Incidence and Levy of Tax  

10. Incidence of Tax

(1)        Every dealer, who is liable to pay tax immediately before the appointed day, under any provision, other than section 15, of the West Bengal Sales Tax Act, 1994, and who would have continued to be so liable under the said Act on such appointed day had this Act not come into force, shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax under this Act on all his sales, other than those referred to in section 14, effected on and from such appointed day.

(2)        Every dealer to whom the provisions of sub-section (1) do not apply and whose gross turnover of sales calculated from the commencement of the year ending on the day immediately before the appointed day, exceeds the taxable quantum, as applicable to him under the West Bengal Sales Tax Act, 1994, on the last day of such year shall, in addition to the tax, if any, payable by him under any other provisions of this Act, be liable to pay tax under this Act on all his sales, other than those referred to in section 14, effected on and from such appointed day.

(3)        Every dealer to whom the provisions of sub-section (1) or sub-section (2) do not apply, shall, in addition to his liability to pay tax if any, under any other provisions of this Act, be liable to pay tax under this Act,-

(a)        on all his sales, other than those referred to in section 14, of goods which have been imported by him from any place outside West Bengal with effect from the day on which he effects first sale of such goods; or

(b)        on all his sales, other than those referred to in section 14, of goods effected on or after the date immediately following the date on which his turnover of sales calculated from the commencement of any year exceeds, at any time within such year, such taxable quantum as may be prescribed, and different taxable quantum may be prescribed for different goods or for different classes of dealers:

PROVIDED that the taxable quantum as may be prescribed under this clause shall not exceed ten lakh rupees.

(4)        Every dealer who has been registered under sub-section (2) of section 24 for his application under clause (b) of sub-section (1) of that section, on any date prior to the date on which his turnover of sales exceeds the taxable quantum referred to in clause (b) of sub-section (3), he shall be liable to pay tax on all his sales from the date of such registration.

(5)        Every dealer who incurs liability to pay tax under sub-section (3) of section 27C, shall, notwithstanding that his turnover of sales does not exceed the taxable quantum referred to in clause (b) of sub-section (3), also be liable, in addition to the tax, if any, payable by him under any other provisions of this Act, to pay tax on sales by him of goods from the date of transfer of business.

(6)        Every dealer who incurs liability to pay tax under sub-section (2) or sub-section (3) or sub-section (4) of section 14, shall, notwithstanding that his turnover of sales does not exceed the taxable quantum referred to in clause (b) of sub-section (3), also be liable, in addition to the tax payable by him under section 14, to pay tax on sales of goods effected by him under this section on and from the day he incurs liability to pay tax under that section.

(7)        Any dealer who is liable to pay tax under the Central Sales Tax Act, 1956, shall, notwithstanding that his turnover of sales under the Act does not exceed taxable quantum referred to in clause (b) of sub-section (3), also be liable to pay tax under this Act on all sales of goods effected by him on and from the date on which he becomes liable to pay tax under that Act.

(8)        Every dealer who has become liable to pay tax under this section, shall continue to be so liable until the expiry of three consecutive years commencing on and from the appointed day and such further period after the date of such expiry as maybe prescribed, during each of which,

                          (a)        he has not effected any sale of goods imported by him from outside into West Bengal ; or

(b)        his turnover of sales has failed to exceed the taxable quantum referred to in clause (b) of sub-section (3),

and on expiry of such three years or such further period, his liability to pay such tax shall cease:

PROVIDED that where a dealer has become liable to pay tax under sub-section (6) or sub-section (7) and has not separately incurred liability to pay tax under sub-section (3), he shall continue to be so liable until his liability ceases under section 14 or under the Central Sales Tax Act, 1956, as the case may be.

(9)        The provisions of sub-section (3), or sub-section (4), or sub-section (5), or sub-section (6), or sub-section (7), as the case may be, shall apply to every dealer whose liability to pay tax ceases under sub-section (8) as if such dealer has not ever become liable to pay tax under this section.

(10)      The Commissioner shall, after making such enquiry as he may think necessary and after giving the dealer an opportunity of being heard, fix the date on and from which such dealer has become liable to pay tax under this section.