WHEREAS the Government of Gujarat is satisfied that circumstances exist render it necessary to take immediate action to make rules and to dispense with the previous publication thereof under the proviso to sub-section (4) of section 98 of the Gujarat Value Added Tax Act, 2003 (Guj. 1 of 2005);

NOW, THEREFORE, in exercise of the powers conferred by Section 98 of the Gujarat Value Added Tax Act, 2003 (Guj. 1 of 2005), the Government of Gujarat hereby makes the following rules further to amend the Gujarat Value Added Tax Rules, 2006, namely:-

1. These rules may be called the Gujarat Value Added Tax (Second Amendment) Rules, 2007.

2. In the Gujarat Value Added Tax Rules, 2006, (hereinafter referred to as "the said rules"). After rule 2, the following rule shall be inserted, namely:-

"2A Goods returned to a dealer :-

Where a dealer who has received kerosene (Linear Alkyl Benzene Feed Stock) for use in the manufacture of Linear Alkyl Benzene and during the process of manufacturing of Linear Alkyl Benzene has returned the balance quantity of kerosene (Linear Alkyl Benzene Feed Stock) to the seller, such quantity of kerosene (Linear Alkyl Benzene Feed Stock) in return-stream shall be treated as goods returned.".

3. In the said rules, in rule 15, in sub-rule(5), the following explanation shall be deemed to have been inserted with effect from the 1st April, 2006, namely:-

"Explanation- For the purpose of calculating the tax credit, the amount of tax under sub-section (1) of section 9 of the Act or the amount of tax under the Gujarat Tax on Entry of Specified Goods into Local Areas Act, 2001 is shown payable by the dealer in his return for a tax period, then such amount of tax shall be considered to have been paid in such tax period".

4. In the said rules, in rule 16, to sub-rule (2), the following proviso shall be added, namely:-

"Provided that where the dealer has filed an application for permission to pay lump-sum tax under section 14 within the prescribed period and his application has been rejected because of undertaking any of the activities mentioned in clauses (I) or (II) of the proviso to clause (a) of sub-section (1) of section 14 and he has not furnished the statement in Form 103 within the prescribed period, such dealer shall furnish the statement under sub-rule(1) on or before 30th June, 2007."

5. In the said rules, in rule 28:-

(1) in sub-rule (2), to clause (ii), the following proviso shall be added, namely:-

"Provided that for the year 2007-2008, such application shall be submitted on or before the 30th June, 2007";

(2) in sub-rule (3), for the words "thirty days", the words "ninety days" shall be substituted;

(3) after sub-rule (3), the following sub-rule shall be inserted, namely:-

"(3A) Any registered dealer opting to pay lump sum tax under section 14 has already claimed the tax credit for the goods held in the stock on the date of effect of permission to pay lump-sum tax, shall reverse such tax credit and the amount of such reversal of tax credit shall be paid by him";

(4) in sub-rule(8), in clause (bb), in sub-clause (iv), for the words "sixty days", the words "ninety days" shall be substituted.

6. In the said rules, in rule 28C,-

(1) in sub-rule(2), to clause(c), the following proviso shall be added, namely:-

"Provided that for the year 2007-2008, such application shall be submitted on or before the 30th June, 2007';

(2) in sub-rule (2), in clause (d), for the words "sixty days", the words "ninty days" shall be substituted;

(3) after sub-rule (3), the following sub-rules shall be inserted, namely:-

"(3A) Any registered dealer opting to pay lump sum tax under section 14D has already claimed the tax credit for the goods held in the stock on the date of effect of permission to pay lump sum tax shall reverse such tax credit and the amount of such reversal of tax credit shall be paid by him.

(3B) (1) The Commissioner shall not grant permission to pay lump-sum tax under section 14D to a registered dealer who has, in stock any eatables or raw materials thereof in any form (whether processed or unprocessed), which -

(i) have been purchased in the course of inter-State trade or commerce or imported from a place outside the territory of India,

(ii) have been received from his branch situated outside the State or from his consigning agent outside the State, or

(iii) have not borne the tax payable under the Act".

7. In the said rules, in rule 45, in sub-rule (13), for the words "eight years", the words "six years" shall be substituted.