(1) The dealer liable to get his accounts audited as required under sub-section (1) of section 70 of the Act, shall submit to the Appropriate Assessing Authority the audited statement of accounts in Form VAT XV, on or before the last date of the tenth month immediately after the end of the relevant year. The audit report shall be signed and verified by the Chartered Accountant setting forth all the particulars and certificates as required in the said Form.

(2) The audit report in Form VATXV, whenever received in the office of Appropriate Assessing Authority, the same shall be officially acknowledged and recorded serially in the register. Wherever, such audit report is not filed within the time specified in sub-rule (1), the dealer shall deposit the penalty as specified in subsection (3) of section 70 of the Act and the receipted copy of the challan thereof shall be submitted alongwith the audit report.

(3) Any dealer desiring to apply for remission of penalty payable/paid under sub-section (3)of section 70 of the Act, shall file his application before the Commissioner alongwith photo copies of the audit report in Form VAT XV,receipted copy of the challan in proof of payment of the penalty sought to be remitted and court fee stamps of the value specified in rule 46. The application shall contain the grounds for remission of penalty. Itshall further be endorsed on the application by the dealer that,

(a) the amount of tax due as per the audit report has been admittedly paid;

(b) to the best of his knowledge and belief the facts set out in the application for remission of penalty and grounds for remission are true.

(4) The Commissioner shall, after considering all relevant material produced before him in this behalf and after thedealer is heardinthe matter,pass an order fixing quantum of remission to be allowed to the dealer.