(1) These rules may be called the Maharashtra Value Added Tax Rules, 2005

(2) They shall come into effect from the 1st April, 2005.

 In these rules, unless the context otherwise requires,-

(a) "the Act" means the Maharashtra Value Added Tax Act, 2002(Mah. LX of 2005);

 In these rules, unless the context otherwise requires,-

"agent" means a person authorised in writing under section 82 of the Act to appear on behalf of a dealer or other person before any authority appointed or constituted under this Act;

 In these rules, unless the context otherwise requires,- 

"assessing authority" means any authority competent to assess a dealer or, as the case may be, any authority to whom the power to assess a dealer has been delegated by the Commissioner and within whose jurisdiction the place of business or, as the case may be, the principal place of business of the dealer, issituated;

In these rules, unless the context otherwise requires,-

"Commissioner" includes an Additional Commissioner, a Joint Commissioner, and such other officers to whom the Commission delegates his powers and duties either generally or as respects any particular matter or class of matters;

 In these rules, unless the context otherwise requires,-

(e) "Form" means a form appended to these rules;

In these rules, unless the context otherwise requires,-

"Government Treasury" means (i) as respects a dealer who is, or is liable to be, registered within the jurisdiction of a registering authority in Brihan Mumbai, the bank or Treasury shown in column number 2, if he makes payment in the manner shown in column number 3:-

(ii) as respects a dealer who is, or is liable to be, registered within the jurisdiction of a registering authority outside Brihan Mumbai,

(A) if the principal place of business of the dealer is situated at the district headquarters, the bank or Treasury shown in column number 2 if he makes payment in the manner shown in column number 3 :-

(B) if the principal place of business of the dealer is situated at a place other than the district headquarters, the bank or the Treasury shown in column number 2, if he makes payment in the manner shown in
column number 3:-

(III) in respects of a non-resident dealer, the Reserve Bank of India, Mumbai;

 In these rules, unless the context otherwise requires,-

‘Mega Project' means the Eligible Industrial Unit in respect of which the Eligibility Certificate is issued in terms of Government Resolution, Industries,Energy and Labour Department, No. IDL.1096 (13211)IND-8, dated the 20th June 1997 as amended from time to time.

In these rules, unless the context otherwise requires,-

(h) "Package Scheme of Incentives" means any of the following schemes designed by the State Government, as amended, from time to time, namely:-

(i) The 1979 Scheme as outlined in the Government Resolution, Industries, Energy and Labour Department, No. IDL. 7079/(2043)IND-8, dated the 5th January 1980 read with the ue Added Tax Rules.doc, Government Resolution, Industries, Energy and Labour Department, No. IDL. 7082/(3559)/IND-8, dated the 5th July 1982;

(ii) The 1983 Scheme as outlined in the Government Resolution, Industries, Energy and Labour Department, No. IDL.1082/(4077)/IND-8, dated the 4th May 1983 read with Government Resolution, Industries, Energy and Labour Department, No. IDL. 1088/(6612)/ IND-8, dated the 25th March 1988;

(iii) The Electronic Scheme as outlined in the Government Resolution, Industries, Energy and Labour Department, No. IDL.l085/(5315)/IND-8, dated the 3rd September 1985 read with the Government Resolution, Industries, Energy and LabourDepartment, No. IDL. 1085/(5315)/IND-8, dated the 29th July 1987;

(iv) The 1988 Scheme as outlined in the Government Resolution, Industries, Energy and Labour Department, No. IDL. 1088/(6603)/ IND-8, dated the 30th September 1988;

(v) The 1993 Scheme as outlined in the Government Resolution, Industries, Energy and Labour Department, No. IDL. 1093/(8889)/ IND-8, dated the 7th May 1993;

(vi)  the Package Scheme of Incentives for Tourism, 1993, as outlined in the Government Resolution, Home Department (Tourism) No.MTC-91/GR-409/(Tourism), dated the 30th November 1993;

(vii) The  New Package Scheme of Incentives for Tourism Projects -1999, as outlined in the Government Resolution, Home Department (Tourism), No. MTC-0399/GR-142/(Tourism), dated the 8th July1999;

(viii) The Power Generation Promotion Policy, 1998, outlined in the Government Resolution, Industries, Energy and Labour Department, No. NCP-1097/CR-57/NRG-7, dated the 12th March 1998;

In these rules, unless the context otherwise requires,-

“Permanent Account Number” means the Permanent Account Number allotted under the Income Tax Act, 1961;

In these rules, unless the context otherwise requires,-

"principal place of business" means in relation to a dealer in any area within the jurisdiction of a registering authority, the place of business mentioned as his principal place of business in the certificate of registration granted under the Act;

In these rules, unless the context otherwise requires,-

(k) "Quarter", means­, the period of three months ending on the 30th June, 30th September, 3lst December or, as the case may be, 3lst March, of the relevant year, for the purpose of assessment;

In these rules, unless the context otherwise requires,-
"registering authority" mens
(i) in respect of a dealer not being a non-resident dealer, the assessing authority having jurisdiction over the local area in which any place or places of business of the dealer are situated; and
(ii)in respect of a non-resident dealer, the assessing authority designated as the assessing authority for the non-resident circle, Mumbai;

In these rules, unless the context otherwise requires,-

(m) "Schedule" means a Schedule appended to the Act;

In these rules, unless the context otherwise requires,-

"section" means a section of the Act;

In these rules, unless the context otherwise requires,-

“Very Large Project” means the Eligible Industrial Unit in respect of which the Eligibility Certificate is issued in terms of the Government Resolution, Industries, Energy and Labour Department No.IDL-1098/121/IND-8,dated the 11th August 1998.

(a) is or has been a Judge of the High Court , or
(b) is or has been a District Judge, or
(c) is qualified for appointment as a District Judge, and has held judicial office for not less than ten years, or
(d) has, for a continuous period of not less than three years held an office, not below the rank of Joint Commissioner of Sales Tax, in the Sales Tax Department of the State Government; or
(e) is a Chartered Accountant and has practised as such for not less than seven years, or
(f) not being a person described in clause (e), has in the opinion of the State Government, adequate knowledge of, or experience in accounting, or has, in the opinion of the State Government, special knowledge of, or experience in commerce or industry.

Explanation - For the purposeof clause (b), the service as a Deputy Commissioner before the appionted day shall considered for for determining the period of the three years.

(a) is adjudged an insolvent, or
(b) engages during his term of office in any paid employment outside the duties of his office, or
(c) is, in the opinion of the State Government unfit to continue in office by reason of infirmity of mind or of body, or any other reason.

(a) within thirty days from the appointed day, if he holds a certificate of registration or, as the case may be, a licence granted under any of the earlier laws and which is in force immediately before the appointed day but does not hold a certificate of registratiunder the Bombay Sales Tax Act, 1959 (Bom LI of 1959) immediatelybefore the appointed day ;
(b) in the case of a dealer to whom sub-section (2) of section 3 applies, within 30 days from the day on which his turnover of sales and of all purchases during the year commencing on the appointed day or, as the case may be, during any subsequent year, first exceeds the relevant limit specified in sub-section (4) of section 3 ;
(c) in the case of a dealer to whom sub-section (7) of section 3 applies, who becomes liable at any time after the appointed day to pay tax under the Central Sales Tax Act , 1956 within thirty days of incurring such liability;
(d) in the case of a dealer to whom sub-section (8) of section 3 applies, within thirty days from the date of succession to the business as provided in clause (a) of sub-section (1) or sub-section (4) of section44 ; and
(e) in the case of a person whose certificate of registration is liable to be cancelled on the ground that the place of business is changed to a different local area, within thirty days of the change in place of business; and

(a) an individual, by the proprietor or by a person having due authority to act on behalf of such proprietor;
(b) a firm, by a partner thereof;
(c) a Hindu Undivided Family, by the Karta or an adult member thereof;
(d) a body corporate (including a company, a co-operative society, or a corporation or local authority) by a director, manager, secretary or the principal officer thereof, or by a person duly authorised to act on its behalf;
(e) an association of individuals to which clause (b), (c) or (d) does not apply, by the principal officer of, or person managing the business;
(f) any department of the Union Government or any State Government, by a person duly authorized to act on its behalf.

(6) The person signing and verifying an application for registration shall specify the capacity in which he does so, and shall wherever possible, give particulars of the authority vested in him for signing and verifying the application.

(7) Every person signing and verifying an application for registration in the capacity specified in clause (a), (b), (c), (d) or (e) of sub-rule (3) other than the Director, Manager; Secretary or Principal officer of, or a person duly authorised to act on behalf of, a public limited company, public trust, corporation or a local authority shall also furnish with the application a copy of his recent photograph in passport size.

(8) The person so furnishing the photograph shall, when called upon to do so, attend before the registering authority and sign, before him, on the copy of the photograph furnished by him.

(9) Where the engagement in business is by an individual, a firm, a Hindu Undivided Family or any unincorporated association of individuals, the name permanent residential address and the Permanent Account Number, if any, under the Income Tax Act, 1961 (43 of 1961), of such individual, each of the partners of the firm, members of the family or, as the case may be, members of the managing committee of the association and of persons having anyinterest in the business or the Karta of the said family shall be stated in the application for registration.

(10) Every application for registration shall state in general terms the classes of goods in which the applicant deals and specify the nature of the business.

(11) A dealer or a person who voluntarily applies for registration shall,-

(a) have obtained the Permanent Account Number under the Income Tax Act, 1961 and provide it to the registering authority along with proof of the same,
(b) have a current bank account and produce proof of the same, and
(c) be introduced by a registered dealer whose registration certificate is in force on the date of introduction and who is registered under the Act or as the case may be, under any earlier law for five continuous years immediately preceding the year in which the application is made or by a Sales Tax Practitioner , or a Chartered Accountant or a Cost Accountant or an Advocate;

(a) if it was made within the period specified in clause (a) of sub-rule (1) of rule 8 , it shall take effect from the appointed day ;
(b) if it was made within the period specified in clause (b) of sub-rule (1) of rule 8 , it shall take effect from the time on which the dealer's turnover first exceeded the relevant limit specified in sub-section (4) of section 3 ;
(c) if it was made within the period specified in clause (c) of sub-rule (1) of rule 8 , it shall take effect from the day, the dealer becomes liable to pay tax under the Central Sales Tax Act, 1956;
(d) if it was made on account of incurring liability under sub-section (8) of section 3 , it shall take effect from the date of succession if it is made within thirty days of the incurring of such liability; and
(e) if it is made any time after the change of address of business to a different local area, it shall take effect from the date of the said change of address;
(f) if it is made under sub-section (9) of section (3), it shall take effect from the date of application if the conditions laid down in the rules and section 16 are fulfilled and
(g) if such application was made after the expiry of the aforesaid period ,
it shall take effect from the date on which the application was made .

(3) Where the dealer has two or more places of business within the jurisdiction of the registering authority, the registering authority shall issue to the dealer one copy of the certificate of registration for each additional place of business (not being merely a warehouse) specified in the application for registration.

(a) on the ground referred to in clause (a) of sub-section (6) of section 16 , the date on which the business has been discontinued or otherwise disposed of or has been transferred, or the place of business has been changed to a different local area shall be the date of cancellation of registration;
(b) on the ground referred to in clause (b) of sub-section (6) of section 16 , the date for cancellation of the registration shall not be later than the first day of the month next following the date of passing of the order referred to in sub-rule (2).

(4) Where the registration of a dealer is to be cancelled under the first proviso to sub-section (6) of section 16 , the Commissioner shall after giving the dealer a reasonable opportunity of being heard, cancel the registration by an order in writing with effect from such date as the Commissioner may fix to be the date on which the business has been discontinued or transferred or disposed off or changed to a different local area as the case may be. A copy of such order shall be served on the dealer.

(5) If the registration of a dealer is cancelled either on his application or under the first proviso to sub-section (6) of section 16 , the dealer shall surrender the certificate of registration and the copies thereof, if any, granted to him to the registering authority within fifteen days from the date of receipt by him of the order cancelling the registration.

(1) The Commissioner may, by notice in writing, require a registered dealer to produce before him his certificate of registration for the purpose of carrying out any amendment therein under the Act.

(2) Every such dealer shall, within ten days from the date of service on him of a notice as aforesaid, produce the certificate of registration, to the Commissioner.

(a) within sixty days from the appointed day by a dealer who is liable under sub-section (1) of section (3) ;
(b) at the time of application for registration, if the dealer is liable under the other provisions of section 3 ;
(c) within fifteen days of obtaining the Permanent Account Number,under the Income Tax Act,1961 if the said number is obtained at any time after applying for the certificate of registration.

(1) The Forms of returns may be obtained from the office of the assessing authority or after the 1st April 2006 may be downloaded from the website of the State Government. The forms may also be obtained privately if they conform with the details and the size of the forms issued by the assessing authority.

Serial No.	Form No.	Description
(1)	(2)	(3)
1	201	Return-cum-chalan of monthly tax payable
2	202	Return-cum-chalan of quarterly tax payable
3	203	Return-cum-chalan of six monthly tax payable
4	204	Return-cum-chalan of composition for retailer
5	205	Return-cum-chalan of composition for Restaurants
6	206	Return-cum-chalan of composition for Bakery dealers
7	207	Return-cum-chalan of composition for second hand passenger motor vechile dealers
8	208	Return-cum-chalan for motor spirit dealer
9	209	Return by a dealer under Package Scheme of Incentive
10	214	Return-cum-chalan of composition for carterers

(2) Every registered dealer, who is required to furnish a return shall subject to the provisions of this rule , furnish it duly signed by him or by a person authorised by him to the authorities specified hereinafter, that is to say, -

(a) where tax including lump sum, interest or penalty is due and payable according to the return, to the Government Treasury while making payment of the tax, lump sum, penalty or interest under rule 45 ;
(b) where no tax including lump sum, penalty or interest is due and payable according to the return, the return shall be furnished, -

(i) to the registering authority (Non-Resident Circle), Mumbai, if the dealer has been registered by such authority; (ii) to the authority referred to in paragraph (b) of sub-section (2) of section 20, if the Commissioner has permitted the registered dealer who has places of business within the jurisdiction of different registering authorities, to furnish a consolidated return in respect of all or any of these places of business; or
(iii) to the registering authority within whose jurisdiction the place or places of business, as specified in the certificate of registration of the registered dealer is or are situated. (3) Every dealer who is required to file monthly returns under sub-rule (4), if he is covered by the notification issued under sub-section (4) of section 41 and if he is specified in the said notification for the purposes of this sub-rule shall file monthly returns within 15 days of the end of the month to which the return relates:
     Provided that, the said dealer may file the return in accordance with clause(c) of sub-rule (4) if he makes ad-hoc payment equal to 80 per cent. of the tax paid by him in respect the month immediately preceding the month to which the return relates and pays theremaining amount, if any, at the time of filing of the return in accordance with sub-rule(4).

(4) Subject to the other provisions of this rule and of rule 18 .

(a) every registered dealer who is a retailer and who has opted for composition of tax under sub-section (1) of section 42 shall file a six monthly return within twenty-five days from the end of the period of six months to which the return relates;
(b) every registered dealer to whom clause (a) does not apply and whose tax liability during the previous year was Rs.12,000 or less shall file a six- monthly return within twenty-five days from the end of the period of six months to which the return relates.
(c) every registered dealer to whom clause (a) or (b) does not apply and whose tax liability during the previous year had exceeded rupees one lakh shall file a monthly return within twenty days from the end of the month for January and February and within twenty five days in any other case;
(d) any other registered dealer shall file a quarterly return within twenty-five days from the end of the quarter to which the return relates.

Explanation- I -- For the purpose of this rule, the expression, "tax liability" in relation to a registered dealer means - the total of all taxes payable by him in respect of all his places of business in the State under the Central Sales Tax Act, 1956and the Maharashtra Value Added Tax Act, 2002, or as the case may be, the Bombay Sales Tax Act, 1959, after adjustment of the amount of set-off or refund claimed by him, if any under the respective Act. For the purposes of this rule, the expression "previous year" includes the year ending on the 31st March 2005.
Explanation II .—For the purposes of this rule, the first six monthly return shall be for the period starting on the appointed day or, as the case may be, 1st April and ending on the 30th September. The second six monthly return shall be for the period starting on the 1st October and ending on the 31st March.

1) The notice for assessment for the purposes of sub-section (2), (3) and (4) of section 23 shall be in Form 301. The notice for the purposes of sub-section (5)of section 23 shall be in Form 302. The notice of assessment for the purpose of sub-section (6) of section 23 shall be in Form315 . The date fixed for compliance for all of such notices shall not be earlier than fifteen days from the date of service thereof.

2) For the purposes of sub-section (5) of section 23 the authority shall be Sales Tax Officer, Assistant Commissioner, Deputy Commissioner or as the case may be Senior Deputy Commissioner.

(1) A certified copy of an order of assessment shall be furnished to the assessee free of charge along with the notice issued in accordance with sub-section (4) of section 32

(2) A dealer or a person to whom section 43 applies and who requires additional copies of such order shall be supplied with the same on his making an application in this behalf..

(a) be in writing ,
(b) specify the name and address of the appellant,
(c) specify the date of the order against which it is made,
(d) contain a clear statement of fact,
(e) state precisely and in brief the relief prayed for, and
(f) be accompanied by the challan for proof of having paid the required fees.
(g) state the quantum of relief sought .
(h) be signed and verified by the appellant or by an agent duly authorised by him in writing in that behalf, in the following form,
namely :-

"I ....... agent appointed by the appellant named in the above memorandum of appeal do hereby declare that what is stated
herein is true to the best of my knowledge and belief.

-------------------
(Signature)".

(2) The memorandum of appeal shall be accompanied by either the certified copy of the order supplied to the dealer or duly authenticated copy thereof, unless the omission to produce such order or copy is explained at the time of the presentation of the appeal to the satisfaction of the appellate authority.

(3) The memorandum of appeal shall either be presented by the appellant or his agent to the appellate authority or be sent to the said authority by registered post.

(4) The appeal including a second appeal shall be made in Form 310.

(1) If the memorandum of appeal omits to state any of the particulars required under rule  31 or is not accompanied with the certified  copy of the order  supplied to the dealer or a duly authenticated copy thereof, the appeal may be summarily rejected :

         Provided that, no appeal shall be summarily rejected under this sub-rule  unless the appellant is given a reasonable opportunity to amend the memorandum of appeal.

(2) The appeal may also be summarily rejected on grounds other than those specified in sub-rule  (1), which the appellate authority  may consider sufficient and which shall be reduced to writing by the appellate authority :

Provided that, before an order  summarily rejecting an appeal under this sub-rule  is passed, the appellant shall be given a reasonable opportunity of being heard.

(3) If within thirty days from the date on which any appeal is summarily rejected under sub-rule  (1) or (2), the appellant makes an application  to the appellate authority  for setting aside the order  of summary rejection and satisfies it that the notice  under the proviso to sub-rule (1) to amend the memorandum of appeal or of a hearing under the proviso to sub-rule (2) was not duly served on him, or that he was prevented by sufficient cause from amending the memorandum of appeal or from appearing when the appeal was called on for hearing, the said authority shall make an order setting aside the summary rejection and restore the appeal to its file:

         Provided that, if an order on the application  for setting aside the order of summary rejection is not made within thirty days of the receipt of the application , it shall be deemed that the appeal is restored to the file of the appellate authority.

Provided that, a date earlier than aforesaid may be fixed for hearing, if the appellant or his agent agrees thereto in writing.

(b) The authority  aforesaid may for sufficient reasons adjourn at any stage the hearing of an appeal to a different time on the same day or any other day so however that the day to which the hearing is adjourned shall not be earlier than ten days from the day on which intimation thereof is given to the appellant or to his agent:

Provided that, a date earlier than aforesaid may be fixed for hearing an appeal if the appellant or his agent agrees thereto in writing.

(2) If on the date and at the time fixed for hearing or on any other date or at any other time to which the hearing may be adjourned, the appellant does not appear before the said authority  either in person or through an agent, the said authority may dismiss the appeal or may decide it ex-parte, as it may think fit:

Provided that, if within thirty days from the date on which the appeal was dismissed or decided ex-parte, under this sub-rule , the appellant makes an application  to the appellate authority  for setting aside the order  and satisfies it that the intimation of the date of hearing was not duly served on him or that he was prevented by sufficient cause from appearing when the appeal was called  for hearing the said authority shall make an order setting aside the dismissal or ex-parte decision upon such terms as it thinks fit, and shall appoint a day for proceeding with the appeal.

(2)  (a) Every appellate authority  including the Tribunal shall  maintain registers showing the particulars regarding the chronological  order   of the filing of appeals and also the quantum of relief sought.

(b)   For the purposes of these rules, the expression “quantum of relief sought” means:--

(a)  the aggregate of the amount of tax or penalty or interest, if any or sum forfeited on demanded and the amount claimed by the appellant as refundable, or

(ii)the difference between the amount of refund claimed by the appellant and the amount of refund granted in the order against which the appeal is filed, or

(iii)the difference of the amount of tax or penalty or interest, if any, or sum forfeited, demanded and the amount accepted by the appellant to be payable.

(4) Every appellate authority  including the Tribunal shall fix dates for hearing in such a way that half of the cases fixed for hearing during any month are the cases where appeals are filed against any order  passed under section 56 or where appeals are  filed earlier to all other appeals and the remaining half shall be out of the balance appeals involving the highest quantum of relief sought.

(1) The costs of all appeals and other proceedings before the Tribunal shall be in the discretion of the Tribunal.

(2) Where the appellant withdraws from the proceedings without the permission of the Tribunal or fails, without a reasonable excuse, to appear before the Tribunal on the date and at the time fixed by it under notice served on him, he shall be liable for such costs as the Tribunal may award.

(3) In its final order, if costs are awarded, the Tribunal shall state who shall bear the cost and in what proportion, if any.

(4) No costs shall be awarded against a dealer or person unless he is given a reasonable opportunity of being heard.

(5) Where costs are awarded, a bill of costs shall be drawn up by the Registrar of the Tribunal and attached to its judgment and order

Where an order of forfeiture is made, the Commissioner shall by a notice published in the Official Gazette, notify the following details for the information of the person concerned, namely, -

 (a) the name, address and the registration number, if any, held by the person in whose case the order is passed;
(b) date of the order;
(c) the amount forfeited;
(d) the period for which the order is passed, and
(e) reasons for forfeiture.

(b)The employer required to remit tax, shall furnish a certificate  in Form 402 in respect of the amount so remitted immediately after the deduction is made, to the dealer in respect of whom such deduction is made.

(c)    (i) The employer who had deducted and remitted such tax shall send a statement  in duplicate to the registering authority  who has jurisdiction over the contractor (and in case of any unregistered contractor, whether or not resident in the State of Maharashtra for Mumbai Zone) and send a statement in Form 403 to the registering authority designated for non-resident dealers and in respect of contractor outside Mumbai Zone, shall send a statement to the respective Joint Commissioner  of Sales Tax (Administration) in whose jurisdiction the said contractor carries on his business within twenty days after the end of month to which such statement relates.

(d)  Any employer issuing a certificate  as required by clause (b) shall maintain for each year a separate account in Form 404 showing the amount of tax deducted, certificate of tax deduction issued, and the particulars of remittances made to the Government treasury and shall file a return   in Form 405 with the Joint Commissioner  of Sales Tax (Administration) in whose jurisdiction the place of business the employer is situated within three months of the end of the year to which the return relates.

(2) (a) An application  for grant of certificate  of deduction of tax at source or no deduction of tax under sub-section (3) of section 31 shall be made in Form 410 by the dealer to the registering authority  who is having jurisdiction over the dealer. 

(b)  The application  shall be accompanied by copies of the contract, and other documents, on the basis of which the claim is made for deduction at source, or no deduction, as the case may be.

(c)  If the particulars and documents furnished by the dealer are correct and complete in all respects and after making such enquiry as may be deemed necessary, the registering authority  is satisfied that the contract involves both transfer of property in goods and labour or service, or involves only labour or service and justifies deduction of tax at source or no deduction of tax, as the case may be, he shall, after giving the applicant a reasonable opportunity of being heard grant a certificate  in Form 411 within a period of one  month from the of receipt of the application  and shall forward a copy of such certificate to the employer for whom the work is executed. If it comes to the notice  of the registering authority that the certificate is wrongly granted or is not in order , then  he may on his own motion cancel or modify such certificate, after giving the dealer a reasonable opportunity of being heard.

(3) The period for application   in Form 401 to the Commissioner  for allotment of sales tax  (Works Contract) deduction number shall be three months from the day he becomes so liable to deduct the tax.

(1) Every dealer required to furnish a return under rule 17 or 18 whether monthly, quarterly or six monthly or for any other period, shall, on or before the date specified for submission of such return, pay into Government treasury, the tax due from him for the period covered by such return and interest , if any, payable by him under this Act.

(2) Any sum determined by way of compounding of an offence in accordance with section 78 shall, within the time stated in the order determining such composition, be paid in the Government treasury.

 (3) The person liable to pay any amount of fine imposed under sub-section (3) of section 14 or any other provision of this Act shall pay the same into Government treasury before the date specified in the notice issued by the Commissioner or the Tribunal in that behalf.

(1) Every payment of tax or interest or penalty or all of them payable under rule 41 and the amount of balance of tax payable according to a return or revised return and penalty and interest payable under rule 41 shall be accompanied by the respective return-cum-chalan.

(2) Every payment of tax or interest or penalty or all of them not referred to in sub-rule (1) and every payment of amount forfeited, composition money and fine imposed shall be accompanied by a chalan in Form 210 .

(3) The Form accompanying the payments as aforesaid shall be duly filled in, signed and verified by the payer and the amount paid shall be stated both in words and in figures in the space provided for that purpose in the respective Form.

 (4) The payments shall be made into Government treasury. The portion of the concerned Form marked "for the payer" shall be returned by the Government treasury to the dealer duly receipted, and the portion of the Form marked "for the registering authority " shall be forwarded by the Government treasury to the registering authority specified in rule 17 .

 (5) Subject to the provisions of sections 33 and 34, no payment as aforesaid shall be made to any officer or authority appointed by or under section 10 .

 (6) The installments granted, if any, under one order shall be monthly installments, and for a period not exceeding one year. The installments shall be granted for an amount inclusive of the interest chargeable, on the amount of tax under installment. 

(a)  in respect of the said purchases covered by the Bombay Sales Tax Act, 1959, a sum calculated in accordance with rule  44D of the Bombay Sales Tax Rules, 1959, as the rule stood immediately before the appointed day, if the conditions specified in the said Act and Rule are fulfilled.
(b)   in respect of purchases covered by any of the earlier laws other than the Bombay Sales Tax Act, 1959, a sum collected separately from the claimant dealer by the other registered dealer or, as the case may be, person holding licence, by way of tax on the purchase made by him from the other registered dealer or, as the case may be, person holding licence, of the said goods,
(c)   any sum paid by the dealer on his purchases or, as the case may be, the entry of goods , under the Maharashtra Tax on Entry of Motor Vehicles into the Local Areas Act, 1987 or the Maharashtra Tax on the Entry of Goods into the Local Areas Act, 2002.

(2) No set-off shall be allowed under this rule,  -

(a)   in respect of any purchase or entry of goods if the claimant dealer has claimed set-off ,  drawback or, as the case may be, refund  in respect of the said purchase or entry under any earlier law, and
(b)   unless the goods are resold on or after the 1^st April 2005 and on or before the 31^st December 2005 or are  used in the packing of goods so resold,
(c)   in respect of goods treated as capital assets unless the said assets are purchased on or after the 1^st April 2003 or their entry in the State has taken place on or after the 1^st April 2003 and are resold on or before the 31^st December 2005.

(3) The set-off under this rule  shall be claimed,-

(a)  in respect of capital assets only when they are resold  and such claim shall be made in the return  for the period in which the said capital assets are resold, and
(b)   in respect of other goods in the period starting on the 1^st April 2005.

(4) The set-off under this rule  shall not be granted unless the claimant dealer has complied with the requirements of the notification  issued under section 84 .

(1) In assessing the amount of tax payable in respect of any period starting on or after the appointed day, by a registered dealer (hereinafter, in this rule, referred to as “ the claimant dealer”) the Commissioner shall in respect of the purchases of goods made by the claimant dealer on or after the appointed day, grant him a set-off of the aggregate of the following  sums, that is to say,-

(a)  the sum collected separately from the claimant dealer by the other registered dealer by way of sales tax on the purchases made by the claimant dealer from the said registered dealer of goods being capital assets and goods the purchases of which are debited to the profit and loss account, trading goods, raw materials, parts,  components, spares, packing materials and fuel,
(b)  tax paid in respect of any entry made after the appointed day under the Maharashtra Tax on the Entry of Motor Vehicles into Local Areas Act, 1987, and
(c)  the tax paid in respect of any entry made after the appointed day under the Maharashtra Tax on the Entry of Goods into Local Areas Act, 2003.

 (2) The set-off under this rule  shall not be granted in regard to any quantum of tax if set-off  under rule 51 has been claimed in respect of the same quantum of tax or if set-off has been claimed in respect of the said quantum under any earlier law.

(1)  If the claimant dealer has used any taxable goods as fuel, then an amount equal to four per cent. of the corresponding purchase price shall be reduced from the amount of set-off otherwise available in respect of the said purchase.

(2)  (a) If the claimant dealer manufactures any tax free goods then an amount equal to four per cent. of the purchase price of the corresponding taxable goods purchased by him (not being goods treated as capital assets or used as fuel) shall be reduced from the amount of set-off otherwise available in respect of the said purchases.

(b) If the claimant dealer resells any tax free goods and the tax-free goods are packed in any material, then an amount equal to four per cent. of the purchase price of the corresponding purchases of packing materials, if any, shall be reduced from the amount of set-off otherwise available in respect of the said purchases of packing materials.

(3)  If the claimant dealer dispatches any taxable goods outside the State, to any place within India, not by reason of sale, to his own place of business or of his agent or where the claimant dealer is a commission agent, to the place of business of his principal, then an amount equal to four per cent. of the purchase price of the corresponding taxable goods (not being goods treated as capital assets or used as fuel)shall be deducted from the amount of set-off otherwise available in respect of the said purchases.

(4)  If the claimant dealer has made a sale by way of transfer of property in goods (whether as goods or in some other form ) involved in the execution of works contract then, if the claimant dealer has opted for composition of tax under sub-section (3) of section 42 , the corresponding amount of set-off to which he is otherwise entitled shall be reduced and the set-off to be allowed shall accordingly be calculated by multiplying the said amount of set-off by the fraction 16/25,

(5)  If the business in which the dealer is engaged is discontinued and is not transferred or otherwise disposed of and is not continued by any other person, then the set-off on purchases not being purchases treated as capital assets, corresponding to the goods held in stock at the time of discontinuance shall be disallowed and accordingly be reduced fully.

(6)  If out of the gross receipts of a dealer, receipts on account of sale are less than fifty per cent. of the total receipts, then the dealer shall be entitled to claim set-off only on the purchases corresponding to goods sold, consigned not by way of sale to another State to oneself or one’s agent or purchases of packing materials used for packing of such goods sold or consigned.

(7)  If the claimant dealer is holding Liquor Vendor Licence in Form FLII appended to the Bombay Foreign Liquor Rules, 1953 or, in Form CLIII or in form CL/FL/TOD/III appended to the Maharashtra Country Liquor Rules, 1973, and where the actual sale price is less than the maximum retail price (M.R.P.) the set-off, drawback shall be granted to the extent of sum determined in accordance with the formula given below :-

Table

SP =      Actual turnover of sales of goods covered by Entry 1 or 2 in of Schedule D

MRP = Total turnover according to the Maximum Retail Price of the liquor sold.

Provided that in any case, the drawback, set-off, or, as the case may be, a refund under this sub-rule shall not exceed the amount of tax payable by the claimant dealer on sale of such goods.

8) The claimant dealer shall deduct the amount required to be reduced under this rule  from the amount of set-off available in respect of the period in which the contingencies specified in this rule occur and claim only the balance amount as set-off and when the amount so required to be deducted exceeds the said amount of set-off available in respect of that period, he shall pay an amount equal to the excess at the time when he is required to pay the tax in respect of the said period.

No set-off under any rule shall be admissible in respect of, -

(a)  purchases of motor vehicles (not being goods vehicles) which are treated by the claimant dealer as capital assets and parts, components and accessories thereof unless  the claimant dealer is  engaged in the business of transferring the right to use (whether or not for a specified period) for any purpose, in respect of the said vehicles and the expression "motor vehicles" and "goods vehicles" shall have the same meanings as respectively assigned to them in the Motor Vehicles Act, 1988;
(b)  purchases of motor spirits as notified under sub-section (4) of section 41   unless such motor spirits are resold or sold in the course of inter-State trade or commerce or in the course of export out of the territory of India or are sent, not by reason of sale, outside the State to any place within India by the claimant dealer to his own place of business, or the place of business of an agent or where the claimant dealer is a commission agent, to the place of business of his principal;
(c)  purchase of crude oil as described in section 14 of the Central Sales Tax Act, 1956, when used by an oil refinery for refining;
(d)  any purchase of consumables or of goods treated as capital assets  by the claimant dealer where the dealer is principally engaged in doing job work or labour work and is not engaged in the business of manufacturing of goods for sale by him and incidental  to the business of job work or labour work  any waste or scrap goods are obtained and are sold;
(e) any purchase made by any dealer to whom an Entitlement Certificate to claim incentives by way of exemption from tax or deferment of  tax has been granted, being purchases of raw materials as defined in rule 80 .
(f) any purchase of goods of incorporeal or intangible nature other than import licence, exim scrips, special import licence, duty free advance licence, export permit or licence or quota and credit of duty entitlement pass book and in the hands of a dealer who is trading in software, purchases of software packages.
(g)purchases effected by way of works contract where the contract is for erection of immovable property,
(h) purchases of building material which are not resold but are used in the activity of construction,  
(j)purchases of office equipment, furniture, fixture and electrical installation if such goods purchased are treated by the claimant dealer as capital assets.

(1)No set-off or refund under these rules shall be granted to a dealer in respect of any amount of tax recovered from him on the purchase of any goods or paid by him or in respect of entry of any goods, -

(a)  unless such dealer was a registered dealer under the Act or a registered dealer or, as the case may be, a person holding license under any  earlier law at the time of such purchase or entry;
(b)  unless such dealer has ,-

 (i) maintained a true account in chronological order of all the purchases of goods made by him on or after the appointed day, showing the following details:-

(A)  the date on which the goods were purchased;
(B)  the name of the selling dealer and his registration certificate number, if registered, from whom the goods are purchased, and the description of the goods;
(C)  the number of the tax invoice under which they were purchased;
(D)  the purchase price of the goods;
(E)  the amount of sales tax, if any, recovered from him by the selling dealer;

(ii)  in the case of goods in respect of the purchase of which tax has been recovered  from the claimant dealer or is payable by him as purchase tax under an earlier law, maintained a true account in chronological order of the goods so purchased and held by him on the appointed day, which shall show the particulars mentioned at (A) to (E) above, and the amount of tax recovered under each of the earlier laws separately.

(2)The claimant dealer shall, if so required, produce before the Commissioner the original bill/invoice/cash memorandum relating to each purchase in respect of which the claim for set-off has been made in respect of any purchase made before the appointed day, and a tax invoice in respect of any purchase made after the appointed day.

(3)A dealer who by virtue of these rules, has, in any period become entitled to a sum by way of set-off or refund, may, subject to the other provisions of this rule, adjust such sum against the tax payable according to the return relating to such period. If the sum admissible for such adjustment is in excess of the tax payable according to the said return, the claimant dealer may, at his option, adjust such excess or, as the case may be, part of the excess towards the Central Sales Tax payable by him under the Central Sales Tax Act, 1956, according to the return under the said Act relating to the said period or,  may adjust such excess or any balance excess against the tax payable according to the return  for any subsequent period falling in the same year.

 (4)Where a notice  under sub-section (4) of section 32 or, as the case may be, a notice under the corresponding provisions of any earlier law has been issued for the payment of any sum by a dealer or the dealer has filed any return or revised return without full payment of tax and who is entitled to a refund under these rules or, as the case may be, under any earlier law, the amount so due by way of refund, shall first be applied  towards the recovery of the amount in respect of which such notice has been issued or towards the payment of the said tax and the balance amount, if any, shall thereafter be claimed as refund.

(5) Where the claimant dealer is unable to identify the goods purchased with the goods resold or with the goods used in the manufacture of goods or in the packing of goods, it shall be presumed for the purpose of reduction or disallowance of set-off that the goods so purchased have been used or consumed in the chronological order in which they were acquired whether before or after appointed day.

(6)Set-off of the tax paid under the Maharashtra tax on Entry of Motor Vehicles into the Local Areas Act, 1987 and of the tax paid under the Maharashtra Tax on Entry of Goods into the Local Areas Act, 2002 in respect of any goods shall be granted to a dealer as if such tax is a tax levied under this Act or, as the case may be, under any earlier law and all of the provisions of these rules including those relating to reduction in set-off and non-admissibility of set-off shall mutatis mutandis apply accordingly.

                   Amount of deduction =  R/100+R

Where  R = the rate of tax applicable to the sale of the goods.

(2)  A registered dealer may, in respect of any resale of goods made after the appointed day of goods originally manufactured whether before or after the appointed day by an unit under the exemption mode of any Package Scheme of Incentives,   for the purpose of levy of tax deduct from the sale price of the resale of such goods an amount calculated in accordance with the following formula:-

(a) Where the goods are purchased by the claimant dealer whether before or after the appointed day and tax is not recovered separately from the claimant dealer in his purchase invoice

Amount of deduction = Amount of purchase price including the price of goods used in packing if the packing is charged separately.

(b) Where the goods are purchased by the claimant dealer after the appointed day from a registered dealer who has separately recovered tax from the claimant dealer

Amount of deduction  =   P -  ( T X 100 / R )

where P is the aggregate of the purchase price of the goods, and of the goods used for packing of the said goods if the packing is charged separately.  T is the amount of tax recovered separately from the claimant dealer in respect of the purchase of the goods and R is the rate of tax generally applicable to the sale of such goods.

(c) A registered dealer in respect of the resale effected by him on or after the appointed day of goods originally manufactured by an exemption unit and which are held by him in opening stock on the appointed day may reduce from the sale price his purchase price if the said goods are supported by a bill or cash memorandum as provided in clause (aa) of rule  53 of the Bombay Sales Tax Rules, 1959, as the rule stood immediately before the appointed day.

(3)Where the sale price is to be reduced in accordance with sub-rule  (1) and also sub-rule (2), then the sale price shall first be reduced in accordance with sub-rule (2) and the reduced sale price shall be further reduced in accordance with sub-rule (1).

(4)Where a registered dealer has sold any goods after the appointed day by way of delivery of goods on hire-purchase or any system of payment by instalments, then he may deduct from the sale price, the component of interest, contained in the sale price , if the agreement for sale is reduced to writing and the component of interest is specified therein.

(a)  labour and service charges for the execution of the works where the labour and service done in relation to the goods is subsequent to the said transfer of property;

(b)  amounts paid by way of price for sub-contract , if any, to sub-contractors ;

(c)  charges for planning, designing and architect’s fees;

(d)  charges for obtaining on hire or otherwise, machinery and tools for the execution  of the works contract;

(e)  cost of consumables such as water, electricity, fuel used in the execution of works contract, the  property in which is not transferred in the course of execution of the works contract;

(f)    cost of establishment of the contractor to the extent to which it is relatable to supply of the said labour and services;

(g)  other similar expenses relatable to the said supply of labour and services, where the labour and services are subsequent to the said transfer of property;

(h)   profit earned by the contractor to the extent it is relatable to the supply of said labour and services:

Provided that where the contractor has not maintained accounts which enable a proper evaluation of the different  deductions as above or where the Commissioner  finds that the accounts maintained by the contractor are not sufficiently clear or intelligible, the contractor or, as the case may be, the Commissioner may in lieu of the deductions as above provide a lump sum deduction as provided in the Table below and determine accordingly the sale price of the goods at the time of the said  transfer of property.

Serial No.	Type of Works contract	*Amount to be deducted from the contract price (expressed as a percentage of the contract price)
1	Installation of plant and machinery	Fifteen per cent
2	Installation of air conditioner and air coolers	Ten per cent
3	Installation of elevators (lifts) and escalators	Fifteen per cent
4	Fixing of marble slabs polished granite stones and files (other than mosaic tiles)	Twenty Five per cent
5	Construction of railway coaches on under carriages supplied by railways	Thirty per cent
6		Thirty per cent
7	Ship and boat building including construction of barges ,ferries tugs,trawlers and dragger	Thirty per cent
8	Fixing of fitting for plumbing, drainage and the like	Fifteen per cent
9	Painting and publishing	Twenty per cent
10	Construction of bodies of motor vehicles and construction of trucks	Twenty per cent
11	Laying of pipes	Twenty per cent
12	Tyre re-treading	Forty per cent
13	Dyeing and printing of textiles	Twenty per cent
14	And any works contracts	Forty per cent

* The percentage is to be applied  after first deducting from the total contract price, the amounts paid by way of price for the entire sub-contract to sub-contractors, if any.

(2) The value of goods so arrived at under sub-rule (1) shall, for the purposes of levy of tax, be the sale price or, as the case may be, the purchase price relating to the transfer of property in goods (whether as goods or in some other form ) involved  in the execution of a works contract.

Provided that, if the claimant dealer produces evidence to the satisfaction of the Commissioner that the component of the taxable turnover of sales in the composite sum is less than the percentage given above, the Commissioner shall reduce the above percentage to the extent of actual sum of turnover of sales, so proved.

(1) Applicatio for provisioal refund under sub-section (1) of section 51 shall be made in Form 501

(2) When the Commissioner is satisfied that a refund is due, he shall record an order in Form 502 showing the amount of refund due and shall communicate the same to the dealer.

(3) When an order for refund has been made under any rule, the Commissioner shall, if the applicant desires payment in cash, issue to him a refund payment order in Form 503 and 504.

(1) Where upon an application by any person claiming interest on any delayed refund or otherwise the Commissioner is satisfied that such interest is due and payable to the applicant or any person under section 53 , the Commissioner shall record an order specifying therein the amount of refund, the payment of which was delayed, the period of delay for which interest is payable and the amount of interest payable by the Commissioner therefor, and shall communicate the same to the applicant or person concerned.

(2) When an order for payment of interest on any delayed refund has been made under this rule , the Commissioner shall issue to the applicant or person concerned an interest payment order in Form 505 .

(a) be in writing,
(b) contain the name and address of the applicant,
(c) be accompanied with proof of payment of fees as prescribed,
(d) contain a statement of relevant facts in detail alongwith supporting evidence, if any;
(e) contain a statement explaining the circumstances in which the dispute has arisen , and
(f) be signed and verified by the applicant himself and not by any person authorised to appear before the Commissioner in such proceedings or by any agent, in the following form, namely :-

Verification
I ....... do hereby declare that the particulars furnished and statements made
above are correct and complete to the best of my knowledge and belief.

(a) if it is incomplete with regard to any of the provisions of sub-rule (2),or
(b) if the applicant fails to reply to any query made, or
(c) if, in case of any question posed under clause (e) or (f) of subsection (1) of section 56 , the applicant is not liable to pay sales tax into the Government Treasury, or, as the case may be, is not entitled to claim set-off on the transaction;
(d) on any other ground which the Commissioner may consider sufficient and which shall be reduced to writing by him :

Provided that, before an order summarily rejecting the application is passed under this sub-rule, the applicant shall be given a reasonable opportunity of being heard.

If the Commissioner seizes any books of accounts, registers or documents of any dealer under section 64 , he shall not retain them for more than twenty one days without recording his reasons in writing for so doing:

         Provided that, where an officer below the rank of Joint Commissioner seizes any books, registers or documents, by virtue of powers of the Commissioner under section 64 delegated to him, he shall not retain them, or cause them to be retained, for a period exceeding one year unless an officer not below the rank of Joint Commissioner having jurisdiction over the local area in which the place of business of the dealer is situated, has for reasons to be recorded in writing, authorized the retention of the books, registers or documents so seized for a longer period :

        Provided further that, such longer period shall not be more than one year at a time.

Where under section 78 the Commissioner accepts from any person a sum by way of composition of an offence, he shall send an intimation in writing in that behalf , in the Form 705 to that person and also to the authority referred to in clause (c) below, specifying therein -

(a) the sum determined by way of composition;
(b) the date on or before which the sum shall be paid into the Government treasury; 
(c) the authority before whom and the date on or before which a receipted chalan shall be produced in proof of such payment; and
(d) the date on or before which the person shall report the fact to the Commissioner

(2) For the purposes of this rule , the expression “the amount in dispute” shall mean the amount of relief sought in appeal or the amount of additional set-off or refund demanded in appeal.

(3)(a) All fees payable under this rule shall be paid in the manner in which tax is to be paid under rule 45.

Provided that fees indicated at 29,30 and 31 may bear a court fee stamp of such value as mentioned in table below.

(b) The amount of fees indicated in column (3) of the Table below against the memorandum of appeal or the respective application specified in column 2 thereof shall be payable when such memorandum is presented or application is made.

TABLE

(1) A sales tax practitioner shall be eligible for having his name entered in the list of sales tax practitioners maintained under section 82 , if -

 (a) he has passed an accountancy examination, recognised by the Central Board of Revenue constituted under the Central Board of Revenue Act, 1963 (54 of 1963), for the purpose of clause (v) of sub-section (2) of section 288 of the Income Tax Act, 1961(43 of 1961), or
(b) he has acquired such educational qualifications as are prescribed by the Central Board of Revenue constituted under the Central Board of Revenue Act, 1963 (54 of 1963), for the purpose of clause (vi) of sub-section (2) of section 288 of the Income Tax Act, 1961(43 of 1961), under rule 51 of the Income Tax Rules, 1962, or (c) he is a graduate of any recognised university and has acquired a post graduate diploma in taxation from any such university.

(2) A sales tax practitioner shall also be eligible for having his name entered in the said list, if -

(a) he has retired from the Sales Tax Department of the Government of Maharashtra as an officer not lower in rank than that of a Sales Tax Officer after having held the post for not less than two years;
(b) he is in the opinion of the Commissioner a fit and proper person to attend before any authority as a sales tax practitioner:

Provided that, during a period of two years from the date of his retirement from the Sales Tax Department, such sales tax practitioner shall not be qualified to practice before any sales tax authority other than the Maharashtra Sales Tax Tribunal.

 (3) A person who is eligible as laid down in sub-rule  (1) or (2)  to appear in a proceeding under the Act before an authority appionted or constituted under under section 10 or 11  shall make an application in Form 706 to the commissioner to enroll his name as the sales tax practitioners .The commissioner shall maintain a list in Form 707 of all the sales tax practitioners who possess the qualifications laid down in sub-rule (1) or (2) or who are entitled to attend in a proceeding before an authority appointed or constituted under section 10 or 11 by virtue of clause (d) of sub-section (1) of section 82 , and shall from time to time, bring the list upto date .

An authority given to an agent shall continue to be valid for the purpose of appearance in any proceedings arising from the proceedings in which such authority is originally filed:
 Provided that, a separate authority shall be furnished for appearance in proceedings relating to each period for which a separate order is required to be made or has been made.

(1) Every dealer who is required by sub-section (1) of section 86 to issue a tax invoice in respect of goods sold by him shall, in addition to the particulars specified in the said section, cause a certificate  as below to be printed on the invoice and signed by himself or by a person duly authorised by him.

"I/We hereby certify that my/our registration certificate under the Maharashtra Value Added Tax Act, 2002 is in force on the date on which the sale of the goods specified in this tax invoice is made by me/us and that the transaction of sale covered by this tax invoice has been effected by me/us and it shall be accounted for in the turnover of sales while filing of return and the due tax, if any, payable on the sale has been paid or shall be paid"

(2) Every dealer who is exempted from the payment of tax by virtue of an Entitlement Certificate granted to him by the Commissioner, shall, when issuing an invoice in respect of any goods covered by his Certificate of Entitlement, comply with the requirements of sub-rule (1) but in place of the certificate provided therein the invoice shall contain a declaration as follows, namely:-

"I/We hereby declare that sale of goods evidenced by this invoice is exempt from the whole of sales tax in my/our hands on account of the Certificate of Entitlement bearing No. __________________ duly granted to me/us and as such my/our immediate purchaser shall not be entitled to claim any set-off in respect of this transaction under any provision of Maharashtra Value Added Tax Act, 2002 or the rules framed thereunder and that the transaction shall be accounted for in the turnover of sales while filing my return.”

 (3) Where a dealer liable to pay tax under this Act, sells any goods to any person other than a registered dealer, and is required to issue a bill or cash memorandum, he shall cause it to be serially numbered, signed and dated and the bill or cash memorandum should contain the details of the full name and style of his business, the address of his place of business, the number of his certificate of registration, the particulars of the goods sold and the sale price thereof and the till or cash memorandum shall contain a certificate as follows:-

"I/We hereby certify that my/our registration certificate under the Maharashtra Value Added Tax Act, 2002 is in force on the date on which sale of goods specified in this Bill/cash memorandum is made by me/us and that the transaction of sale covered by this bill/cash memorandum has been effected by me and it shall be accounted for in the turnover of sales while filing my return."

(1) The cumulative quantum of benefits, availed of by a dealer (hereinafter referred to as “the said dealer”), who holds a valid Certificate of Entitlement granted by the Commissioner for the purpose of exemption from payment of tax shall be calculated in respect of any period commencing on or after the appointed day in the manner specified below:-

(2) The cumulative quantum of benefits received by the said dealer shall be the aggregate of the following sums that is to say:-

 (a) a sum equal to the amount of sales tax which would have been payable to the Government on the turnover of sales of the goods manufactured by the said dealer in the eligible unit and specified in the Eligibility Certificate effected by the said dealer if the said dealer was not holding the said Certificate of Entitlement,
(b) (i) a sum equal to 4 per cent. of the turnover of inter-State sales of goods manufactured by the said dealer in the eligible unit and specified in the Eligibility Certificate, effected by the said dealer and if the inter-State sales of such products are generally liable to sales tax at a rate less than four per cent., then a sum calculated at such lower rate, and
(ii) in the case of a unit holding a Certificate of Entitlement under the Package Scheme of Incentives, 1993 or the Power Generation Promotion Policy, 1998, a sum equal to the amount of Central Sales Tax that would have been payable to the Government by the said dealer on his turnover of inter-State sales of goods manufactured by the said dealer in the eligible unit a specified in the Eligibility Certificate, if the said dealer was not holding the said Certificate of Entitlement.

Explanation I — For the purposes of all the Package Schemes except the 1979 and 1983 PackageSchemes,the expression “goods manufactured in the said unit” shall include by-products and scrap products generated during the process of manufacture.

 Explanation II —In the case of a Mega Project, in respect of the turnover of inter-state sales of goods by the said dealer, covered by sub-section (1) of section 8 of the Central Sales Tax Act, 1956 and specified in the Eligibility Certificate, the sum for the purpose of clause (b) shall be calculated @1%.

Explanation III — For the purposes of the New Package Scheme of Incentives for Tourism Projects, 1999, the expression “goods manufactured” shall include liquor served for consumption in the premises of the said dealer outside the Mumbai Municipal Corporation Limits.

 Explanation IV—In this rule the expression “sale” includes the sale by a depot, head office or selling agent of the dealer of products manufactured by the said dealer in the said unit. 

(1) Every unit holding an Entitlement Certificate for the purposes of any of the Package Schemes of Incentives shall be entitled to claim refund of the tax including entry tax of an amount equal to the set-off to which it would have been entitled under the Act or rules on the purchases of raw materials made on or after the appointed day if it was not holding Certificate of Entitlement in respect of each period for which it is required to file a return.

(2) For the purposes of this rule, the unit shall make an application within one month of the end of the period to which the return relates giving such details and particulars as may be specified therein to the Commissioner in respect of each period for which it is required to file a return under rule 14 on or after the date prescribed for filing of such return.

 (3) The Commissioner shall cause such refund to be issued within three month of the end of the period to which the return relates of the date of receipt of the application if the application is in order and all the required details are furnished and no dues are outstanding against such unit. The grant of any refund under this rule shall be subject to assessment, if any, made in respect the period for which the refund is granted under this rule.

 (4) No set-off under any rule shall be granted to a unit holding the Entitlement Certificate in respect of any purchases of raw materials made on or after the appointed day.

For the purposes of the rules relating to the Package Schemes of Incentives,

(a) the expression ‘raw materials’ shall mean components, intermediate goods, consumables, stores, lubricants, fuels of all types, news print, which are used in the process of manufacture and packing materials which are used in the packing of manufactured products and in respect of the units dealing in iron and steel as described in section 14 of the Central Sales Tax Act, 1956 shall include natural gas used both as fuel and raw materials.
(b) the expression ‘manufacture’ or its cognate expression when used in respect of units certified by the State Industrial and Investment Corporation of Maharashtra Limited (SICOM) or, as the case may be, the Directorate of Industries (but not in respect of units certified by any other implementing agency) shall include the following processes,-

i) conversion of hot rolled sheets/strips into cold rolled sheets/strips,
ii) conversion of steel sheets/strips into galvanised sheets/strips,
iii) conversion of thicker gauges of iron and steel sheets into thinner gauge of iron and steel sheet,
iv) drawing wire from wire rods or galvanising wire,
v) giving heat treatment, threading and casing of seamless pipes, processing of un-wrought, semi manufactured or concentrated forms of gold and silver into refined bullion.
vi) processing of un-wronght, semi manufactured or concentrated forms of gold and silver into refined bullion.

(1) Notwithstanding anything contained in rule 41 , the Commissioner may, subject to the conditions in sub-rule (2), --

(a) permit an Eligible Industrial Unit which is a dealer registered under the Act and which has been granted an Eligibility Certificate under the 1979 Scheme, the 1983 Scheme or, as the case may be, the Electronic Scheme, falling under the Package Scheme of Incentives, to defer the payment of sales tax payable on sales of finished goods manufactured by such Industrial Unit covered by the Certificate of Entitlement, beyond the period prescribed in rule 41 ;

(b) permit an Eligible Industrial Unit which is a dealer registered under the Act and which has been granted an Eligibility Certificate under the 1988 Scheme, 1993 Scheme falling under the Package Scheme of Incentives or the Power Generation Promotion Policy 1998 to defer the payment of sales tax payable on sales of goods manufactured by such Industrial Unit and of scrap goods and of by-products covered by the Certificate of Entitlement, upto the period by which the monetary ceiling gets exhausted or till the last day of the period mentioned in the Entitlement Certificate whichever event occurs first beyond the period prescribed in rule 41 .

(2) The permission to defer the payment of taxes under sub-rule (1) shall be subject to the following conditions:--

(a) Such deferment shall be permitted only to those Eligible Industrial Units, which have filed the returns by the dates prescribed.
(b) The deferment in respect of clause (a) of sub-rule (1) shall be restricted to the period by which monetary ceiling gets exhausted or till the last day of the period covered by the Eligibility certificate or to such shorter period as may be determined by the Implementing Agency, whichever is earlier.
(c) The Commissioner may initially permit the Eligible Industrial Unit to defer the payment of such tax due in respect of the period specified in condition
(b) till the assessment of the period covered by the return is completed and where such assessment is not made, the initial permission, shall subject to the other provisions of this rule, become final.
(d) The payment of such tax according to the return or, as the case may be, the assessment order for the return in respect of the period specified in condition (b) or as the case may be, such tax payable according to the order, if any, that may have been passed under section 23, 24, 25, 26 or 27 in respect of the said period shall be deferred for a period of twelve years in respect of industrial units covered by clause (a) of sub-rule (1) and for a period of ten years in respect of Industrial Units covered by clause (b) of sub rule (1) and that such period would be computed from the last date prescribed for furnishing the last return, for the year containing the period. After expiry of such period the amount payable according to the said order shall be payable by the Eligible Industrial Unit in six equal annual instalments in respect of units covered by clause (a) of sub-rule (1) and five equal annual installments in respect of units covered by clause (b), of the said sub-rule (1):

      Provided that, in respect of an industrial unit being a Mega Project or, as the case may be, a Very Large Project under the 1993 Package Scheme of Incentives located in Vidarbha and Marathwada region of the State such tax shall be deferred for a period of eighteen years from the last date for furnishing the last return of the year containing the period concerned. After expiry of such period, the amount payable shall be paid in seven equal annual installments: Provided also that, in respect of an industrial unit being a Mega Project or, as the case may be, a Very Large Project under the 1993 Package Scheme of Incentives, located in areas other than Vidarbha and Marathwada region of the State, such tax shall be deferred for a period of fourteen years from the last date for furnishing the last return of the year containing period concerned. After expiry of such period, the amount payable shall be paid in five equal annual instalments.
(e) The Eligible Industrial Unit shall maintain separate books of accounts in respect of the transactions pertaining to the sales and purchases made by the said Industrial Unit.
(f) The Eligible Industrial Unit shall file returns covering all the sales and purchases relating to the said Unit for the period and by the dates prescribed by these rules, only with the concerned authority mentioned in the Certificate of Entitlement to be issued by the Commissioner in this behalf.
(g) The Eligible Industrial Unit shall not file consolidated return  covering the sales and purchases pertaining to the deferment of tax by the said unit alongwith other transactions of sales and purchases not covered by the Eligibility Certificate granted to the said unit.
(h) The tax which is deferred under the provisions of this rule shall be immediately recoverable at any time prior to the expiry of the period of deferment in any one or more of the following circumstances, namely:--

 (i) if the relevant Implementing Agency requires the Eligible Unit to pay forthwith such amount as may be determined by the said Implementing Agency on the said Unit contravening any of the provisions of the Package Scheme of Incentives, or the conditions of the Eligibility Certificate or the stipulations or undertaking as per the agreement made in connection with the grant of incentives, under the said Package Scheme of Incentives or the Eligibility Certificate being cancelled or revoked b y the Implementing Agency;
(ii) if the Eligible Industrial Unit contravenes any of the provisions of the Act or the rules made thereunder.
(iii) if the Certificate of Entitlement issued by the Commissioner is cancelled or revoked.
(iv) the Certificate of Entitlement issued by the Commissioner shall be liable to be cancelled or revoked in the following circumstances, namely:-

(a) the Eligibility Certificate issued by the Implementing Agency being cancelled or revoked;
(b) the Eligible Industrial Unit contravenes any of the provisions of the Act or the rules or the notifications made or issued thereunder;
(c) the Registration Certificate held by the Unit being cancelled.

Explanation.-- For the purposes of this rule “Eligible Industrial Unit” means an Industrial Unit to whom the Eligibility Certificate is issued by the Implementing agency under the relevant Package scheme of Incentives and to whom the Certificate of Entitlement is granted by the Commissioner with effect from such date as may be specified therein.

Where an application is made by an eligible Industrial Unit to the Commissioner for grant of a Certificate of Entitlement under any of the Package Schemes of Incentives, the Commissioner shall grant the Certificate of Entitlement subject to following conditions,--

(a) the eligible Industrial Unit has made payment of tax, interest and penalty for which demand, if any, is raised under the Act.
(b) the eligible Industrial Unit has filed due returns and made payment of tax, interest and penalty due from it under the Bombay Sales Tax Act, 1959 or, as the case may be, the Maharashtra Value Added Tax Act, 2002 and Central Sales Tax Act, 1956 for all the periods ending on or before the date of grant of Certificate of Entitlement. whichever is later.

Note.—(1) The period in months, between the date of actual payment and the extended date of payment shall be the aggregate of, --

 (a) the number of completed months contained in such period, and
(b) the number of obtained by dividing by thirty the sum of the number of days from the date of actual payment to the end of the month in which the payment is made and the number of days from the first day of the month in which the extended date of payment falls to date immediately preceding the extended date of payment;
Provided that, the number obtained under clause (b) shall be rounded off to the nearest integer:
Provided further that, if such number either contains or is a fraction, which is half, then the nearest integer of such fraction shall be deemed to be one.

Note. —(2) The net present value of the amount to be paid in lieu of deferred tax, shall be such percentage of deferred tax mentioned in column (3) of the Table for the corresponding period (as ascertained under Note (1) above) as respectively stated against it in column (2) thereof.

For the purpose of clause (a) of sub-section (1) of section 42 ,business means,business of reselling the goods at retail.

(a) by delivery by hand of a copy of the order or notice to the addressee or to a person declared by him in Form 105 or to his agent duly authorised in this behalf by him, or to a person for the time being employed by him in connection with the business in respect of which he is registered as a dealer, or to any adult member of his family residing with the dealer,
(b) by post,
(c) by fascimile message:

Provided that, if upon an attempt having been made to serve any such order or notice by any of the above-said methods, the sales tax authority concerned is of the opinion that the order or notice cannot be served by any of the above-mentioned methods, the said authority shall -

(A) in the case of an addressee who has no fixed or regular place of business in the State and on whom an attempt has been made to serve the notice by post, but the notice is returned undelivered by the postal authority for want of proper address or on the ground that the addresses could not be found, cause the notice to be published in a local newspaper ; or

(B) in any other case, cause the order or notice to be served by fixing a copy thereof:-

(i) on some conspicuous part of the dealer's office or the building in which the dealer's office is located, or upon some conspicuous part of the place of the dealer's business last intimated to the said authority by the dealer or of the place where the dealer is known to have been last engaged in business, or

(ii) on some conspicuous part of the residence or office of the dealer or person or the building in which his residence or office is located,

and such service or publication shall be deemed to be as effectual as if the order or notice has been served on the addressee personally :

(2) When the officer serving an order or notice delivers or tenders a copy of the order or notice, to the dealer or addressee personally or to any of the persons referred to in paragraph (a) of sub-rule (1), he shall require the signature of the person to whom the copy is so delivered or tendered to an acknowledgement of service endorsed on the original order or notice or on a separate slip. When the notice is served by affixing a copy thereof in accordance with the clause (B) of the first proviso to sub-rule (1), the person serving it shall return the original to the sales tax authority which issued the order or notice with a report endorsed thereon or annexed thereto, stating that he so affixed the copy, the circumstances under which he did so and the name and address of the person, if any, by whom the addressee's office or residence or the building in which his office or residence is located or his place of business was identified, and in whose presence the copy was affixed. The said officer shall also obtain the signature or thumb impression of the person identifying the addressee's residence or office or building or place of business, to his report.

(3) When service is made by post the service shall be deemed to be effected by properly addressing or preparing the order or notice and posting it by registered post with acknowledgement due, and unless the contrary is proved, the service shall be deemed to have been effected at the time at which the order or notice would be delivered in the ordinary course of post.

(1) The rates of interest for the purposes of sub-sections (1), (2) and (3) of section 30 shall be one and a quarter per cent.  of the amount of such tax, for each month or for part thereof,

(1) The rate of interest for the purposes of section 52 shall be half per cent . of the amount of such tax for each month or for part thereof.
(2) The rate of interest for the purposes of the sub-section (1) of section 53 shall be half per cent. of the amount of such refund for each month or for part thereof.