WEST BENGAL VALUE ADDED TAX ACT, 2003

WEST BENGAL VALUE ADDED TAX ACT, 2003

Preamble 1 - WEST BENGAL VALUE ADDED TAX ACT, 2003

THE WEST BENGAL VALUE ADDED TAX ACT, 2003[1]

[Act, No. 37 of 2003]

[27th December, 2004]

PREAMBLE

An Act to levy tax on sale of goods in West Bengal on the basis of value added to such goods at each stage of sale of such goods and on purchases of certain goods in West Bengal in specified circumstances and to provide for matters connected therewith or incidental thereto.

whereas it is expedient to provide for the levy of tax on sale of goods in West Bengal on the basis of value added to such goods at each stage of sale of such goods and on purchases of certain goods in West Bengal in specified circumstances and to provide for matters connected therewith or incidental thereto;

It is hereby enacted in the Fifty-fourth Year of the Republic of India, by the Legislature of West Bengal, as follows:

Section 1 - Short title, extent and commencement

(1)     This Act may be called the West Bengal Value Added Tax Act, 2003.

(2)     It extends to the whole of West Bengal.

(3)     This section shall come into force at once; and the remaining provisions of this Act shall come into force on such date or dates as the State Government may, by notification, appoint, and different dates may be appointed for different provisions of this Act.

Section 2 - Definitions

In this Act, unless the context otherwise requires,--

(1)     "Additional Commissioner" means an Additional Commissioner of Sales Tax appointed under sub-section (1) of section 5;

(2)     "Appellate and Revisional Board" means means [2] [the West Bengal Sales Tax Appellate and Revisional Board] constituted under section 7;

(3)     "appointed day", in relation to any provision of this Act, means the date on which such provision comes into force;

[3] [(3A) "appropriate Government Treasury" means--

(a)      in the case of a dealer in Kolkata,--

(i)       the Kolkata Branch of the Reserve Bank of India for payments under the Act exceeding five hundred rupees, and

(ii)      such head office, main office, branch or branches of any bank in Kolkata as may be authorised in this behalf by the State Government for the purpose of accepting deposits for payments under the Act, and

(b)      in other cases, the treasury or sub-treasury of the sub-division where the dealer's place of business is situated or, in the event of a dealer having more than one place of business, where the chief branch or head office of the business is situated;]

(4)     "Bureau" means the Bureau of Investigation constituted under section 8;

(5)     "Business" includes?

(a)      any trade, commerce, manufacture, execution of works contract or any adventure or concern in the nature of trade, commerce, manufacture or execution of works contract, whether or not such trade, commerce, manufacture, execution of works contract, adventure or concern is carried on with the motive to make profit and whether or not any profit accrues from such trade, commerce, manufacture, execution of works contract, adventure or concern; and

(b)      any transaction in connection with, or ancillary or incidental to, such trade, commerce, manufacture, execution of works contract, adventure or concern;

(6)     [4][ Capital goods" means such goods meant for use in the manufacture or for execution of works contract in West Bengal, and such other goods as are required by a reseller to keep the goods in saleable condition or to effect the sale properly in West Bengal]

[5] [(7) "casual dealer" means a person, other than a dealer who, whether as principal, agent or in any other capacity, has occasional transaction involving buying, selling, supplying or distributing goods in West Bengal, whether for cash or for deferred payment, or for commission, remuneration or other valuable consideration and includes, whether he has fixed place of business in West Bengal or not,--

(a)      a transporter, carrier or transporting agent, as defined in clause (52) who, while carrying any goods in his goods vehicle as defined in clause (16), fails to disclose the name and address of the consignor or consignee in West Bengal or fails to furnish a copy of the invoice, challan, transport receipt or consignment note or document of like nature in respect of such goods, or

(b)      an owner or lessee or occupier of a warehouse who fails to disclose the name and address of the owner of any goods stored at his warehouse or fails to satisfy the Commissioner that such goods are for his personal use or consumption, and such transporter, carrier or transporting agent, or owner or lessee or occupier of a warehouse, shall be deemed to have purchased such goods on his own account;]

(8) ???"Commissioner" means the Commissioner of Sales Tax appointed under sub-section (1) of section 3;

(9) ???"company" means a company as defined in section 3 of the Companies Act, 1956 (1 of 1956), and includes a body corporate or corporation within the meaning of clause (7) of section 2, or a foreign company referred to in section 591, of that Act;

[6] [(10) "contractual transfer price", in relation to any period, means the aggregate of the amount received or receivable by a dealer in respect of transfer of property in goods (whether as goods or in some other form) in execution of any works contract, as defined in clause (57), whether executed fully or partly during such period.

[7] [***];]

(11) "dealer" means any person who carries on the business of selling or purchasing goods in West Bengal or any person making sales under section 14, and includes--

(a)      an occupier of a jute-mill or shipper of jute,

(b)      Government, a local authority, a statutory body, a trust or other body corporate which, or a liquidator or receiver appointed by a court in respect of a person, being a dealer as. defined in this clause, who, whether or not in the course of business, sells, supplies or distributes directly or otherwise goods for cash or for deferred payment or for commission, remuneration or other valuable consideration,

[8] [(ba)[9][a person who has set up an establishment with an intention of selling or purchasing goods in West Bengal]]

[10] [(c) a society including a co-operative society, club or any association which sells goods to its members or others for cash, or for deferred payment, or for commission, remuneration, or for other valuable consideration,]

(d) ???a factor, a broker, a commission agent, a del credere agent, an auctioneer, an agent for handling or transporting of goods or handling of document of title to goods, 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 selling goods and who has, in the customary course of business, authority to sell goods belonging to principals;

(12) "digital signature" means authentication of any electronic record by a person by means of an electronic method or procedure in accordance with the provisions of section 3 of the Information Technology Act, 2000 (21 of 2000);

(13) "director", in relation to a company, includes any person occupying the [11][position of director] by whatever name called;

[12] [(14) "electronic record" means data, record or data generated, image or sound stored, received or sent in an electronic form as defined in clause (r) of sub-section (1) of section 2 of the Information Technology Act, 2000 (21 of 2000), and includes micro film or computer generated micro film;]

[13] [(15) "goods" includes all kinds of movable property other than--

(a)      [14] [***],  actionable claims, stocks, shares or securities,

(b)      country liquor,

(c)      foreign liquor, whether made in India or not, including brandy, whisky, vodka, gin, rum, liqueur, cordials, bitters and wines or a mixture thereof, beer, ale, porter, cider, perry, and other similar potable fermented liquors,

(d)      lottery tickets, and

(e)      motor spirit of any kind;]

(16) "goods vehicle" means any motor vehicle as defined in clause (28) of section 2 of the Motor Vehicles Act, 1988 (59 of 1988), constructed or adapted for use for transportation of goods or any motor vehicle not so constructed or adapted when used for the transportation of goods, and includes a trailer attached to such vehicle and any means of transportation including an animal to carry goods from one point to another point;

(17) "Government" means the Central Government, the Government of any State or the Government of any Union Territory;

[15] [(17A) "import" means bringing goods in West Bengal from any place outside West Bengal or from any other country;]

[16] [(18) "input tax", in relation to a tax period on or after coming into force of this Act, means the amount of tax,--

(a)      paid or payable under the Act, [17][other than those enjoying composition under subsection (3), sub-section (3A), or sub-section (3B), of section 16 or sub-section (4) of section 18], to a registered dealer, or a dealer who has made an application under sub-section (1) of section 24 within thirty days from the date of incurring liability to pay tax under the Act, at the time of purchasing taxable goods, other than such taxable goods as may be prescribed, during that period,

(b)      [18][***]

(c)      [19][***]]

(19) "input tax credit" or "input tax rebate", in relation to any period, means the setting off of the amount of input tax, or part thereof, by a registered dealer against the amount of his output tax;

(20) "interest due" means the amount of interest which remains unpaid after the expiry of the date specified in the notice of demand issued in this behalf under this Act or the rules made thereunder;

[20] [(20A) "interest payable" means the amount of interest payable under section 33 or section 34 or section 34A;

(20B) "jute" means the plant known botanically as belonging to the genus corchorous, and includes all the species of that genus, whether known commonly as pat, kosta, nalia, or by any other name, and also means the plant known botanically as hibiscus cannabinus or commonly known as mesta;]

(21) "jute-mill" means a factory as defined in, or declared to be a factory under, the Factories Act, 1948 (63 of 1948), which is engaged wholly or in part in the manufacture of jute products;

[21] [(22) "manufacture", with all its grammatical variations and cognate expressions, means producing, making, extracting or processing any goods and includes [22][rearing] of seedlings or plants, and raising of man-made forest or other natural resources like minerals, coal etc. for sale;]

[23] [(22A) "maximum retail price", in respect of goods taxable under the Act, means maximum price printed on the package of any goods at which such goods may be sold to the ultimate consumer, whether such price is inclusive of tax or not;

(22B) "motor spirit" means any liquid or admixture of liquids which is ordinarily used directly or indirectly as fuel for a motor vehicle or stationary internal combustion engine.

Explanation.--For the purpose of this clause, the expression "motor vehicle" shall include any means of carriage, conveyance or transport by land, air or water;]

[24] [(23) "net tax", in relation to any period, means--

(a)      in case of a registered dealer, other than those referred to in sub-clause (c) and sub-clause (a), the amount of output tax in excess of the net tax credit, as referred to in sub-section (17) of section 22, claimed by such registered dealer in accordance with the provisions of this Act and the rules made thereunder,

(b)      in case of any dealer other than a registered dealer, the amount of output tax,

(c)      [25][in case of a registered dealer paying tax at a compounded rate under sub-section (3), sub-section (3A), or sub-section (3B), of section 16 or sub-section (4) of section 18, the amount of output tax,]

(d)      in case of a registered dealer, other than those referred to in sub-clause (a) and sub-clause (c), enjoying deferment of payment of tax, or tax holiday, or remission of tax under clause (a), clause (b), or clause (c) [26][respectively of sub-section (1) of section 118], the amount of output tax;]

(24) "notification" means a notification published in the Official Gazette;

(25) "occupier of a jute-mill" means the person who has ultimate control over the affairs of the jute-mill;

[27] [(26) "output tax", in relation to any period, means the aggregate amount of tax payable by a dealer liable to pay tax under section 10, section 11, section 12, section 14, sub-section (3) of section 24, and section 27C, and includes tax payable at the compounded rate under sub-section (3) of section 16 or [28][subsection (3A), or sub-section (3B), of section 16 or sub-section (4) of section 18], in respect of any sale, or purchase, of goods, or execution of works contract, made by him in West Bengal;]

(27) "partnership", "partner" and "firm" shall have the meanings respectively assigned to them in the Indian Partnership Act, 1932 (9 of 1932);

[29] [(28) "penalty due" means the penalty found to be unpaid after the expiry of the date specified in the notice of demand issued in this behalf under this Act or rules made there under;]

[30] [(29) "place of business" means any place where a dealer has set up a business of selling or purchasing goods or a place from where a dealer sells any goods or where he keeps accounts, registers or documents, including those in the form of electronic records relating to sales or purchases of goods or execution of works contract and digital signature certificate granted under sub-section (4) of section 35 of the Information Technology Act, 2000 (21 of 2000), relating to his business and includes any place where the dealer processes, produces or manufactures goods or executes works contract and any warehouse of such dealer;]

(30) "prescribed" means prescribed by rules made under this Act;

[31] [(31) "principal officer", in relation to a company, means the director or managing director of such company, or the secretary authorised to act as principal officer by the Board of Directors of such company;]

[32] [(31A) "principal place of business" means any place of business where a dealer keeps all accounts, registers, documents, including those in the form of electronic records, and digital signature certificate granted under sub-section (4) of section 35 of the Information Technology Act, 2000 (21 of 2000), relating to his business, and includes the chief branch or head office within West Bengal;]

(32) [Omitted by the West Bengal Finance Act, 2005].

(33) [Omitted by the West Bengal Finance Act, 2005].

(34) "purchase" means any transfer of property in goods to the person making the purchase for cash or deferred payment or other valuable consideration, but does not include a transfer by way of mortgage, hypothecation, charge or pledge;

[33] [(35) "purchase price" means the amount of valuable consideration paid or payable by a person for the purchase of any goods, less any sum allowed as cash discount, commission or commercial rebates granted at the time of delivery, or before delivery, of such goods but including cost of freight or delivery or distribution or installation or insurance, or any sum charged for anything done by the seller in respect of the goods at the time of delivery of such goods or before delivery thereof, other than interest if separately charged;]

(36) "raw jute" means the fibre of jute which has not been subjected to any process of spinning or weaving, and includes jute, cuttings, whether loose or packed in drums or bales;

[34] [(36A) "resale" means sale of any goods purchased within West Bengal in the same form in which such goods are purchased or without using such goods in such manner which amounts to or results in manufacture;

(36B) "return period" means a period, as may be prescribed, for which a return is due under the Act;

(36C) "reverse credit" means reversal or returning by a dealer, by way of deduction from the amount of input tax credit or input tax rebate for a period, the amount of input tax credit or input tax rebate availed by him during any period which he was not entitled to or became disentitled subsequent to the enjoyment of such input tax credit or input tax rebate;]

(37) "rules" means the rules made under this Act;

(38) "registered" means registered under section 24;

(39) "sale" means any transfer of property in goods for cash, deferred payment or other valuable consideration, and includes--

(a)      any transfer, otherwise than in pursuance of a contract, of property in any goods for cash, deferred payment or other valuable consideration,

(b)      any delivery of goods on hire-purchase or any system of payment by instalments,

(c)      any 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,

(d)      any 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,

(e)      any supply of goods by any unincorporated association or body of persons to a member thereof for cash, deferred payment or other valuable consideration, and such transfer, delivery, or supply of any goods shall be deemed to be a sale of those goods by the person or unincorporated association or body of persons making the transfer, delivery or supply and a purchase of those goods by the person to whom such transfer, delivery, or supply is made, but does not include a mortgage, hypothecation, charge or pledge.

Explanation I.--A sale shall be deemed to take place in West Bengal if the goods are within West Bengal,--

(a)      in the case of specific or ascertained goods, at the time the contract of sale is made, and

(b)      in the case of unascertained or future goods, at the time of their appropriation to the contract of sale by the seller, whether the assent of the buyer to such appropriation is prior or subsequent to the appropriation:

Provided that where there is a single contract of sale in respect of goods situated in West Bengal as well as in places outside West Bengal, [35][provisions of this Explanation] shall apply as if there were a separate contract of safe in respect of the goods situated in West Bengal.

Explanation II.--The transfer of property involved in the supply or distribution of goods by a society (including a Co-operative Society), club, firm or any association to its members for cash, or for deferred payment or other valuable consideration, whether or not in the course of business, shall be deemed to be a sale for the purpose of this Act;

(40) "sale in West Bengal", when used with respect to [36] [a sale deemed to have taken place in West Bengal in the course of inter-State trade or commerce or in the course of export out of the territory of India];

[37] [(41) "sale price" means the amount payable to a dealer or casual dealer as valuable consideration for the sale, other than the sale referred to in section 14, of any goods and includes--

(a)      any sum charged for anything done by the dealer or casual dealer in respect of such goods at the time of delivery, or before delivery, of such goods,

(b)      any sum charged for freight, delivery, distribution, installation or insurance, by such dealer at the time of delivery, or before delivery, of such goods,

(c)      any tax, duty or charges levied or leviable [other than the tax charged separately under this Act, subject to the provision as mentioned in the Explanation and cess levied under the West Bengal Transport Infrastructure Development Fund Act, 2002 (W.B. Act XXI of 2002)], in respect of such goods, but does not include any sum allowed as cash discount, commission or other commercial rebate on the value of such goods at the time of delivery, or before delivery, of such goods and interest if separately charged.

Explanation.--For the purpose of this clause, the expression "sale price" of a dealer, enjoying payment of tax at a compounded rate under sub-section (3) of section 16 or sub-section (4) of section 18, or selling to any person other than a dealer of goods upon which maximum retail price as referred to in clause (22A) is applicable and where such maximum retail price is inclusive of sales tax, shall include any tax payable under this Act, including the tax referred to in section 10, or section 12;]

(42) "shipper of jute" means any person who purchases raw jute and supplies it himself or by an agent to any person including himself outside West Bengal;

(43) "Special Commissioner" means a Special Commissioner appointed under sub-section (1) of section 4;

(44) "State Government" means the Government of West Bengal;

[38] [(45) "tax" means the tax due as defined in clause (46) or tax payable as defined in clause (49) under this Act;]

(46) "tax due" means the amount of tax which remains unpaid after the expiry of the date specified in the notice of demand issued in this behalf under this Act or the rules made thereunder;

(47) "taxable goods" means goods other than those specified in Schedule A;

[39] [(48) "tax invoice" means an invoice containing such particulars as may be prescribed;]

[40] [(49) "tax payable" means the tax payable under this Act on sales or purchases effected or for execution of works contract by a dealer or casual dealer but does not include tax due as defined in clause (46);]

[41] [(50) "tax period" means such period, as may be prescribed, for which tax is payable under the Act;]

(51) "Tax Recovery Officer" means a Tax Recovery Officer appointed by the State Government under sub-section (4) of section 55;

(52) "transporter, carrier or transporting agent" means a person who carries on the business of transporting goods on account of any other person into, or outside, or within, West Bengal.

[42] [Explanation.--For the purposes of this Act, the expression "transporting agent" shall also include a clearing, forwarding, shipping and handling agent;]

(53) "Tribunal" means the West Bengal Taxation Tribunal established under section 3 of the West Bengal Taxation Tribunal Act, 1987 (West Ben. Act VIII of 1987);

[43] [(54) "turnover of purchases", in relation to any period, means,--

(a)      [44][***]

(b)      in case of a shipper of jute liable to pay tax under section 11, the aggregate of the purchase prices or parts of purchase prices payable by such shipper of jute in respect of the quantities of raw jute purchased by him in West Bengal and despatched by him during such period to any place outside West Bengal by any means of transit,

(c)      in case of any dealer liable to pay tax under section 12, the aggregate of the purchase prices or parts of purchase prices payable by such dealer in respect of the goods purchased by him during such period for use of such goods in West Bengal, after deducting the amounts, if any, refunded to the seller during such period in respect of any such goods purchased but returned to the seller within six months of such purchase.;]

[45] [(55) "turnover of sales", in relation to any period, means the aggregate of the sale-prices or parts of sale-prices received or receivable by a dealer in respect of sales as [46][defined in clause (39) of this section] and in clause (g) of section 2 of the Central Sales Tax Act, 1956 (74 of 1956), of goods made during such period after deducting therefrom--

(a)      the sale-prices or the parts of sale-prices, if any, in respect of sales of goods during such period, which are shown to the satisfaction of the Commissioner to have been purchased by the dealer in West Bengal, upon payment of tax on the maximum retail price of such goods or, where tax on maximum retail price of such goods was paid in West Bengal on an earlier occasion, and

(b)      the amounts, if any, refunded by the dealer in respect of any such goods returned or rejected by the purchaser within six months from the date of such sales;]

[47] [(56) "warehouse" means any enclosure, building or place where a dealer, casual dealer or any other person keeps stocks of goods, and includes a vessel, vehicle or godown;]

(57) "works contract" means any agreement for carrying out for cash, deferred payment or other valuable consideration--

(a)      the construction, fitting out, improvement or repair of any building, road, bridge or other immovable property,

(b)      the installation or repair of any machinery affixed to a building or other immovable property,

(c)      the overhaul or repair of--

[48] [(i) any motor vehicle,]

(ii) ??any sea-going vessel, river craft or steamer,

(iii) ??any other vessel propelled by internal combustion engine or by any other mechanical means,

(iv) ??railway engine,

(v) ??any aircraft, or

(vi) ??any component or accessory part of any of the goods mentioned in items (i) to (v), or

(d)      the fitting of, assembling, altering, ornamenting, finishing, furnishing, improving, processing, [49][treating, adapting or printing on,] any goods;

(58) "year" means the year commencing on the first day of April and ending on [50] [the last day of March;]

[51] [(59) "zero-rated sale" means a sale of any goods on which no tax is chargeable but credit for the input tax related to that sale is admissible.]

Section 3 - Commissioner

(1)     For carrying out the purposes of this Act, the State Government may appoint a person to be the Commissioner of Sales Tax.

(2)     The Commissioner appointed under sub-section (1) shall exercise such powers as may be conferred, and perform such duties as may be required, by or under this Act.

(3)     The Commissioner may?

(a)      withdraw to himself from a Special Commissioner, or an Additional Commissioner, or any person appointed under section 6 any case or matter which the Special Commissioner or the Additional Commissioner or such person is competent to deal with in exercise or performance of the powers or duties specified under sub-section (2) of section 4 or sub-section (2) of section 5 or sub-section (2) of section 6 respectively; or

(b)      transfer any case or matter from a Special Commissioner competent to deal with the same to another Special Commissioner so competent; or

(c)      transfer any case or matter from an Additional Commissioner competent to deal with the same to another Additional Commissioner so competent; or

(d)      transfer any case or matter from any person appointed under section 6 competent to deal with the same to another person appointed under that section so competent.

(4)     Subject to such restrictions and conditions as may be prescribed, the Commissioner may, by an order in writing, delegate any of his powers under this Act except those under sub-section (13) of section 93.

(5)     Any person appointed as the Commissioner under the West Bengal Sales Tax Act, 1994 (West Ben. Act XLIX of 1994), and continuing in office as such immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed under this Act and shall continue in office as such till such person ceases to be the Commissioner.

Section 4 - Special Commissioner

(1)     The State Government may appoint one or more persons to be the, Special Commissioners of Sales Tax.

(2)     The Special Commissioner shall have such powers, and shall be entitled to perform such duties, of the Commissioner as the State Government may, by notification, specify.

(3)     Any reference to the Commissioner in this Act shall, in respect of the powers and duties specified in the notification under sub-section (2), be deemed to include a reference to the Special Commissioner.

(4)     Any person appointed as the Special Commissioner under the West Bengal Sales Tax Act, 1994, and continuing in office as such immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed under this Act and shall continue in office as such till such person ceases to be the Special Commissioner.

Section 5 - Additional Commissioner

(1)     The State Government may appoint one or more persons to be Additional Commissioners of Sales Tax, and such person or persons shall assist the Commissioner.

(2)     An Additional Commissioner shall have such of the powers, and shall be entitled to perform such of the duties, of the Commissioner as the State Government may, by notification, specify.

(3)     Any reference to the Commissioner in this Act shall, in respect of the powers and duties specified in the notification under sub-section (2), be deemed to include a reference to an Additional Commissioner.

(4)     Any person appointed as the Additional Commissioner under the West Bengal Sales Tax Act, 1994 (West Ben. Act XLIX of 1994), and continuing in office as such immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed under this Act and shall continue in office as such till such person ceases to be the Additional Commissioner.

Section 6 - Other persons appointed to assist the Commissioner

(1)     The State Government may appoint such other persons to assist the Commissioner as it thinks fit and may specify the area or areas over which such persons shall exercise jurisdiction.

(2)     The persons appointed under sub-section (1) shall exercise such powers as may be conferred or prescribed by this Act or delegated to them in writing by the Commissioner under sub-section (4) of section 3.

(3)     Any person appointed to assist the Commissioner, under the West Bengal Sales Tax Act, 1994, and continuing in office as such immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed under this Act and shall continue in office as such till such person ceases to be the person appointed to assist the Commissioner,

Section 7 - Appellate and Revisional Board

(1)     The State Government [52] [may constitute a West Bengal Sales Tax Appellate and Revisional Board in Kolkata, and its different benches in other districts of the State, for discharging the functions as referred to in section 87].

(2)     The State Government shall appoint such number of members of the Appellate and Revisional Board as the State Government thinks fit and shall appoint one of the members of the Appellate and Revisional Board to be the President thereof (hereinafter referred to in this section as the President).

(3)     The qualifications, conditions of service and tenure of the members constituting the Appellate and Revisional Board shall be such as may be prescribed.

(4)     No decision or action of the Appellate and Revisional Board shall be called in question merely on the ground of any vacancy in the Appellate and Revisional Board.

(5)     The functions of the Appellate and Revisional Board may be discharged by any of the members sitting either singly, or in Benches of two or more members, as may be determined by the President.

(6)     If the members of a Bench are divided, the decision shall be the decision of the majority, if there be a majority, but if the members are equally divided, they shall state the point or points on which they differ, and the case shall be referred by the President for hearing on such point or points to one or more of the members of the Appellate and Revisional Board, and such point or points shall be decided according to the majority of the members of the Appellate and Revisional Board, who heard the case including those who first heard it:

Provided that if, at any time, the Appellate and Revisional Board consists of only two members and they are divided, the decision of the Appellate and Revisional Board shall be that of the President.

(7)     Subject to the previous sanction of the State Government, the Appellate and Revisional Board shall, for the purpose of regulating its procedure (including the place or places at which the Appellate and Revisional Board, the Benches or the members thereof shall sit) and providing the rules of business, make regulations consistent with the provisions of this Act and the rules made thereunder:

Provided that the regulations so made shall be published in the Official Gazette.

(8)     The Appellate and Revisional Board shall have the power to award costs in any matter decided by it for such amount as it may consider reasonably justified in the facts and circumstances of the case.

(9)     The amount of cost awarded by the Appellate and Revisional Board against a dealer shall be recoverable from him as if it were the tax due from him under this Act and, in case of default by him, such dues shall be recovered as an arrear of land revenue:

Provided that the provisions of section 9 and section 10 of the Bengal Public Demands Recovery Act, 1913 (Bengal Act III of 1913), shall not apply to a proceeding for recovery of any cost awarded under this sub-section.

(10)   On the cost being awarded by the Appellate and Revisional Board against the State Government, the Commissioner shall arrange for the payment of such cost.

(11)   The President or any member of the West Bengal Commercial Taxes Appellate and Revisional Board appointed under West Bengal Sales Tax Act, 1994 (West Ben. Act XLIX of 1994), and continuing in office as such immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed as the President or the member of the Appellate and Revisional Board under this Act and shall continue in office as such till he ceases to be such President or member.

Section 8 - Bureau of Investigation

(1)     The State Government may constitute a Bureau of Investigation for discharging the functions referred to in sub-section (3).

(2)     The Bureau shall consist of a Special Commissioner or an Additional Commissioner (hereinafter referred to as the Special Officer) and such number of other persons appointed under sub-section (1) of [53] [section 6]  to assist the Commissioner as the State Government may deem fit to appoint.

(3)     The Bureau may, on information or of its own motion or when the State Government or the Commissioner so directs, carry out investigation or hold inquiry into any case of alleged or suspected evasion of tax as well as malpractices so connected therewith and send a report in respect thereof to the Commissioner.

(4)     The Bureau may, for the purpose of carrying out any investigation or inquiry under sub-section (3), exercise all the powers under section 66, section 67, section 68, section 69, section 70, section 74, [54][section 76, section 77, section 78], section 79, section 80 and section 81.

(5)     The Commissioner may, on receipt of a report under sub-section (3), require the Bureau to transfer to him [55] [any accounts, register or documents including those in the form of electronic records] relating to the said report seized by the Bureau and such accounts, registers or documents shall be retained by the Commissioner for further period, if necessary, subject to the provisions of section 67.

(6)     The Bureau may, with the prior approval of the Commissioner, require any person appointed under sub-section (1) of section 6 to assist the Commissioner to transfer to it [56] [any accounts, register or documents including those in the form of electronic records] seized by him from any dealer or person under section 67 and, on such transfer, such accounts, registers or documents shall, subject to the provisions of that section, be retained by the Bureau for carrying out the purposes referred to in sub-section (3) and sub-section (7).

(7)     The Bureau may, after a case has been investigated or inquired into by it, by order, [57] [assess or reassess net tax or any other tax], impose penalty, determine interest, or collect or enforce payment of tax, penalty or interest in respect of such case under this Act.

(8)     The Special Officer shall assign such functions of the Bureau to such of the persons referred to in sub-section (2) as the Special Officer may think fit.

(9)     The Bureau shall have, for carrying out the purposes of this Act, the same powers as are referred to in section 91.

(10)   For the removal of doubts, it is hereby declared that subject to the other provisions of this Act, the Special Officer shall be competent to exercise all the powers which are exercisable under this Act [58] [by a Special Commissioner or an Additional Commissioner, as the case may be,] and any person appointed under sub-section (1) of section 6 to assist the Commissioner when appointed in the Bureau, shall be competent to exercise all the powers which are exercisable by such person under this Act and the rules made thereunder.

(11)   Notwithstanding anything contained in sub-section (1) of section 6, the Special Officer and the other persons appointed in the Bureau shall have jurisdiction over the whole of West Bengal.

(12)   The Bureau of Investigation constituted under the West Bengal Sales Tax Act, 1994 (West Ben. Act XLIX of 1994), and continuing to have jurisdiction and powers under that Act immediately before the appointed day, shall, on and from the appointed day, be deemed to have been constituted, and shall have jurisdiction and powers under this Act, and the Special Officer, and other persons appointed under sub-section (1) of section 6 of that Act to assist the Commissioner, appointed in the Bureau of Investigation as aforesaid and continuing in office immediately before the appointed day, shall, on and from the appointed day, be deemed to have been appointed in the Bureau under this Act and shall continue in office as such till such Special Officer or other person ceases to be appointed in the Bureau.

Section 8A - [Omitted]

[59] [***] 

Section 8B - [Omitted]

[60] [***]

Section 8C - [Omitted]

[61] [***] 

Section 8D - [Omitted]

[62] [***]

Section 9 - Persons appointed under the Act to be deemed to be public servants

All persons appointed under this Act to exercise any power or to perform any function thereunder shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code, 1860 (45 of 1860).

Section 10 - Incidence of tax

[63] [10. Incidence of tax.--

(1)     Every dealer, who is liable to pay tax immediately before the appointed day under any provision, other than section 15, of the West Bengal Sales Tax Act, 1994 (W.B. Act XLIX of 1994), and who would have continued to be so liable under the said Act on such appointed day had this Act not come into force, shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax under this Act on all his sales, other than those referred to in section 14, effected on and from such appointed day.

(2)     Every dealer to whom the provisions of sub-section (1) do not apply and whose gross turnover of sales calculated from the commencement of the year ending on the day immediately before the appointed day, exceeds the taxable quantum, as applicable to him under the West Bengal Sales Tax Act, 1994, on the last day of such year shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax under this Act on all his sales, other than those referred to in section 14, effected on and from such appointed day.

(3)     Every dealer to whom the provisions of sub-section (1) or sub-section (2) do not apply, shall, in addition to his liability to pay tax, if any, under any other provisions of this Act, be liable to pay tax under this Act,--

(a)      on all his sales, other than those referred to in section 14, of goods which have been imported by him from any place outside West Bengal with effect from the day on which he effects first sale of such goods; or

(b)      on all his sales, other than those referred to in section 14, of goods effected on or after the date immediately following the date on which his turnover of sales calculated from the commencement of any year exceeds, at any time within such year, such taxable quantum as may be prescribed, and[64]different taxable quantum may be prescribed for different goods or for different classes of dealers ]

Provided that the taxable quantum as may be prescribed under this clause shall not exceed five lakh rupees.

(4)     Every dealer who has been registered under sub-section (2) of section 24 for his application under clause (b) of sub-section (1) of that section, on any date prior to the date on which his turnover of sales exceeds the taxable quantum referred to in clause (b) of sub-section (3), he shall be liable to pay tax on all his sales from the date of such registration.

(5)     Every dealer who incurs liability to pay tax under sub-section (3) of section 27C, shall, notwithstanding that his turnover of sales does not exceed the taxable quantum referred to in clause (b) of sub-section (3), also be liable, in addition to the tax, if any, payable by him under any other provisions of this Act, to pay tax on sales by him of goods from the date of transfer of business.

(6)     Every dealer who incurs liability to pay tax [65] [under section 14], shall, notwithstanding that his turnover of sales does not exceed the taxable quantum referred to in clause (b) of sub-section (3), also be liable, in addition to the tax payable by him under section 14, to pay tax on sales of goods effected by him under this section on and from the day he incurs liability to pay tax under that section.

(7)     Any dealer who is liable to pay tax under the Central Sales Tax Act, 1956 (74 of 1956), shall, notwithstanding that his turnover of sales under the Act does not exceed taxable quantum referred to in clause (b) of sub-section (3), also be liable to pay tax under this Act on all sales of goods effected by him on and from the date on which he becomes liable to pay tax under that Act.

(8)     Every dealer who has become liable to pay tax under this section, shall continue to be so liable until the expiry of three consecutive years commencing on and from the appointed day and such further period after the date of such expiry as may be prescribed, during each of which,--

(a)      he has not effected any sale of goods imported by him from outside into West Bengal; or

(b)      his turnover of sales has failed to exceed the taxable quantum referred to in clause (b) of sub-section (3), and on expiry of such three years or such further period, his liability to pay such tax shall cease:

Provided that where a dealer has become liable to pay tax under sub-section (6) or sub-section (7) and has not separately incurred liability to pay tax under sub-section (3), he shall continue to be so liable until his liability ceases under section 14 or under the Central Sales Tax Act, 1956, as the case may be,

(9)     The provisions of sub-section (3), or sub-section (4), or sub-section (5), or sub-section (6), or sub-section (7), as the case may be, shall apply to every dealer whose liability to pay tax ceases under sub-section (8) as if such dealer has not ever become liable to pay tax under this section.

(10)   The Commissioner shall, after making such enquiry as he may think necessary and after giving the dealer an opportunity of being heard, fix the date on and from which such dealer has become liable to pay tax under this section.]

Section 11 - Incident of tax on purchase of raw jute

[66] [11.[67][Incident] of tax on purchase of raw jute.--

(1)     Every dealer who, [68][as a shipper of jute], has been liable immediately before the appointed day to pay tax under section 12 of the West Bengal Sales Tax Act, 1994 (W.B. Act XLIX of 1994) and who would have continued to be so liable on such appointed day under that Act had this Act not come into force, shall, in addition to his liability to pay tax, if any, under any other provisions of this Act and subject to the provisions of sub-section (3), be liable to pay tax on all his purchases of raw jute in West Bengal with effect from the appointed day.

(2)     Every dealer, being [69] [a shipper of jute], to whom the provisions of sub-section (1) do not apply, shall, in addition to his liability to pay tax, if any, under any other provisions of this Act and subject to the provisions of sub-section (3), be liable to pay tax on all his purchases of raw jute in West Bengal from the date of first purchase effected on or after the appointed day.

(3)     The dealer referred to in sub-section (1) or sub-section (2), as the case may be, [70] [shall be liable to pay tax on such part of his turnover of purchases of raw jute in West Bengal, as referred to in sub-clause (b) of clause (54) of section 2 which remains] after deducting there from such purchases which are shown to the satisfaction of the Commissioner to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act, 1956 (74 of 1956) or in the course of import of goods into, or export of the goods out of, the territory of India within the meaning of section 5 of that Act.

(4)     Every dealer who incurs liability to pay tax under this section, shall continue to be so liable until the expiry of three consecutive years commencing on or after the appointed day and such further period after the date of such expiry as may be prescribed, during each of which he has not effected any purchase of raw jute in West Bengal.

(5)     The provisions of sub-section (2) shall apply to every dealer whose liability to pay tax ceases under sub-section (4) as if such dealer had not ever become liable to pay tax under this section.]

Section 12 - Contingent liability to pay tax on purchase

[71] [(1) Every registered dealer, other than those enjoying composition under sub-section (3), sub-section (3A), or sub-section (3B), of section 16, or sub-section (4) of section 18, shall, in addition to the tax payable under any other provisions of this Act, be liable to pay tax on that part of his turnover of purchases which represents--

(a)      purchases of goods which are not meant for the purposes specified in clause (a) to clause (i), of sub-section (4) of section 22; or

(b)      purchases of goods specified in the negative list appended to section 22 where no input tax credit or input tax rebate is allowed.

(2) ??Every registered dealer enjoying composition under subsection (3), sub-section (3A), or sub-section (3B), of section 16, or subsection (4) of section 18, shall, in addition to the tax payable under any other provisions of this Act, be liable to pay tax on his turnover of purchases.]

Section 13 - [Omitted]

13.-[72][Omitted]

Section 14 - Liability to pay tax on transfer of property in goods involved in execution of works contract

[73] [14. Liability to pay tax on transfer of property in goods involved in execution of works contract.--

(1)     Notwithstanding anything contained elsewhere in this Act, any transfer of property in goods (whether as goods or in some other form) involved in the execution of a works contract in West Bengal shall be deemed to be a sale of those goods by the person making the transfer and a purchase of those goods by the person to whom such transfer is made.

(2)     Every dealer, who is liable on the day immediately before the appointed day to pay tax under section 15 of the West Bengal Sales Tax Act, 1994 (W.B. Act XLIX of 1994), and who would have continued to be so liable under the said Act on such appointed day had this Act not come into force, shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax on all transfers of property in goods involved in the execution of works contract referred to in sub-section (1), from such appointed day, at the rate specified in section 18.

(3)     Every dealer to whom the provisions of sub-section (2) do not apply and whose contractual transfer price calculated from the commencement of the year ending on the day immediately before the appointed day exceeds the amount prescribed under section 15 of the West Bengal Sales Tax Act, 1994 (W.B. Act XLIX of 1994), on the last day of such year shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax on all transfers of property in goods involved in the execution of works contract referred to in sub-section (1), from such appointed day, at the rate specified in section 18.

(4)     Every dealer to whom the provisions of sub-section (2) or sub-section (3) do not apply, shall, if his contractual transfer price calculated from the commencement of any year, exceeds five lakh rupees at any time within such year, be liable, in addition to the tax, if any, payable by him under any other provisions of this Act, to pay tax on all transfers of property in goods involved in the execution of works contract referred to in sub-section (1) at the rate specified in section 18 on and from the day immediately following the day on which such contractual transfer price first exceeds five lakh rupees.

(5)     Every dealer who has been registered under sub-section (2) of section 24 for his application under clause (b) of sub-section (1) of that section, on any date prior to the date on which his contractual transfer price exceeds five lakh rupees, shall be liable to pay tax on all transfers of property in goods involved in the execution of works contract referred to in sub-section (1) at the rate specified in section 18 on and from the date of such registration.

(6)     Every dealer who incurs liability to pay tax under sub-section (3) of section 27C, shall, notwithstanding that his contractual transfer price does not exceed five lakh rupees, also be liable, in addition to the tax, if any, payable by him under any other provisions of this Act, to pay tax on transfer by him of property in goods involved in the execution of works contract referred to in sub-section (1) at the rate specified in section 18 on and from the date of transfer of business.

(7)     Every dealer who incurs liability to pay tax under section 10 or section 11, he shall, notwithstanding that his contractual transfer price does not exceed five lakh rupees, also be liable, in addition to the tax payable by him under any other provisions of this Act, to pay tax on transfer by him of property in goods involved in the execution of works contract referred to in sub-section (1) at the rate specified in section 18 on and from the day he incurs liability to pay tax under that section.

(8)     Every dealer who has become liable to pay tax under this section, shall continue to be so liable until the expiry of three consecutive years commencing on or after the appointed day, during each of which his contractual transfer price does not exceed five lakh rupees and such further period after the date of such expiry as may be prescribed, and on the expiry of such three years or further period, his liability to pay such tax shall cease:

Provided that where a dealer has become liable to pay tax under sub-section (7) and has not incurred liability to pay tax under sub-section (4), he shall continue to be so liable until his liability ceases under section 10 or section 11.

(9)     The provisions of sub-section (4), or sub-section (5), or sub-section (6), as the case may be, shall apply to every dealer whose liability to pay tax ceases under sub-section (8) as if such dealer has not ever become liable to pay tax under these sections.

(10)   The Commissioner, after making such enquiry as he may think necessary and after giving the dealer an opportunity of being heard, shall fix the date on and from which such dealer shall become liable to pay tax under this section.]

Section 15 - Liability of a casual dealer to pay tax

Every casual dealer shall be liable to pay tax--

(a) ??on all his sales in West Bengal of goods brought by him from any place outside West Bengal either by way of purchase from a person, or procured by him otherwise, and

[74] [(b) on his every purchase of goods in West Bengal, after deducting therefrom--

(i)       purchases of goods, sales of which are declared tax-free under section 21;

(ii)      purchases which are shown to the satisfaction of the Commissioner to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act, 1956 (74 of 1956), or in the course of import of goods into, or export of the goods out of, the territory of India within the meaning of section 5 of that Act;

(iii)     purchases of goods which are shown to the satisfaction of the Commissioner to have been made from a registered dealer in West Bengal:

Provided that the burden of proving that any purchase effected by a casual dealer is not liable to tax shall be on such casual dealer.]

Section 16 - Levy of tax on sales

[75] [Subject to the provisions of sub-section (2), the tax payable by a dealer, who is liable to pay tax under section 10, or subsection (3) of section 24, or sub-section (3) of section 27C on his turnover of sales, shall be levied on such part of his turnover of sales as remains after deducting therefrom--

(a)      sales of goods declared tax-free under section 21;

(b)      sales of goods which are shown to the satisfaction of the Commissioner not to have taken place within West Bengal, or to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act, 1956, or in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of that Act;

[76][(ba) sales of goods which are zero-rated as specified in Schedule AA.]

(c)      such other sales on such conditions and restrictions as may be prescribed.]

(2) ??The tax payable by a dealer on the turnover of sales as referred to in sub-section (1), shall be levied-

(a) ??at the rate of one per centum of such part of his turnover of safes as represents sales of any goods specified in Schedule B;

[77] [(b) at the rate of four per centum of such part of his turnover of sales as represents sales of-

(i)       such capital goods, as the State Government may, by notification, specify; and

(ii)      any goods specified in Schedule C]

[78] [(ba) at the rate of [79][thirteen decimal five zero per centum] of such part of his turnover of sales as represents sales of any goods specified in Schedule CA;]

(c) ???at such rate as may be fixed by the State Government under section 19, on such part of his turnover of sales as represents sales of any goods specified in Schedule D.

Explanation.--For the purpose of this sub-section, it is hereby declared that the export of the goods out of the territory of India shall be zero rated i.e. the tax paid under this Act shall be refunded or adjusted, as the case may be, against the output tax payable, if any, by a dealer.

[80] (2A) When taxable goods are sold together with containers or packing materials, then notwithstanding anything contained in sub-section (2), the rate of tax applicable to such containers or packing materials, as the case may be, shall be the same as that applicable to the goods contained, or packed, and the sale price of the containers or packing materials, whether shown separately or not, shall be included in the sale price of the goods.

(2B) ?Where the sale of any goods, which is exempt from tax, is packed in any container or in any packing material, then notwithstanding anything contained in sub-section (2), the sale of such container or packing material shall also be exempt from tax.]

[81] [(3) Notwithstanding anything contained in sub-section (1) or sub-section (2), any registered dealer having liability to pay tax under this Act, may, at his option,--

(a)      if his gross sales in the year ending on the day preceding the appointed day does not exceed fifty lakh rupees; or

(b)      if his turnover of sales in the preceding year commencing on or after the appointed day [82][does not exceed fifty lakh rupees or]

(c)      [83] [ if his turnover of sales during the period from the commencement of the year in which he gets himself registered to the date of his registration, does not exceed fifty lakh rupees] pay tax at such compounded rate not exceeding one per centum of the total turnover of sales of such dealer in the year for which such option is required to be exercised, and subject to such conditions and restrictions as may be prescribed, for each tax period of the year in lieu of tax payable under sub-section (2), on all his sales:

Provided that the registered dealer having liability to pay tax under this Act as stated in this sub-section shall not include--

(a)      an importer; or

(b)      a manufacturer; or

(c)      a dealer engaged in execution of works contract; or

[84] ["(ca) a dealer who has purchased tea sold under the auspices of any tea auction centre in West Bengal duly authorised by the Indian Tea Board; or";]

(d)      a dealer who transfers goods otherwise than by way of sale within or outside the State; or

(e)      a dealer who sells goods within the meaning of section 3 of the Central Sales Tax Act, 1956 (74 of 1956); or

(f)       a dealer who sells goods in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of the Central Sales Tax Act, 1956:

Provided further that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act:

Provided also that a registered dealer who, in addition to the purchase of goods in the course of his business in a year, has also received goods from the supplier within or outside West Bengal, on branch transfer or on consignment basis, for which no price has been paid, shall not be entitled to opt for payment of tax under such compounded rate:

Provided also that if during the period of enjoyment of payment of tax at compounded rate, turnover of sales of a dealer exceeds fifty lakh rupees, he shall become ineligible to pay tax under this sub-section from the commencement of the month immediately following the month during which his turnover of sales exceeded such sum.]

[85] [(3A) Notwithstanding anything contained in sub-section (1) or sub-section (2), a registered dealer being a club having liability to pay tax under the Act, selling goods in West Bengal to its members or others, may, at its option, pay tax, in lieu of tax payable under sub-section (2), for each tax period of a year, at such compounded rate not exceeding eight per centum as the State Government may, by notification, specify, on the turnover of sales of such goods on which tax is payable, subject to such restrictions and conditions as may be prescribed:

Provided that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act.

(3B) Notwithstanding anything contained in sub-section (1) or sub-section (2), a registered dealer having liability to pay tax under the Act, who makes sale by way of transferring the right to use any goods as mentioned in sub-clause (c) of clause (39) of section 2, may, at his option, pay tax, in lieu of tax payable under sub-section (2), for each tax period of a year, at such compounded rate not exceeding two per centum as the State Government may, by notification, specify, on the turnover of sales of such goods on which tax is payable, subject to such restrictions and conditions as may be prescribed:

Provided that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act.]

[86] [(4) Notwithstanding anything contained in sub-section (2) and sub-section (2A), any registered dealer, who imports into or manufactures such goods in West Bengal as may be notified by the State Government, may, at his option, pay, in lieu of the tax payable by him on sale price of such goods under this section, [87][tax at such rate on the maximum retail price of such goods as may be specified in that notification, and different rates may be fixed for different items of such goods:]

Provided that where a dealer has purchased any goods,--

(a)      from an importer or a manufacturer upon payment of tax on the maximum retail price of such goods; or

(b)      from another registered dealer where tax on the maximum retail price of such goods was paid in West Bengal in an earlier occasion,the purchasing dealer, irrespective of whether he is registered or not, while making resale of such goods in West Bengal, shall, notwithstanding anything contained elsewhere in the Act, be entitled to recover from the buyer the amount of tax paid by him at the time of purchase of such goods under such conditions and restrictions, and in such manner, as may be prescribed.]

[88] [(5) Any registered dealer, who intends to opt for payment under sub-section (3) of this section, shall exercise his [89][option for a year, or a part of the year in which he gets himself registered], by making an application to the Commissioner in such manner, and within such time, as may be prescribed

Section 16A - Levy of tax on sales by casual dealer

[90] [16A. Levy of tax on sales by casual dealer.--

(1)     The tax payable by a casual dealer under clause (a) of section 15 shall be levied on such part of his sale price which remains after deducting therefrom?

(a)      sales of goods declared tax-free under section 21;

(b)      sales of goods which are shown to the satisfaction of the Commissioner to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act, 1956 (74 of 1956), or in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of that Act.

(2)     The tax payable by a casual dealer as referred to in sub-section (1), shall be levied at the rate of tax applicable to a sale of such goods under subsection (2) of section 16.]

Section 17 - Levy of tax on turnover of purchases

[91] [(1) The tax payable by a dealer, who is liable to pay tax on his turnover of purchases under section 12, shall be levied--

(a)      in the case of a dealer liable to pay tax under section 11, at the rate of two per centum on such part of the turnover of purchases of raw jute as referred to in sub-section (3) of section 11; and

(b)      in the case of a dealer liable to pay tax under section 12, at the rate of tax as applicable to a sale of such goods under sub-section (2) of section 16, on his taxable turnover of purchases.

(2) ??The expression "taxable turnover of purchases" as stated in clause (b) of sub-section (1), shall mean, in the case of a registered dealer, that part of his turnover of purchases, which remains after deducting therefrom--

(a)      purchases of goods, sales of which are declared tax-free under section 21;

(b)      purchases of goods which are shown to the satisfaction of the Commissioner to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the ?Central Sales Tax Act, 1956(74 of 1956) or in the course of import of goods into, or export of the goods out of the territory of India within the meaning of section 5 of that Act;

(c)      purchases of goods which are shown to the satisfaction of the Commissioner to have been made from a registered dealer in West Bengal;

(d)      such other purchases as may be prescribed.

(3) ??The burden of proof shall lie on the dealer who claims any purchase not liable to be taxed under sub-section (1).]

Section 17A - Levy of tax on purchases by casual dealers

[92] [17A. [93][Levy of tax on purchases by casual dealers].--

The tax payable by a casual dealer shall be levied on his purchases, as referred to in clause (b) of section 15, at the rate of tax as applicable to a sale of such goods under sub-section (2) of section 16.]

Section 18 - Levy of tax on contractual transfer price

[94][18. Levy of tax on contractual transfer price.--

(1)     Subject to the provision of sub-section (2), the tax payable by a dealer, who is liable to pay tax under section 14 or sub-section (3) of section 24 or sub-section (3) of section 27C for transfer of property in goods involved in the execution of works contract, shall be levied on his taxable contractual transfer price?

(a)      at the rate of four per centum, where goods represents those specified in section 14 of the Central Sales Tax Act, 1956 (74 of 1956); and

[95] ["(aa) at the rate of four per centum, where goods represents those involved in printing materials, and"]

(b)      at the rate of [96] [thirteen decimal five zero per centum], where goods represents other than those [97] [specified in clause (a) or clause (aa)]

(2)     The expression "taxable contractual transfer price" as stated in subsection (1), shall mean, in the case of a dealer who is liable to pay tax on transfer of property in goods involved in the execution of a works contract under section 14 or sub-section (3) of section 24 or sub-section (3) of section 27C, that part of his contractual transfer price during any period which remains after deducting therefrom?

(a)      contractual transfer of goods, sales of which are declared tax-free under section 21;

(b)      charges towards labour, service and other like charges as may be prescribed;

(c)      all amounts paid to the sub-contractors for execution of the works contract, whether wholly or in part; and

(d)      such other contractual transfers as may be prescribed:

Provided that no deduction under clause (c) shall be made unless the dealer claiming deduction, produces proof to the satisfaction of theCommissioner that--

(a)      the sub-contractor is a registered dealer liable to pay tax under this Act; and

(b)      such amount of deduction is included in his return referred to in section 32; and

(c)      tax under sub-section (1), in respect of such amount of deduction has been paid by him.

(3)     Where in respect of contractual transfer price referred to in clause (10) of section 2, the works 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, or profit relating to supply of labour and services, or the taxable contractual transfer price for applying proper rate of tax, are not ascertainable, such charges for labour and services, or such profit, or such taxable contractual transfer price shall, for the purpose of deductions, notwithstanding anything contained elsewhere in this section, be determined on the basis of such percentage of the value of the works contract as may be prescribed and different percentages may be prescribed for different types of works contract.

(4)     Notwithstanding anything contained elsewhere in this section, any registered dealer, who is liable to pay tax under section 14 or sub-section (3) of section 24 or sub-section (3) of section 27C, for transfer of property in goods involved in the execution of works contract, and who is not engaged in?

(a)      making sale as referred to in sub-clause (ii) of clause (g) of section 2 of the Central Sales Tax Act, 1956 (74 of 1956); or

(b)      making sale in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of the Central Sales Tax Act, 1956; or

(c)      transferring goods otherwise than by way of sale for execution of works contract outside the State, may, at his option, pay tax at such compounded rate not less than two per centum and not exceeding five per centum of the aggregate of the amount received or receivable by such dealer and subject to such conditions and restrictions as may be prescribed, for each month of the year in lieu of the amount of tax payable by him under sub-section (1):

Provided that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act.]

Section 19 - Power of the State Government to fix rates of tax on sale of goods specified in Schedule D

The State Government may, by notification, fix the rate of tax, with prospective or retrospective effect, not exceeding [98][thirty-five per centum] of the turnover of sales of goods specified in Schedule D, and different rates may be fixed for different items of such goods.

Section 20 - Power of the State Government to amend Schedules

The State Government, after giving by notification not less than fourteen days' notice of its intention so to do, may, by like notification, with prospective or retrospective effect, add to, amend, or alter[99][any Schedule to this Act.].

Section 21 - Tax-free sale of goods

No tax shall be payable under this Act on sale of goods specified in column (2) of Schedule A, subject to the conditions and exceptions, if any, set out in the corresponding entry in column (3) thereof.

Section 21A - Zero-rated sale

[100] [21A. Zero-rated sale.--

(1)     Notwithstanding anything contained in section 16 or section 16A, sale of goods between persons, whether dealer or not, or organisations as specified in column (2) of Schedule AA, shall be zero-rated as defined in clause (59) of section 2.

(2)     Where any goods are sold in the course of export within the meaning of section 5 of the Central Sales Tax Act, 1956 (74 of 1956), such sales shall be zero-rated as defined in clause (59) of section 2.]

Section 22 - Input tax credit or input tax rebate by a registered dealer

[101] [22. Input tax credit or input tax rebate by a registered dealer.--

(1)     Every registered dealer other than those specified elsewhere in the Act, shall be entitled to claim an input tax credit or input tax rebate, as defined in clause (19) of section 2, and in such manner, and subject to such conditions and restrictions, as may be prescribed.

(2)     The input tax creditor input tax rebate, as referred to in sub-section (1), shall be allowed to [102] [the registered dealer who has purchased taxable goods (hereinafter referred to as the "purchasing dealer") during a tax period for use by him in West Bengal] subject to the provisions as laid down in sub-section (3) to sub-section (20).