40. Scrutiny of returns. –

(1) All the returns received under rule 34 shall be subject to manual or system-based scrutiny.

(2) If as a result of such scrutiny, the dealer is found to have made payment of tax, less than what is payable by him for the tax period, as per the return furnished, the assessing authority shall issue a notice in Form VAT-209 to the dealer directing him to pay the balance tax and interest thereon by such date as may be specified in that notice.