In exercise of the powers conferred by sub-sections (1) and (2) of section 30 of the Tamil Nadu Value Added Tax Act, 2006 (Tamil Nadu Act 32 of 2006), the Governor of Tamil Nadu hereby makes a reduction in rate from 12.5% to 2% in respect of tax payable by any dealer referred to in clause (b) of sub-section (1) of section 7 and sub-section (1) of section 8 of that Act, on the sale of branded non-alcoholic drinks, beverages and Ice-creams, subject to the condition that the dealer shall not claim input tax credit.

2. The notification shall come into force with effect on and from the 1st April 2008.