(1) Where a dealer who is liable to pay tax under this Act purchases any taxable goods from a person who is not a registered dealer, then there shall be levied on such dealer a purchase tax on the turnover of such purchases at the rate set out against each of such goods in Schedule II or Schedule III of this Act.

(2) Where a registered dealer purchases sugarcane from a person who is not a registered dealer, for the purpose of use thereof in the manufacture of sugar or khandsari, there shall be levied a purchase tax on the purchase of such sugarcane at the rate set out therefor in Schedule II of this Act.

(3) Where any person or dealer has purchased any taxable goods under a certificate or declaration given by him under any provision of this Act or earlier law, rule or notification, and the conditions, recitals or undertakings of such certificate or declaration are not complied with, then such person or dealer shall be liable to pay purchase tax on the turnover of such purchases at the rate set out against each of such goods in Schedule II or Schedule III or at the applicable rate of tax under the earlier law, as the case may be.

(4) Where a dealer or a Commission Agent who is liable to pay tax under this Act purchases taxable goods from a Commission Agent to whom permission to pay lump sum tax is granted under section 14B and the goods so purchased by him are not resold within the State, then such dealer or the Commission Agent shall be liable to pay purchase tax on the turnover of such purchases at the rate set out against each of such goods in Schedule II..

(5) Where a dealer liable to pay tax under this Act purchases taxable goods sale of which is zero rated under section 5A and the goods so purchased by him are -

(i) consigned or dispatched for branch transfer or to his agent outside the State,

(ii)used as raw materials in the manufacture or in the packing of goods so dispatched outside the State in the course of branch transfer or consignment or to his agent outside the State,

(iii) used as fuel for the manufacture of goods,

(iv) used as raw materials or capital goods in manufacture of goods specified in Schedule I or goods exempt from the whole of the tax by a notification under sub-section (2) of section 5 or in the packing of goods so manufactured,

(v) used as fuel or capital goods in generation of electrical energy including captive power,

(vi) not connected with his business,

(vii) used as fuel in motor vehicles,

(viii) used as capital goods in transfer of property in goods (whether as goods or in some other form) involved in execution of works contract,

(ix) used for transferring the right to use for any purpose (whether or not for a specified period), for cash, deferred payment or other valuable considerations, or

(x) used for any other purpose as may be specified by the State Government by notification in the Official Gazette,

then such dealer shall be liable to pay purchase tax on the turnover of such purchases at the rate set out against each of such goods specified in Schedule II.

(6) Subject to the provisions of this Act, there shall be further levied an additional tax on the turnover of purchases of goods liable to be taxed under sub-section (1), (2), (3), (4) or (5), at the rate of-

(i) two and half paise in the rupee on the goods specified in the entries at serial numbers 19A, 25, 46B, 48A, 49A, 49B, 49C, 51 A, 55A, 76A, 80A and 87 in Schedule II, and

(ii) one paisa in the rupee on the goods specified in the entries in Schedule II other than the entries mentioned in clause (i) above:

Provided that the additional tax shall not be levied on the purchase of, -

(a) Omitted w.e.f.01-04-2011

(b)goods specified in entry at serial number 13 in Schedule II; and

(c) such goods as the State Government may, by notification in the Official Gazette, specify.