessment year has been served
within a period of three years after expiry of the assessment year to which
assessment or re-assessment relates, the assessment or re-assessment may be
made within a period of three years and six months after the expiry of such
assessment year.
(5) Where appellate authority, revising authority, Tribunal, High Court,
Commissioner or the State Government has -
(a) set aside an order of assessment or re-assessment and has remanded the
case to the assessing authority; or
(b) for want of reasonable opportunity of being heard, set-aside or has directed
the assessing authority to set aside an ex parte order of assessment or re-
assessment; or
(c) quashed any order of assessment or re-assessment for want of jurisdiction
or for want of notice,
the assessing authority may make order of assessment or re-
assessment before expiry of the assessment year succeeding the assessment
year in which such order or direction is received by the assessing authority by
due process:
Provided that where any assessment or re-assessment order is quashed
by any authority or Court, for want of notice or for want of jurisdiction, the
order of assessment or re-assessment may be made, within the time mentioned
above in this sub-section, by the competent assessing authority after serving
notice on the dealer.
(6) Where an order of assessment or re-assessment has been set aside by the
assessing authority himself under section 32, a fresh order of assessment or re-
assessment may be made before expiry of the assessment year in which such
order of assessment or re-assessment has been set aside:
Provided that if an order of assessment or re-assessment made ex parte
is set aside on or after first day of October in any assessment year, fresh order
of assessment or re-assessment may be made on or before thirtieth day of
September of the assessment year succeeding the assessment year in which
such ex parte order of assessment or re-assessment was set aside.
41
Provided further that where second or subsequent time any order of
assessment or reassessment is made ex parte and where such second or
subsequent ex parte order of assessment or reassessment is to be set aside and a
fresh order of assessment or reassessment may be made within the time
aforementioned when the first ex parte order is set aside.
(7) Where the Commissioner, on his own or on the basis of reasons recorded by the
assessing authority, is satisfied that it is just and expedient so to do, authorises
the assessing authority in that behalf, such assessment or re-assessment may
be made within a period of eight years after expiry of assessment year to
which such assessment or re-assessment relates notwithstanding such
assessment or re-assessment may involve a change of opinion:
Provided that it shall not be necessary for the Commissioner to hear the
dealer before authorising the assessing authority.
(8) Where the proceedings for assessment or re-assessment for any assessment year
remain stayed under the order of any court or authority, the period
commencing on the date of stay order and ending with the date of receipt by
the assessing authority concerned of the order vacating stay, shall be excluded
in computing the period of limitation provided in this section:
Provided that if in computing the limitation as aforesaid, the last date for
passing an assessment or re-assessment falls on any date before first day of
October in any assessment year, assessment or re-assessment may be made
before the expiry of such assessment year and in a case in which such date
falls after thirtieth day of September of any assessment year, order of
assessment or re-assessment may be made before the expiry of the assessment
year subsequent to assessment year in which such date falls.
(9) Where in the assessment or re-assessment of a dealer for any assessment year,
any assessing authority, -
(a) has included any turnover and any superior authority or Court has, in
exercise of the powers lawfully vested in it, held such turnover to relate
to the assessment of-
(i)such dealer for any other assessment year, or
(ii)such dealer under the Central Sales Tax Act, 1956, or
(iii)any other dealer, whether under this Act, or under the Central
Sales Tax Act, 1956,
(b) has not included any turnover on the ground that it relates to
assessment under the Central Sales Tax Act, 1956 and any superior
Authority or Court has, in exercise of the powers lawfully vested in it,
held such turnover to relate to the assessment of that dealer under this
Act, whether for such assessment year or any other assessment year,
then nothing contained in this section limiting the time shall apply to
assessment or re-assessment whether under this Act or under the Central Sales
Tax Act, 1956 of such dealer or such other dealer, relating to such assessment
year or such other assessment year, as the case may be.
(10) Where the assessing authority has reason to believe that any person with a
view to evade payment of tax or in order to claim any input tax credit or rebate
which he otherwise is not eligible for or was carrying on business in the name
of, or in association with any other person either directly or indirectly, whether
as an agent, employee, manager, partner or power of attorney holder or
guarantor, relative or sister concern or in any other capacity, such person and
the person in whose name the registration certificate is taken, shall be liable
severally and jointly for payment of tax, interest or penalty which shall be
assessed, levied and recovered from all or any such person as if such person or
persons are dealers under this Act. However, before taking any action, the
person concerned shall be given an opportunity of being heard.
(11) Where the State Government is of the opinion that due to any extra-ordinary
circumstances prevalent in any assessment year in the State or any part of it, it
will be difficult to complete assessment or re-assessment in any case or class
of cases in respect of which limitation for passing assessment or re-assessment
expires in such assessment year, for the purpose of making assessment or re-
assessment in such a case or class of cases, it may, by notification in the
42
Gazette, extend the time limit up to one year beyond the time limit prescribed
under this section.
(12) Where in an agreement between seller and purchaser it is agreed upon that sale
price of goods due to price escalation shall be settled on a later date and in the
circumstances such date falls in any assessment year subsequent to the
assessment year in which such goods were sold, amount receivable due to
price settlement, for all purposes under this Act, shall be deemed part of the
turnover of the assessment year in which sale was made and where limitation
for assessment of tax on such turnover ,
as provided in this section
*has expired, such
part of turnover may be assessed before the expiry of the assessment year
succeeding the assessment year in which such settlement is made, but the tax
on such turnover of sale shall be charged at the rate prevalent at the time of
sale.
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
30. (1) The amount of turnover, determined in the prescribed manner shall if such
amount is not in the multiple of ten, be rounded off to the nearest multiple of
ten rupees, that is to say, a part of ten rupees which is less than five rupees shall
be ignored and any other part shall be counted as ten rupees. The amount so
rounded off shall be deemed to be the turnover of the assessee for the purpose
of assessment of tax under this Act.
(2) The amount of tax, fee, interest, penalty or any other sum payable or the
amount of refund due under the provisions of this Act shall, where such amount
contains part of a rupee, be rounded off to the nearest rupees, that is to say, a
part of a rupee which is less than fifty paise shall be ignored and any other part
shall be counted as one rupee.
31. (1) Any officer, authority, the Tribunal or the High Court may on its own motion
or on the application of the dealer or any other interested person rectify any
mistake apparent on the face of record, in any order passed by him under this
Act, within three years from the date of the order sought to be rectified:
Provided that where an application under this sub-section has been made
within such period of three years, it may be disposed of even beyond such
period:
Provided further that no rectification which has the effect of enhancing the
assessment, penalty, fees or other dues, shall be made unless reasonable
opportunity of being heard has been given to the dealer or other person likely to
be affected by such enhancement.
(2) Where such rectification has the effect of enhancing the assessment, the
assessing authority shall serve on the dealer a revised notice of demand in
the prescribed form and therefrom all the provisions of this Act shall apply
as if such notice had been served in the first instance.
32.(1)In any case in which an order of assessment or re-assessment or rejection of
application for registration or order of penalty is passed exparte, the dealer may
apply to the assessing authority within thirty days of the service of the order to set
aside such order and re-open the case; and if such authority is satisfied that the
applicant did not receive notice or was prevented by sufficient cause from
appearing on the date fixed, it may set aside the order and reopen the case for
hearing:
Provided that no such application for setting aside an exparte assessment
order shall be entertained unless it is accompanied by satisfactory proof of the
payment of the amount of tax to be due under this Act on the turnover of sales or
purchases, or both, as the case may be, admitted by the dealer in the returns filed
by him or at any stage in any proceeding under this Act, whichever is greater.
(2) Where an assessment order under sub-section (1) of section 25 is passed, exparte,
the dealer may apply to the Assessing Authority within thirty days of the service
of the order, to set aside such order and if such authority is satisfied that the dealer
Rounding off
of turnover
and tax
Rectification
of mistakes
Power to set
aside exparte
order of
assessment or
penalty
43
has filed the tax return and deposited the tax due according to the tax return within
thirty days from the last day prescribed for filing such tax return, it may modify or
set aside such order and also the demand notice, if any, issued thereunder.
(3) In any case in which any assessment or re-assessment has been made ex parte
and –
(a) appeal under section 55 against such order has been dismissed as
barred by time;
(b) in appeal before the Tribunal under section 57, order, passed by the
Appellate Authority under section 55, has been confirmed; and
(c) Commissioner or Additional Commissioner designated by the
Commissioner, after giving reasonable opportunity of being heard to
the dealer, is satisfied that-
(i)dealer, at any stage during the period of assessment or
reassessment proceedings, had no notice of initiation of such
proceedings;
(ii)as a result of ex parte assessment or reassessment, without proper
basis amount of tax has been levied;
(iii)undue hardship will be caused to the dealer if such assessed tax
is realized from him; and
(iv)if, after giving reasonable opportunity of being heard to the
dealer, tax is reassessed, demand created by earlier order of
assessment or reassessment may stand reduced to a large extent,
he may direct the assessing authority to set aside such ex parte order of assessment
or reassessment and to make assessment or reassessment after affording reasonable
opportunity to the dealer, if the dealer presents an application before the
Commissioner within a period of sixty days from the date on which dealer receives
the order passed by the Tribunal under section 57.
33. (1) Any amount of tax or fee or penalty or any other amount, which a dealer or
other person is liable to pay under this Act, shall be deposited by the dealer or
such other person in the prescribed manner.
(2) Subject to provisions of section 42, the tax admittedly payable, shall be
deposited within the time prescribed, failing which simple interest at the rate of
one and quarter percent per mensum shall become due and be payable on
unpaid amount with effect from the day immediately following the last date
prescribed till the date of payment of such amount and nothing contained in
section 24 shall prevent or have the effect of postponing liability to pay such
interest:
Explanation : For the purposes of this sub-section ,the tax admittedly payable for a tax period or an assessment year , as the
case may be , shall be computed in accordance with provisions of section 15 and shall include the
amount payable under section 8-A.*
*
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
(3) Subject to other provisions of this Act, the amount of tax assessed under this
Act in excess of amount of tax already deposited, the amount of interest
payable thereon, any amount imposed by way of penalty and any other amount
determined payable under this Act shall be deposited in the manner specified,
within thirty days of the service of the order-
(a) of assessment and notice of demand in case of tax assessed and interest
payable;
(b) imposing penalty or determining any other amount payable, as the case
may be.
(4) If the tax {other than the tax admittedly payable to which sub-section (2)
applies} assessed, re-assessed or enhanced by any authority or court remains
unpaid after expiration of the period specified in the notice of assessment and
demand, simple interest at the rate of one percent per mensum on the unpaid
Payment and
recovery of
tax
44
amount calculated from the date of such expiration shall become due and be
payable:
(5) The amount of interest payable under this section shall be without prejudice to
any other liability or penalty that the dealer may incur under this Act or under
any other law for the time being in force, and shall be added to the amount of
tax and be also deemed for all purposes to be part of the tax.
(6) Where realisation of any tax remained stayed by any order of any court or
authority and such order of stay is subsequently vacated, the interest shall be
payable also for any period during which such order remained in operation.
(7) Notwithstanding anything contained in any other law or contract to the
contrary, 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 -
(a) any person from whom any amount is due or may become due to the
dealer; or
(b) any person who holds or may subsequently hold money for or on
account of the dealer;
to pay to the assessing authority -
(i)forthwith upon the money becoming due or being held; or
(ii)at or within the time specified in the notice not being before the
money becomes due or is held,
so much of the money as is sufficient to pay the amount due by the dealer in
respect of arrears of tax and other dues under this Act, or the whole of the
money when it is equal to or less than that amount:
Provided that the assessing authority may at any time or from time to
time revoke or amend such notice.
Explanation - For the purposes of this sub-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 claim, if any, as may have fallen due for payment by
such dealer to such person and as may be legally subsisting.
(8) Any person making any payment in compliance with notice under sub-section
(7) 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 dealer to the extent the amount
referred to in the receipt.
(9) Any person discharging any liability to the dealer after receipt of the notice
referred to in sub-section (7) shall be personally liable to the assessing authority
to the extent of the liability discharged or to the extent of the amount mentioned
in such notice, whichever is less.
(10) Where a person, to whom a notice under sub-section (7) is sent, proves to the
satisfaction of the assessing authority that sum demanded or any part thereof is
not due 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, as the case may be,
to the assessing authority.
(11)Any tax or other dues payable to the State Government under this Act, any
amount of money which a person is required to pay to the assessing authority
under sub-section (7) or for which he is personally liable to the assessing
authority under sub section (9) shall, notwithstanding anything contained in any
other law for the time being in force and subject to any special or general order
of the State Government, be recoverable as arrears of Land Revenue, or in the
prescribed manner by the assessing authority or any other officer authorised by
the State Government in that behalf and such authority or officer shall, for the
purposes of such recovery -
(a) have all the powers which a Civil Court has under the Code of Civil
Procedure, 1908 for the purpose of recovery of an amount due under a
decree;
(b) have the power to require the assessing authority or such authorised
officer, having jurisdiction in any other area to make such recovery if
the defaulter is or has property within the area of such other assessing
45
authority or officer, and thereupon such other assessing authority or
officer shall proceed to make recovery in prescribed manner;
(12) In respect of any sum recoverable under this Act as arrears of land revenue, the
assessing authority may forward to the Collector a certificate under his
signature specifying the sum due. Such certificate shall be conclusive evidence
of the existence of the liability of its amount and of the person who is liable and
the Collector on receipt of the certificate shall proceed to recover from such
person the amount specified therein as if it were an arrear of land revenue:
Provided that without prejudice to the powers conferred by this section the
Collector shall, for the purpose of recovering the amount specified in the
certificate, have also all the powers which -
(a) a Collector has under the Revenue Recovery Act 1890; and
(b) a Civil Court has under the Code of Civil Procedure, 1908, for the
purpose of recovery of an amount due under a decree.
Explanation: - The expression Collector includes an Additional Collector or
any other officer authorised to exercise the powers of a
Collector under the law relating to land revenue for the time
being in force in the State.
(13) Notwithstanding anything contained in sub-section (2) and sub-section (3) and
notwithstanding any judgment, decree or order of any Court, Tribunal or other
authority, where any notice of assessment and demand in respect of any tax or
other dues under this Act, is served upon a dealer by an assessing authority and
an appeal, revision or other proceeding is filed in respect of such tax or dues
then-
(a) where as a result of such appeal, revision or other proceeding the
amount of such tax or other dues is enhanced, the assessing authority
shall serve upon the dealer a fresh notice only in respect of the amount
by which such tax or other dues are enhanced, and any proceeding in
relation to the amount specified in the notice already served upon him
before the disposal of such appeal, revision or other proceeding may be
continued from the stage at which it stood immediately before such
disposal;
(b) where as result of such appeal, revision or other proceeding the amount
of such tax or other dues is reduced -
(i) it shall not be necessary to serve upon the dealer a fresh notice
but only the reduced amount shall be realized;
(ii) if any recovery proceedings are pending before any officer or
authority other than the Assessing authority, the Assessing
Authority shall intimate such reduction to such officer or
authority;
(iii) any proceeding initiated on the basis of the notice or notices
served upon the dealer before the disposal of such appeal,
revision or other proceedings, including any recovery
proceeding, may be continued in relation to the amount so
reduced from the stage at which it stood immediately before such
disposal.
(c) No fresh notice shall be necessary in any case where amount of the tax
or other dues is not enhanced (with reference to the amount assessed by
the Assessing authority) as a result of such appeal, revision or other
proceedings.
(14) Any amount paid or deposited by, or recovered from, or refundable to a
dealer, shall first be adjusted towards the principal amount of tax, fee, penalty
or other dues outstanding against him and the excess if any, shall then be
adjusted towards the interest, if any, due from him.
(15) Where any amount of tax assessed, interest payable or penalty imposed is
recoverable from an owner of a vehicle and for realization of such amount of
tax, interest or penalty, recovery certificate has been issued by the assessing
authority, the officer competent to execute the recovery certificate may take
assistance of police and other officer or official of the State Government in
locating such vehicle or other vehicles of the same owner. If so required by
46
the officer executing the recovery certificate, such other officer or official
shall be empowered to detain such vehicle. Whenever any officer or official
detains any such vehicle, he shall give the cause of detention in writing to the
person in charge of the vehicle at the time of detention and shall immediately
inform the officer executing the recovery certificate. Officer executing the
recovery certificate shall proceed in accordance with law to realise such
amount of tax or penalty:
Provided that if the owner or person in charge of the vehicle proves to
the satisfaction of such officer or official that amount shown recoverable has
already been paid, the vehicle shall be set free:
Provided further that if at the time of detention of vehicle, if some
goods are loaded on it and owner of such goods is a person other than the
owner of the vehicle, the owner or the person in charge of the goods shall be
allowed to remove such goods from such vehicle if he desires so.
(16) During the period of detention of vehicle under sub-section (15), the person-in-
charge of the vehicle at the time of detention shall take all necessary measures
for safety of goods and vehicle and officer or official detaining the vehicle shall
not be responsible for any loss or damage to goods or vehicle.
(17) Notwithstanding anything to the contrary contained in any other provision of
this Act and the rules made there under, the State Government, may grant
moratorium from payment of admitted tax to a power project industrial unit,
subject to such conditions as may be prescribed. (w.e.f.01.01.2008)
Explanation:- For the purposes of this sub-section "admitted tax" shall
include the tax liability of other dealers owned by such unit under sub-section
(11) of section 3. (w.e.f.01.01.2008)
(18) Where any goods has been seized by any competent authority for realization of
tax or penalty leviable under this Act and such goods has been given in the
custody of any person by such authority. If such person fails to return the
goods to the authority in the same form and condition, an amount equal to the
value of goods shall be recovered from such person as an arrear of land
revenue.
34.(1) Without prejudice to any other mode of recovery, payment or collection of tax under
this Act, the State Government may, by notification in the Gazette, direct that, in a
specified case and in the specified circumstances but subject to such conditions as may
be specified, every specified person responsible for making payment to the selling
dealer, for discharge of liability on account of valuable consideration payable on sale of
goods in such cases as may be specified, shall, at the time of making such payment to
the seller, either by credit or in cash or in any other manner, towards satisfaction of tax
payable by the dealer on account of sale of any taxable goods, deduct an amount
determined in the manner specified:
Provided that where in case of a works contract, the contractor has awarded a
sub-contract and the notification provides for deduction of amount by the contractee
from the payments made to contractor, the contractor responsible for making any
payment or discharge of any liability to any sub-contractor, in pursuance of a contract
with the sub-contractor, shall, while making payment to the sub-contractor, deduct
amount of tax referred to above.
Provided further that where in case of a works contract, the contractor has
already made deduction from the payments made to his sub-contractor, the amount of
such payments shall be deducted from the amount on which deduction is to be made by
the contractee to the contractor.
(2) Upon issue of a notification under sub-section (1), where-
(a) a dealer, who makes sale of any taxable goods and in whose case notification
referred to in sub-section (1) applies, for any reason claims that he either is not
liable to pay tax on such sale or is liable to pay as tax an amount lesser than
amount of deduction computed in the manner provided; or
(b) the person responsible for making payments to the dealer selling the goods is
unable to ascertain the turnover of any goods sold,
Tax deduction
at source
47
the person responsible for making payment shall require the selling dealer to
produce direction issued in this behalf by the assessing authority of the selling
dealer and shall act according to such direction of the assessing authority.
(3) Where purchasing dealer himself is liable to pay tax on turnover of purchase of any
goods by virtue of any provision of this Act, he shall not deduct any amount in respect
of turnover of such goods.
(4) In the circumstances under sub-section (2), the dealer selling goods may, for issue of
direction to the purchaser to deduct an amount lesser than the proposed amount of tax
or not to deduct any amount as tax, apply to the assessing authority having jurisdiction
over the principal place of his business or if he has no fixed place of business, to the
assessing authority in whose jurisdiction he ordinarily resides.
(5) The assessing authority referred to in sub-section (4), after examining the liability of
payment of tax of the dealer in respect of sale of goods made and after giving
reasonable opportunity of being heard to the dealer, shall by an order in writing direct
the purchaser of the goods accordingly.
(6) The amount deducted under sub-section (1) shall be deposited into the Government
Treasury by the person making such deduction before the expiry of the 20th day of the
month following that in which deduction is made:
Provided that where the purchaser of goods referred to in sub-section (1) is a
registered dealer, he shall deposit the amount of deduction in the manner and within the
time in which amount of tax for the tax period in which purchase has been made, is
payable and such dealer shall be entitled to claim input tax credit in accordance with
provisions of section 13 in respect of such purchase.
(7) The person making deductions under sub-section (1) shall, at the time of payment or
discharge, furnish to the selling dealer a certificate of amount deducted in such form
and manner and within such period as may be prescribed and shall submit such
statement of all such purchases, payments and deductions made and certificates issued
by him, in such manner and within such time, as may be prescribed.
(8) If any person referred to in sub-section (1) fails to make the deduction or after making
deduction fails to deposit the amount so deducted as required by sub-section (6), the
assessing authority may, after giving to such person an opportunity of being heard, by
order in writing, direct that such person shall pay, by way of penalty, a sum not
exceeding twice the amount deductible under this section but not so deducted and, if
deducted, not so deposited into the Government Treasury.
(9) Without prejudice to the provisions of sub-section (8), if any such person, after
deducting, fails to deposit the amount so deducted, he shall be liable to pay simple
interest at the rate of fifteen percent per annum on the amount not so deposited from the
date on which such amount was deducted to the date on which such amount is actually
deposited.
(10) Where the amount has not been deposited after deduction, such amount together with
interest referred to in sub-section (9) shall be recovered as arrears of land revenue from
the person who has deducted and such amount shall be a charge upon all the assets of
the person concerned.
(11) Nothing contained in this section shall prevent the assessing authority from making an
assessment of tax payable by the dealer in accordance with other provisions of this Act
and the dealer shall be liable to pay tax in accordance with other provisions of this Act.
Provided that any deduction made in accordance with the provisions of this
section shall be treated as a payment of tax on behalf of the selling dealer, and credit
shall be given to him for the amount so deducted on the production of the certificate,
referred to in sub-section (9) in the tax return of the relevant period or the assessment
made, as the case may be, and any amount found in excess of tax due shall be refunded
to the selling dealer.
(12) No deduction of any amount shall be made under this section if the person selling
the goods is not a dealer, but the onus to prove that goods have been purchased from a
person other than a dealer shall lie on the person responsible for making payment,
failing which it shall be deemed that goods have been purchased from a dealer.
(13) Where the person responsible for making deduction in respect of a sale under a works
contract is unable to ascertain the amount of deduction and the contractor or the sub-
contractor, as the case may be, does not produce direction referred to in sub-section (2)
48
from its assessing authority, the person responsible for making deduction shall deduct
an amount which shall be four percent of the gross amount of payment.
Explanation: - For the purposes of this section, assessing authority in relation to person
responsible for making payments to the selling dealer means the officer having
jurisdiction over the place where the principal place of business of such person inside
the State is located and where such person has no such place, the place where the
residence of such person inside the State is located.
(14) No deduction under this section shall be made on the turnover of sale where such sale
takes place -(w.e.f.01.01.2008)
(i) in the course of inter-State trade or commerce; or
(ii) outside the State; or
(iii)in the course of the export out of, or import into, the territory of India;
35-(1)Every person responsible for making tax deduction at source in accordance with
provisions of section 34, if he is not a registered dealer, shall apply to the assessing
authority for allotment of tax deduction number and the application shall be
disposed of in such time and manner as may be prescribed.
(2) Tax deduction number shall be referred to in all the documents pertaining to deposit of tax
and returns filed.
(3) No person other than a registered dealer can make tax deduction under sub-section (1) of
section 34 unless he has applied for such tax deduction number.
(4) If any person referred to in sub-section (1) fails to apply for tax deduction number,
the assessing authority may, after giving reasonable opportunity of being heard,
by order in writing, direct that such person shall pay, by way of penalty, a sum
not exceeding twice the amount deductible under section 34.
36. Notwithstanding anything contained in any other provisions of this Act, no tax, fee,
interest or penalty under this Act shall be recovered and no refund shall be allowed
if the amount involved for any assessment year is less than one hundred rupees.
37. (1) Every person who -
(a) is the liquidator of a company which is being wound up, whether under
orders of a Court or otherwise; or
(b) has been appointed the receiver of any assets of a company {hereinafter
referred to as the liquidator},
shall within thirty days after he has become such liquidator, inform the
assessing authority of his appointment as such.
(2) The assessing authority shall after making such inquiry or calling for such
information as it may deem fit, notify the liquidator within three months from
the date on which he receives information of the appointment of the liquidator
the amount which in the opinion of the assessing authority would be sufficient
to provide for any tax which is then or likely thereafter to become, payable by
the company.
(3) The liquidator shall not part with any of the assets of the company or the
properties in his hands until he has been notified by the assessing authority
under sub-section (2) and on being so notified, shall set aside an amount equal
to the amount notified and, until he so sets aside such amount, shall not part
with any of the assets.
Provided that nothing contained in this sub-section shall debar the
liquidator from parting with such assets or properties in compliance with any
order of a Court or for the purpose of the payment of tax payable by the
company under this Act or for making any payment over debts due to
Government on the date of liquidation or for meeting such costs or expenses of
the winding up of the company as are in the opinion of the assessing authority
reasonable.
(4) If the liquidator fails to give the information in accordance with sub-section (1)
or fails to set aside the amount as required by, or parts with any of the assets of
the company or the properties in his hands in contravention of the provisions of
sub-section (3), he shall be personally liable for the payment of the tax which
the company would be liable to pay:
Allotment of tax
deduction number
to a person
responsible for
making tax
deduction at
source.
Recovery or refund
of petty amounts to
be ignored
Recovery of tax
in case of a
company under
liquidation
Recovery of tax
in case of a
49
Provided that if under sub-section (2), the amount of any tax payable by the
company is notified personal liability of the liquidator under this sub- section
shall be to the extent of such amount.
(5) Where there are more than one liquidator, the liquidations and liabilities attached
to the liquidator under this section shall attach to all the liquidators jointly and
severally.
(6) The provision of this section shall have effect notwithstanding anything to the
contrary contained in any other law for the time being in force.
Explanation- Company has the meanings assigned to it by clause (i) of sub-
section (1) of section 3 of the Companies Act, 1956 (Act No. 1 of 1956).
38. Notwithstanding anything contained in the Companies Act, 1956, when any limited
company is wound up and any tax assessed on the company under this Act for any
period, whether before or in the course of or after its liquidation, can not be
recovered, then every person who was a director of the limited company at any time
during the period for which the tax is due shall be jointly and severally liable for the
payment of such tax unless he proves that the non-recovery cannot be attributed to
any gross neglect, misfeasance or breach of duty on his part in relation to the affairs
of the company.
39. (1) Subject to such conditions and restrictions, including the conditions regarding
furnishing security to the satisfaction of the assessing authority, as may be
deemed fit to be imposed-
(a)the State Government may permit any dealer or other person, against whom
any amount of tax, penalty or other dues is outstanding, either under this Act
or under the erstwhile Act, to pay the amount in such number of monthly
installments not exceeding twenty four; and
(b)the Commissioner may likewise permit any dealer or other person, against
whom any amount of tax, penalty or other dues, payable either under this Act
or under the erstwhile Act, aggregating not more than five lakh rupees is
outstanding, to pay the amount in such number of monthly installments, not
exceeding twelve.
(2) Where such dealer or other person fails to furnish, within sixty days of the
order referred to in sub-section (1), adequate security to the satisfaction of the
assessing authority concerned for payment of the outstanding amount, or fails
to comply with the conditions or restrictions imposed in such order, the amount
due shall be recoverable at once.
CHAPTER –V
Refund and Adjustment
40. (1) Subject to other provisions of this Act, the assessing authority shall in the
manner prescribed, refund to the dealer an amount of tax, fee, or other dues
paid in excess of the amount due from him under this Act.
Provided that amount found to be refundable shall first be adjusted
towards tax or any other amount outstanding against the dealer under this Act
or under The Central Sales Tax Act 1956 or under the erstwhile Act and only
the balance if any shall be refunded.
Provided further that refund, of excess amount of input tax credit, shall,
without prejudice to other conditions, be subject to conditions and restrictions
of section 15.
(2) Where amount found refundable in accordance with the provisions under sub-
section (1), is not refunded within thirty days from the date of order of refund
passed by the assessing authority or where order giving rise to refund is passed
by any other authority or court, from the date of receipt of such order by the
assessing authority by due process, the dealer shall be entitled to simple interest
on such amount at the rate of twelve percent per annum from the date of such
Liability of
director of
limited
company in
liquidation
Liability of
Power to
grant
installment
Refund and
adjustment
50
order passed by the assessing authority or from the date of receipt of the order
giving rise to refund passed by any other authority or Court, till the date refund
is made.
Provided that where refund relating to excess amount of input tax credit
due on the basis of returns filed by the dealer, is not allowed within the time
prescribed under section 15, the dealer shall be entitled to simple interest on
such amount at the rate of twelve percent per annum from the date on which
refund becomes due and till the date refund is made.
(3) Notwithstanding any judgment, decree or order of any Court or authority, no
refund shall be allowed of any tax or fee due under this Act on the turnover of
sales or purchases or both, as the case may be, admitted by the dealer in the
returns filed by him or at any stage in any proceedings under this Act,
whichever is higher.
(4) Where a dealer has requested the assessing authority for withholding any
amount refundable to him for adjustment towards his future liabilities either
under this Act or under the Central Sales Tax Act, 1956, the dealer shall not be
entitled for interest.
(5) Where any amount of tax has been deducted from any dealer under section 34
as tax payable by him for any assessment year, for the purpose of sub-section
(3), amount deducted shall be deemed to be tax due under this Act and shall not
be refunded to the dealer where the dealer -
(a) has neither submitted returns of turnover and tax for all tax
periods nor has submitted Annexures of Consolidated Details for
the assessment year in which sales are made; and
(b) has been assessed exparte for the assessment year in which sales are
made.
(6) Where in respect of sale of any goods, any amount of tax has been realized by a
registered dealer from -
(a)any official or personnel of-
(i) any foreign diplomatic mission or consulate in India; or
(ii) the United Nations or any other similar International body, entitled to
privileges under any convention to which India is a party or any other
law for the time being in force; or
(b) any consular or diplomatic agent of any mission, the United Nations or
any other body referred to in sub-clause (i) or sub-clause (ii) of clause
(a),
and where such official, personnel, consulate or agent has purchased goods
for himself or for the purpose of such mission, United Nations, or any other body,
then if such official, personnel, agent, United Nations or body, after producing
tax invoice referred to in sub-section (1) of section 22 or the sale invoice referred
to in sub-section (3) of the said section, as may be applicable, in the prescribed
manner, claims refund of the amount of tax realised from him, the Commissioner
or the officer authorised by him in this behalf, shall refund such amount to such
official, personnel, consular or agent of such mission, United Nations or body, as
the case may be.
(7) Refund, under any provisions of this Act, may be given by refund voucher or
cheque:
Provided that where a dealer submits e-tax return, refund of any amount
found refundable to him may be allowed through e-cheque.
Explanation: For the purposes of this Act, prescribed date shall be deemed to be
the date of refund.
(8) The amount refundable under the erstwhile Act may be adjusted against the
amount of tax or penalty or any other dues under this Act.
Withholding of
refund in certain
cases
40A.(1) Notwithstanding anything to the contrary contained in any other
provision of this Act or in any judgment, decree or order of any
Court, Tribunal or other authority, where after giving reasonable
opportunity
of being heard to the dealer or the person concerned, the
Commissioner is satisfied on the report of the assessing authority
that,-
51
(a)
the dealer has submitted false return of the turnover or has
concealed particulars of his turnover or has deliberat
ely
furnished inaccurate particulars of such turnover or has
prevented the assessing authority or any other competent
authority from making inspection and examination of books,
accounts or documents maintained or goods shown to be held
in stock by such dea
ler or obstructed any competent authority
in performing his functions under this Act; or
(b)
any purchase in respect of which input tax credit in any return
has been claimed, is not verifiable;or
(c) the dealer has obtained tax invoices without makin
g actual
purchase of goods; or
(d)
the dealer has failed to furnish any security demanded from
him under any provision of this Act or the Central Sales Tax
Act, 1956;or
(e) the circumstances exist involving fraud ,
and where the Commissioner is
of the opinion that if refund is
allowed, it may not be possible to realize any amount of tax or
penalty likely to be levied, he may permit the assessing
authority to pass an order for withholding, as a security, such
amount of refund as would be sufficien
t to cover the amount of
tax or penalty or both, as the case may be, likely to be levied,
for a period as may be determined by the Commissioner.
(2)
Where the assessing authority finds that the circumstances
mentioned in sub-section (1) exist and suffi
cient material is available
on the record, it shall send a report to the Commissioner along with
the material for seeking the permission to withhold the amount of
refund
(3)
The assessing authority shall complete the proceeding for assessment
or penalty
or both, pending before him within such period as may be
determined by the Commissioner %
Provided that if the Commissioner is satisfied that the
circumstances exist which would prevent the assessing authority to
complete the assessment or penalty procee
ding within the determined
period, he may extend the period not exceeding 90 days.
(4)
After the completion of the proceeding withheld amount shall be
adjusted against demand created due to assessment or penalty
proceeding and the balance if any shall be
refunded along with interest
at the rate of twelve percent per annum from the date on which refund
has become due, in the manner provided under this Act and the rules
made there under.
Explanation: For the purposes of this section refund includes the
refund
of input tax credit.
41. (1) Notwithstanding anything contained in section 40, in the case of a dealer, whose
main business is to sell goods in the course of the export of the goods out of the
territory of India, the assessing authority, upon receiving the return for a tax period
and application for provisional refund along with the proof of export, pending audit
and investigation to establish the correctness of the claim and consequent assessment,
shall, allow provisional refund of the excess amount of input tax credit for such tax
period on account of sale in the course of the export of the goods out of the territory
of India, within thirty days from the date of receipt of such application:
Provided that if any amount of tax, fee or penalty or any other amount either under
this Act or under the Central Sales Tax Act, 1956 or under the erstwhile Act is due
against such dealer the amount found refundable first shall be adjusted towards such
amount of tax or fee or penalty, as the case may be, and excess, if any, shall be
refunded to the dealer:
Provisional
refund
52
Provided further that, before granting refund, the assessing authority may require
the dealer to furnish security of amount equivalent to amount of refund to its
satisfaction where,-
(a) the dealer has been involved in tax evasion under this Act or erstwhile Act or
under the Central Sales Tax Act 1956; or
(b) the dealer has obstructed or prevented the officers empowered under this
Act in performing any of his functions or duties assigned to him under this
Act; or
(c)the dealer has misused in any way the declaration or the certificate prescribed
under this Act or under the Central Sales Tax Act, 1956 or under the erstwhile
Act or under the Uttar Pradesh Tax on the Entry of Goods into Local Areas
Act, 2007;or
(d) the dealer is defaulter of the payment of tax on the sale or purchase of goods
under this Act or under the Central Sales Tax Act, 1956 or under the erstwhile
Act; or
(e)the dealer has violated any provision of this Act resulting in the loss of
revenue.
Explanation- For the purposes of this section,-
(i)
ʻmain business of exportʼ in relation to a dealer shall mean the dealer whose
aggregate of turnover of sales in the course of export of goods outside the
territory of India under sub-sections (1) and (3) of section 5 of the Central
Sales Tax Act, 1956, for any tax period exceeds fifty percent of the
aggregate of turnover of sale of all goods-
(a) within the State;
(b) in the course of export of goods out of the territory of India; and
(c) in the course of inter-State trade or commerce.
(ii) where any application is incomplete the date of completion of that
application shall be deemed to be the date of application.
(2) If, on assessment, the provisional refund granted under sub-section (1) is found to be
in excess, then the excess amount of refund shall be recovered from the dealer along
with interest at the rate of fifteen percent per annum and for the period commencing
on the date of provisional refund and ending with the date of payment of the amount,
as tax due from the dealer.
(3) If the application is not in order or contains wrong particulars it shall be rejected by a
speaking order in writing and the dealer shall be informed accordingly:
Provided that no application shall be rejected without affording the dealer an
opportunity of being heard .
(4) Notwithstanding any thing contained in the first proviso to sub-section (1) where any
industrial unit has been declared sick by any competent court or authority constituted
under any law for the time being in force, the provisional refund under this section
shall be allowed if such industrial unit satisfied that,-
(a)the package for rehabilitation of the sick unit has been approved by a competent
court or an authority;
(b) the State Government has deferred the arrear against such unit under section 71
and
(c)the conditions imposed by the State Government for deferment of the arrear has
been complied with."
42- (1) No industrial unit,- (w.e.f.01.01.2008)
(a) availing benefit of exemption from or reduction in the rate of tax
under the erstwhile Act or under the Central Sales Tax Act, 1956
on the turnover of sales or purchase or both as the case may be,
before the commencement of this Act; or
(b) which is granted the benefit of exemption from or reduction in
the rate of tax on the turnover of sale or purchase or both as the
case may be, under the erstwhile Act or under the Central Sales
Tax Act, 1956;
Treatment of
industrial
units availing
exemption or
reduction in
the rate of tax
under
erstwhile Act
53
shall be permitted to avail the benefit of exemption from, or reduction in
the rate of, tax on the turnover of sale or purchase or both as the case may
be, on or after the commencement of this Act.
(2) The industrial unit availing the benefit of tax deferment under the
erstwhile Act or under the Central Sales Tax Act, 1956 before the
commencement of this Act or a unit which is granted facility of tax
deferment under the erstwhile Act or under the Central Sales Tax Act,
1956 shall continue to avail the facility of deferment for net tax payable
under this Act and the Central Sales Tax Act, 1956, subject to such
conditions and restrictions as may be prescribed.
(3) (a) the industrial unit availing or granted benefit of exemption from, or
reduction in the rate of tax under the erstwhile Act or under the Central Sales
Tax Act, 1956 on the turnover of sales of manufactured goods or turnover of
purchase of any raw material, processing material, consumable stores, fuel
other than petrol and diesel, lubricant required for use in manufacture of
goods or in the packing of goods manufactured by such industrial unit or
both, and
(i)whose facility of exemption or reduction in the rate of tax is based on
the fixed capital investment as provided under the erstwhile Act or
notification issued there under; or
(ii)an industrial unit purchased from the State Government or any
corporation or undertaking owned or controlled by the State
Government and to whom exemption or reduction in the rate of tax has
been granted under the erstwhile Act
may apply to the Commissioner for issue of the Certificate of Entitlement in
the prescribed form and in prescribed manner.
(w.e.f.01.01.2008)
(b) The Commissioner after examining the relevant records and report
from the assessing authority and if he is satisfied that the information
furnished is correct and complete, shall issue within 60 days from the
date of receipt of the application, the Certificate of Entitlement in
prescribed form and in prescribed manner containing such particulars as
may be prescribed including period of validity of certificate and amount
of entitlement if any.
(c) If the Commissioner is satisfied that particulars furnished by an
industrial unit in the application is wrong or incomplete or is not worthy
of credence, he shall after giving the applicant the opportunity of being
heard, reject the application and inform the industrial unit accordingly.
(d) Subject to an appeal to the Tribunal under section 57 the order
passed by the Commissioner in this behalf, shall be final.
(4) The industrial unit availing or granted benefit of exemption from, or reduction in
the rate of, tax on the turnover of sales before the date of commencement
of this Act or an industrial unit which is granted the facility of exemption
from, or reduction in the rate of, tax on or after such commencement, on
the turnover of sales under the erstwhile Act or the Central Sales Tax Act,
1956, shall be entitled for exemption by way of refund of net tax paid
along with the return of tax period in prescribed manner and on fulfilling
the conditions that,-
(a) the unit shall hold valid registration certificate issued under this Act or
under the Central Sales Tax Act, 1956,
(b) the unit shall have a valid Certificate of Entitlement issued by the
Commissioner,
(c) the amount of refund shall not be more than an amount equal to net
tax paid for relevant tax period,
(d) the net tax payable has been deposited along with return of tax period
in prescribed manner,
54
(e) the refund shall be subject to the provisions of section 40 except that
the amount shall not be adjusted against the admitted tax liability,
(f) the facility of refund shall cease on the day when the amount or the
period mentioned in the Certificate of Entitlement, whichever is
earlier,
(g) the tax payable on the turnover of sales of goods mentioned in the
Certificate of Entitlement and which is manufactured in the
industrial unit shall be deducted from the total amount mentioned or
described in the Certificate of Entitlement,
(h) the industrial unit has not misused the facility of exemption from or
reduction in the rate of tax in any manner.
Explanation: The expression 'net amount of tax payable' means -
(i) the differential amount of tax payable under this Act on the sale of
taxable goods other than non-vat goods, manufactured in the unit
and input tax credit available to the extent or proportionate to
taxable goods other than non-vat goods sold, in case of an industrial
unit availing facility of exemption from tax under the erstwhile Act
and the Central Sales Tax Act, 1956
(ii) the partial amount of net tax computed under clause (i) above, in
proportion to the rate of tax available for exemption to the rate of
tax payable under the erstwhile Act, in case of an industrial unit
availing benefit of reduction in the rate of tax
(4A) The industrial unit availing or granted benefit of exemption from tax on the
turnover of purchase before the date of commencement of this Act shall be
entitled for exemption by way of refund of Earned Input Tax Credit computed
on the basis of data declared in the documents submitted along with the return
of tax period in prescribed manner and on fulfilling the following conditions
that,-
(a) the industrial unit shall hold valid Certificate of Entitlement issued by
the Commissioner as provided under sub-section (3);
(b) the amount of refund shall not be more than an amount equal to input
tax credit earned during relevant tax period,
(c) the refund shall be subject to the provisions of section 40 except that
the amount shall not be adjusted against the admitted tax liability,
(d) the facility of refund shall cease on the day when the amount or the
period mentioned in the Certificate of Entitlement, whichever is earlier,
(e) the facility of exemption from tax by way of refund shall be available
only in respect of raw material, processing material, consumable stores,
fuel other than petrol and diesel, lubricant, required for use in
manufacture of goods or in the packing of manufactured goods
mentioned or described in the Certificate of Entitlement
(f) the amount of exemption from tax by way of refund on the turnover of
purchase of goods, shall be deducted from the total amount mentioned
or described in the Certificate of Entitlement.
(g) the industrial unit has not misused the facility of exemption from tax
in any manner.
Explanation: "Earned Input Tax Credit" means the amount of admissible
Input Tax Credit computed on the basis of data declared in the returns
of tax period where industrial unit was availing benefit of exemption
under the erstwhile Act.
(5) (a) The amount found refundable shall be refunded within a period of 30 days
from the last date of the month in which dealer files the return of relevant tax
period. Where the return of tax period is not complete and dealer fulfils the
requirement of return on a date later to the due date for filing of return of tax
period, such date shall be deemed to be the date of filing of return of tax
period."
(b) The amount of refund shall be made in such manner as may be
prescribed.
55
(c) The industrial unit failing to deposit the net tax admittedly payable
within prescribed time and in prescribed manner or deposits it after due
date, the amount of interest leviable and penalty imposed if any, shall be
adjusted and only the balance amount shall be refunded.
(6) (a) The total amount of the refund shall be limited to the extent of the
differential amount of the total eligible amount available for exemption
or reduction in the rate of tax and the amount availed in exemption or
reduction in the rate of tax before the commencement of this Act.
(b) The total period of the refund shall not exceed difference of the total
period available for exemption or reduction in the rate of tax and the
period exhausted before the commencement of this Act.
(7) If any amount is found refundable and is not refunded within the prescribed
time, the industrial unit shall be entitled to simple interest at the rate of
twelve percent per annum from the last date prescribed for refund. The
amount of interest shall be refunded in such manner as may be prescribed.
(8) The industrial unit availing the benefit of tax deferment as provided under sub-
section (2) or availing the facility of refund as provided under subsection (4),
shall be eligible to issue tax invoices and to claim input tax credit subject to
provisions of section 13.The industrial unit availing the facility of refund on both
sale and purchase, shall be eligible for claiming Input Tax Credit while computing
net tax payable on the turnover of sale of goods described in the Certificate of
Entitlement."
(9) Where the amount or the period for exemption or reduction in the rate of tax
changes on account of any valid reason or otherwise, the Commissioner
shall suo motu or on an application of the industrial unit, amend the
certificate of entitlement accordingly.
(10) The facility of refund shall be available under this Act and under the
Central Sales Tax Act, 1956.
(11) An industrial unit claiming the refund under this section shall not be
deemed to have been assessed based on the returns filed by it and any
refund made shall be subject to assessment requiring production of
accounts in support of the return filed.
(12) The provisions of this section shall mutatis mutandis apply to those units
which were established before 9th November 2000 (the date of
reorganization of Uttar Pradesh) and now situated within the territory of
Uttarakhand subject to the following conditions;-
(a) the goods are manufactured in a unit established in the State of
Uttarakhand having eligibility certificate (validity commencing prior
to 9th November 2000) issued under section 4-A of the erstwhile
Act for the manufacture of such goods.
(b)such goods are sold for the first time after their manufacture within
the period of facility of exemption or reduction in the rate of tax,
after bringing them into the State by way of transfer other than sales,
by manufacturer having his place of business in the State of
Uttarakhand.
(c) valid and genuine certificate issued by the Assessing Authority of
the State of UttaraKhand is produced before the assessing authority
of the State of Uttar Pradesh indicating therein that the amount has
been reduced in the overall limit of exemption or reduction in the
rate of tax available to the manufacturer.
(13) Facility of refund of tax under sub section (12) shall be withdrawn, if the
certificate referred to in clause (c) of subsection (12) is found false or fake
and not issued by the relevant assessing authority of Uttarakhand
(14) On scrutiny of accounts or subsequent investigation it is found that data furnished
along with return of the tax period is found wrong or not reliable or based on no
56
genuine material on record, without prejudice to the provisions of section 54, the
excess amount refunded shall be deposited within 30days of notice received from
the assessing authority along with interest at the rate of 15percent per annum with
effect from the date of refund to the date of deposit, failing which the excess
amount refunded shall be recovered as an arrears of land revenue.
(15) (a) The Commissioner may by order amend or cancel the Certificate of Entitlement before or after expiration of period of
exemption or reduction in the rate of tax, where it is found that-
(i) facility for refund in lieu of exemption or the reduction in rate of tax has been misused in any manner resulting in
wrong amount of refund;
(ii) the eligibility certificate issued or facility of exemption or reduction in rate of tax granted under the erstwhile Act has
been cancelled or amended by a competent court or an authority;
(iii) the Certificate of Entitlement has been obtained on the basis of mis-representation or concealment of fact:
Provided that no Certificate of Entitlement shall be amended or cancelled without affording opportunity of being heard
to the dealer.
(b) The order passed under clause (a) shall take effect from the
date mentioned in the order:
Provided that no order passed under this sub-section
shall take effect before the date of incidence warranting
amendment or cancellation of the Certificate of Entitlement.
(c) Subject to the provisions of sections 57 and 58, the order
passed under clause (a), shall be final.*
*Inserted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
43.(1) Where any amount has been realized from any person by any dealer, purporting
to do so by way of realisation of tax on the sale or purchase of goods, in
contravention of provisions of sections 22 and 23, such dealer shall, subject to
provisions of sub-section 14 of section 21, deposit the entire amount so realised in
the manner and within the period prescribed under section 24.
(2) Any amount deposited by any dealer under sub-section (1) shall to the extent it is
not due as tax, be held by the State Government in trust for the person on whom
such liability has been passed ultimately in respect of goods on the sale or
purchase whereof such excess amount has been charged.
(3) Where any amount is deposited by any dealer under sub-section (1) such amount
or any part thereof shall on a claim being made in that behalf be refunded in such
manner as may be prescribed to the person on whom liability of such amount has
been passed ultimately.
Provided that no such claim shall be entertained after expiry of three years from
the date of order of assessment or one year from the date of the final order on
appeal, revision or reference if any, in respect thereof, which ever is later.
(4) Where any amount has been deposited by any dealer in accordance with provisions
under sub-section (1), the dealer shall, subject to provisions of sub-section (14) of
section 21, not be entitled to allow refund of such amount to the purchaser of
goods.
Explanation:-The expression "Final order on appeal revision or reference"
includes an order passed by the High Court or by the Supreme Court.
CHAPTER – VI
Tax Audit, Inspection, Search and Seizure
44. (1) For the purpose of examining the correctness of tax return or returns and
Annexures of Consolidated Details filed by a dealer or class of dealers and to
verify admissibility of various claims including claim of input tax credit made
Procedure for
disbursement of
amount wrongly
realised by
dealers as tax
Tax Audit
57
by a dealer or class of dealers, tax audit shall be made of such number of
dealers as may be prescribed.
(2) Any officer, not below the rank of an assessing authority, appointed by the State
Government or the Commissioner and posted in the audit wing of the department
administering this Act or any other officer authorised by the Commissioner in
this behalf may, undertake tax audit of the records, stock in trade and the related
documents of the dealers, who are specified or selected in the manner prescribed
under sub-section (1):
Provided that no audit shall be undertaken for any assessment year after
expiry of a period of three years after the end of such assessment year:
Provided further that where the officer making audit in respect of any
assessment year is satisfied that the dealer has willfully suppressed any material
fact leading to evasion of tax or has wrongly claimed any benefit, he may make
audit for three consecutive assessment years prior to the assessment year in which
audit is being conducted.
(3) For the purpose of the tax audit, officer referred to in sub-section (2) may require
the dealer to produce before him records and other documents in his office.
Provided that where it is convenient, the officer may take up tax audit in the
office, business premises or warehouse of the dealer.
(4) After completion of the tax audit, the officer making the audit shall send audit
report prepared by him to the assessing authority of the dealer.
45. (1). Any officer empowered by the State Government in this behalf (hereinafter in
this section referred to as the authorized officer), may for the purposes of this
Act, require any dealer to produce before him any book, document or account
relating to his business and may inspect, examine and copy the same and make
such enquiries from the dealer as may be necessary.
Provided that books, accounts and documents of a period more than five
years prior to the assessment year shall not be so required, unless in any special
case, for reasons to be recorded, such officer considers it necessary.
(2) The authorised officer may, at all reasonable times, enter and search any place
of business or vehicle, vessel or other building or place where he has reason to
believe that the dealer keeps or is for the time being keeping any book, register,
document, account or goods relating to his business:
Provided that no residential accommodation (not being a place of business
cum residence) shall be entered into, inspected or searched by such officer
unless specially authorised in this behalf by the Commissioner in writing.
(3) All books, documents, and accounts maintained by a dealer in the ordinary
course of business, the goods in his possession and his place of business, vessel
or vehicle shall be open to search and inspection at all reasonable times by the
authorised officer.
(4) If the authorised officer while examining any books, accounts or documents or
conducting search or inspection has reason to believe that any dealer is trying to
evade liability of payment of tax or other dues under this Act and that anything
necessary for the purpose of an investigation into his liability may be found in
any account, register or document, he may seize such account, register or
document as may be necessary. The authorised officer shall forthwith grant a
receipt for the same and shall return them to the dealer or the person from
whose custody they were seized, within a period of ninety days from the date of
seizure after having such copies or extracts taken therefrom as may be
considered necessary, provided the dealer or the aforesaid person gives a
receipt in writing for the account, register or document returned to him. The
officer may, before returning the account, register or documents, affix his
signature and his official seal at one or more places thereon, and in such case
the dealer or the aforesaid person will be required to mention in the receipt
given by him the number of places where the signature and seal of such officer
have been affixed on each account, register or documents:
Power to order
production of
accounts
documents and
power of entry,
inspection, search
and seizure
58
Provided that where a dealer has maintained any document on
magnetic media or electronic media, the authorized officer, after preparing hard
copies of the document and CD in duplicate and after putting his signature at
various places on such hard copy and CD, return such media alongwith one
copy of the hard copy and the CD:
Provided further that where intimation, for receiving seized account,
register or document back, has been sent to the dealer or the person concerned
and the dealer or such person, in spite of receipt of such intimation, does not
appear on the date fixed for return of such documents and consequently, where
seized account, register or document is returned to the dealer or the person
concerned after expiry of the period of ninety days, it shall be deemed that such
account, register or document has been returned within the period of ninety
days.
(5) Notwithstanding anything contained in sub- section (4), the officer seizing any
account, register or other document under that sub-section may, for reasons to
be recorded by him in writing and with the prior approval of the Commissioner,
retain such account, register or document for such period not extending beyond
thirty days from the date of completion of all the proceedings under this Act in
respect of the year for which they are relevant, as he deems necessary.
(6) An authorised officer -
(i) shall have the power to seal the place of business, vehicle, any box, almirah
or other receptacle found on such place of business or vehicle in which he
has reason to believe that any account, register or other documents or
goods are kept or contained, if the owner or other person in occupation
or in-charge of such office, shop, godown, vessel, vehicle, box, almirah
or other receptacle leaves the place or is not available or fails or refuses
to open it when called upon to do so;
(ii) where the owner or other person in occupation or in charge of the office,
shop, godown, vessel or vehicle or the box almirah or other receptacle
found in the place of business, or vehicle is present but leaves the place
or after an opportunity having been given to him to do so, fails to open,
as the case may be, such office, shop, godown, vessel or vehicle or the
box, almirah or other receptacle, may break open the same and prepare a
list of the goods and documents found therein.
(7) No person shall tamper with any seal put under sub-section (6).
(8) Any authorized officer while making search or inspection under this section
may require any dealer or the other person to give any information likely to be
in his possession or knowledge in respect of such books, documents, accounts
or goods as are found at the time of search, inspection or seizure under this
section.
(9) The authorised officer who has made inspection, search or seizure of any books,
accounts or documents or has investigated into the liability of tax of a dealer
shall, on the basis of facts found and enquiry made, prepare a report in respect
of such inspection, search, seizure or investigation and where the officer
preparing the report is an officer different from the assessing authority, he shall
forward a copy of such report to the assessing authority of the dealer.
(10) Where the officer preparing the report referred to in sub-section (9), is of the
opinion that liability of payment of tax by the dealer in addition to liability of
payment of tax admitted by such dealer may exceed rupees one lakh, he shall,
before forwarding copy of report referred to in sub-section (9), serve the dealer
with a notice stating facts to show cause why adverse inference should not be
drawn on the basis of such facts. The dealer on receipt of such notice shall
submit his reply to such officer in two copies. Thereafter the officer shall
forward to the assessing authority a copy of report, a copy of show cause notice
issued and a copy of reply received from the dealer, if submitted by the dealer,
along with its comments on the reply submitted by the dealer.
59
(11)The provisions of section 100 and 165 of the Code of Criminal Procedure, 1973
shall, as far as may be, apply in relation to any entry, or search or inspection
under this section, as they apply in relation to any inspection or search under
the said code.
Explanation: In calculating the period specified in sub-section (4) the period,
during which proceedings under this Act remain stayed under the
orders of any Court or authority, shall be excluded.
46. Where a person carries on any activity ancillary or incidental to or in connection
with business of a dealer, any officer authorized under sub-section (1) of
section 45, for the purpose of investigation into tax liability of a dealer, subject
to provision of sub-section (11) of section 45, may exercise powers under sub-
section (1) to sub-section (10) of the said section.
Explanation: For the purposes of this section, following persons shall be deemed to
carry on activities ancillary or incidental to or in connection with the business of a
dealer:
(i) broker or canvassing agent who acts as mediator between purchaser and
seller of goods; or
(ii) transporter or any other carrier or a forwarding agent of goods; or
(iii) person who fabricates or manufactures any goods for a dealer; or
(iv) person who takes delivery of goods or who dispatches goods on behalf
of a dealer; or
(v) person who holds in custody any goods belonging to a dealer; or
(vi) person who handles goods of a dealer in any other capacity.
47. (1) Any officer, not being an officer below the rank of an assessing authority, may
require any dealer or other person to furnish any information which may be, or
is in his knowledge or possession.
(2) An officer under this Act shall have the same powers as are vested in a court
under the Civil Procedure Code 1908, when trying a suit in respect of following
matters, namely -
(a) Enforcing the attendance of any person and examining him on oath or
affirmation;
(b) Compelling the production of documents; and
(c) Issuing commission for the examination of witness;
and any proceeding before any of the officers aforesaid shall be judicial
proceeding within the meaning of section 193 and 228 and for the purpose of
section 196 of the Indian Panel Code.
(3) Summons for the production of documents or the attendance of any person shall
be issued in the prescribed form.
48. (1) An officer authorised under sub-section (1) of section 45 shall have the powers
to seize any goods -
(i) which are found in a dealer's place of business, vehicle, vessel or any other
building or place; or
(ii) which, such officer has reason to believe to belong to the dealer and which
are found in any place of business, vehicle, vessel or any other building
or place, but are not accounted for by the dealer in his accounts, registers
or other documents maintained in the ordinary course of his business.
(iii) which are found in any place of business, vehicle, vessel or any other
building or place, and such goods are accompanied by any tax invoice or
sale invoice or any other document pertaining to value of goods, as the
case may be, containing value of goods undervalued to the extent more
than fifty percent of the value of goods prevalent at the relevant time in
the local market area where the said transaction had taken place, with
intention to evade payment of tax
Power of search,
inspection and
seizure in case of
a person other
than dealer
Power to seek
information and
to issue summons
P
ower to seek
Power to seize
goods
60
Provided that a list of all the goods seized under this sub-section shall be
prepared by such officer and be signed by the officer and not less than two
witnesses.
(2) Where any officer referred to in sub-section (1) has reason to believe that the
goods found in any vehicle, vessel, building or place are not traced to any
bonafide dealer or the documents issued by a bonafide dealer with respect to
the accompanying goods contains wrong particulars or that it is doubtful if such
goods are properly accounted for by any dealer in his accounts, registers or
other documents, maintained in the ordinary course of his business, he shall
have power to seize such goods and the remaining provisions of this section
shall mutatis mutandis apply in relation to such seizure.
(sub-section (2) was substituted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-
08-2010, U.P. Act No 19 of 2010)
(3) An officer seizing the goods under sub-section (1) shall take all the measures
necessary for their safe custody and forward the list, referred to in the proviso
to sub-section (1), along with other documents relating to the seizure to the
assessing authority concerned.
(4) The said assessing authority shall serve on the dealer or, as the case may be, the
person in charge of the goods at the time of seizure (hereinafter in this section
referred to as the person in charge) a notice in writing requiring him to show
cause, why a penalty should not be imposed.
(5) If such authority, after taking into consideration the explanation, if any, of the
dealer or, as the case may be, the person in charge and after giving him an
opportunity of being heard, is satisfied that the said goods were omitted from
being shown in the accounts, registers and other documents referred to in sub-
section (1) or not traced to any bonafide dealer or not properly accounted for by
any dealer or documents issued by a bonifide dealer with respect to the
accompanying goods contained wrong particulars or the goods are undervalued
to the extent of more than fifty percent of the value of goods prevalent at the
relevant time in the local market area where the said transaction had taken
place, with intention to evade payment of tax, it shall pass an order imposing a
penalty,
not exceeding forty percent of the value of such goods or tax payable under the Act on the value of
such goods, whichever is higher*
as he deems fit.
(sub-section (5) was substituted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-
08-2010, U.P. Act No 19 of 2010)
*Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
(6) A copy of the order imposing penalty under sub-section (5) shall be served on
the dealer or, as the case may be, the person in charge.
(7) The officer seizing the goods shall serve on the dealer or, as the case may be,
the person in charge an order in writing mentioning the fact of such seizure and
indicating the amount, not exceeding such amount as would be sufficient to
cover the penalty likely to be imposed, on deposit whereof in cash, the goods so
seized may be released in favour of the dealer or, as the case may be, the person
in charge:
Provided that the Commissioner or such other officer, not below the
rank of a Deputy Commissioner, as may be authorised in this behalf by the
Commissioner, may, for sufficient reasons to be recorded in writing, direct that
the goods be released without any deposit or on depositing such lesser amount,
or furnishing security in such form other than cash or indemnity bond, as he
may deem fit:
Provided further that in case of a person, who is not a registered
dealer and against whom penalty order referred to in sub-section (5) has been
passed, filing of return by such person and assessment of tax on him may not be
necessary.
61
(8) The penalty or such part thereof as remains after adjustment of any amount
deposited under sub-section (7) shall be deposited in the prescribed manner
within thirty days of the date of service of the copy of the order imposing the
penalty. In default, the assessing authority shall cause the goods to be sold in
such manner as may be prescribed and apply the sale proceeds thereof towards
the penalty imposed, and subject to the provisions of section 40, refund the
balance, if any, to the dealer or, as the case may be, to the person-in-charge.
(9) Where the officer seizing the goods, before forwarding the list and other
documents referred to in sub-section (3), or the assessing authority at any time
thereafter, is of the opinion that the goods are subject to speedy and natural
decay or where the tax assessed or penalty imposed, as the case may be, is not
deposited in accordance with the provisions of this Act, the officer seizing the
goods or the assessing authority, as the case may be, may, without prejudice to
any other action that may be taken in accordance with other provisions of this
Act, cause the goods to be sold by public auction in the prescribed manner. The
sale proceeds of such goods shall be adjusted towards the expenses of tax
assessed or penalty imposed. The balance, if any, shall be refunded to the
dealer or, as the case may be, the person in-charge in accordance with the
provisions of sub-section (8).
(10)If the amount deposited under sub-section (7) is more than the amount of
penalty imposed under sub-section (5), the excess amount so deposited shall be
refunded to the dealer or, as the case may be, the person in-charge by the
authority with whom it was so deposited, in accordance with the provisions of
section 40.
CHAPTER- VII
Check-Post
49. omitted w.e.f 27.08.2009
50. (1) Any person (hereinafter in this section referred to as the importer) who intends
to bring, import or otherwise receive, into the State from any place outside the
State any goods other than the goods named and described in schedule-I in such
quantity or measure or of such value, as may be notified by the State
Government in this behalf, in connection with business, shall either obtain the
prescribed form of declaration, in such manner as may be prescribed from the
assessing authority having jurisdiction over the area, where his principal place
of business is situated or, in case there is no such place, where he ordinarily
resides or shall download from official web site of the department in such
manner as may be prescribed;
Provided that where the importer intends to bring, import or otherwise
receive such goods otherwise than in connection with business, he may, at his
option, in the like manner obtain the prescribed form of certificate.
Provided further that the Commissioner may notify the website in
which the particulars prescribed to be contained in the declaration
referred to in sub-section (1) shall be entered in respect of any specified
class of goods or any specified class of dealers or as a result of any specified
class of transaction to be notified by him. If the Commissioner notifies the
website, the owner or the person in-charge of the goods which are carried
by a vehicle, shall enter prescribed particulars in the notified website and
shall produce the proof of entering the particulars in such website, before
the officer making search or inspection under this section, in the manner
prescribed by the Commissioner.
(2) (a) where such goods are imported, brought or otherwise received into the
state by registered dealer, he shall
carry duly filled such declarations or documents as may
be prescribed
*
*Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
Import of Goods
into the State by
road against
declaration
62
(b) where the goods are imported, brought or otherwise received into the state by
a person otherwise than in connection with business, he may
likewise carry duly
filled such certificates and documents as may be prescribed*
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
(3) The driver or other person in-charge of any vehicle carrying any goods referred
to in the preceding sub-sections shall stop the vehicle when so required by an
officer authorised under sub-section (1) of section 45 or sub-section (1) of
section 48 and keep it stationary for so long as may be considered necessary by
the officer in-charge of the check-post or barrier or the officer authorised under
sub-section (1) of section 45 or sub-section (1) of section 48, as the case may
be, and allow him to search the vehicle and inspect the goods and all documents
referred to in the preceding sub-sections and shall, if so required, give his name
and address and the names and addresses of the owner of the vehicle and of the
consignor and the consignee of the goods.
(3-A) Notwithstanding anything to the contrary contained in sub-section (2) or
sub-section(3),where the owner or the person in-charge of the goods which
are carried by a vehicle has entered the above particulars in the notified
website and produced the proof of entering the particulars in such website
before the officer making search or inspection under this section, in the
manner prescribed by the Commissioner, such officer may subject to the
provisions contained in sub-section (4) allow the vehicle to pass through.
(4) Where the officer making the search or inspection under this section finds any
person transporting or attempting or abetting to transport any goods to which
this section applies without being covered by the proper and genuine
documents referred to in the preceding sub-sections and if, for reason to be
recorded, he is satisfied after giving such person an opportunity of being heard
that such goods were being so transported in an attempt to evade assessment or
payment of tax due or likely to be due under this Act, he may order seizure* of
such goods .
*Substituted
by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014
( U. P. ORDINANCE NO. 6 OF 2014 )
(5) The provisions of sub-sections (3), (7), (8), (9) and (10) of section 48 shall
mutatis mutandis apply to goods detained under sub-section (4), as they apply
to goods seized under that section.
51. (1)(a) Where any taxable goods are consigned by rail, air or post from a place
outside the State for delivery to a dealer inside the State, the concerned
authority shall not deliver the goods to the dealer or consignee unless he
furnishes or causes to be furnished to such authority a declaration in prescribed
form along with the other documents as may be prescribed.
(b) where a taxable goods are consigned by river or rope way from a place
outside the state for delivery to a dealer inside the state the receiving dealer
shall not obtain or cause to be obtained delivery thereof unless he furnishes or
causes to be furnished to such officer, as may be authorized in this behalf by
the Commissioner, prescribed declaration and documents.
(c) after taking delivery, shall not carry goods away or cause the goods to be
carried away from the railway station, air port, post office, steamer or terminal
of rope way, as the case may be, unless a copy of the declaration and document
as aforesaid is carried with goods:
Provided that where any courier service transports any goods by rail,
river, air or post, such courier shall not obtain or cause to be obtained delivery
thereof unless the dealer, importing goods, furnishes or causes to be furnished
to such officer, as may be authorized in this behalf by the Commissioner, a
declaration in the prescribed form referred to in clause (a) of sub-section (2) of
I
mport of goods
into the state by
rail, air, post,
river or rope
way
63
section 50, in duplicate duly filled in and signed by him for endorsement by
such officer. The courier service, after taking delivery of goods from rail, river,
air or postal authority, shall carry such duplicate copy of form of declaration
alongwith goods and shall deliver to the dealer along with goods.
Provided further that the Commissioner may notify the website
in which the particulars prescribed to be contained in the declaration
referred to in sub-section (1) shall be entered in respect of any specified
class of goods or any specified class of dealers or as a result of any specified
class of transaction to be notified by him. If the Commissioner notifies the
website, the owner or the person in-charge of the goods which are carried
by rail, air, post \,river or ropeway shall enter the above particulars in the
specified website and shall produce the proof of entering the particulars in
such website, before the officer making search or inspection under the is
section, in the manner prescribed by the Commissioner.
(2) Where any taxable goods are brought into the State by rail, river or air as
personal luggage, the person bringing them shall carry with him the prescribed
form of declaration duly filled in and signed by the importer, and the importer
shall submit the same for endorsement by the officer authorised under sub-
section (1) by the next working day.
(3) Where any person intends to bring, or receive into the State, from any place
outside the State by rail, river, air or post any taxable goods otherwise than in
connection with business and obtains the form of certificate prescribed under
sub-section (2) of section 50, the provision of sub-section (1) and (2) shall
mutatis-mutandis apply as if word "Certificate" is substituted for the word
declaration used therein.
(3-A) Notwithstanding anything to the contrary contained in sub-section (2) or
sub-section(3),where the owner or the person in-charge of the goods which
are carried by a rail, air, post, river or ropeway has entered the above
particulars in the notified website and produced the proof of entering the
particulars in such website, before the officer making search or inspection
under this section, in the manner prescribed by the Commissioner, such
officer may subject to the provisions contained in sub-section (4) allow the
vehicle to pass through.
(4) Where an officer authorised under sub-section (1) of section 45 or an officer
referred to in sub-section (1) of section 48 or section 50 while making
inspection or search finds any taxable goods, in respect of which declaration
before the officer authorised under sub-section (1) has not been made or goods
being carried as personal luggage are not accompanied by the form of
declaration referred to in clause (a) of sub-section (1) and where after giving
reasonable opportunity of being heard to the person in charge of the goods at
the time of inspection of goods or the owner of the goods, as the case may be,
such officer (officer making inspection or search) is satisfied that such taxable
goods are being imported in an attempt to evade payment of tax under this Act,
he may, after recording such reasons, detain the goods.
(5) Provisions of sub-sections (3), (7), (8), (9) and (10) of section 48 shall mutatis
mutandis apply to such detention of goods as they apply to goods seized under
that section.
(6) Notwithstanding anything contained in sections 50 and this section, the State
Government may, in public interest and for sufficient reasons, relax the
requirement of furnishing of declaration or certificate referred to in aforesaid
sections to such extent as it may notify.
52. When a vehicle coming from any place outside the state and bound for any
other place outside the state, and carrying goods referred to in sub-section (1)
of section 50,passes through the state, the driver or other person in charge of
such vehicle shall carry such documents as may be prescribed failing which it
shall be presumed that the goods carried thereby are meant for sale within the
State by the owner or person in charge of the vehicle;
Provisions for
goods passing
through the state
Provisions for
goods passing
64
53. An officer exercising powers under the provisions of sections 45, 48, 50, 51, or 52
may take the assistance of police or other officers or officials of the State.
CHAPTER –VIII
Penalty
54-(1) The assessing authority, if he is satisfied that any dealer or other person, as the case
may, has committed the wrong described in column 2 of the table below, it may, after such
inquiry, if any, as it may deem necessary and after giving dealer or person reasonable
opportunity of being heard, direct that such dealer or person shall, in addition to the tax, if any,
payable by him, pay by way of penalty, a sum as provided in column 3 against the same serial
no. of the said table:
Sl.
no.
Wrong Amount of penalty
(1)
(2)
(3)
1 The dealer has without reasonable cause failed,-
(a) to deposit the tax due for any tax period within the prescribed
or extended time;
20% of net tax payable
(b) to submit the tax return for any tax period in the prescribed
manner.
rupees Two thousands
(the serial no 1 was substituted w.e.f. 20
-
08
-
2010 vide notif. no 1101(2) dt. 20
-
08
-
2010, U.P.
Act No 19 of 2010)
2 The dealer has concealed particular of his turnover or has
deliberately furnished inaccurate particulars of such turnover; or
submits a false tax return under this Act or evades payment of tax
which he is liable to pay under this Act
three times of amount
of tax concealed or
avoided
3
(
i
)
The dealer
has maintained or produced false accounts, registers
or documents ;
(ii) Being dealer or any other person who is required to maintain any
book, account or other document, does not maintain such book,
account or document as prescribed;
three times of amount
of tax concealed or
avoided
4
The dealer has without reasonable cause failed, to pay, within the
time allowed, the tax assessed ;
20 % of tax assessed
"5
Where the dealer has,-
(i) failed to issue or has deliberately not issued a tax invoice or sale
invoice; or
(ii) deliberately not obtained tax invoice inspite of being a registered dealer
while purchasing the goods liable to tax under this Act from a registered
dealer; or
(iii) not issued purchase invoice;
in accordance with the provisions of this Act.
Tax payable on the value of
goods or 40% of the value of
goods whichever is higher
6
The dealer has failed to issue a challan, transfer invoice or transport
memo in respect of dispatch or delivery of goods in accordance with
the provisions of this Act ;
**
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 (
U. P. ORDINANCE NO. 6 OF 2014
)
Tax payable on the value of
goods or 40% of the value of
goods whichever is higher**
7
Where the dealer,
-
(i) being liable for registration under this Act has failed to apply in
the prescribed manner and within the specified time; or
Rupees
one hundred
per day during which
business is carried
Penalties in
certain
cases
Power to seek
assistance
from police
65
(ii) being liable for registration carries on or con
tinues to carry on
business –
(a) after his application for registration has been rejected; or
(b) after his registration certificate has been cancelled; or
(c) without furnishing the security demanded for grant or
continuation of registration;
8
On demand by the officer empowered under this Act, to inspect,
examine and obtain copy, the dealer or other person, as the case may
be, refuses or neglects -
(i) to produce any book, document or account; or
(ii) to operate his computer used in connection with business; or
(iii) to allow copies or print outs etc.;
A sum of rupees five
thousand and five
times thereof if act is
repeated
9 the dealer or other person, as the case may be, obstructs or prevents an
officer empowered under section 45 or section 48 from performing any of
his functions under this Act ;
A sum of rupees five
thousand in case of
registered dealer and
five times thereof in
case of others
10
The dealer or other p
erson, as the case may be, refuses or neglects to
furnish any information, which is in his knowledge or possession or
furnishes false information ;
A sum of rupees five
thousand in case of
registered dealer and
five times thereof in
case of others
11
Where the dealer or other person, as the case may be,
-
(i) issues or furnishes a false or wrong certificate or form of
declaration prescribed under this Act, by reason of which a tax on
sale or purchase, ceases to be leviable, whether in full or in part; or
(ii) issues a tax invoice or sale-invoice without actual sale of goods ;
or
(iii) issues a transport memo, challan or transfer invoice without
actual dispatch or delivery of goods ; or
(iv) receives a tax invoice or sale-invoice without actual purchase of
goods; or
(v) receives a transport memo, challan or transfer invoice without
actual receipt of goods; or
(vi) issues or furnishes a false tax invoice, sale invoice , certificate or
declaration, by a reason of which a tax on sale or purchase ceases to
be leviable under this Act or rules made thereunder
50 % of the value of
goods
12
Where a dealer or other person, as the case may be,
-
(i) makes use of a prescribed form of declaration or certificate
which has not been obtained by him or by his principal or agent in
accordance with the provisions under this Act ; or
(ii) transfers a prescribed form of declaration or certificate to any
other person except for lawful purposes; or
(iii) possesses a prescribed form of declaration or certificate which
has not been obtained by him in accordance with the provisions of
this Act ;
50 % of the value of
goods
13
Where the dealer or other person, as the case may be,
-
(i) closes
or leaves place of business with an intention of avoiding
inspection under this Act; or.
(ii) being a driver or person in-charge of vehicle leaves the vehicle
with an intention of avoiding inspection of goods and documents; or
(iii) willfu
lly does not stop the vehicle carrying taxable goods when so
required by an officer empowered to inspect goods;
A sum of rupees five
thousand in case of
registered dealer and
five times thereof in
case of others
14
Where the dealer or any other person, as the case may be, -
(i) imports or attempts to import or abets the import of any goods, in
(a) In case of registered dealer,-
66
contravention of the provisions under section 50 or section 51 with a view
to evading payment of tax on sale of-
(a) such goods; or
(b) goods manufactured, processed or packed by using such goods; or
(ii) transports, attempts to transport any taxable goods in contravention of
any provisions of this Act
(i) 15% of the value of goods if
goods are of the description as
embodied in Schedule-II or
Schedule-III ;
(ii) twice the rate of tax leviable
on the goods if goods are of the
description as embodied in
Schedule -V ;
(iii) an amount equal to tax
payable on the value of the
goods if the rate of tax on goods
exceeds forty percent;
(iv) in any other case
40% of the value of the
goods.
(b)
In case of a person other
than the registered dealer tax
payable on the value of goods or
40% of the value of goods
whichever is higher
15
Where the driver or person in charge of the vehicle, as the case may
be,-
(i) fails to carry documents referred to in section 52 and also fails to
prove that goods carried in his vehicle are meant for delivery to
dealers or persons outside the State; or
(ii) while carrying such documents for transit of goods through the
State undertakes responsibility of handing over such goods to a
bona-fide person inside the State for carrying them outside the State
but fails to hand over such goods to such bona-fide person; or
(iii) being a person, who receives any goods from driver or person in
charge of a vehicle for carrying them outside the State, does not
carry such goods outside the State; or
(iii) being a transporter or hirer of a vehicle prepares goods-
receipt by showing false destination of goods outside the
State.
**
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 (
U. P. ORDINANCE NO. 6 OF 2014)
;
Tax payable on the value of
goods or 40% of the value of
goods whichever is
higher**
16 Where any dealer demands or charges or realises any amount as tax
in contravention of the provisions of this Act;
3 times of the tax so
realised
17 Being driver or person in charge of a vehicle fails to stop the vehicle
with deliberate intent to avoid inspection of goods or search of such
vehicle;
Rupees twenty-five
thousands
18 Where dealer or any other person, as the case may be, makes a false
verification, declaration or attestation in any matter connected with
this Act;
A sum of rupees
twenty five thousand
or three times of tax
avoided thereby
whichever is higher
19 Where dealer or any other person, as the case may be, falsely or
fraudulently claims an amount as input tax credit;
A sum equal to 5
times of amount of
input tax credit
20
Being transporter, carrier or other transport agent carries or
transports goods without filling relevant columns on a transport
memo, challan or transfer invoice;
Rupees five thousands
21 Dealer or any other person, as the case may be, tampers with any
seal put under sub-section 6 of section 45
Rupees twenty five
thousands
67
21A
Where the dealer has included the amount of tax paid or payable,
on the turnover of purchase of the goods in the sale price of goods
resold or goods manufactured by using such goods.
not less than the
amount of tax but not
more than three times
of tax which has been
included in the sale
price of the goods
21 B
Where the dealer or any other person, as the case may be, has issued or
received any tax invoice or sale invoice or any other document pertaining
to value of goods, as the case may be, containing value of goods
undervalued to the extent more than fifty percent of the value of goods
prevalent at the relevant time in the local market area where the
transaction has taken place, with intention to evade payment of tax;
*
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 (
U. P. ORDINANCE NO. 6 OF 2014)
Tax payable on the value of
goods or 40% of the value of
goods whichever is higher*
22
Dealer or any other person who, otherwise acts in contravention of
the provisions of this Act or rules made thereunder,
Rupees
ten thousands
Explanation – For the purposes of this section -
(i) the assessing authority includes an officer not below the rank of an officer appointed
and posted by the Commissioner at a check-post or an officer empowered to exercise
powers under sections 45, 46, 47, 48, 50, 51 and 52 of this Act;
(ii) if the value of goods described or mentioned in tax invoice, sale invoice or any such
other document is under valued to the extent of more than fifty percent of the value
of goods prevalent at the relevant time in the local market area where the transaction
has taken place, the estimated value prevalent at the relevant time in such local
market area shall be deemed to be the value of such goods,
(iii) if the value of goods is not described or mentioned in tax invoice, sale invoice or
any such other document the estimated value prevalent at the relevant time in the
local market area where the transaction has taken place, shall be deemed to be the
value of such goods.".
(2) A copy of the order passed under sub-section (1) shall be served on the dealer or
person concerned and the amount imposed by way of penalty shall be deposited by
such dealer or person in such manner as may be prescribed within thirty days of such
service, failing which it may be recovered in the manner provided under section 33.
(3) Where any penalty order passed by assessing authority either under this section or any
other section, is quashed by any authority or court in exercise of powers vested in it on
the ground that show cause notice issued to dealer or any other person is not in
accordance with the provisions of this Act, the assessing authority may pass fresh
order of penalty after issuing proper notice within one year from the date of receipt of
such order.
(4) where in case of a sick unit as referred to in section 71, any penalty order has been
passed ex parte and appeal has not been filed against such order, if the State
Government issues direction to the assessing authority to set aside such order and to
pass fresh order of penalty, assessing authority shall pass such fresh order of penalty
within a period of one year from the date on which it receives the order or direction by
due process from the State Government.
68
CHAPTER IX
Appeal, Review and Revision
55. (1) Any dealer or other person aggrieved by an order made by the
assessing authority, other than an order mentioned in sub-section (7) of section
48 may, within thirty days from the date of service of the copy of the order,
after serving a copy of appeal memo on the assessing authority or the
Commissioner, appeal to such authority (hereinafter referred to as appellate
authority), as may be prescribed:
Provided that where due to any reason, any appellant fails to serve a
copy of appeal memo on the assessing authority before filing appeal, he may
serve copy of such appeal memo within a time of one week from the date on
which appeal has been filed or within such further time as the appellate
authority may permit.
(2) Where an appeal has been filed against an order referred to in sub-section (1),
the Commissioner may apply to the appellate authority to examine the legality
and propriety of such order on such point as may be mentioned in the
application. A copy of such application shall be served on the appellant and
shall be decided along with the appeal filed by the appellant:
Provided that no application for examination of legality and propriety
shall be entertained after the disposal of appeal:
Provided further that where the Commissioner has filed an application,
the appellant shall not be entitled to withdraw appeal filed by him.
Explanation- For the purposes of this section Commissioner includes an
officer authorised to file appeal on behalf of the Commissioner
before the Tribunal under section 57.
(3) No appeal against an assessment order under this Act shall be entertained
unless the appellant has furnished satisfactory proof of the payment of the
amount of tax or fee due under this Act on the turnover of sale or purchase, or
both, as the case may be, admitted by the appellant in the tax returns filed by
him or at any stage in any proceedings under this Act, whichever is greater.
(4) The appeal sall be in the prescribed form and shall be verified in the prescribed
manner.
(5) The appellate authority may, after calling for and examining the relevant
records and after giving a reasonable opportunity of being heard to the
appellant and the Commissioner-
(a) in the case of an order of assessment and penalty.-
(i) confirm or annul such order ; or
(ii) vary such order by reducing or enhancing the amount of
assessment or penalty, as the case may be, whether such reduction
or enhancement arises from a point raised in the grounds of appeal
or otherwise ; or
(iii) set aside the order and direct the assessing authority to pass a fresh
order after such inquiry as may be specified; or
(iv) direct the assessing authority to make such inquiry and to submit its
report within such time as may be specified in the direction or
within such extended time as it may allow from time to time, and
on the expiration of such time the appellate authority may, whether
the report has been submitted or not decide the appeal in
accordance with the provisions of the preceding sub-clauses; or
(b) in the case of any other order-
(i) confirm, cancel or vary such order; or
(ii)set aside the order and direct the assessing authority to pass a
fresh order after such inquiry as may be specified:
Appeal
69
Provided that nothing in this sub-section shall preclude the
appellate authority from dismissing the appeal at any stage with
such observations as it deems fit where the appellant applies for
withdrawal of the same and no request for examination of legality or
propriety of order under appeal has been made by the
Commissioner.
(6) The appellate authority, may, on the application of the appellant and after
giving the Commissioner a reasonable opportunity of being heard stay, except
the operation of order appealed against, the realisation of the disputed amount
of tax, fee or penalty payable by the appellant till the disposal of the appeal :
Provided that –
(i) where an order under appeal involves dispute about tax, fee or penalty,
no stay order shall remain in force after thirty days from the date on
which the same has been granted, if the appellant does not furnish
security to the satisfaction of the assessing authority for payment of the
amount, the realisation whereof has been stayed within the aforesaid
period of thirty days;
(ii) no such application shall be entertained unless it is filed along with the
memorandum of appeal under sub-section (1);
(7) Section 5 of the Limitation Act, 1963, shall apply to appeals or other
applications under this section.
(8) The appellate authority shall be under the superintendence and control of the
Commissioner:
Provided that in the exercise of such superintendence and control, no
order, instructions or directions shall be given by the Commissioner so as to
interfere with the discretion of the Appellate Authority in the exercise of its
appellate functions.
(9) For the purposes of this section service of an order passed by appellate authority
under this section and service of memo of appeal on the State Representative,
as defined in the rules framed under this Act, shall be deemed to be service on
the Commissioner.
(10) All appeals arising out of the same cause of action in respect of an assessment
year, as far as possible, shall be heard and decided together.
56. (1) The Commissioner or such other officer not below the rank of Joint
Commissioner, as may be authorised in this behalf by the Commissioner may
call for and examine the record relating to any order, passed by any officer
subordinate to him, for the purpose of satisfying himself as to the legality or
propriety of such order and may pass such order with respect thereto as he
thinks fit.
(2) No order under sub-section (1) affecting the interest of a party adversely shall
be passed unless he has been given a reasonable opportunity of being heard.
(3) No order under sub-section (1), shall be passed-
(a) to revise an order, which is or has been the subject matter of an
appeal under section 55, or an order passed by the appellate
authority under that section.
(b) before the expiration of sixty days from the date of the order in
question;
(c) after the expiration of four-years from the date of the order in
question.
Explanation- Where the appeal against any order is withdrawn or is dismissed
for non-payment of fee payable under section 72 or for non-
compliance of sub-section (3) of section 55, the order shall not be
deemed to have been the subject-matter of an appeal under section
55;
(4) No dealer or any other person, aggrieved by an order against which appeal lies
under section 55, shall be entitled to present an application for review of such
order under this section.
Revision by the
Commissioner
70
57. (1) There shall be a Tribunal to be known as Commercial Taxes Tribunal
consisting of such members including a President as the State Government
may, from time to time, deem it necessary to appoint from amongst-
(a) the persons who are qualified to be the judge of the High Court;
(b) the persons belonging to the Uttar Pradesh Trade Tax Services or the
Uttar Pradesh Commercial Tax Services who hold or have held a post
not below the rank of Joint Commissioner:
Provided that-
(i) where the Tribunal consists of one or more persons who is or
are member or members of the U.P. Higher Judicial Service,
then he or senior most amongst them shall be appointed as the
President.
(ii) no person shall be appointed from amongst the advocate
unless-
(A) he has paid Income Tax on his income from his legal
profession in each of ten consecutive years preceding
such appointment;
(B) he has attained the age of fifty years on the date of
appointment.
(C) such Members from amongst Advocates shall be
appointed for a term of three years from the date of
appointment or till he attains the age of 60 years which
ever is earlier.
(2) The State Government may prescribe such other qualification or conditions for
the appointment of the President and the other members of the Tribunal as it
may deem fit.
(3) The provisions of rule 56 of the U.P. Fundamental Rules shall continue to apply
to every member of the Tribunal including the President whether appointed
under the erstwhile Act or under this Act on or after the date of the
commencement of this Act, as they apply to any other Government servant.
(4) Any person aggrieved by an order passed under
sub-section(3) and sub-section(15) of
section42*
,section 55, section 56, a decision under section 59 or a direction under
the proviso of sub-section (7) of section 48 may, within ninety days from the
date of service of the copy of such order, decision or direction on him, prefer an
appeal to the Tribunal.
Provided that where order passed by the appellate authority under section
55 is an order in respect of demand of any security, not being security
demanded for release of goods seized under any provisions of this Act, appeal
under this section may be filed only after furnishing security, fixed by the
appellate authority under section 55.
Provided further that where the disputed amount of tax, fee or penalty does
not exceed two thousand rupees and no question of law is involved, the
appellant may, at his option, request the Tribunal in writing for summary
disposal of his appeal, whereupon the Tribunal may decide the appeal
accordingly.
Explanation: For the purposes of this sub-section, the expression ' any
person' in relation to any order passed by an authority other than the
Commissioner includes the Commissioner and, in relation to any order passed
by the Commissioner includes the State Government;
*
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE
NO. 6 OF 2014)
(5) The manner and procedure of summary disposal of appeal shall be such as may
be prescribed.
(6) Section 5 of the Limitation Act, 1963 shall apply to appeals or other
applications under this section.
(7) The Tribunal may at any stage, after giving the appellant a reasonable
opportunity of being heard, dismiss the appeal.
Tribunal
71
(8) The Tribunal may, if it has not already dismissed the appeal under sub-section
(7), after calling for and examining the relevant records, and after giving the
parties a reasonable opportunity of being heard or, as the case may be, after
following the procedure prescribed under sub-section (5):
(a) confirm, cancel or vary such order, or
(b) set aside the order and direct the assessing or appellate or revising
authority or the Commissioner as the case may be, to pass a fresh
order after such further enquiry, if any, as may be specified , or
(c) order such amount of tax, fee or penalty or other money as may have
been realized in excess of the due amount to be refunded according to
the provisions of this Act.
(9) Where an appeal under this section has been filed, the Tribunal may, on the
application of the appellant moved along with the memorandum of such appeal
after giving the parties a reasonable opportunity of being heard, stay the
operation of the order appealed against or the recovery of the disputed amount
of any tax, fee or penalty payable, or refund of the amount due, or proceeding
for re-assessment under the order appealed against till the disposal of the
appeal:
Provided that-
(i) where appellate authority under section 55 has set aside an
order of assessment or penalty and has remanded the case to
the assessing authority, for decision afresh, and the appellant
under this section is a person other than the Commissioner or
the State Government, for the purpose of this section, disputed
amount of tax or penalty shall be deemed to be the same which
had been before appellate authority under section 55; and
(ii) subject to the provision under sub clause (i) where order
appealed against does not involve any dispute about quantum
of tax, fee or penalty, on the application of the appellant the
Tribunal may stay the operation of such order till the disposal
of appeal subject to such conditions including a condition of
furnishing of a security in cash within the time allowed;
Provided further that-
(a) no application for stay of recovery of any disputed amount of
tax, fee or penalty shall be entertained unless the applicant has
furnished satisfactory proof of the payment of not less than one
third of such disputed amount in addition to the amount
required to be deposited under sub-section (3) of section 55.
(b) the Tribunal may, for special and adequate reasons to be
recorded in writing, waive or relax the requirement of clause
(a) regarding payment of the one-third of such disputed
amount.
(10)Where the Tribunal passes an order under this section for the stay of recovery
of any tax, fee or penalty or for the stay of the operation of any order appealed
against and such order of the Tribunal results in the stay of recovery of any tax,
fee or penalty, such stay order of the Tribunal shall not remain in force for
more than thirty days unless the appellant furnishes adequate security to the
satisfaction of the assessing authority concerned for the payment of the
outstanding amount.
(11)The members of the Tribunal shall sit in such benches of one, two or more
members, as may be constituted from time to time, and do such work of the
Tribunal as may, subject to sub-section (12) and the rules framed under this
Act, be allotted to them, by order or in accordance with the directions of the
President of Tribunal.
(12) (a) An appeal against the order of appellate authority under section 55 shall be
heard and disposed of-
(i) by a bench of two members, where in such order, not being an
order passed on the application of the appellant for stay, the
72
amount of tax, fee or penalty in dispute exceeds two lakh
rupees or such amount not exceeding three lakh rupees as may
be determined by the State Government from time to time.
(clause (i) was substituted w.e.f. 20-08-2010 vide notif. no
1101(2) dt. 20-08-2010, U.P. Act No 19 of 2010)
(ii) by a single member bench, in any other case.
(b) an appeal against a direction given under the proviso to sub-section (7) of
section 48 shall be heard and disposed of by a bench of two members;
(c) an appeal against an order under section 56 shall be heard and disposed of
by a bench of two members."
(d) An appeal against
an order passed by the Commissioner under section 42*
or a decision
given under section 59, shall be filed before the President and shall be
heard and disposed of by a bench of three members.
(e) The President may, if he so thinks fit,-
(i) direct an appeal to be heard and decided by a larger bench;
(ii) transfer an appeal from one bench to another bench.
(f) In a case before a bench consisting of two or more members any order
other than an order finally disposing of the case may be passed by any
one of the members constituting the bench.
Provided that an appeal against an order passed on an application for
stay, may be disposed of finally by a single member bench.
*
Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE NO. 6 OF 2014)
(13) All appeals arising out of the same cause of action in respect of an assessment
year shall, as for as possible, be heard and decided together:
Provided that where anyone or more of such appeals have been heard and
decided earlier, if the bench hearing the remaining appeals considers that such
decision may be a legal impediment in giving relief in such remaining appeals,
it may, if the earlier decision was given-
(a) by a smaller bench or a bench of equal strength, recall such earlier
decision and proceed to decide all the appeals together;
(b) by a larger bench, refer such remaining appeals to such larger bench
having jurisdiction and thereafter such larger bench may recall such
earlier decision and proceed to decide all the appeals together.
(14)The place of sitting and procedure of, and the manner of presenting appeals and
other documents to the Tribunal shall, subject to the rules framed under this
Act, be such as the Tribunal may deem fit to adopt.
(15)The decision, of case heard by a bench, shall be in accordance with opinion of
the majority. Where the members are equally divided the President of the
Tribunal may,-
(a) if he was not a member of such bench, give his own opinion or refer the
case for the opinion of another member, whereupon the case shall be
decided in accordance with such opinions; or
(b) form a larger bench.
58. (1) Any person aggrieved by an order made under sub-section (7) or sub-section
(8) of section 57, other than an order under sub-section (4) of that section
summarily disposing of the appeal, may, within ninety days from the date of
service of such order, apply to the High Court for revision of such order on the
ground that the case involves any question of law.
(2) The application for revision under sub-section (1) shall precisely state the
question of law involved in the case, and it shall be competent for the High
Court to formulate the question of law or to allow any other question of law to
be raised.
(3) Where an application under this section is pending, the High Court may, on an
application in this behalf, stay recovery of any disputed amount of tax, fee or
penalty payable, or refund of any amount due under the order sought to be
revised:
Provided that no order for stay or recovery of such disputed amount
shall remain in force for more than thirty days unless the applicant furnishes
adequate security to the satisfaction of the Assessing Authority concerned.
Revision by
High Court in
special cases
Revision by
73
(4) The High Court shall, after hearing the parties to revision, decide the question,
of law involved therein, and where as a result of such decision, the amount of
tax, fee or penalty is required to be determined afresh, the High Court may send
a copy of the decision to the Tribunal for fresh determination of the amount,
and the Tribunal shall thereupon pass such orders as are necessary to dispose of
the case in conformity with the said decision.
(5) All applications for revision of orders passed under section 57 in appeals
arising out of the same cause of action in respect of an assessment year shall be
heard and decided together:
Provided that where any one or more of such applications have been
heard and decided earlier, if the High Court, while hearing the remaining
applications, considers that the earlier decision may be a legal impediment in
giving relief in such remaining applications, it may recall such earlier decision
and may thereafter proceed to hear and decide all the applications together.
(6) The provisions of section 5 of the Limitation Act, 1963, shall mutatis mutandis,
apply to every application, for revision under this section.
Explanation- For the purpose of this section, the expression "any person"
includes the Commissioner and the State Government.
58-A (1) The Commissioner with the approval of the State Government may, from
time to time, issue orders, instructions or directions to the authorities
under this Act fixing the monetary limits for the purpose of regulating the
filing of appeal under section 57 or revision under section 58 by the
commercial tax authority under this Act.
(2) Where a commercial tax authority in pursuance of the orders,
instructions or directions issued under sub-section(1),has not filed any
appeal under section 57 or revision under section 58 on any issue in the
case of an assessee for any assessment year, it shall not preclude such
authority from filing an appeal under section 57 or revision under
section 58 on the same issue in the case of,-
(a) the same assessee for any other assessment year, or
(b) any other assessee for the same or any other assessment year,
(3) Notwithstanding that no appeal under section 57 or revision under
section 58 has been filed by a commercial tax authority pursuant to the
orders or instructions or directions issued under sub-section (1), it shall
not be lawful for an assessee, being a party in any appeal under section
57 or revision under section 58 to contend that the Commercial tax
authority has acquiesced in the decision on the disputed issue by not
filing an appeal under section 57 or a revision under section 58 in any
case.
(4) The Tribunal or High Court hearing such appeal or revision ,shall have
regard to the orders, instructions or directions, issued under sub-
section(1) and the circumstances under which such appeal under section
57 or revision under section 58 has been filed or not filed in respect of
any case.
59. (1) If any question arises, otherwise than in a proceedings pending before a Court
or before an authority under this Act, whether, for the purposes of this Act-
(a) any person or association of persons, society, club, firm, company,
corporation, undertaking or Government Department is a dealer; or
(b) any particular thing done to any goods amounts to or results in the
manufacture of goods within the meaning of that term; or
(c) any transaction is a sale or purchase and, if so, the sale or purchase price,
as the case may be, therefor; or
(d) any particular dealer is required to obtain registration; or
(e) any tax is payable in respect of any particular sale or purchase and, if so,
the rate thereof,
Determination of
disputed question
by the
Commissioner
Monetary limits
for filing of
appeal or
revision
74
the person or the dealer concerned may, after depositing the fee specified in
section 72, submit an application to the commissioner, along with such
documents as may be prescribed.
(2) The Commissioner shall, after giving the applicant an opportunity of being
heard, decide as he deems fit the question so arising:
Provided that, before giving such decision, the Commissioner may, in
his discretion, ask an officer subordinate to him to make such inquiries as he
considers necessary for the decision of the question.
(3) No decision of the Commissioner under this section shall affect the validity or
operation of any order passed earlier by any assessing authority, appellate
authority, revising authority or the Tribunal.
(4) No question which arises from an order already passed, in the case of applicant,
by any authority under this Act or the Tribunal, shall be entertained for
determination under this section.
(5) Except as provided in sub-section (3), a decision given by the Commissioner
under this section shall, subject to the provisions of sections 57 and 58, be final
and shall be binding on all the assessing authorities and appellate authorities.
(6) A copy of the decision given under this section shall be sent to the applicant
and to the assessing authority concerned.
60. No appeal and no application for revision shall lie against-
(a) an order or notice initiating an inquiry for assessment or re-
assessment;
(b) any order or action under section 45, sub-sections (1), or subsection
(2) of section 48, sub-section (4) of section 50 or an order of seizure
of goods; and
(c) any direction issued by the Commissioner in exercise of powers as
may be prescribed.
61. The assessee shall not be entitled to produce additional evidence, whether oral or
documentary, before the appellate authority or the Tribunal except where the
evidence sought to be adduced is an evidence, which the assessing authority had
wrongly refused to admit or which after exercise of due diligence was not within
his knowledge or could not be produced by him before the assessing authority,
and in every such case, upon the additional evidence being taken on record,
reasonable opportunity for challenge or rebuttal shall be given to the assessing
authority.
CHAPTER- X
Settlement Commission
62. (1) There shall be a Settlement Commission consisting of a Chairman and such
number of other members as may be determined by the State Government.
Provided that the Commission shall comprise at least one member from each
category mentioned in clauses (i) and (ii) of sub-section (4).
(2) The Commission shall be located at the State headquarter but the Commission
for discharge of its functions, may, at its option, hold its camp at any public
place anywhere inside the State.
(3) A person shall not be qualified for appointment as Chairman, unless he -
(i) has been a judge of a High Court, or
(ii) has, for at least one year, held the post of the President of Tribunal under
this Act or the erstwhile Act;
(4) A person shall not be qualified for appointment as member unless he,
(i) has held the post of Member Tribunal or Additional Commissioner under
this Act or under the erstwhile Act; or
(ii) he is or has been a member of U.P. Higher Judicial Service.
(5) The chairman and every other Member shall be appointed by the State
Government but the member belonging to Higher Judicial Service shall be
appointed after consultation with the Chief Justice of the High Court for which
proposal will be initiated by the State Government:
Orders against
which no appeal
or revision shall
lie
Additional
evidence in
appeal
Constitution of
the Settlement
Commission
75
Provided that the Chairman or member shall not assume the office unless
he has resigned or retired from, as the case may be, the Judgeship of the High
Court, or the Uttar Pradesh Higher Judicial Service or any other service in
which he was serving.
(6) The Chairman and member shall hold office as such for a term of three years
from the date he enters upon his office:
Provided that no Chairman or other member shall hold office as such after he
has attained.
(a) in the case of Chairman the age of sixty five years, and
(b) in the case of any other Member the age of sixty two years.
(7) The Chairman or any other member may by notice in writing under his hand
addressed to the Governor resign his office.
(8) The Chairman or any other member shall not be removed from his office except
by an order made by the Governor on the ground of proved misbehavior or
incapacity after (an inquiry made by the Chief Justice or such Judge of the High
Court as may be nominated by the Chief Justice,) in the prescribed manner, in
which such Chairman or other member as the case may be, has been informed
of the charges against him and given reasonable opportunity of being heard in
respect of those charges.
(9) On ceasing to hold office, the Chairman or other member shall not appear, act
or plead before any authority under this Act.
(10) The salaries and allowances payable to the Chairman and other member and
the other conditions of their service shall be such as may be determined by the
State Government from time to time.
(11) Where the Chairman is unable to discharge his functions owing to absence,
illness or any other cause, or where any vacancy occurs in the office of the
Chairman by reason of his death, resignation or otherwise, the President of
Tribunal shall discharge the function of the Chairman until the Chairman
resumes his duties or as the case may be, a Chairman appointed in accordance
with the provisions of this Act assumes charge of his office.
63. (1) The State Government shall determine the nature and categories of the officers
and other employees required to assist the Settlement Commission (hereinafter
referred to as the Commission) in the discharge of its functions and provide
the Commission with such officers and other employees as it may think fit.
(2) The officers and other employees of the Commission shall discharge their
function under the general superintendence of the Chairman.
(3) The salaries and allowances and conditions of service of the officers and other
employees of the Commission shall be such as may be determined by the State
Government
64. (1) Any dealer or other person who has been served with a notice –
(i) under sub-section (10) of section 45 and who is suspected to have evaded
payment of tax exceeding one lakh rupees or such larger amount of tax as
the State Government may by notification in the Gazette specify; or
(ii) for imposition of penalty either under sub-section (4) of section 48 or
under entries at serial numbers 2 and 14 of the table under sub-section (1)
of section 54 and where the maximum amount of penalty that can be
imposed is likely to exceed one lakh rupees,
may file a petition before the Commission for settlement of amount of tax that
may be assessed or amount of penalty that may be imposed or both, as the case
may be, within thirty days from the date of receipt of such notice after giving
intimation to the authority who has issued such notice.
Provided that the Commission may, in appropriate cases, accept the
application after expiry of period of thirty days but before expiry of period of
ninety days where the assessing authority has not passed order of assessment or
penalty, as the case may be, in pursuance of such notice.
(2) The petition shall be submitted in such form and in such manner as may be
prescribed along with satisfactory proof of deposit of fee of five thousand
rupees and full disclosure of his turnover which has not been furnished to the
Staff of the
Settlement
Commission
Reference of
case to the
Settlement
Commission
76
assessing authority with additional amount of tax payable on such turnover and
such other particulars to the Settlement Commission to have the case settled:
Provided that no petition shall be entertained unless the amount of tax on
the turnover of sale or purchase disclosed in the petition has been paid and
proof there for has been enclosed.
65. (1)The Chairman may from time to time constitute bench of two members for the
disposal of the settlement cases received under section 64.
(2) A bench of two members shall include each category of members mentioned in
clauses (i) and (ii) of sub section(4) of section 62.
Provided that Chairman may nominate himself as one of the members of the
bench.
(3) The petition referred to in section 64 shall be placed before the bench to which it
has been marked by the Chairman and where the bench, after giving reasonable
opportunity of being heard to the petitioner and the representative officer of the
Commissioner, is of the opinion that prima facie case for settlement is made out, it
shall, subject to provision under sub-section (4), –
(i) order for registration of the case; and
(ii) stay the proceedings before the assessing authority in the case.
(4) Where after giving reasonable opportunity of being heard as provided under sub-
section (3), if the Commission is of the opinion that a case for settlement is not
made out, it shall reject the petition.
Provided that where petition presented is incomplete, the Commission shall
not reject the petition if the petitioner removes defects within the time allowed by
the Commission.
(5) Where a case for settlement has been registered, the Commission shall order to call
for the report in the matter from the authority who has issued notice on the basis of
which settlement case has been registered and such officer shall submit its report
within thirty days of receipt of the direction from the Commission or within such
extended time as the Commission may allow.
(6) Upon receiving the report referred to in sub-section (5) the Commission after
giving reasonable opportunity of hearing to both parties and examining the records
shall, by an order in writing, determine the amount of tax or penalty or both, as the
case may be, which in its opinion the petitioner is in the facts and circumstances of
the case, liable to pay as settlement amount.
(7) For the purpose of sub-section (6) the Commission may call for any records from
the petitioner and the Commissioner relating to the case or such other records
which may be helpful in the case.
(8) In a case of difference of opinion between the two members, the Chairman shall
constitute a bench of three members including the members who have heard the
case previously. Such bench after following the procedure under sub-section (6)
and sub-section (7) shall, with majority of opinion, pass the order referred to in sub-
section (6).
(9) Copies of order passed by the Commission under sub-section (6) or sub-section
(8), as the case may be, shall be sent by the Commission to the officer who has
issued the notice to the petitioner, the petitioner through his assessing authority,
the assessing authority of the petitioner and the Commissioner and where the
order passed by the Commission relates to payment of amount of tax, the
assessing authority shall serve the notice of demand for the amount which is to
be paid by the petitioner.
(10) The Commission may grant facility of payment of the amount mentioned in the
settlement order along with amount of interest payable, in monthly installments
not exceeding twenty four subject to such conditions including condition of
furnishing security to the satisfaction of the assessing authority, as it may deem
fit.
(11) Where the petitioner does not deposit the amount or any part of it mentioned in
the settlement order, the same shall become recoverable as arrears of land
revenue after expiry of a period of thirty days from the date of service of the
order on him and the assessing authority shall recover such amount as if such
Procedure to
be adopted by
the
Commission
77
amount is amount of tax assessed or penalty imposed under any other
provisions of this Act.
(12) Provisions relating to payment of interest in respect of amount of tax shall
apply to the amount mentioned in the settlement order in the manner the same
are applicable in the case of tax levied under any other provisions of this Act.
(13) For all purposes under this Act, amount determined under this section shall be
treated to be tax levied or amount of penalty imposed, as the case may be, and
date of order made by the Commission shall be treated to be the date of order of
assessment or penalty as the case may be.
(14) Where petition of the dealer or other person has been rejected by the
Commission, the assessing authority shall proceed to assess the tax or to
impose the penalty in case of such dealer or other person in accordance with
other provisions of this Act.
(15) Notwithstanding anything contrary to the provisions of section 28 of this Act,
where in any case of assessment a petition under this section has been rejected
by the Commission, the assessment or re-assessment, as the case may be, may
be made by the assessing authority before the expiry of the assessment year
succeeding the assessment year in which order passed by the Commission has
been received by the assessing authority by due process.
(16) Where a case of settlement under this section is pending before the
Commission, nothing shall preclude the assessing authority from making an
assessment or re-assessment pertaining to the assessment years to which
settlement case is pending but the assessing authority shall make its order by
ignoring the material under the show cause notice before the Commission.
(17) Where any settlement case relating to evasion of tax is pending for
consideration before the Commission, if any additional notice in respect of tax
evasion by the same authority or any fresh notice by any other authority is
issued on any ground not mentioned in the earlier notice, the petitioner or the
Commissioner may request the Commission to consider the material set out in
such other notice provided the Commission has not made the settlement order.
(18) The Chairman, during pendency of a case, may -
(i) transfer any case from one bench to the other; or
(ii) re-constitute the bench.
(18-A) Where, during the pendency of any proceeding before it, the Settlement
Commission is of the opinion that for the purpose of protecting the interests of
the revenue it is necessary so to do, it may order to furnish the security
required to be sufficient to cover the revenue loss within the stipulated time in
the manner determined by Commission.
(18-B) Any proceeding before the Settlement Commission shall be deemed to be a
judicial proceeding within the meaning of sections 193 and 228, and for the
purposes of section 196, of the Indian Penal Code (45 of 1860)"
(19) The Commission shall not entertain a petition regarding a matter which has been
subject matter of any petition filed earlier by the dealer or other person.
(20) No appeal, revision or review shall lie against any proceedings or any order
made under this section.
CHAPTER- XI
Miscellaneous
66. (1) No objection as to the territorial or pecuniary jurisdiction of any assessing
authority shall be allowed by any appellate or revising authority or the
Tribunal, unless such objection was taken before the assessing authority at the
earliest possible opportunity and unless, in the opinion of the appellate or
revising authority or the Tribunal, as the case may be, a failure of justice has in
fact been occasioned thereby.
(2) Where any assessment is set aside or quashed merely on the ground of want of
territorial or pecuniary jurisdiction of the assessing authority or on any other
ground of a like nature not affecting the substance, any tax already paid by the
assessee, to the extent of the liability admitted by him shall not be refundable to
him, in consequence of the assessment being so set aside or quashed.
Objections
relating to
jurisdiction
78
67. No suit, prosecution or other legal proceedings shall lie against any servant of the
Government for anything, which is in good faith done or intended to be done
under this Act or the rules made thereunder.
68. No assessment made and no order passed under this Act or the rules made
thereunder by any authority shall be called in question in any Court, and, save
as is provided in this Act, no appeal or application for revision or review shall
lie against any such assessment or order.
69. (1) All particulars contained in any statement made, tax return furnished or
accounts or documents produced under the provisions of this Act or of the rules
made thereunder, or in any evidence given or affidavit or deposition made in
the course of any proceedings under this Act or the rules made thereunder, or in
any record of any proceedings relating to the recovery of a demand prepared for
the purpose of this Act or the rules made thereunder, shall be treated as
confidential.
(2) Nothing in sub-section (1) shall apply to the disclosure of any such particulars-
(a) for the purpose of any investigation of, or prosecution for any offence
under this Act or under the Indian Penal Code, 1860, or under any
other enactment for the time being in force; or
(b) to any person acting in the execution of the Act or the rules made
thereunder where it is necessary to disclose the same to him for the
purposes of this Act or the rules made thereunder; or
(c) occasioned by the lawful employment under this Act or the rules made
thereunder of any process for the recovery of any demand; or
(d) to a Civil Court in any suit to which the Government or a party, which
relates to any matter arising out of any proceedings under this Act or
the rules made thereunder; or
(e) occasioned by the lawful exercise by a public servant of his powers
under the Indian Stamps Act, 1899, to impound an insufficient
stamped document; or
(f) to an officer of Central Government or the Government of any State,
for the purpose of enabling that Government to levy or realise any tax
imposed by it; or
(g) to an officer of the Central or the State Government for the purposes of
making any inquiry against any Government servant; or
(h) for purposes of audit of public accounts.
70.
The State Government may assign commodity code to each category of
commodities whether described in any entry of any Schedule of this Act or
embodied in Schedule-V
.*
*Substituted by THE UTTAR PRADESH VALUE ADDED TAX (AMENDMENT) (SECOND) ORDINANCE, 2014 ( U. P. ORDINANCE
NO. 6 OF 2014)
71. (1) Notwithstanding anything contained in sub-section (1) and sub-section (2) of
section 33 and section 39, but subject to such conditions, as may be deemed fit
to be imposed, the State Government may allow the deferment of payment of
any existing or future dues payable by an industrial unit under the provisions of
this Act or allow payment of such dues in such number of installments as may
be specified, if such industrial unit is declared a sick unit in accordance with the
guidelines specified in this behalf by an authorised body constituted by the
Central Government or the State Government in connection with the
rehabilitation of sick industrial units, and is approved for rehabilitation by an
approved agency, appointed by the Central Government or the State
Government.
(2) Notwithstanding anything contained in section 32, the State Government may
set aside an order of assessment or penalty passed ex-parte against a sick unit
Indemnity
Bar to certain
proceedings
Certain
information
to be
confidential
Certain
Allotment of
commodity
code
Facility for
sick
industrial
units
79
and direct fresh disposal of the case in accordance with the law for the time
being in force.
72. (1) Subject to other provisions of this Act, the fee payable on a memorandum of
appeal or other applications under this Act filed or moved shall be as follows:
(a)
On a memorandum of appeal under
section 55.
Two percent of the amount of tax, fee or
penalty in dispute, subject to a minimum of
one hundred rupees and a maximum of one
thousand rupees.
(b) On a memorandum of appeal under
section 57.
Seven and a half per cent of the amount of tax,
fee or penalty in dispute, subject to a minimum
of five hundred rupees and maximum of two
thousand one hundred rupees.
(c) On an application under section- 59
one hundred rupees.
(d) On any other application-
(i) When addressed to the
Commissioner or the Revising
Authority or the Tribunal or the
Settlement Commission
Twenty rupees
(ii)When addressed to any other
officer or authority.
Ten rupees.
(2) The fee referred to in this section and in any other provision of this Act shall be
payable in the manner prescribed, and proof of deposit of the same shall be
attached to the memorandum or application, as the case may be:
Provided that where the amount of fee payable does not exceed one
hundred rupees, the same may be paid in court fee stamps.
(3) No fee shall be payable in respect of:-
(a) an application or a memorandum of appeal presented by the Commissioner
or any other officer or authority appointed under this Act or the rules made
thereunder.
(b) an application in which only information is sought and in which no specific
relief is prayed for ; and
(c) an application under section 59, seeking a decision only as to the rate of tax
applicable or the point at which the tax is payable.
73. (1) Where, during the pendency of any proceedings under this Act, any person
liable to pay any tax or other dues creates a charge on, or transfers any movable
or immovable property belonging to him in favour of any other person with the
intention of defrauding any such tax or other dues, such charge or transfer shall
be void as against any claim in respect of any tax or other dues payable by such
person as a result of the completion of the said proceedings:
Provided that nothing in this section shall impair the rights of a transferee
in good faith and for consideration.
(2) Nothing in sub-section (1) shall apply to a charge or transfer in favour of a
banking company as defined in the Banking Regulation Act, 1949 ( Act X of
1949) or any other financial institution specified by the State Government by
notification in this behalf.
74. Where the State Government is satisfied that it is necessary so to do in the public
interest, it may issue notification wherever required under the provision of this
Act so as to make it effective from a date not earlier than six months from the
date of issue of such notification:
Provided that no notification having the effect of increasing the liability to
tax of a dealer shall be issued with retrospective effect under this section.
75. If any dealer to whom the provisions of sections 17 and 18 apply:-
Fees in
certain cases
Transfer to
defraud
revenue void
Transfer to
Power to issue
notifications
Power to issue
Information to be
furnished
regarding change
of business
Information to be
80
(a) transfers his business or any part thereof by sale, lease, leave, license,
hire or in any other manner whatsoever, or otherwise disposes of his
business or any part thereof; or
(b) acquires any business, whether by purchase or otherwise; or
(c) effects or comes to know of any other change in the ownership or
constitution of his business; or
(d) discontinues his business or changes his place of business or warehouse
or opens a new place of business or warehouse; or
(e) changes the name, style or nature of his business or effects any change
in the class or description of goods in which he carries on his business,
as specified in his certificate of registration; or
(f) enters into partnership or other association in regard to his business; or
(g) starts a new business or joins another business either singly or jointly
with other persons; or
(h) in the case of a company incorporated under a statute effects any
change in the constitution of Board of Directors; or
(i) effects any change in the particulars furnished in application for grant
of registration certificate under section 17,
he shall within thirty days of the occurring of any of the events aforesaid, inform
the registering authority in the form and manner, as may be prescribed.
76. (1) The Commissioner may, by issuing a circular or by publication in the news
paper, direct that statistics be collected relating to any matter under this Act.
(2) Any officer authorised to collect statistics may, call upon all dealers or class of
dealers or a particular dealer to furnish such information, returns or statements
as may be required relating to any matter in respect of which statistics are to be
collected.
(3) Dealer shall be liable to furnish such information within the time allowed.
77. Notwithstanding anything to the contrary contained in any other law for the time
being in force, any amount payable by a dealer or any other person under this
Act on account of tax, fee, penalty or interest, shall be the first charge on the
property of the dealer or such person.
78-(1)The State Government may, by notification, establish with effect from such date
as may be specified in the notification, a Board to be known as the Uttar
Pradesh State Tax Board to perform the functions conferred on it, by or under
this Act or the rules made there under, consisting of the following members:-
(a)
The Principal Secretary, Government of Uttar Pradesh in
Commercial Tax Department
Chairperson ex. Officio
(b) Commissioner Commercial Tax, Uttar Pradesh Member ex. Officio
(c) Additional Commissioner (vidhi) Commercial Tax, Uttar
Pradesh
Member
ex. Officio
(d)
Additional Director [Training], Commercial Tax, Uttar
Pradesh
Member
ex. Officio
(e) Joint Commissioner (sodh) Commercial Taxes
Headquarters Lucknow
Member Secretary
(f) Additional Legal Remembrancer nominated by the
Principal Secretary and Legal Remembrancer to the
State Government
Member
(g)
An officer of the Finance Department not below t
he rank
of special secretary to be nominated by the Principal
Secretary to the Government of Uttar Pradesh in the
Finance Department
Member
(h)
A person who has been a Professor of Economics of a
University, nominated by the State Government
Member
(i)
A person who has been the Member of the Tribunal or
the Additional Commissioner, Commercial Taxes,
nominated by the State Government
Member
(j)
Two persons from amongst office bearers of the
Members
Power to
collect
statistics
Tax to be first
charge on
property
Board of
State Taxes
81
recognized Trade Association nominated by the State
Government
(2) The Board shall be the apex advisory body regarding system of tax
collections, changes in the rate of tax, rules and procedures, promulgation of
schemes, notifications, orders and such other matters as the State Government
may from time to time assign to it.
(3) The members referred to in clause (h) to (j) of sub-section-(1) shall be
entitled to get such facility or benefit and remuneration as may be determined
from time to time by the State Government
79. (1) The State Government may make rules to carry out the purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing powers,
such rules may provide for-
(a) all matters expressly required or allowed by this Act to be prescribed;
(b) the registration of persons engaged in the sales or purchase of goods and the
imposing of condition in respect of the sale for the purpose of enforcing the
provisions of this Act;
(c) the determination of the turnover for the purpose of assessment of tax under
this Act;
(d) compelling the submission of tax returns and the production of documents and
enforcing the attendance of a person and examining them on oath or affirmation;
(e) the appointment, duties and powers of the officers appointed for the purpose
of enforcing the provisions of this Act;
(f) generally regulating the procedure to be followed and the forms to be adopted
in proceedings under this Act;
(g) refunds of amounts deposited under sub-section(1) of Section 40 or 41, the
procedure for such refunds and the period within which they may be made;
(h) the custody of the goods seized under this Act; and
(i) the matters which are to be or may be prescribed;
(3) The power to make rules conferred by this section shall be subject to condition of
the rules being made after previous publication for a period of not less than four
weeks:
Provided that if the State Government is satisfied that circumstances exist which
render it necessary for it to take immediate action, it may make any rule without
such previous publication.
(4) All rules made under this section shall be published in the Gazette and upon such
publication shall have effect immediately as if enacted in this Act.
80. (1) If any difficulty arises in giving effect to the provisions of this Act, or by reason
of anything contained in this Act to any other enactment for the time being in force,
the State Government may, as occasion requires, by notified order direct that this
Act shall have effect subject to such adaptions, whether by way of modification,
addition or omission, as it may deem to be necessary and expedient.
Provided that no order under this sub section shall be made after the
expiration of the period of two years from the date of commencement of this Act.
(2) Provisions made by any order under sub-section (1) shall have the effect as if
effected in this Act and such order may be made so as to be retrospective to any
date not earlier than the date of the commencement of this Act.
(3) Every order made under sub-section (1) shall be laid, as soon as may be, before
both the Houses of the State Legislature and the provisions of sub-section (1) of
section 23-A of the Uttar Pradesh General Clauses Act, 1904 shall apply as
they apply in respect of rules made by the State Government under any Uttar
Pradesh Act.
81. (1) The Uttar Pradesh Trade Tax Act, 1948 (U.P. Act No. XV of 1948) (hereinafter
in this section referred to as the repealed enactment) is hereby repealed.
(2) Notwithstanding such repeal, -
(a) any notification, rule, regulation, order or notice issued, or any
appointment or declaration made, or confiscation made, or any penalty or
Power to
remove
difficulties
Repeal and
saving
Power to
make rules
82
fine imposed, any forfeiture, cancellation or any other thing done or any
action taken under the repealed enactment, and in force immediately
before such commencement shall, so far as it is not inconsistent with the
provisions of this Act, be deemed to have been issued, made granted,
done or taken under the corresponding provisions of this Act.
(b) any right, privilege, obligation or liability acquired, accrued or incurred
under the repealed Act, shall not be affected and manufacturing units
(w.e.f.01.01.2008)enjoying facility of moratorium for payment of tax
under section 8(2-A) of the said Act shall be entitled to claim moratorium
for payment of tax in accordance with provisions of section 42.
(3) Any officer, authorised by the Commissioner under the repealed enactment, to
exercise powers under section 10-B and sub-section (6) of section 13-A thereof,
shall be deemed to have been authorised by the Commissioner to exercise such
powers under section 56 and sub-section (7) of section 48 respectively.
(4) Any order made or direction issued by the State Government or by the
Commissioner under the repealed Act, for carrying out purposes thereof, to the
extent the same are not inconsistent with the provisions of this Act, shall be
deemed to have been issued under the provisions of this Act.
(5) Any security or additional security, furnished under the provisions of the
repealed Act, shall be deemed valid for the purposes under this Act only upon
furnishing an undertaking from the surety to this effect in the prescribed form
and manner within thirty days from the date of the commencement of this Act.
Provided that, in appropriate cases, the assessing authority may extend the
time for furnishing undertaking from sureties.
(6)The mention of particular matters in this section shall not be held to prejudice or
affect general application of section 6 of the Uttar Pradesh General Clauses
Act, 1904, with regard to the effect of repeals.
As Amended by notification no 292 dt March 12
th
, 2015
SCHEDULE-I
(See clause (b) of section-7 of Uttar Pradesh Value Added Tax Ordinance, 2007)
List of Exempted goods
S.no.
Name and description of goods
1
2
1.
Agricultural implements including sprayers & drip irrigation equipments - manually operated or
animal driven or tractor or power driven; spare parts and accessories thereof.
(A) Agricultural implements - manually operated or animal driven - hand hoe or khurpa, sickle, spade,
baguri, hand-wheel hoe, Budding / grafting knife, secateur, pruning shear or hook, hedge shear,
sprinkler, raker, sprayer, duster and sprayer-cum-duster, kudali or kudal, garden fork, garden hatchet,
lopper, axe shovel, bill hook (single edge or double edge), soil injector, jandra, wheel barrow,
winnowing fan or winnower, dibbler, gandasa, puddler, leveller or scoop, scraper, fertilizer seed
broadcaster, sheller, groundnut decorticator, manure or seed screen, flame gun, seed grader, tasla,
tangli, yoke, plough, harrow, cultivator or trifali, seed drill, fertilizer drill, seed-cum-fertilizer drill,
planter, plank or float, ridger, ditcher, bund former, thresher or palla, transplanter, chaff cutter, Persian
wheel and bucket chain or washer chain, crop yield judging hoops, pur or mhot, carts, reaper, mower,
sugar cane crusher, cane juice boiling pan and grating roller and crowbar; Animal driven cart, tyre and
tube thereof; Treadle Pump (Paddle Pump).
(B) Agricultural implements – Tractor or power driven - plough, harrow, cultivator or tiller, seed drill,
fertilizer drill or fertilizer-cum-seed drill, fertilizer broadcaster, planter, plank or float, leveller or
scoop, bund former, ridger, puddler, ditcher, cage wheel, sprayer, duster or sprayer-cum-duster, roller,
hoe, rotary hoe or rotovetor, reaper or mower, potato harvester or spinner, groundnut digger, shaker,
thresher, chaff cutter, groundnut decorticator, seed grader, winnower, seed treater, poultry feed grinder
and mixer, and transplanter.
2.
Aids and implements including motorized/non-motorized trycycle used by handicapped persons.
3.
Animal shoenails, Nalkhuri and nails used in nalkhuri
4.
Aquatic feed; poultry feed including balanced poultry feed; cattle feed including balanced cattle feed;
and cattle fodder including green fodder, chuni, bhusi, chhilka, choker, javi, gower, de-oiled rice
polish, de-oiled rice bran, de-oiled rice husk, de-oiled paddy husk
[or outer covering of paddy]*;
aquatic, poultry and cattle feed supplement, concentrate and additives thereof ; wheat bran and deoiled
cake but excluding oil cake; rice polish; rice bran and rice husk; Sanai and dhaincha
* omitted by Notification no 136 dated 28 01 2015
5.
All kinds of bangles except those made of items described in schedule III; ghunghroo and ghanti of
brass; Mukut of statue, trishul, gharial, hawan kund, ghanta, majira, aachmani made of copper or brass
Ornaments made of any metal or alloy other than gold or silver or any alloy therof
6.
Betel leaves, Paan both prepared and unprepared
7.
Books and periodicals & journals including Braille books; maps; chart &
globe;
Workbooks bearing the name of the author thereon or prescribed in the syallabus of any Educational
Board or Council; (Omitted)
8.
Coarse grains that is to say jowar, maize (macca), ragi, bajra, kodon, barley and kutu, ramdana,
singhara (whether fresh, dried or boiled), kutu flour and singhara flour; Sawan,mandua, kakun and
manjhari(ankari)
9.
Condoms and contraceptives, Oral contraceptive pills
10.
Cotton yarn in hanks and cones, silk yarn in hanks and cones; Poly cotton roving (puni) and slibers;,
Cotton newar, hand spun yarn, handloom newar; baan made of kaans, moonj or sunn; Polyster and
staple Fiber yarn.
11.
Charkha, Amber Charkha, Handlooms (including pitlooms, frame looms, light shuttel looms, and
paddle looms); implements used in the production of khadi / khaddar, handloom fabrics and parts
thereof ; Khadi fabrics of all kinds,Gandhi Topi, Khadi Garments and Khadi made-ups including
unfilled Rajai, unfilled Gaddey, unfilled Gaddi , unfilled pillow ; Cotton filled Gaddey , Quilt,
Masnad and pillow made of Khadi *
*Inserted by notification no. 222 dated 13 02 2015
12.
Curd, Lassi, butter milk, fresh milk, pasteurised milk and separated milk.
13.
Electrical energy ; Windmill for water pumping and for generation of electricity; Lantern and Lamps
using kerosene oil and theit chimney but excluding gas lantern,petromax and stove and their
parts,accessories and components Liquid petroleum gas for domestic use as defined under section 14
of the Central Sales Tax Act, 1956
14.
Earthen pot and all other goods of clay made b
y kumhars (potters) excluding ceramic pots and articles;
Dung and upla made of dung; earthen roofing tiles (khaprail and naali)
15.
Fire wood except Casurina & Eucalyptus timber.
84
16.
Fresh plants, saplings and fresh flowers.
17.
Fried and roasted grams.
18.
Fishnet, fishnet fabrics, fish seeds, prawn / shrimp seeds.
19.
Fresh vegetables and fresh fruits including fresh mushroom, potato, onion, garlic and ginger; fresh
cane juice and fresh fruit juice other than those sold in sealed or tinned container or in hotels and
restaurants.
20.
Human Blood & blood plasma.
21.
Silk Fabrics; Handloom cloth of all kinds; handloom shawls & lois whether plain, printed, dyed or
embroidered; Dhoties and Sarries; textiles of following varieties manufactured on powerloom
excluding the items described in schedule-II:-
(a) cotton fabrics of all varieties;
(b) rayon or artificial silk fabrics, including staple fibre fabrics of all varieties;
(c) woolen fabrics of all varieties;
(d) fabrics made of a mixture of any two or more of the above fibres, viz. cotton, rayon, artificial silk,
staple fibre or wool, or of a mixture of any one or more of the said fibres with pure silk fibre;
(e) canvas cloth.
22.
Indigeneous handmade musical instruments and Indigenous musical instruments as Dholak, Tabla,
naal, Mridang, Bachkana, Kongo, Dhol, Damru and Tuntuna; Umbrella except garden umbrella and
parts thereof .
23.
Kumkum, Bindi, Alta & Sindur, roli, mahawar, mehndi leaves and its powder, kajal, surma, hairpins,
hairband, hair clip, (other than that of precious metal), rubber band , safety pin , chutila, bichhia and
rakhi ; Moonga or moti made of glass
24.
Meat, fish, prawn & other aquatic products (when not cured or frozen); eggs and livestock.
25.
National Flag, News paper, newsprint when sold to news paper publishers; flag, poster, banner, token
and goods of like nature related with Armed Forces Flag Day celebrated on December seven
26.
Gypsum, Organic manure and bio-fertilizers; Zinc sulphate fertilizer and micro-nutrient mixtures;
phosphatic and potash components of all chemical fertilizers described under the
Fertilizer (Control) Order, 1985 as amended from time to time.
The value of phosphatic and potash components of a chemical fertilizer shall be determined
according to guidelines issued by the Department of Agriculture, Uttar Pradesh, from time to time.
27.
Papar, aam papar, kachri made of rice, sewaiyan, mungauri and bari including soyabean mungauri and
soyabean bari.
28.
Prasad, bhog or mahabhog, panchamrit, misri, batasa, vibhuti sold by religious institutions; Batasha,
illaichidana, gatta, kampat Charas; bura, Kuliya made of khandsari sugar.
29.
Non-judicial stamp paper sold by Govt. Treasuries, Postal items like envelope, postcard etc. sold by
Govt., rupee note when sold to the Reserve Bank of India & Cheque, loose or in the book form.
30.
Raw wool including animal hair ; bicycles , tricycles, cycle rickshaws & parts, components ,
accessories , tyres and tubes thereof. *
*Inserted by notification no.1270 dated 26 September , 2014
31.
Semen including frozen semen; Bones, horns and hooves
32.
Slate and slate pencils; takthi; Chalk stick and chalk powder
; Blackboard,jharan(duster)
33.
Silk worm laying cocoon & raw silk.
34.
All seeds including seeds of oilseeds (w.e.f.11-02-2009)
35.
Tender green coconut;
Coconut containing water
36.
Bun, rusk, bread excluding pizza bread; Atta, Maida, Suji, Besan including besan made of pea; Food
items supplied under Mid Day Meal Scheme; Gur, jaggery & edible variety of rab gur;
Khandsari; Porridge; beehive; Sugar as defined in section 14 of the Central Sales Tax Act, 1956,
Unbranded Honey..
* Inserted by notification no.
683 dated 10 07 2014
37.
Salt (branded or otherwise); Kala namak; sendha namak.
38.
Water other than aerated, mineral, distilled, medicinal, ionic, battery, de-mineralised and water sold in
sealed container.
39.
Items covered by PDS (except Kerosene).
40.
Sacred thread (commonly known as yagyopavit), Wooden kharaun
41.
Incense sticks commonly known as agarbati, dhupkathi or dhupbatti, hawan samagri including dhup
agarbatti, sambrani or lohbana; rudraksh, rudraksh mala, tulsi kanthi mala; gulab jal and kewra jal.
GOODS OF LOCAL IMPORTANCE
42.
Chikan Products and Benarasi silk sarees, kalavattu Embroidery or Zari articles that is to say : lackha,
85
thapa, gokharu, imi, zari, kasab, salma, dabaka chumki, gota, sitara, nagsi, kora, badia gizai, including
their cutting, waste and garlands of zari (3)
43.
Kite,manjha for flying kites.
44.
Kirpan; religious pictures not for use as calendar.
45.
Muddhas made of sarkanda, phool bahari jhadoo and unbranded broomsticks ; Juna used for cleaning
46.
Puffed rice, commonly known as Poha, Murmura and lai; Muri; flattened or beaten rice commonly
known as Chiwra; parched rice commonly known as khoi; parched paddy or rice coated with sugar or
gur commonly known as Murki; and Sattu.
47.
Handmade glass phials of capacity not more than 25 ml. manufactured by himself.
48.
Handloom durries; handwoven tat pattis, Gudris; Hand made woolen and hand made silk carpets;
Handmade papers; Gamchha, unstitched bed sheets and Khesh.
49.
Handicrafts including wooden handicrafts and cane handicrafts but excluding wooden furniture and
cane furniture; marble idols with maximum retail price of rupees six hundred condition that such
marble idols are manufactured without using electrical energy; marble handicraft goods; Koramal;
Wood carving.
50.
Leaf plates and cups excluding pressed or stitched.
51.
Wooden toys; Lac and Shellac including paseva, mulamma, button lac and kiri; Sports goods
excluding apparels, Sports footwear, Physical Exerciser and Fitness Equipments; Stop clock.
52.
Footwear with maximum retail price of rupees three hundred or less excluding plastic footwear; hawai
chappal and straps thereof.
SCHEDULE-II
(See clause (a) of sub -section-(1) of section-4 of the Uttar Pradesh Value Added Tax
Ordinance,2007)
Name and description of goods
Part-A
S.no.
List of goods taxed at 4%
1
2
1.
Acids
2.
All equipments for communication such as private branch exchange (PBX) & Elect. Private
Automatic Branch Exch.(EPABX), teleprinters, wireless equipments and parts thereof .
3.
All intangible goods like copyright, patent, rep. license etc; Transfer of right to use of goods
4.
All metal casting including unfinished and unmachined manhole covers; chains made of any metals
or alloy other than those made of items described in Schedule III.
5.
Marble goods excluding marble idols with maximum retail price of rupees six hundred on condition
that such marble idols are manufactured without using electrical energy and also excluding marble
handicraft goods; deepak made of brass & copper; statue made of brass; woolen carpet; cup, trophy,
badge, medal and shield; scissor, ustra used by barbers; padlock
; Rampuri chakoo.
6.
All types of yarn other than cotton & silk yarn in hank; sewing thread ; cotton waste yarn.
7.
All utensils including pressure cookers / pans except utensils made of precious metals, Ceramicwares
and glasswares; Art brass ware and ingots (guilli); Spoon
8.
Aluminium conductor steel reinforced (ACSR).
9.
Arecanut powder and betel nut; meethi supari
10.
Audio & video cassettes.
11.
Articles (other than ornaments) made of rolled gold and imitation gold .
12.
Bagasse, Sawdust
13.
Bamboo, Bans ki tilli(phatti )
14.
Basic chromium sulphate, sodium bichromate, bleach liquid.
15.
Bearings including plumnes blocks, housing for bearing locate rings and covers adopter with drawl
sleevs locknuts , lock washers clamps and rolling elements.
16.
Bed sheets (
other than unstitched bed sheets
), pillow cover & other textile made ups.
17.
Beedi leaves and Tendu leaves.
18.
Beltings of all kinds.
19
.
Omitted by
Notification no.
1270 dated 26 September 2014
20.
Chemical fertilizers, except those which are described in entry no. 26 of the schedule-I; micro-
nutrients and also plant growth promoters & regulators, herbicides, rodenticide, insecticide,
weedicide and pesticides, excluding Mosquito repellant/ destroyer coils, Mats and Liquid.
86
21.
Bio-mass briquettes.
22.
(Omitted)
23.
Bone meal, Crushed bone, bone sinews, bone grist
24.
Buckets made of iron & steel, aluminium, plastic or other
materials (except precious materials);
Other conveyance articles of plastic
25.
Candles
26.
(Omitted)
27.
Castor oil.
28.
Centrifugal pumps, monoblock pumps, submersible pumps, diesel engine pumps sets upto 10 Horse
Power and parts thereof including hose-collar, hose sockets, hose connector, hose click, hose nipple,
foot valve and delta starter for water handling.
29.
Chemicals including caustic soda, caustic potash, soda ash, bleaching powder, sodium bicarbonate,
sodium hydro sulphate, sulphate of alumina, sodium nitrate, sodium acetate, sodium sulphate; acid
slurry, trisodium phosphate, sodium tripoly phosphate, sodium silicate, sodium meta silicate,
carboxymethyle cellulose, sodium sulphide, acetic acid, sodium bisulphite, oxalic acid, sodium
thiosulphate, sodium sulphite, sodium alginate, benzene citric acid, diethylene glycol, sodium nitrate,
hydrogen peroxide, acetaldehyde, pentaerythritol, sodium alpha olefin, sulphonate, sodium formate,
chemical components and mixture and all other chemicals not specified elsewhere in this schedule or
any other schedule.
30.
Clay including fire clay, fine china clay and ball clay.
31.
Coal tar, tar coal and charcoal.
32.
Coconut in shell & separated kernel of coconut other than kopra.
33.
Coffee beans & seeds, cocoa pod & beans, chicory
34.
Coir & Coir products excluding coir mattresses.
35.
Combs.
36.
Computer stationery.
37.
Cotton &
cotton waste; Textile waste and Absorvent cotton wool
38.
Crucibles.
39.
Cups and glasses of paper & plastics; and Mats
40.
Iron and steel, coal and coke in all its forms, crude oil, hide and skin (excluding animal hair), and jute
as defined under section 14 of the Central Sales Tax Act, 1956.
41.
Drugs and Medicines excluding medicated soap, shampoo, antiseptic cream, face cream, masage
cream, eye jel and hair oil but including vaccines, syringes and dressing, medicated ointments, light
liquid paraffin of IP grade; Chooran; sugar pills for medicinal use in homeopathy; human blood
components; C.A.P.D. Fluid; Cyclosporin.
42.
All dyes not specified elsewhere in the schedule.
43.
Edible oils & oilcake.
44.
Electrodes & welding equipments.
45.
Embroidery machines, embroidery needles
46.
Exercise book, graph book, laboratory note book ; School bag,greeting cards and calendars
47.
Feeding bottles & nipples.
48.
Ferrous & non-ferrous metals & alloys, non-metals, such as aluminium, copper, zinc & extrusions of
those including Rods, tubes, angles, channels and sections of all size and measurement and rolled
products (including sheets,plates and circles of all size and measurement) ; Wires and Wire drawings
49.
Fibres of all types and fibre waste.
50.
Fireclay, coal ash, coal boiler ash, coal, cinder ash, coal powder, clinker, fly ash.
51.
Old, discarded, unserviceable or obsolete machinery, stores and vehicles including waste products
52.
Foodgrains including Paddy, Rice, Wheat.
53.
Glucose; Branded Honey.
54.
Food items supplied to aaganbari centres under ICDS
55.
Parts of Sprinkler Set,namely,-QRC Bands, QRC Service Saddle, QRCT , Sprinkler Nozzle, QRC
Pump Connector and QRC & Cap.
56.
Hand pumps, spare parts & fittings thereof.
57.
Herb, bark, dry plant, dry root, commonly known as jari booti and dry flower.
58.
Cane Furniture
87
59.
Hose pipes and fittings thereof
60.
Hosiery goods.
61.
Hurricane lanterns, petromax, accessories, components and parts thereof.
62.
Rice polish, rice bran and rice husk
; paddy husk
*
Inserted by 136 dated 28 01 2015
63.
(Omitted)
64.
Ice.
65.
Industrial cables (High voltage cables, XLPE Cables, jelly filled cables, optical fibres).
66.
Insulators.
67.
Inverters.
68.
Kattha.
69.
Kerosene oil sold through PDS.
70.
Knitting wool.
71.
Bricks including fly ash bricks and fire clay bricks; maurang; ramraj and geru.
72.
Leaf plates and cups - pressed or stitched (3)
73.
Lignite.
74.
Lime, lime stone, dolomite & other white washing materials not elsewhere mentioned in any other
schedule
75.
Linear alkyl benzene, L.A.B. Sulphonic Acid, Alfa Olefin Sulphonate.
76.
List of industrial inputs and packing materials (as mentioned in the Part–C)
77.
Locks of all kinds, their keys and parts thereof.
78.
Maize starch, maize gluten, maize germ and oil.
79.
Medical equipment /devices & implants; I.B. Canula,Scalp Vanset,Surgical Blade, Blood collection
tube; Contact lens, spectacle frame, lenses, spectacles excluding sun goggles and sun glasses
80.
Metal alloys, metal powders, metal pastes of all types & grades & metal scrap other than those falling
under declared goods.
81.
Milk food & milk products including skimmed milk powder, tinned, bottled or packed; Flavoured
milk; UHT milk; milk powder; baby milk food; khoya/ khoa, paneer, cheese, cream, ghee, butter.
82.
Mixed PVC stabilizer.
83.
Plastic footwear ; hawai chappal and straps thereof.
84.
Napa Slabs (Rough flooring stones) & Shahabad stones.
85.
Newars and tapes other than cotton and handloom newar
86.
Non mechanized boats used by fisherman.
87.
Nuts, bolts, screws and fasteners that is to say – hinges, nails, rivets, cotter, cotter pins, staples, panel
pins; tel ki kuppi; files used by artisans; Coated and bonded abrasives, jointing materials; Fittings for
doors, window and furniture including hinges-butt, piano, narrow, tee, parliament handles for locks,
furniture handles, furniture knobs, drawer channel, furniture fitting, furniture hinges, furniture
catchers; blue cut taks ,hob-nails, stars, studs, iron heels, bullock and horse shoes and nails; chains of
all kinds ;all kinds of metal sections including slotted angles, shelves and accessories; rods, rails
,channels and curtain fittings; tower bolts, handles, aldrops, window stay, gate hook, door stopper,
brackets, card clamp, clips, corners, washers, eyelets, hooks and eyes, hangers, hasps, pegs, pelmet
fittings, sliding door fittings, stoppers, suspenders, springs, magic eyes, trolley wheels, pulleys and
holdfasts; wire brushes.
88.
Oilseeds.
89.
Ores and minerals.
90.
Packing cases and
packing materials including cork, cork sheets, gunny bags, HDPE/PP woven
strips, HDPE/PP circular strips and woven fabrics; Hessian cloth, Hessian based paper, Polythene
and Hessian based paper; high density polythene fabric based paper and bituminized water proof
paper, jute twine; polythene and plastic bags including LDPE plastic bags for milk pouches; Tin
containers, shooks, tea chests, waste paper, wooden boxes, wooden shavings, wooden crates, wooden
cable drums,All types of ropes and strings, envelopes
Explanation:- planks, penals, battens, when assembled will form tea chest or packing cases will come
under packing cases for the purpose of this entry.
91.
Palm fatty acid.
92.
Paper of all kinds (including newsprint when sold to person other than news paper publishers) and
gum tape, whether meant for writing, printing, copying, packing or for any other purpose excluding
cellophane, mill board, duplex board and grey board; Metallic jaali, barbed wire, wooden spoon;
Cash box.
88
93.
Paraffin wax of all grade standards other than food grade standard including standard wax and match
wax.
94.
Pipes of all varieties including G.I. pipes, C.I. pipes, ductile pipes, PVC pipes etc. and fittings
95.
Pizza bread.
96.
Plastic granules, plastic powder, master batches and scrap.
97.
Pollution control equipments, instrumental -BOc incubator, COc apparatus, ion analyzer; Air
pollution control equipment -filters (fabric filters, bag filters, vaccum filters), electrostatic
precipitators, cyclones, scrubbers, particle analyzer (SO2, CO, NOx, SOx, hydrocarbons, chlorine,
fluorine, etc.), personal samplers, detectors (for grass), high volume sampler, pressure gauges, timer,
filter head assembly, pitet tube, sampling train (for ambient / stack air quality monitoring), smoke
meter, mist eliminator.
98.
Omitted
99.
Photographic paper ; X-ray Film
100.
Printed materials including diary and calendar.
101.
Printing ink excluding toner and cartridges.
102.
Ommited
103.
Processed or preserved vegetable & fruits including fruit jams, jelly, pickle, fruit squash, paste, fruit
drink & fruit juice (whether in sealed containers or otherwise)
104.
Pulp of bamboo, pulp of wood or pulp of raddi paper
105.
Rail coaches, engines & wagons and parts thereof.
106.
Raw cashew
107.
Readymade garments ; Unfilled razai
108.
Renewable energy devices & spare parts.
109.
Sand, gitti, bajri, kankar, stone ballast, stone but not including glazed stone, marble and marble chips.
110.
Rubber, raw rubber, latex, dry ribbed sheet of all RMA Grades, tree lace, earth scrap, ammoniated
latex, latex concentrate, centrifugal latex, dry crepe rubber, dry block rubber, crumb rubber, skimmed
rubber and all other qualities and grades of latex; Reclaimed rubber, all grades and qualities,
synthetic rubber.
111.
Safety matches and Handmade safety matches.
112.
Sewing machine, its parts & accessories.
113.
Ship & other water vessels.
114.
Ice Box
115.
Solvent oils other than organic solvent oil;
Oil based washing soap other than detergent and toilet soap
116.
Spices and condiments of all kinds including cumin seeds, turmeric, ajwain, haldi, dhania, hing,
methi, sonth, kalaunji, saunf, khatai, amchur, long-patta, dal-chini, tej-patta, javitri, jaiphal, pepper,
elaichi of all kind, dried chillies, kankaul mirch, ararote, processed or preserved mushroom, khumba
and guchchi, gola, goley ka burada, seik narial, til, rai, postadana, magaj of all kinds, kesar; dry
fruits.
117.
Brushes other than tooth brush
118.
Starch, sago and sabudana.
119.
Narrow woven fabrics, Non-woven fabrics, Cotton Coated fabrics
120.
Tamarind seeds and tamarind powder.
121.
Tarpaulin.
122.
Tea of all kind like white, yellow, green, oolong (or wulong), black, red, post-fermented tea etc. or
any other form of tea prepared or processed with leaves.
123.
Tools including *aari and Kanni [used by carpenter and masons ]* deleted
*inserted and deleted by notification no. 221 dated 13 02 2015
124.
Toys excluding electronic toys.
125.
Tractors, Tractor trolley Harvesters & at
tachments & parts thereof; Tractor tyres and tubes
126.
Transformer and transformer parts
*
* Inserted by notification no. 1797 dated 19 12 2014
127.
Transmission wire &
towers, Telecom tower
128.
X-ray apparatus
129.
Used motor vehicles.
130.
Vanaspati (Hydrogeneted Vegetable Oil).
131.
Vegetable oil including gingili oil and bran oil.
89
132.
Wet dates.
133.
Cinema Carbons
134.
Wooden crates.
135.
Writing ink.
136.
Writing instruments, geometry boxes, colour boxes, Water colour, pastel colour, Crayons & pencils,
sharpeners, Scale and eraser, mathematical survey, mechanical drawing, biological instruments &
apparatus, Scientific apparatus and scientific instruments.
137.
Sweetmeat, namkeen and sugar products, Kuliya other than Kuliya made of Khndsari sugar, rewari
and gazak.
138.
Toddy, Neera and Arak.
139.
All kind of Sanitary Napkin, Baby Diaper and Adult Diaper.
140.
Aviation turbine fuel sold to an aircraft with a maximum take off mass of
forty thousand kilograms, operated by non-scheduled airlines only for the
flight services rendered within the state of Uttar Pradesh.*
*Inserted by notification no. 1109 dated 4 09 2014
141.
Aviation turbine fuel sold to a civil aircraft in Agra and Varanasi. *
*Inserted by notification no.1796 dated 19 12 2014
142. All other declared goods.
PART-B
Sl. No. List of IT Products taxed at 4%
1.
Word processing machines, Electronic typewriters
2.
Microphones, multimedia speakers, headphones, earphones and combined microphone / speaker sets
and their parts
3.
Telephone answering machines and parts thereof
4.
Prepared unrecorded media for sound recording or similar recording or other phenomena including
Compact Disk (CD) and Digital Versatile Disk DVD, recorded CD and recorded DVD.
5.
IT software or any media.
6.
Transmission apparatus other than apparatus for radio or T.V. broadcasting, Transmission apparatus
incorporating reception apparatus, digital still image video cameras
7.
Radio communication receivers, Radio Pagers.
8.
Aerials, antennas and parts.
9.
LCD panels, LED panels and parts
10.
Electrical capacitors, fixed, variable and parts.
11.
Electronic calculators.
12.
Electrical resistors.(including rheostats and potentiometers) other than heating resistors.
13.
Printed Circuit boards
14.
Switches, connectors, Relays, electronic fuses.
15.
DATA / Graphic display Tubes; TV parts, Picture tubes and parts thereof including their remote
control instruments but excluding universal remote control instruments.
16.
Diodes, transistors and similar semi-conductor device, photo sensitive semi conductor devices,
including photo voltaic cells whether or not assembled in modules or made up in to panels; light
emitting diodes; mounted piezo-electric crystals.
17.
Electronic Integrated Circuits and Micro-assemblies.
18.
Signal Generators and parts
19.
(Omitted).
20.
Optical fibre and optical fibre bundles and joining kits and joining materials thereof.
21.
Liquid Crystal Devices, flat panes display devices and parts thereof
22.
Computer system and peripherals
,
Computer parts
,
Electronic Diaries.
*Inserted by 1795 dated 19 12 2014
23.
Cathode ray oscilloscopes, Spectrum analyzers, Cross talk meters, gain measuring instruments,
distortion factor meters, psophometres, network and logic analyzers and Signal analyzers.
24.
D C Micro motors, Stepper Motors.
25.
Uninterrupted Power Supply (UPS) device and parts thereof
26.
Permanent magnets and articles intended to become permanent magnet (ferrites).
27.
Electrical apparatus for line telephony or line telegraphy including line telephone sets with cordless
90
handsets and tele-communication apparatus for carriage-current line system or for digital line
system; video phones
28.
Cell Phones and its parts but excluding Cell Phones with M.R.P. exceeding rupees ten thousands.
29.
Sim card.
91
PART-C
S.No. List of Industrial Inputs taxed at 4%
1.
Animal (including fish) fats and oils, crude, refined or purified.
2.
Glycerol, Crude, Glycerol Waters and Glycerol lyes.
3.
Vegetable waxes (other than triglycerides), beeswax, other insect waxes and spermaceti, whether or
not refined or coloured; degras; residues resulting from the treatment of fatty substances or animal
or vegetable waxes; Slack wax and residue wax
4.
Animal or vegetable fats boiled, oxidised, dehydrated, sulphurised, blown, polymerised by heat in
vacuum or in inert gas or otherwise chemically modfied; inedible mixtures or preparations of fats
and oils of this chapter.
5.
Liquid glucose (non medicinal), Dextrose Syrup.
6.
Omitted
7.
Sulphur, Barytes.
8.
Manganese ores and concentrates including ferruginous manganese ores and concentrates with a
manganese content of 20% or more, calculated on the dry weight.
9.
Copper ores and concentrates.
10.
Nickel ores and concentrates.
11.
Cobalt ores and concentrates.
12.
Aluminium ores and concentrates.
13.
Lead ores and concentrates.
14.
Zinc ores and concentrates.
15.
Tin ores and concentrates.
16.
Chromium ores and concentrates.
17.
Tungsten ores and concentrates.
18.
Uranium or Thorium ores and concentrates.
19.
Molybdenum ores and concentrates.
20.
Titanium ores and concentrates.
21.
Niobium, tantalum, vanadium or zirconium ores and concentrates.
22.
Precious metal ores and concentrates.
23.
Other ores and concentrates.
24.
Granulated slag (slag sand) from the manufacture of iron or steel.
25.
Ground granulated blast-furnace slag (GGBS).
26.
Benzole.
27.
Toluole.
28.
Xylole.
29.
Naphthalene.
30.
Phenols.
31.
Creosote oils.
32.
Mixed Xylene.
33.
Butadene.
34.
Normal Paraffin and paraffin wax.
35.
Fluorine, Chlorine, Bromine and Iodine.
36.
Sulphur, sublimed or precipitated; colloidal sulphur.
37.
Carbon (carbon blacks and other forms of carbon not elsewhere specified or included).
38.
Hydrogen, rare gases and oxygen gas ,Carbondioxide and nitrogen gas
39.
Alkali or alkaline-earth metals; rare-earth metals, scandium and yttrium, whether or not intermixed
or interalloyed; mercury.
40.
Hydrogen chloride (hydrochloric acid); chlorosulphuric acid.
41.
Sulphuric acid and anhydrides thereof; Oleum.
42.
Nitric acid; sulphonitric acids.
43.
Diphosphorus pentaoxide; phosphoric acid and polyphosphoric acids.
44.
Oxides of boron; boric acids.
92
45.
Other organic acids and other Inorganic compounds of non-metal.
46.
Halides and halide oxides of non-metals.
47.
Sulphides of non-metals; commercial phosphorus trisulphide.
48.
Ammonia, anhydrous or in aqueous solution.
49.
Sodium hydroxide (caustic soda); potassium hydroxide (caustic potash); peroxides of sodium or
potassium.
50.
Hydroxide and peroxide of magnesium; oxides, hydroxides and peroxides of strontium or barium.
51.
Zinc oxide, zinc peroxide.
52.
Aluminium hydroxide, aluminium calcides.
53.
Chromium oxides and hydroxides.
54.
Manganese oxides.
55.
Iron oxides and hydroxides.
56.
Cobalt oxides and hydroxides; commercial cobalt oxides.
57.
Titanium oxide.
58.
Lead oxides, Read lead and Orange lead.
59.
Hydrazine and hydroxylamine and their inorganic salts; other inorganic bases; other metal oxides,
hydroxides and peroxides.
60.
Fluorides; fluorosilicates, fluoroaluminates and other complex fluorine salts.
61.
Chlorides, chloride oxides and chloride hydroxides; bromides and bromide oxides; iodides and
iodide oxides.
62.
Bleach liquid, Bleaching powder, sodium hypochlorides, sodium chloride.
63.
Chlorates and Perchlorates; Bromates and Perbromates; Iodates and periodates.
64.
Sulphides; Polysulphides.
65.
Dithionites and sulphoxylates.
66.
Sulphites; thiosulphates.
67.
Sodium sulphates, alums, Peroxosulphates (Persulphates), Sodium Hydrogen sulphate, Ferrous
sulphate, Copper sulphate, Amonium alum, potash alum and ferric alum, Manganese sulphate,
Strontium sulphate.
68.
Basic Chromium Sulphate, sodium sulphate, Magnesium sulphate, Ferrous sulphate.
69.
Nitrites; nitrates.
70.
Phosphinates (hypophosphites), phosphonates (phosphites); phosphates and polyphosphates,
Sodium Tripoliuphosphate, Trisodium phosphate.
71.
Carbonates; peroxocarbonates (percarbonates); commercial ammonium carbonates containing
ammonium carbonate; Polycarbonates
72.
Cyanides, cyanide oxides and complex cyanides.
73.
Fulminates, cyanates and thiocyanates.
74.
Silicates, commercial alkali metal, silicates of sodium, sodium metasilicates, sodium metasilicates
of potassium, Magnesium Trisilicate.
75.
Borates; peroxoborates (perborates).
76.
Sodium bichromate.
77.
Sodium dichromate.
78.
Potassium dichromate.
79.
Radioactive chemical elements and radioactive isotopes (including the fissile chemical elements and
isotopes) and their compounds; mixtures and residues containing these products.
80.
Isotopes other than those of heading No. 28.44; compounds, inorganic or organic of such isotopes,
whether or not chemically defined.
81.
Compounds, inorganic or organic, of rare earth metals, of yttrium or of scandium or of mixtures of
these metals.
82.
Hydrogen peroxide, whether or not solidified with urea.
83.
Phosphides, whether or not chemically defined, excluding ferrophosphorus.
84.
Silicon carbide.
85.
Calcium carbides.
86.
Hydrides, azides, cilidides and borides.
93
87.
Cyclic Hydrocarbons.
88.
Halogenated derivatives of Hydrocarbons.
89.
Sulphonated, nitrated or nitrosated derivatives of hydrocarbons, whether or not halogenated.
90.
Acyclic alcohols and their halogenated, sulphonated, nitrated or nitrosated derivatives.
91.
Cyclic alcohols and their halogenated, sulphonated, nitrated or nitrosated derivatives.
92.
Phenols; Phenol-Alcohols and their derivatives.
93.
Halogenated, sulphonated, nitrated or nitrosated derivatives of phenols or phenol-alcohols.
94.
Ethers, ether-alcohols, ether-phenols, ether-alcoholphenols, alcohol peroxides, ether peroxides,
ketone peroxides and their halogenated, sulphonated, nitrated or nitrosated derivatives.
95.
Epoxides, epoxyalcohols, epoxyphenols and epoxyethers, with a three-membered ring and their
halogenated, sulphonated, nitrated or nitrosated derivatives.
96.
Acetals and hemiacetals, whether or not with other oxygen function and their halogenated,
sulphonated, nitrated or nitrosated derivatives.
97.
Aldehydes, whether or not with other oxygen function; cyclic polymers of aldehydes;
paraformaldehyde.
98.
Halogenated, sulphonated, nitrated or nitrosated derivatives.
99.
Acetone, Cyclohexanone, diacetone alcohol and others.
100.
Saturated acyclic monocarboxylic acids and their anhydrides, halides, peroxides and peroxyacids;
their halogenated, sulphonated, nitrated or nitrosated derivatives.
101.
Unsaturated acyclic monocarboxylic acids, cyclic monocarboxylic acids, their anhydrides, halides,
peroxides and peroxyacids; their halogenated, sulphonated, nitrated or nitrosated derivatives.
102.
Polycarboxylic acids, their anhydrides, halides, peroxides and peroxyacids; their halogenated
sulphonated, nitrated or nitrosated derivatives.
103.
Carboxylic acids with additional oxygen function and their anhydrides, halides, peroxides and
peroxyacids; their halogenated, sulphonated, nitrated or nitrosated derivatives.
104.
Phosphoric esters and their salts, including lactophosphates; their halogenated, sulphonated, nitrated
or nitrosated derivatives.
105.
Esters of other inorganic acids (excluding esters of hydrogen halides) and their salts; their
halogenated, sulphonated, nitrated or nitrosated derivatives.
106.
Amine-function compounds and derivatives and salts.
107.
Oxygen-function amino-compounds.
108.
Quaternary ammonium salts and hydroxides; lecithins and other phosphoaminolipids.
109.
Carboxyamide-function compounds; amide-function compounds of carbonic acid.
110.
Carboxyamide-function compound (including saccharin and its salts)and imine-function
compounds.
111.
Nitrile-function compounds.
112.
Diazo-, Azo- or azoxy-compounds.
113.
Organic derivatives of hydrazine or of hydroxylamine.
114.
Compounds with other nitrogenfunction.
115.
Organo-sulphur compounds.
116.
Ethylene Diamine Tetra Acetic Acid, Nitrillo Triacetic Acid and their Derivatives.
117.
Heterocyclic compounds with oxygen heteroatom(s) only.
118.
Heterocyclic compounds with nitrogen heteroatom(s) only.
119.
Nucleic acids and their salts; other heterocyclic compounds.
120.
Sulphonamides.
121.
Glycosides, natural or reproduced by synthesis and their salts, ethers, esters and other derivatives.
122.
Vegetable alkaloids, natural or reproduced by synthesis, and their salts, ethers, esters and other
derivatives.
123.
Ethylene Diamine Tetra Acetic Acid, Nitrillo Triacetic Acid and their Derivatives.
124.
Tanning extracts of vegetable origin; tannins and their salts, ethers, esters and other derivatives
excluding catechu or gambiar.
125.
Synthetic organic tanning substances; inorganic tanning substances; tanning preparations, whether
or not containing natural tanning substances; enzymatic preparations for pre-tanning excluding
catechu or gambiar.
94
126.
Colouring matter of vegetable or animal origin (including dyeing extracts but excluding animal
black), preparations based on colouring matter of vegetable or animal origin excluding catechu or
gambiar.
127.
Synthetic organic colouring matter, whether or not chemically defined; preparations based on
synthetic organic colouring matter; synthetic organic products of a kind used as fluorescent
brightening agents or as luminophores, whether or not chemically defined.
128.
Colour lakes; preparations based on colour lakes.
129.
Pigments, Inorganic products of kind used as luminophores, Ultramarine and preparations,
Lithphone and other pigments and preparations based on zink sulphide.
130.
Red oxide, Bronze powder.
131.
Master Batches, other colouring matter including ultra marine blue.
132.
Prepared pigments and all their derivatives.
133.
Glass frit and other glass, in the form of powder, granules or flakes.
134.
Prepared driers.
135.
Pigments (including metallic powders and flakes) dispersed in non-aqueous media, in liquid or paste
form, of a kind used in the manufacture of paints (including enamels); stamping foils; dyes and
other colouring matter put up in forms (for example bales).
136.
Silicon surfected, Non-ionic, Sulphonated or sulphated oxide, Chlorine castor oil.
137.
Artificial waxes and prepared waxes.
138.
Casein, caseinates and other Casein derivatives, casein glues.
139.
Enzymes; prepared enzymes not elsewhere specified or included.
140.
Chemical preparations for photographic uses (other than varnishes, glues, adhesives, and similar
preparations).
141.
Artificial graphite; colloidal or semi-colloidal graphite; preparations based on graphite or other
carbon in the form of pastes, blocks, plates or other semi-manufactures.
142.
Activated carbon; activated natural mineral products; animal black, including spent animal black.
143.
Residual lyes from the manufacture of wood pulp, whether or not concentrated, desugared. or
chemically treated, including lignin sulphonates, but excluding tall oil.
144.
Gums and turpentine oil.
145.
Resin and resin acids, and derivatives thereof: resin spirit and resin oils; run gums.
146.
Wood tar; wood tar oils; wood creosote; wood naphtha; vegetable pitch; brewers' pitch and similar
preparations based on resin, resin acids or on vegetable pitch.
147.
Insecticides, fungicides, herbicides, weedicides and pesticides of technical grade, excluding
Mosquito repellant/destroyer coils, Mats and Liquid. .
148.
Sodium penta chlorophenate.
149.
Finishing agents, dye carriers to accelerate the dyeing or fixing of dye-stuffs and other products and
preparations (for example, dressings and mordants), of a kind used in the textile, paper, leather or
like industries, not elsewhere specified or included.
150.
Prepared rubber accelerators; compound plasticisers for rubber or plastics, not elsewhere specified
or included; anti-oxidising preparations and other compound stabilisers for rubber or plastics, Upper
& lower of shoes,sole,eyelet,shoe laces , shoe welts*
*Inserted by notification no.1574 dated 20 11 2014
151.
Reducers and blanket wash / roller wash used in the printing industry;
Rubber blankets
152.
Reaction initiators, reaction accelerators and catalytic preparations, not elsewhere specified or
included.
153.
Mixed alkylbenzenes and mixed alkylnaphthalenes.
154.
Chemical elements doped for use in electronics, in the form of discs, wafers or similar forms;
chemical compounds doped for use in electronics.
155.
Industrial monocarboxylic fatty acids; acid oils from refining; industrial fatty alcohols, soap stock.
156.
Retarders used in the printing industry.
157.
Polymers of ethylene in primary forms.
158.
Polymers of propylene or of other olefins, in primary forms.
159.
Polymers of styrene, in primary forms.
160.
Polymers of vinyl chloride or of other halogenated olefins, in primary forms.
95
161.
Polymers of vinyl acetate or of other vinyl esters in primary forms; other vinyl polymers in primary
forms.
162.
Acrylic polymers in primary forms.
163.
Polyacetals, other polyethers and epoxide resins, in primary forms, polycarbonates, alkyd resins,
polyallyl esters and other polyesters, in primary forms.
164.
Polyamides in primary forms.
165.
Amino-resins, polyphenylene oxide, phenolic resins and polyurethanes in primary forms.
166.
Silicones in primary forms.
167.
Petroleum resins, coumarone-indene resins, polyterpenes, polysulphides, polysulphones.
168.
Cellulose and its chemical derivatives, and cellulose ethers, not elsewhere specified or included in
primary forms.
169.
Natural polymers (for example, alginic acid) and modified natural polymers (for example, hardened
proteins, chemical derivatives of natural rubber), not elsewhere specified or included, in primary
forms.
170.
Ion-exchangers based on polymers.
171.
Self adhesive plates, sheets, film foil, tape, strip of plastic whether or not in rolls.
172.
Other plates, sheets, film, foil and strips of plastics, non-cellular, whether lacquered or metallised or
laminated , supported or similarly combined with other materials or not; Pre-sensitised aluminium
plate, litho film used in printing
173.
Thermocol.
174.
Articles for the packing of goods of plastics, namely , crates, containers, carboys, bottles, jars, jerry
canes and their stoppers, lids, caps of plastic but not including insulated wares, natural rubber,
balata, gutta percha, guayule, chicle and similar natural gums, in primary forms or in plates, sheets
or strips, synthetic rubber and factice derived from oils in primary forms or in plates, sheets or strip;
mixtures of any product, reclaimed rubber in primary forms or in plates, sheets or strip,
compounded rubber unvulcanized in primary forms or in plates, sheets or strip.
175.
Mechanical wood pulp, chemical wood pulp, semi-chemical wood pulp and pulps of other fibrous
cellulosic materials.
176.
Cartons (including flattened or folded cartons), boxes (including flattened or folded boxes), cases,
bags and other packing containers, of paper, paperboard.
177.
Paper printed labels and paperboard printed labels.
178.
Paper self adhesive tape and printed wrappers used for packing.
179.
Polyester texturised yarn.
180.
Yarn of Polyesters, partially oriented.
181.
Sacks and bags of jute or textile.
182.
Carboys, bottles, jars, phials of glass, of a kind, used for the packing goods; stoppers, lids and other
closures, of glass.
183.
Glass fibers (including glass wool and glass filaments) and articles thereof (for example: yarn,
woven fabrics), whether or not impregnated, coated, covered or laminated with plastics or varnish.
184.
Ferro alloys.
185.
Aseptic packaging aluminium foil of thickness less than 0.2 mm and backed by paper and LDPE.
186.
Stoppers, caps and lids (including crown corks, screw caps and pouring stoppers) capsules for
bottles, threaded bungs, bung covers, seals and other packing accessories, of base metal.
187.
Polymer of Styrene-polystyrene or Expandable Polystyrene.
188.
Textile Finishing agents, Textile Printing Binder-PVA Copolymer, Textile Non-woven binder-PVA
copolymer, Lamination emulsion-PVA copolymer, Packaging emulsion-PVA copolymer, Sticker
Emulsion-PVA copolymer, Binder for water based paint-PVA copolymer.
189.
Water / Hydraulic / industrial valves.
190.
Copper Clad sheets (PCB Sheets) for Printed circuit boards.
191.
Strings for Musical Instruments.
192.
Purified Terepthalic acid.
193.
Expandable Polystyrene or Polystyrene of styrene.
194.
Zinc Oxide.
195.
Jute Yarn, Jute Cloth, Jute twine and jute sheets.
196.
LLDPE/LDPE/HDPE, PP/HDPE Woven sacks, PP/HDPE Fabrics; HDPE masquito net
96
197.
Refractory monolithic
198.
PVA Copolymer.
199.
CNSL, cardanol & Alklyd resins.
200.
Hessian cloth and sheets.
201.
Metal containers.
202.
Sodium sulphate.
203.
Pine Oil, Terepeneol.
204.
Camphor.
205.
Micro cellular sheets, Banwar sheets & Hawai straps.
206.
Woven Label Tapes.
207.
Wooden Crates, Tea chests.
208.
Polymers of Venyl Acetate and Poly Venyl acetate Emulsion.
209.
Empty cylinders of LPG.
210.
Aluminium ingots and aluminium wire, rods.
211.
Butadine.
212.
Caprolactum, DMT, MEG.
213.
Di-ethylene glycol,Mono-ethylene glycol, Tri-ethylene glycol, ethylene glycole, heavy ethylene
glycol.
214.
Ethylene oxide.
215.
Ethylene, propylene.
216.
Flexible plain films.
217.
Methanol.
218.
Polyethylene terepthalate chips.
219.
Sheets, circles and ingots of zinc, brass and copper.
220.
Buttons, elastic, zip, zip fastners, foams, nylon tape, lace and zipper.
221.
Sheets of polyurethene foam.
222.
Railway switches, crossings, switch expansion joints, steel turnout sleepers, fish -plate, steel clips,
track bolts and nuts, elastic rail clips and railway signal, signalling equipments and accessories and
parts thereof.
223.
Glass shell, lead glass tubes, filaments, moly wire, lead in wire, caps, dumet wires, solder wire,.
Crapping cement.
224.
Scrap of plastic, glass and metals, and broken glass.
225.
Natural or synthetic flavouring essences, Natural or synthetic essential oil including mixtures
thereof, sandal oil and atar.
226.
Red lead, litharge and grey oxide.
227.
Sodium petroleum sulphonate, calcium petroleum sulphonate.
228.
Acids sludge.
229.
Silicon steel stamping, hollow porcelin bushings, grinding wheel.
230.
Insulating papers and boards, insulating fabric tape and sheets.
231.
Petroleum jelly IP.
232.
Lay-flat tube.
233.
Polythene bags, plastic bags, pouches and closures.
234.
Omitted
235.
Resins, terpene chemicals like pine oil, depentine, DD, Turpentine, terpeneol, Camphor.
236.
Raw tobacco including raw tobacco cut in different sizes and tobacco refuse.
237.
Purified pterepthalic acid.
238.
Articles of metals, namely boxes, cases, crates, containers and their stoppers, caps, lids of metal
used for packing of goods (but not including insulated wares).
239.
Atta chakki patthar.
240.
Polyester staple fiber and polyester staple fiber film and polyester fiber waste.
241.
China clay.
242.
Rubber processed oil.
243.
Liquified chlorine.
244.
Petroleum coke.
245.
Laterite.
97
246.
Silica sand.
247.
Red Ocher.
248.
Felsphar.
249.
Hydrated Lime.
250.
Quartz powder.
251.
Sodium Hypo Chlorite.
252.
Carbon tappin electrode.
253.
Carbon catalyst.
254.
Acetylene Gas.
255.
Mentha oil, dementhalised oil and menthol
256.
Soapstone powder.
257.
Hydro sulphite of soda.
258.
Sodium bi-carbonate.
259.
Dyes & Dyestuffs excluding following -
paints, enamels, cement based water colours, dry distempers, oil based distempers, emulsion paints
including acrylic and plastic emulsion paints, lacquers including cellulose lacquers, varnishes, all
types of synthetic adhesive
260.
Gwar,gwar refined dal or split, gwar gum powder, and punwad
261.
Threads including fire resistence thread.
262.
Wooden Heel.
263.
Antisatic Insole.
264.
Barley Malt, yeast, gel (cake improver); bread improver, bakerymix, baking powder.
265.
P.U.Foam sheet.
266.
Stainless steel ingots, billets, blooms, flats, flat bars, patta and circles, mild Steel Sheets,
Stainless steelwire,wire rod,round,brightbar,sheet and plate
267.
Ketones and Quinones, whether or not with other oxygen function and their halogenated,
sulphonated, nitrated or nitrosated derivatives.
268.
Buffing goods and polishing materials.
269.
Rubber rolls and polishers.
270.
Such other goods as the State Govt. may by notification specify.
271.
Winding wires and strips , ammeter, Kwh meter, voltmeter, Insulating materials, insulator, jointing
materials, Circuit breakers, HRC fuse, thermostat, Electrical relays and single phasing preventor and
timers.
SCHEDULE-III
(See clause (b) of sub -section-(1) of section-4 of the Uttar Pradesh Value Added Tax Act, 2008)
List of goods taxed at 1%
S. no. Name and description of goods
1 2
1.
Gold, silver and other precious metals; Articles of gold, silver and precious metals including
jewellery made of gold, silver and precious metals.
2.
Precious and semi precious stones such as diamonds, emeralds, rubies, pearls and sapphires whether
they are sold loose or as forming part of any article in which they are set.
3.
Bullion and species.
4.
Pulses (both whole or split)
SCHEDULE-IV
(See clause (c) of sub-section-(1) of section-4 of the Uttar Pradesh Value Added Tax Act, 2008)
S.no. Name and description of goods Point of Tax Rate of Tax %
1 2 3 4
1
Spirits and Spirituous liquors of all kinds including Alcohol, as
defined under the United Provinces Sales of Motor Spirit, Diesel
Oil and Alcohol Taxation Act, 1939 but excluding country liquors.
M or I 32.5%
2 Arms & ammunition. M or I 21%
3 Petrol M or I 26.80%
4(a)
Diesel oil as defined in the United Provinces Sales of Motor Spirit,
Diesel Oil and Alcohol Taxation Act,1939 when sold to an
M or I
5%
98
industrial unit* of a registered dealer for use in the process of
manufacture of taxable goods other than non-VAT-goods against
certificate prescribed by the Commissioner
4(b)
Diesel oil as defined in the United Provinces Sales of Motor Spirit,
Diesel Oil and Alcohol Taxation Act, 1939 [in cases other than
those described in serial no. 4(a)***] when sold to Power Stations
owned by the Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited
for use in the generation of electricity against certificate prescribed
by the Commissioner**
**Inserted by notification no. 292 dated 12 03 2015
*** Deleted by notification no.292 dated 12 03 2015
M or I
6 %**
4(c)
Diesel oil as defined in the United Provinces Sales of Motor Spirit,
Diesel Oil and Alcohol Taxation Act, 1939 in cases other than those
described in serial nos. 4(a) and 4 (b)
**Inserted by notification no. 292 dated 12 03 2015
M or I 17.48 %**
5 Aviation turbine fuel (Duty paid) or aviation turbine fuel (bonded) M or I 21%
6 Aviation Gasoline (Duty paid) or Aviation Gasoline (Bonded) M or I 21%
7(a)
Furnace oil including residual furnace oil when sold to an industrial
unit* of a registered dealer for use in the process of manufacture
of taxable goods other than non-VAT-goods against certificate
prescribed by the Commissioner
M or I 5%
7(b)
Furnace oil including residual furnace oil [in cases other than those
described in serial no. 7(a))]*** when sold to Power Stations
owned by the Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited
for use in the generation of electricity against certificate prescribed
by the Commissioner .
**Inserted by notification no. 292 dated 12 03 2015
**Deleted by notification no.292 dated 12 03 2015
M or I 6%**
7(c)
Furnace oil including residual furnace oil in cases other than those
described in serial nos. 7(a) and 7 (b) **
**Inserted by notification no. 292 dated 12 03 2015
M or I 21%**
8(a)
Natural gas other than Compressed Natural Gas {CNG} when sold
to an industrial unit* of a registered dealer for use in the process of
manufacture of taxable goods other than non-VAT-goods against
certificate prescribed by the Commissioner
M or I 5%
8(b)
Natural gas other than Compressed Natural Gas {CNG} When sold
to registered dealer for use in the process of manufacture by an
industrial unit* situated in Taj trapezium Area against certificate
prescribed prescribed by the Commissioner
M or I 5%
8(c)
Natural gas other than Compressed Natural Gas {CNG} in cases
other than those described in serial no. 8(a) and 8(b)
M or I 21%
9(a)
Naptha when sold to an industrial unit* of a registered dealer for
use in the process of manufacture of taxable goods other than non-
VAT-goods against certificate prescribed by the Commissioner
M or I 5%
9(b)
Naptha in cases other than those described in serial no. 9(a)
M or I 21%
10 Opium. M or I 32.5%
11 Pan Masala containing tobacco (Gutka) M or I 30%
12 Cigarette/Cigar M or I 25%
13 Pan Masala without tobacco content M or I 30%
14
Khaini, Zarda, Surti, other manufactured tobacco and tobacco
products excluding Bidi and Cigarette/Cigar.
M or I 30%
15(a)
All kinds of Lubricants when sold to an industrial unit of a
registered dealer for use in the process of manufacture of taxable
goods other than non-VAT goods against certificate prescribed by
the Commissioner.
M or I 5%
15(b)
All kinds of Lubricants in cases other than those described in serial
number 15(a)
M or I 21%
*Note-Industrial Unit means any factory or workshop established on land or building of own or taken on lease.
99
SCHEDULE-V
(See clause (d) of sub– section-(1) of section-4 of the Uttar Pradesh Value Added Tax Ordinance, 2007)
List of goods taxed at 12.5%
Sl.No. Name and description of goods
1 2
1 All goods except goods mentioned or described in Schedule-I, Schedule-II, Schedule-III and
Schedule-IV of this Ordinance.
***
