THE UTTARAKHAND VALUE ADDED TAX ( SECOND AMENDMENT) ACT, 2016

(Act No. 19 of 2016)

(As passed by the Uttarakhand Legislative Assembly and assented to by the Governor on 05th August, 2016)

An

Act

further to amend The Uttarakhand Value Added Tax Act, 2005-

(Be it enacted by the Uttarakhand Legislative Assembly in the Sixty seventh year of the Republic of India, as follows :-

1. Short title and Commencement

(1) This Act may be called The Uttarakhand Value Added Tax, (Second Amendment) Act, 2016.

(2) This shall come into force at once

2. Insertion of section 31

After the existing section 30 of the Uttarakhand Value Added Tax Act, 2005, (hereinafter referred to as the "Principal Act"), the following section shall be inserted ; namely-

31. Power to set aside an Order of Assessment:

(1) In any case in which an order of assessment or reassessment or order of penalty is passed ex- parte, the dealer may apply to the Assessing Authority within thirty days of the service of the order to set aside such order and reopen the case; and if such officer is satisfied that the applicant did not receive notice or was prevented by sufficient cause from appearing on the date fixed, he may set aside the order and reopen the case for hearing;

Provided that no such application for setting aside such ex-parte order shall be entertained unless the dealer has submitted all periodical returns and Annual Return completely and correctly and it is accompanied by satisfactory proof of the payment of the amount of tax admitted by the dealer to be due;

Provided further that in such case, the application for setting aside an ex-parte order, shall be entertained only once.

Provided further that if an ex-parte order is served on or after 2nd March, 2016 and an application under this Section is submitted before the expiry of 30 days from the date of service of order or before 30 days of the issuance of this notification, whichever is later, the application to set aside such ex-parte order shall be entertained provided that the application submitted fulfills all the conditions laid down under this subsection.

(2) Where an assessment order under Section 24 is passed ex-parte the dealer may apply to the Assessing Authority within thirty days of the service of the order, to set aside such order and if such authority is satisfied that the dealer has filed the return and deposited the tax due according to the return within thirty days from the last day prescribed for filing such return, it may modify or set aside such order and also the demand notice, if any, issued thereunder.

Provided that in such case, the application for setting aside an ex-parte order, shall be entertained only once.

Provided further that if an ex-parte order is served on or after 2nd March, 2016 and an application under this Section is submitted before the expiry of 30 days from the date of service of order or before 30 days of the issuance of this notification, whichever is later, the application to set aside such ex-parte order shall be entertained provided that the application submitted fulfills all the conditions laid down under this subsection.

(3) If a dealer is granted an eligibility certificate under Section 4A of the Uttarakhand (The Uttar Pradesh Trade Tax Act, 1948) Adaptation and Modification Order, 2002 for the period for which an order of assessment or reassessment or an order in appeal has been passed prior to the grant of eligibility certificate, such order may be set aside either on its own or on the application of the dealer, by Assessing or Appellate Authority having jurisdiction within one year of receipt by him of the copy of the order granting such eligibility certificate and a fresh order may be passed according to law;

Provided that where the application under this section has been made by the dealer within the period aforesaid, it may be disposed of even beyond such period.

3. Insertion of Section 32(6)

After the existing sub-section (5) of section 32 of the "Principal Act", the following sub-section shall be inserted; namely-

(6) If an order of assessment or reassessment for any assessment year is set aside, under Section 31, a fresh order of assessment or reassessment for that year may be made within three month from the date on which such earlier order was set aside.

4. Amendment in Section 61

For the sub-section (1) of Section 61 of the "Principal Act", the following sub-section shall be substituted; namely -

(1) Every dealer shall preserve all accounts required to be maintained by him in the course of his business, including sale invoices, debit credit memos and vouchers relating to productions, stocks, purchases, deliveries and sales, for a period of six years after the close of the assessment year to which they relate or till the assessment or reassessment or any other proceedings under the act for such assessment is completed, whichever is later.

5. Amendment of sub-section (1) and sub-section (3) of Section 62

The existing sub-section (1) and sub-section (3) of Section 62 of the "Principal Act" shall be amended as follows; namely-

(1) In sub-section (1), the words "one crore rupees" occurring the words "five crore rupees" shall be substituted.

(2) In sub-section (3), the words "exceeds forty lakh rupees but does not exceed one crore rupees" occurring the words "exceeds one crore rupees but does not exceed five crore rupees" shall be substituted.

By Order,

RAMESH CHANDRA KHULBE,

Principal Secretary.