Vat Actupdated - RS Goyal & Associates

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the assessment of such dealer for that quarter or year, as the case may be shall
be made in accordance with the provisions of sub-section (4) within a period of three
months from the date of receipt of the application
(2) 2 omitted 2 (3) 2 omitted 2
(4) 2 (a) The Commissioner shall serve on a registered dealer referred to in the proviso to
sub-section (1) of this section or sub-section (3) of section 20A or a registered dealer
who is not eligible for assessment 23.. under sub-section (1) and (1A) of section 20-A
23. with a notice in the prescribed form appointing a place which may be the business
premises or any other place and day and directing him,-
(i) to appear in person or by an agent entitled to appear in accordance with the
provisions of section 23 ; or
(ii)
(iii)
to produce evidence or have it produced in support of the returns; or
to produce or cause to be produced accounts, registers, cash memoranda or
other documents relating to his business. 2
(b) The Commissioner, after hearing the registered dealer or his agent and examining
the evidence produced in compliance with the requirements of sub-clause (ii) or subclause
(iii) of clause (a) and such further evidence as he may require, shall assess or
re-assess him to tax.
(5) If a registered dealer referred to in clause (a) of sub-section (4),- -
(a) has not furnished returns and statement in respect of any period by the prescribed
date; or
(b) has knowingly furnished incomplete or incorrect returns for any period; or
(c) having furnished such returns has failed to comply with any of the terms of a notice
issued under clause (a) of sub-section (4); or
(d) (i) has not maintained any accounts, or
(ii) the accounts maintained by him are not in accordance with the provisions
of sub-section (1) of Section 39, or
(iii) has not regularly employed any method of accounting, or
(iv) the method employed is such that in the opinion of the Commissioner
assessment cannot properly be made on the basis thereof,
the Commissioner shall after issue of a notice in the prescribed form appointing a place
which may be the business premises or at the place specified in the notice and in the
prescribed manner, assess the dealer to the best of his judgment.
(6) (a) If upon any information which has come into his possession, the Commissioner is
satisfied that any dealer, being liable to pay tax in respect of any period has failed to
apply for registration, the Commissioner shall within one calendar year from the date of
completion of the proceedings under sub-section (1) of Section 6 proceed, in such
manner as may be prescribed, to assess such dealer and assess him to tax to the best
of his judgment in respect of the whole of such period and shall impose upon him, by
way of penalty, a sum two times of the amount of tax so assessed.
(b) In respect of periods, subsequent to the period referred to in clause (a), during which
the dealer has failed to apply for registration, the amount of tax due from him referred to
in the said clause shall be assessed separately for each year.
(7). (i) the assessment in respect of a registered dealer referred to in clause (a) of sub-
Section (4) shall be made within a period of one calendar year from the end of the
period for which the assessment is to be made,
(ii) the assessment in respect of a dealer referred to in clause (b) of sub-section (6) for
any period shall be made within a period of one calendar year from the end of such period ;
and