(1) Any dealer or person,-

(a) who intends to establish a business for the purpose of manufacturing of goods of value exceeding rupees one lakh during a period of twelve consecutive months for sale, or

(b) who intends to carry on business in respect of goods of value exceeding rupees three lakhs during a period of twelve consecutive months,

may, notwithstanding that he is not liable to pay tax under section 10, apply in the prescribed form and manner to the registering authority for registration:

Provided that for the purposes of this sub-section, the dealer or person, as the case may be, shall have to furnish such evidence as may be required by the registering authority in support of his intentIon to establish a business for manufacturing of goods for sale or, as the case may be, in support of his business.

(2) In respect of an application for registration under sub-section (1), the provisions of sub-sections (2) and (3) of section 25 shall apply.

(3) Every dealer who has been registered on application made under this section shall, so long as his registration remains in force, be liable to pay tax under this Act.

(4) (a) The certificate of registration granted to a dealer or person referred to in clause (a) of sub-section (1) shall be in force for such period as may be specified therein:

Provided that for good and sufficient reasons to the satisfaction of the registering authority, the period for which the registration is in force can be extended, but in no case such extension shall be allowed beyond a period of one year at a time.

(b) The certificate of registration granted to a dealer or person referred to in clause (b) of sub-section (1) shal! be in force for a penod of not less than three complete years, unless cancelled earlier.

(5) The certificate of registration granted under this section shall be effective from the date of issue of such certificate.