In exercise of powers conferred by sub-section (1) of section 93 of the Bihar Value Added Tax Act 2005, the Governor of Bihar is pleased to make the following amendments to the Bihar Value Added Tax Rules, 2005 (hereinafter referred to as "the said rules"

2. This notification, except the amendments relating to rule 22, shall come into force with effect from date of its issue.

3. The amendments in rule 22 shall come into force from such date as may be specified by the Commissioner in the notification issued in this behalf.

Amendments

1. Amendment of rule 3 of the Bihar Value Added Tax Rules, 2005-

After sub-rule (9) of rule 3 of the said rules, a new sub-rule (10) shall be inserted in the following way, namely: -

"(10)(a) Notwithstanding any thing contained in sub-rule (9), the Commissioner may, by an order in writing, direct any dealer to be registered in any circle.

(b) The provisions of sub-rule (1) to sub-rule (8) shall, apply mutatis mutandis for registration under this sub-rule."

2. Amendment of rule 5 of the Bihar Value Added Tax Rules, 2005-

After sub-rule (2) of rule 5 of the said rules, a new sub-rule (3) shall be inserted in the following way, namely: -

"(3)(a) The authority specified in sub-rule (3) of rule 3 shall, for reasons to be recorded and by an order in writing, cancel the certificate of registration granted to every dealer to whom the provisions of sub-section (3) of section 20 apply.

Provided no order shall be passed under this sub-rule without giving the dealer an opportunity of being heard.

(b) Upon cancellation of the certificate of registration under clause (a), the said authority shall, within seven days of the cancellation as aforesaid, intimate the concerned dealer."

3. Amendment of rule 12 of the Bihar Value Added Tax Rules, 2005-

(1) Sub-rule (2) of rule 12 of the said rules shall be substituted in the following way, namely: -

"(2) The total amount of input tax credit to which a dealer is entitled during a month shall be the amount arrived at after applying the following Formula:

ITC = O + I + PT - R

Where,

ITC = The total amount of input tax credit to which the dealer is entitled during the month;

O = The tax paid, under the earlier law, on opening stock of such goods as had been purchased during the financial year 2004-05;

I = The tax paid on inputs purchased during the month, charged either in the tax invoice or through a debit note issued to the purchasing dealer;

PT = The purchase tax under section 4, if any, paid during the month by a manufacturing dealer; and

R = The amount of reverse credit, if any, incurred by the dealer during the month and computed in accordance with the provisions of rule 14 and rule 15:

Provided that in case the aggregate of the reverse credit computed in respect of a month exceeds the input tax paid on inputs purchased during the month, such excess shall be added to the output tax of the concerned month."

(2) After sub-rule (2) of rule 12 of the said rules a new sub-rule (2A) shall be inserted in the following way, namely:-

"(2A) Notwithstanding anything contained in sub-rule (2), the amount of input tax credit in respect of capital goods to which a dealer is entitled, in accordance with clause (c) of sub-section (1) of section 16, shall be computed in the manner hereinafter provided.

(a) The input tax credit in respect of such capital goods as have been purchased from within Bihar on or after 01.04.2005, after paying tax under section 14 on such purchase, shall be claimed in the last month of the financial year commencing on 01.04.2007 and shall be the amount arrived at after applying the following formula:-

C = (TC - IC) » 2

Where,

C = The input tax credit in respect of such capital goods as have been purchased from within Bihar on or after 01.04.2005 after paying tax under section 14;

TC = The total tax paid on such capital goods as have been purchased from within Bihar on or after 01.04.2005; and

IC = The aggregate of the input tax credit on account of capital goods claimed by the dealer in the returns for the period commencing on 01.04.2005 and terminating on 31.03.2007 filed by him."

(3) Sub-rule (4) of rule 12 of the said rules shall be substituted in the following way, namely: -

"(4) Any unadjusted input tax credit in respect of a month shall first be applied towards adjustment from the liability of the dealer under the Central Sales Tax Act, 1956 and only the balance, if any, remaining after such adjustment shall be carried forward for adjustment to the next month."

(4) Clause (c) of sub-rule (5) of rule 12 of the said rules shall be deleted.

4. Amendment of rule 15 of the Bihar Value Added Tax Rules, 2005-

Rule 15 of the said rules shall be amended in the following way, namely: -

(1) The words "specified in schedule I and" after the words "by a manufacturer of goods" in clause (b) of sub-rule (1) of rule 15 of the said rules shall be deleted.

(2) The words "specified in schedule I and" after the words "by a manufacturer of goods" in clause (c) of sub-rule (1) of rule 15 of the said rules shall be deleted.

(3) In sub-rule (3) of rule 15 of the said rules, the word "quarter" wherever appearing, shall be substituted by the word "month".

(4) The expression "I = The input tax paid by the dealer on purchase of inputs, other than those specified in Schedule I, during the quarter;" wherever appearing, in sub-rule (3) of rule 15 of the said rules shall be substituted by the expression "I = The input tax, including the purchase tax, if any, paid by the dealer on purchase of inputs, other than those specified in Schedule I, during the month;"

(5) The words "specified in schedule I and" wherever appearing, after the words "by a manufacturer of goods" in clause (b) of sub-rule (3) of rule 15 of the said rules shall be deleted.

(6) The words "specified in schedule I and" wherever appearing, after the words "by a manufacturer of goods" in clause (c) of sub-rule (3) of rule 15 of the said rules shall be deleted.

5. Amendment of rule 16 of the Bihar Value Added Tax Rules, 2005-

(1) The expression "the following values of I, P, F, G, H, J, L and Rt," in clause (c) of sub-rule (2) of rule 16 of the said rules shall be substituted by the expression "the following values of I, P, F, G, H, J and L,"

(2) The expression "I = The input tax paid by the dealer on purchase of inputs, other than those specified in Schedule I, during the year to which the input tax credit relates;" in clause (c) of subrule (3) of rule 16 of the said rules shall be substituted by the expression "I = The input tax, including the purchase tax, if any, paid by the dealer on purchase of inputs, other than those specified in Schedule I, during the year to which the input tax credit relates;"

(3) The expression "G = The total value of stock transfers during the year to which the input tax credit relates effected within the State by a manufacturer of goods specified in Schedule I and which have been manufactured by him from inputs other than those specified in Schedule I;" in clause (c) of sub-rule (2) of rule 16 of the said rules shall be substituted by the expression "G = The total value of stock transfers during the year to which the input tax credit relates, effected within the State by a manufacturer of goods which have been manufactured by him from inputs other than those specified in Schedule I;"

(4) The expression "H = The total value of stock transfers during the year to which the input tax credit relates effected outside the State by a manufacturer of goods specified in Schedule I and which have been manufactured by him from inputs other than those specified in Schedule I;" in clause (c) of sub-rule (2) of rule 16 of the said rules shall be substituted by the expression "H = The total value of stock transfers during the year to which the input tax credit relates, effected outside the State by a manufacturer of goods which have been manufactured by him from inputs other than those specified in Schedule I;"

(5) The expression "L = The aggregate of the values of inputs purchased during the year to which the input tax credit relates by the dealer from another registered dealer on which input tax credit has been claimed by the purchasing dealer and used in the manufacture of goods which have been lost, stolen or destroyed; and" in clause (c) of sub-rule (2) of rule 16 of the said rules shall be substituted by the expression "L = The aggregate of the values of goods which have been lost, stolen, destroyed or gifted, during the year to which the input tax credit relates and in respect of which input tax credit has been claimed by the purchasing dealer."

(6) The expression "Rt = The rate of tax applicable to the goods." in clause (c) of sub-rule (2) of rule 16 of the said rules shall be deleted.

(7) The words "quarter immediately following the quarter" in clause (e) of sub-rule (2) of rule 16 of the said rules shall be substituted by the words "month immediately following the quarter"

(8) Explanation 2 of clause (f) of sub-rule (2) of rule 16 of the said rules shall be substituted in the following way, namely: -

"Explanation 2- expression "value addition" shall be the amount which remains after deducting the sum of the total purchases during the year and the opening stock at the beginning of the year to which the claim for input tax credit relates, from the sum of the aggregate value disposed and the value of closing stock at the end of the year to which the claim for input tax credit relates."

6. Amendment of rule 18 of the Bihar Value Added Tax Rules, 2005-

(1) After clause (4) of rule 18 of the said rules, a new clause (4A) shall be inserted in the following way, namely:-

"(4A) Sale of goods to organizations specified in Schedule V to this Act;"

(2) The words, figures and comma "or, as the case may be, sub-rule (3A) of Rule 19," after the words "sub-section (2) of section 13" in sub-rule (6) of Rule 18 of the said rules shall be deleted.

7. Insertion of a new rule 18A after rule 18 of the Bihar Value Added Tax Rules, 2005-

After rule 18 of the said rules, a new rule 18A shall be inserted in the following way, namely:-

"18A. Evidence in support of subsequent sales of goods notified under sub-section (5) of section 15.-

(1) Every registered dealer claiming exemption in respect of sales specified in subclauses (i) and (ii) of clause (b) of sub-section (5) of section 15 shall enclose with his annual return a true and complete declaration in Form D-XI issued by the selling dealer and signed by the selling dealer or his servant, manager or agent, duly authorized by him.

(2) Provisions relating to declarations in Form D-III, as contained in sub-rule (2), sub-rule (3), sub-rule (4), sub-rule (5), sub-rule (5A), sub-rule (6) and sub-rule (7) of rule 10 shall mutatis mutandis apply to this rule."

8. Amendment of rule 19 of the Bihar Value Added Tax Rules, 2005-

(1) Clause (b) of sub-rule (2) of rule 19 of the said rules shall be deleted.

(2) Clause (c) of sub-rule (2) of rule 19 of the said rules shall be renumbered as clause (b).

(3) Sub-rule (3A) of rule 19 of the said rules shall be deleted.

(4) Sub-rule (8) of rule 19 of the said rules shall be substituted in the following way, namely: -

"(8) Notwithstanding any thing contained in these rules, the Commissioner may, by notification, require any registered dealer or any class of registered dealers to furnish the returns or statements specified by these rules electronically:

Provided the Commissioner may also, on application, permit any dealer to furnish the returns or statements specified by these rules electronically"

(5) After the words, figure and bracket "under sub-section (2) of section 24" in clause (a) of subrule (9) of rule 19 of the said rules, the words, figure and bracket "or the statements under subsection (4) of section 24" shall be inserted.

9. Amendment of rule 20 of the Bihar Value Added Tax Rules, 2005-

(1) Before the words, figures and bracket "sub-section (4) of section 56" in clause (a) of sub-rule (1) of rule 20 of the said rules, the words, figures and bracket "sub-section (c) of section 55," shall be inserted.

(2) Before the words, figures and bracket "sub-section (1) of section 27" in clause (b) of sub-rule (1) of rule 20 of the said rules, the words, figures and bracket "sub-section (3) of section 25," shall be inserted.

(3) Before the words and figures "sub-section (5) of section 72" in clause (b) of sub-rule (1) of rule 20 of the said rules, the words and figures "section 33," shall be inserted.

(4) The words and figures "and section 76" in clause (b) of sub-rule (1) of rule 20 of the said rules, shall be substituted by the words and figures "section 76, section 78 and section 91".

10. Amendment of rule 21 of the Bihar Value Added Tax Rules, 2005-

The words "within thirty days of the returns and statements being placed on the record of the dealer" in subrule (2) of rule 21 of the said rules shall be substituted by the words, figures and bracket "before the expiry of the due date within the meaning of sub-section (3) of Section 24 of the Act, or the extended date within the said meaning,"

11. Amendment of rule 22 of the Bihar Value Added Tax Rules, 2005-

(1) Sub-rule (2) of rule 22 of the said rules shall be substituted in the following way, namely:-

"(2) After making selection of the registered dealers under sub-rule (1), a list relating to each division shall be sent to concerned Joint Commissioner, Incharge of the Audit and a copy of the same shall also be forwarded to the Joint Commissioner Incharge of the Administration of the division."

(2) Sub-rule (3) of rule 22 shall be substituted in the following way, namely:-

"(3) A list of dealers selected for Audit in respect of a division shall be displayed for public viewing on the notice board of the concerned Joint Commissioner, Incharge of the Audit and also on the notice board of the circle in which the concerned dealer is registered."

(3) Sub-rule (4) of rule 22 shall be substituted in the following way, namely:-

"(4) The concerned Joint Commissioner, Incharge of the Audit shall constitute audit teams from amongst the officers posted under him or from amongst the officers posted in any circle of the division to conduct the audit of the dealers selected for Audit."

(4) Sub-rule (5) of rule 22 shall be substituted in the following way, namely:-

"(5) The head of the Audit team, who shall be the senior most member of the team constituted under sub-rule (4) shall serve upon the dealer selected for audit, a notice in Form N-IV specifying therein, the time, date, the expected duration of the audit at the place of business of the dealers and the nature of accounts and documents likely to be examined by the audit team and the dealer shall comply with the terms of notice."

(5) Sub-rule (7) of rule 22 shall be substituted in the following way, namely:-

"(7) The audit report drawn by the audit team shall be scrutinized by the Joint Commissioner, Incharge of the Audit and a final report shall be prepared, a copy of which shall be served upon the dealer."

(6) Sub-rule (9) of rule 22 shall be substituted in the following way, namely:-

"(9)(a) If, having regard to the final report and the reply filed by the dealer, the Joint Commissioner, Incharge of the Audit is of opinion that a further clarification is required, he shall direct the dealer to file a supplementary reply on the point or points specified in the notice issued in this behalf.

(b) If the Joint Commissioner, Incharge of the Audit after considering the final report and the reply or supplementary reply, if any, filed by the dealer, is satisfied that prima facie there is reason to believe that the dealer had not disclosed his correct tax liability or had concealed or omitted any fact leading to any reduction in the tax payable by him, he shall allot the file to any officer posted under him for the initiation of proceeding against the dealer and such officer shall proceed to reassess the dealer under section 31 of the Act:

Provided no re-assessment under section 31 shall be made unless the dealer is served with a notice in Form N-V."

12. Insertion of a new rule 22A after rule 22 of the Bihar Value Added Tax Rules, 2005-

After rule 22 of the said rules a new rule 22A shall be inserted in the following way, namely:-

"22A. Reassessment under section 31 otherwise than upon audit.-

If the authority specified under rule 62 is satisfied that reasonable ground exists to believe that any dealer has not disclosed

his correct tax liability or had concealed or omitted any fact leading to any reduction in the tax payable by him, he shall serve upon the dealer a notice in form N-V before proceeding to reassess such dealer."

13. Amendment of rule 28 of the Bihar Value Added Tax Rules, 2005-

(1) Sub-rule (2) of rule of rule 28 of the said rule shall be substituted in the following way, namely:-

"(2) A supplier, for the purpose of obtaining the certificate in Form C-III, shall apply for the same in Form A-III and enclose therein the details of the supply contract for which he wants to obtain a certificate in Form C-III and the authority specified in rule 62 shall, after verifying the particulars furnished in the application, issue the certificate in relation to the supply contract in respect of which the certificate in Form C-III has been applied for:

Provided that no certificate in form C-III shall be issued to a registered dealer who has either failed to furnish the return required by sub-section (1) of section 24 within the time specified in the said sub-section or, having furnished a return under sub-section (1) of section 24, has failed to deposit the tax due in terms of such return or has failed to deposit any assessed tax or interest or penalty:

Provided further that the certificate in form C-III shall be valid only for the supply contract in respect of which the same has been granted."

14. Amendment of rule 33 of the Bihar Value Added Tax Rules, 2005-

(1) After the words "other than a dealer paying tax under" in sub-rule (2) of rule 33 of the said rules, the words "sub-section (1) or sub-section (4) of" shall be inserted.

(2) Sub-rule (5) of rule 33 of the said rules shall be substituted in the following way, namely:-

"(5) Every dealer required by sub-section (1) of section 52 to maintain accounts and whose gross turnover exceeds forty lacs rupees shall get his accounts audited under section 54 of the Act and shall file, on or before the due date within the meaning of sub-section (3) of section 24:

(i) a tax audit report in form TAR-I;

(ii) a copy of the audited income statement and balance sheet prepared in accordance with generally accepted accounting principles and applicable accounting standards, in a case where such income statement and balance sheet is either prepared or required to be prepared under any law for the time being in force, in respect of his business in the State of Bihar of a dealer not being a Company within the meaning of the Companies Act, 1956;

(iii) a copy of the audited income statement and balance sheet in the form and manner specified in Schedule VI to the Companies Act, 1956 and prepared in accordance with generally accepted accounting principles and applicable accounting standards, in a case where such income statement and balance sheet is either prepared or required to be prepared under any law for the time being in force, in respect of his business in the State of Bihar of a dealer being a Company within the meaning of the Companies Act, 1956; and

(iv) a detailed flow of goods in Form TAR-IV, in a case where an income statement or a balance sheet is not required to be prepared under any law for the time being in force, in respect of his business in the State of Bihar."

(3) After the words "Every dealer paying tax under" in sub-rule (6) of rule 33 of the said rules, the words, figure and bracket "sub-section (1) of" shall be inserted.

(4) The words, figures and bracket "referred to in sub-section (1) of section 53" in sub-rule (9) of rule 33 of the said rules shall be substituted by the words, figures and bracket "required by subsection (1) of section 52 to maintain accounts".

15. Amendment of rule 41 of the Bihar Value Added Tax Rules, 2005-

(1) After the words "also file a statement of all forms of declarations in form" in sub-rule (6) of rule 41 of the said rules, the words and comma "D-VIII," shall be inserted.

(2) The words "quarterly statement required to be furnished under sub-section (2) of section 24" in sub-rule (6) of rule 41 of the said rules shall be substituted by the words "quarterly return required to be furnished under sub-section (1) of section 24".

16. Amendment of rule 43 of the Bihar Value Added Tax Rules, 2005-

(1) After sub-rule (2) of rule 43 of the said rules a new sub-rule (2A) shall be inserted in the following way, namely:-

"(2A) (a) Notwithstanding anything contained in sub-rule (2), an application for refund of any amount on account of unadjusted input tax credit, in accordance with the provisions of the first proviso to sub-section (1) of section 16, or on account of export, in accordance with the provisions of clauses (e) or (f) of sub-rule (2) of rule 16, shall be made to the authorities specified in sub-rule (1) in form A-XIV and shall clearly specify the grounds upon which the refund is claimed. If the claim for refund exceeds the amount deposited by dealer in the Government Treasury or if the claim has arisen on account of the dealer not having incurred any liability to pay tax under Act, such refund of money shall be granted to the dealer from a head of account specially created for this purpose.

(b) The application for refund of money in form A-XIV shall be accompanied by a statement in form ST-I containing details of tax invoices issued to the claimant and in respect of which the said dealer is claiming the refund.

(c) The provisions of sub-rule (3) shall apply mutatis mutandis to any application in form AXIV."

17. Substitution of form RT-I of the Bihar Value Added Tax Rules, 2005-

Form RT-I of the said rules shall be substituted in the following way, namely:-

Form RT-I

Quarterly Return under section 24 of the Bihar Value Added Tax Act, 2005

[See Rule 19(2)(a)]

Name and style of the dealer:

TIN:

Period of Return (Quarter and Year):

Part I (Details of turnover/transfers)

Part II (output tax)

Part III (Details of purchases/receipts)

* Need not furnish dealer wise sales of goods notified under section 15(5)

Part IV (Input tax credit and tax payable)

Part V (Payment Details)

I declare that the statements furnished in this return are based upon true and complete accounts and tax payable as indicated in column 24 has been paid by Treasury challan or in the mode indicated in column 26 and that the challans and/or deduction certificates in form C-II in respect of the said payments/deductions are enclosed herewith by way of evidence.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

Box A (other allowable deductions)

Box B (Dealer wise sale of other taxable goods at line 9(v) above)

I. Sales to registered dealers:

(Note: Use additional sheets if required)

II. Sales to unregistered dealers:

(Note: Use additional sheets if required)

III. Sale to consumers (Rs.):

Box C [Dealer wise purchase of other taxable goods at line 11(i) above excluding Schedule I and Schedule IV goods(other than liquor)]

I. Purchases from registered dealers:

(Note: Use additional sheets if required)

II. Purchases from unregistered dealers:

(Note: Use additional sheets if required)

Box E-1/E-2 (Dealer wise sale of MS, HSD, Natural Gas and ATF) [Total of Box E-1 to be taken to line 9(i) and total of Box E-2 to be taken to line (ii) of Box A]

Box F (Details of statutory forms submitted in support of claims)

I declare that the statements furnished in this return and the various Boxes thereto are based upon true and complete accounts.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

18. Substitution of form RT-III of the Bihar Value Added Tax Rules, 2005-

Form RT-III of the said rules shall be substituted in the following way, namely:-

Form RT-III

Annual Return under section 24 of the Bihar Value Added Tax Act, 2005

[See Rule 19(2)]

Name and style of the dealer:

TIN:

Period of Return (Quarter and Year):

Part I (Details of turnover/transfers)

Part II (output tax)

Part III (Details of purchases/receipts and stock)

Part IV (Input tax credit and tax payable)

Part V (Payment Details)

I declare that the statements furnished in this return are based upon true and complete accounts and tax payable as indicated in column 24 has been paid by Treasury challan or in the mode indicated in column 27 and that the challans and/or deduction certificates in form C-II in respect of the said payments/deductions are enclosed herewith by way of evidence.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

Box A (other allowable deductions)

Box B (to be taken to line 9(i) of return)

Box D (Dealer wise sale of MS, HSD, Natural Gas and ATF)

Box E (Details of statutory forms submitted in support of claims)

I declare that the statements furnished in this return and the various Boxes thereto are based upon true and complete accounts.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

19. Substitution of form RT-V of the Bihar Value Added Tax Rules, 2005-

Form RT-V of the said rules shall be substituted in the following way, namely:-

Form RT-V

Revised Quarterly Return under section 24 of the Bihar Value Added Tax Act, 2005

[See Rule 19(4)]

Name and style of the dealer:

TIN:

Period of Return (Quarter and Year):

Part I (Details of turnover/transfers)

Part II (output tax)

Part III (Details of purchases/receipts)

* Need not furnish dealer wise sales of goods notified under section 15(5)

Part IV (Input tax credit and tax payable)

Part V (Payment Details)

I declare that the statements furnished in this return are based upon true and complete accounts and tax payable as indicated in column 24 has been paid by Treasury challan or in the mode indicated in column 25 and that the challans and/or deduction certificates in form C-II in respect of the said payments/deductions are enclosed herewith by way of evidence.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

Box A (other allowable deductions)

Box B (Dealer wise sale of other taxable goods at line 9(v) above)

I. Sales to registered dealers:

(Note: Use additional sheets if required)

II. Sales to unregistered dealers:

(Note: Use additional sheets if required)

III. Sale to consumers (Rs.):

Box C [Dealer wise purchase of other taxable goods at line 11(i) above excluding Schedule I and Schedule IV goods(other than liquor)]

I. Purchases from registered dealers:

(Note: Use additional sheets if required)

II. Purchases from unregistered dealers:

(Note: Use additional sheets if required)

Box E-1/E-2 (Dealer wise sale of MS, HSD, Natural Gas and ATF) [Total of Box E-1 to be taken to line 9(i) and total of Box E-2 to be taken to line (ii) of Box A]

Box F (Details of statutory forms submitted in support of claims)

I declare that the statements furnished in this return and the various Boxes thereto are based upon true and complete accounts.

I declare further that the statements made and particular furnished in and with this return in my capacity as a Sales tax Registered dealer are correct and complete to the best of my knowledge and belief, and that I am competent to sign and submit this return.

20. Substitution of form TAR-I of the Bihar Value Added Tax Rules, 2005-

Form TAR-I of the said rules shall be substituted in the following way, namely:-

FORM TAR-I

Form of Tax Audit Report under section 54 of the Bihar Value added Tax Act, 2005

[See 33 (5) (i)]

Name and style of the business : _____________________________________

Taxpayer Identification Number : _____________________________________

Full Address : _____________________________________

Part-A

1. *I/We report that I/we __________, Chartered Accountants have audited the Accounts for the financial year _______ of M/s__________ (mention name and address of the dealer) holding Taxpayer Identification No. (TIN) _____________ under the Bihar Value Added Tax Act, 2005 and TIN/Registration No. _________________ under the Central Sales Tax Act, 1956 in pursuance of the provisions of the Act, and we annex hereto a copy of my/our audit report dated ___________ and a copy each of—

(a) The audited profit and loss/income and expenditure account for the year ended on _____________, in terms of the requirements of the second proviso to sub-section (2) of section 52 of the Act;

(b) The audited balance sheet as at _______________________, in terms of the requirements of the second proviso to sub-section (2) of section 52 of the Act;

(c) The detailed flow of goods in Form TAR-IV [if required under rule 33(5)]; and

(d) Documents declared by the said Act, or by any other law for the time being in force, to be part of, or required as aforesaid to be annexed to, the said profit and loss/income and expenditure account and the balance sheet.

2. In my/our opinion and to the best of my/our information and according to explanations given to me/us:

(A) the said Profit and Loss/Income and Expenditure Account, Balance Sheet and the detailed flow of goods give a true and fair view of the working results, the state of affairs and the inventory, purchases/receipts, sales/dispatches and other claims, respectively;

(B) physical verification of inventory *has/has not been carried out at reasonable intervals, the procedure of physical verification of inventory *is/is not reasonable, material discrepancies *were/were not noticed on such physical verification, such discrepancies *have/have not been properly dealt with in the books of accounts and that *I/we *is/are *satisfied/not satisfied that the valuation is fair and proper and in accordance with the generally accepted accounting principles;

(C) the particulars given in said Part-B hereof and the annexures thereto are true and correct subject to the note(s)/observation(s) given below, if any:-

(i) ……………………………………………………………………………

(ii) ……………………………………………………………………………

(iii) ……………………………………………………………………………

(iv) ……………………………………………………………………………

(v) ……………………………………………………………………………

(vi) ……………………………………………………………………………

(vii) ……………………………………………………………………………

(viii) ……………………………………………………………………………

(ix) ……………………………………………………………………………

(x) ……………………………………………………………………………

(xi) ……………………………………………………………………………

………………………………………………

Part-B

1. Name of the dealer/person :-

2. Address (Principal place of business) :-

3. Taxpayer Identification No. under the VAT Act :-

Taxpayer Identification No. under Entry Tax Act:-

Registration No. under CST Act.

4. Constitution of the dealer :-

5. (a) Income tax PAN No. :-

(b) Central Excise Registration No. :-

(c) Service Tax Registration No. :-

6. Period under audit :-

7. Address of all branches and manufacturing units within the State :-

8. Address of all branches and manufacturing units outside the State:-

9. Nature of business-resale/manufacture/importer/ exporter/ works contractor/ lessor / others (pl.specify)

10. Change in the nature of business (if any during the year) (The brief particulars of such change)

11. Changes in the constitution during the year (The brief particulars of such change) :-

12. (a) Books of account maintained :-

(In case books of account are maintained in a computer system, mention the books of accounts generated by such computer system)

(b) List of books of account examined :-

(c) Method of Accounting followed and brief particulars of change, if any :-

(d) Method of valuation of stock and brief particulars of change, if any :-

13. Classes of main goods dealt with by the dealer :-

14. Particulars of main operating Bank Account :-

Name of Bank Branch Account No.

15. Turnover as per books of accounts.

16. Determination of output tax.

17. Determination of input tax on inputs.

18. Reverse credit (furnish, as a signed annexure, the details of reverse credit incurred in respect of each of the clauses (a) to (e) of sub-rule (1) of rule 14 of the Rules or clauses (a) to (f) of sub-rule (1) of rule 15 of the Rules).

19. Revised reverse credit (furnish, as a signed annexure, the details of the revised reverse credit in terms of sub-rule (2) of rule 16 of the Rules).

20. Details of sale/purchase:

(a) An annexure containing list of dealers from whom total purchase within Bihar during the year exceeded rupees one lakh is to be furnished in the following format.

(b) An annexure containing list of dealers to whom total sales within Bihar during the year exceeded rupees one lakh is to be furnished in the following format.

Subject to the Notes given in Part-A of the audit report, it is certified—

(i) that the values in respect of each of the items in para 15 above is *in agreement/not in agreement with their corresponding values as disclosed in the returns [A reconciliation statement showing the reasons for disagreement, if any, is to be enclosed by way of a signed annexure];

(ii) that branch transfer/stock transfer outside the State during the year was Rs………………………… and declaration(s) in Form F *have/have not been received in full for the same. [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(iii) that sales in the course of inter-State trade or commerce, within the meaning of section 3(a) of the Central Sales Tax Act, 1956 during the year was Rs………………… and declaration(s) in Form C *have/have not been received in full for the same. [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(iv) that sales in the course of inter-State trade or commerce, within the meaning of section 3(b) of the Central Sales Tax Act, 1956, during the year was Rs………………… and declaration(s) in Form C and the relevant certificate(s) in Form E-1/E-2 *have/have not be received in full for the same [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(v) that sales in the course of export within the meaning of section 5(1) of the Central Sales Tax Act, 1956 during the year was Rs…………………… and the relevant bills of export *have/have not been received in full for the same [Details of cases where such forms have not been received enclosed herewith by way of a signed annexure];

(vi) that sales within the meaning of section 5(3) of the Central Sales Tax Act, 1956, during the year was Rs………………… and the relevant certificate(s) in Form H *have/have not be received in full for the same [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(vii) that sales within the meaning of section 8(6) of the Central Sales Tax Act, 1956, during the year was Rs………………… and the relevant declaration(s) in Form I *have/have not be received in full for the same [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(viii) that sales within the meaning of section 6(3) of the Central Sales Tax Act, 1956, during the year was Rs………………… and the relevant certificate(s) in Form J *have/have not be received in full for the same [Details of cases where such forms have not been received are enclosed herewith by way of a signed annexure];

(ix) that no input tax credit has been claimed on invoices other than tax invoices in respect of purchase made from registered dealers within the State of Bihar;

(x) that no input tax credit has been claimed on purchase of goods specified in the negative list specified in sub-rule (6) of rule 12;

(xi) that dealer has maintained books of accounts in accordance with the provisions of sections 52 and 53 read with rules 33 and 34;

(xii) that during the year input tax credit to the extent of Rs…………………… has been reversed;

(xiii) that all taxes (including Central Sales Tax and Entry Tax) due from the dealer in respect of the year under audit have been paid by the respective dates on which such taxes were due for payment (details of delayed payments enclosed to this report as a signed annexure);

(xiv) that all returns (including those under the CST Act, and the Entry Tax Act) due in respect of the year under audit have been filed within the respective due dates (details of delayed returns enclosed to this report as a signed annexure);

(xv) that all tax deducted at source *has/has not been deposited into Government Treasury by the respective dates on which such taxes were due for payment (details of delayed payments enclosed to this report as a signed annexure);

(xvi) that the value of goods imported during the year on the basis of declarations in Form DIX is Rs……………… (a detailed statement, containing number of forms authenticated, used and value of goods, enclosed herewith by way of a signed annexure);

(xvii) that ……… number of declaration forms/certificates under the Central Sales Tax Act, 1956 were issued to the dealer by the authorities and the said declaration forms/certificates were utilised for Rs…………… (a detailed statement, containing number of forms/certificates used and aggregate value thereof bifurcated year wise is enclosed herewith by way of a signed annexure).

*strike out whichever is not applicable.

21. Substitution of form VR-IV of the Bihar Value Added Tax Rules, 2005-

Form VR-IV of the said rules shall be substituted in the following way, namely:-

Form VR-IV

Register of returns (to be maintained in office)

[See Rule 21(1)]

Name and style of the dealer:

TIN:

22. Insertion of form A-XIV after form A-XIII of the Bihar Value Added Tax Rules, 2005-

After Form A-XIII of the said rules new form A-XIV shall be inserted in the following way, namely:-

Form A-XIV

Application for refund under sub-rule (2A) of rule 43 of the Bihar Value Added Rules, 2005

To

The ………………………… of Commercial Taxes, ………………… Circle.

I, …………………… name), son of ………………… (full name) on behalf of the dealer/ any other person whose particulars are detailed below, hereby apply for refund of excess tax/penalty.

1. Taxpayer Identification Number. ………………………………

2. Name of the dealer ……………………………

3. Style of business ………………………………

4. Location of business …………………………

5. Period to which refund relates ………………………………

6. Amount of refund claimed ……………………

7. Grounds of refund (unadjusted ITC* or Export*)

8. Manner of refund preferred …………………………

(i) Payment order

(ii) Adjustment order

(iii) Period against which adjustment is prayed

(iv) Payable at Treasury

I, ………………… the petitioner, named in the above petition, do hereby declare that what is stated herein is true to the best of my knowledge and belief and that no application for refund of the above amount has been made by me or on my behalf before this date.

*Strike out whichever is not applicable."

23. Amendment in Form N-III of Bihar Value Added Tax Rules, 2005—

In the said Form, words, figures and bracket "and sub-section (2) of Section 39" shall be inserted after the words,

figures and bracket "sub section (2) of Section 25" and words and figures "and rule 27" shall be inserted after the words and figures "see rule 21(3)" in the bracket.

24. Amendment in rule 62 of Bihar Value Added Tax Rules, 2005—

In rule 62 of the said rules the figure and comma "54" shall be inserted after the figure and comma "53,".

25. Insertion of a new form ST-I in Bihar Value Added Tax Rules, 2005-

In the said Rules after Form A-XIV a new form ST-I shall be inserted in the following way, namely:-

Form ST-I

[See rule 43 (2A)]

Name of Dealer :-

TIN :-

Period :-