No: 5 Dated: Apr, 07 1993

THE WEST BENGAL FINANCE ACT, 1993

West Bengal Act V of 1993

    An Act to amend the Bengal Electricity Duty Act, 1935, the Bengal Finance (Sales Tax) Act, 1941, the West Bengal Sales Tax Act, 1954, the Taxes On Entry of Goods Into Calcutta Metropolitan Area Act, 1972 and the West Bengal Motor Spirit Sales Tax Act, 1974.

    WHEREAS it is expedient to amend the Bengal Electricity Duty Act, 1935, the Bengal Finance (Sales Tax) Act, 1941, the West Bengal Sales Tax Act, 1954, the Taxes On Entry of Goods Into Calcutta Metropolitan Area Act, 1972 and the West Bengal Motor Spirit Sales Tax Act, 1974., for the purposes and in the manner hereinafter appearing;

1. Short title and commencement:- (1) This Act may be called the West Bengal Finance Act, 1993.

(2) It shall come into force on the 15th day of April, 1993.

2. Amendment of Ben. Act X of 1935:-  In the Bengal Electricity Duty Act, 1935, in the Second Schedule,—

(1) after exemption (12), the following exemption shall be added:—

"(13) a newly set up industrial unit, save in respect of premises used for residential purposes, for a period of five years from the date of first commercial production.";

(2) after Explanation (4), the following Explanation shall be added:—

`Explanation (5).—For the purposes of exemption (13), the expression "a newly set up industrial unit" means an industrial unit which is established and commissioned by its owner for the manufacture of goods in West Bengal for the first time on or after the 1st day of April, 1993, under any scheme approved by the State Government.'.

3. Amendment of Ben. Act VI of 1941:- In the Bengal Finance (Sales Tax) Act, 1941,—

(1) in section 2, after clause (la), the following Clause shall be. inserted:—

`(la-1) "casual trader means a person, other than a registered dealer, who, whether as a principal or agent or in any other capacity, makes occasional purchases of goods in West Bengal for purposes other tlian his personal use or consumption of such goods in West Bengal or makes occasional sales of goods in West Bengal, and who has no fixed place of business in West Bengal, and includes a Consignor or a consignee of goods in West Bengal or a transporter as defined in clause (a) of the Explanation to section 14C and an owner or lessee of a godown or warehouse let out to any person for storage of goods. -

Explanation 1.—A transporter, who while carrying goods in his goods vehicle within the meaning of section 14C fails to identify the consignee or consignor in West Bengal or fails to furnish correct particulars of such consignee or consignor, shall be deemed to be a casual trader in respect of any goods carried in his goods vehicle.

Explanation 2.—An owner or lessee of a godown or warehouse, who fails to identify the owner of any goods stored in such godown or warehouse or fails to furnish correct particulars of such owner of the goods, shall be deemed to be a casual trader in respect of such goods;';

(2) after section 4B, the following sections shall be inserted:—

4C "Liability to pay purchase tax by a casual trader:- (1) Notwithstanding anything contained elsewhere in this Act, a casual trader shall, subject to the provision of subsection (3), be liable to pay tax on his every purchase of goods in West Bengal:

Provided that no tax shall be levied on—

(a) purchases of goods sales of which are declared tax-free under section 6; (b) purchases of goods specified in section 14 of the Central Sales Tax Act, 1956, on a prior sale or purchase whereof in West Bengal due tax is shown to the satisfaction of the Commissioner to have been paid;

(c) purchases of goods in West Bengal which are shown to the satisfaction of the Commissioner to have been made from a registered dealer in West Bengal; (d) such other purchases on such conditions and restrictions as may be prescribed.

(2) The tax payable by a casual trader on purchase of any goods shall be levied at the rate as applicable to the sale of such goods under clause (a), clause (bbb), clause (bbbb), clause (c), clause (cccc), clause (d), clause (dl), or clause (e), as the case may be, of sub-section (1) of section 5.

(3) Where a casual trader makes regular sales in the course of business from a fixed place of business in West Bengal and gets himself registered under section 7 or section 8, tax, if any, paid under this section on purchases made within one year immediately preceding the date of registration shall, on application, be refunded in accordance with the provision of sub-secction (1) of section 12.

(4) The tax payable under this section shall, notwithstanding anything contained in sub-section (2) of section 11, be determined and collected in such manner and by such authority as may be prescribed and paid by a casual trader at such time and at such interval as may be prescribed.

(5) The provisions of production, inspection and seizure of accounts and search under section 14 shall apply to a casual trader as and when the Commissioner requires him to produce accounts and documents, or as and when the Commissioner makes any seizure of accounts and documents from him or search, as the case may be.

(6) Where there is no claimant of the ownership of any goods, whether in the custody of a transporter or stored in a godown or warehouse in West Bengal, and where such transporter, or such owner or lessee of the godown or wherehouse denies his liability to pay tax under this section, the Commissioner or any person appointed under sub-section ( I ) of section 3 to assist him may, with a view to checking evasion of tax payable under this section, seize such goods from the custody of the transporter or from the godown or warehouse of the owner or lessee of goods, if necessary. by breaking open the door of such godown or warehouse, and shall, before making seizure, prepare an inventory of such goods in the presence of the transporter or the owner or the lessee of the godown or warehouse, as the case may be, and get such inventory countersigned by him or any other witness.

(7) If the goods seized under sub-section (6) are not claimed by the bona fide owner of such goods within fifteen days from the date of seizure, the Commissioner may sell such goods in open auction and adjust the amount of tax on purchases of goods that may be determined under sub-section (4) with the sale proceeds of the goods and deposit the balance, if any, with a Government Treasury for refund to the bona fide owner of goods upon claim preferred in the prescribed manner within one year.

(8) The provisions of appeal, review or revision under section 20 shall apply to determination of tax or any order passed under this section or section 4D.

4D Liability to pay tax on sales by a casual trader:- (1) Notwithstanding anything contained elsewhere in this Act, a casual trader shall be liable to pay tax on all his sales in West Bengal of goods, brought by him into West Bengal from outside West Bengal, or procured by him otherwise than by way of purchase from a person, other than a registered dealer:

Provided that no tax shall be levied on—

(a) sales of goods declared tax-free •under section 6;

(b) Sales of goods notified under section 4A, tax on which is payable by him;

(c) sales of goods which are effected on or after the date on which he has become liable to pay tax under section 4 or sub-section (3) of section 8 and has been registered under section 7 or section 8.

(2) The tax payable under this section by a casual trader shall be levied at the rate provided in clause (a), clause (bbb), clause (c), clause (cccc), clause (d), clause (dl) or clause (e), as the case may be, of sub-section (1) of section 5.

(3) The tax payable under this section shall, notwithstanding anything contained in sub-section (2) of section 11, be determined and collected in such manner and by such authority as may be prescribed and paid by a casual trader at such time and at such interval as may be prescribed."

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