The Chhattisgarh Value Added Tax Rules, 2006.

30. Manner of assessment, re-assessment and imposition of penalty -

(1) Where -

    (a) a dealer has failed to comply with a notice issued under sub-section (1) of section 19; or

    (b) a registered dealer has failed without sufficient cause, to furnish returns in form 17 under clause (a) of sub-section (2) of section 19 for any period and the statement in form 18 under clause (a) of sub-section (2) of the said section by the prescribed date; or

    (c) a registered dealer has rendered himself liable to best judgment assessment under sub-section (5) of section 21; or

    (d) a dealer has rendered himself liable to best judgment assessment under sub-section (6) of section 21; or

    (e) the sale or purchase of goods by a dealer during any period has been under assessed or has escaped assessment, or has been assessed at a lower rate or any deduction has wrongly been made there from or input tax rebate has incorrectly been allowed, or

    (f) a dealer has concealed his turnover or aggregate of purchase prices in respect of any goods or has furnished a false return, or

    (g) an assessment is rendered erroneous and prejudicial to the interest of revenue consequent to or in the light of any judgment or order of any court or tribunal, which has become final, then, in every such case, the assessing authority shall serve on the dealer a notice which shall, as far as may be, be in form 28 specifying the default, escapement or concealment, or incorrect allowance of input tax rebate, as the case may be, and call upon him to show cause by such date, ordinarily not less than thirty days from the date of service of the notice as may be fixed in that behalf, why he should not be assessed or re-assessed to tax or to the best of judgment and /or penalty should not be imposed upon him and direct him to produce on the said date his books of accounts and other documents which the assessing authority may require and any evidence which he may wish to produce in support of his objection :

Provided that no such notice shall be necessary where the dealer, appearing before the assessing authority, waives such notice.

(2) On the date fixed in the notice issued under sub-rule (1) or in case the notice is waived, on such date which may be fixed in this behalf, the assessing authority shall, after considering the objections raised by the dealer and examining such evidence as may be produced by him and after taking such other evidence as may be available, assess or reassess, the dealer to tax and/or impose penalty or pass any other suitable order.

(3) In making an assessment to the best of his judgement under sub-section (5) or sub-section (6) of section 21 the assessing authority shall, as far as practicable, have due regard to the extent of the business carried on by the dealer, the surrounding circumstances and all other matters which may be of assistance in arriving at a fair and proper estimate of the taxable turnover of the dealer.