(1) Notwithstanding anything contained in section 17, every dealer who is liable to pay tax under section 9, section 10 or sub-section (3) of section 27 shall, subject to such conditions and restrictions as may be prescribed, pay a tax on the value added part of his turnover of sales in West Bengal, referred to in sub-section (2), of the goods specified in Schedule II (hereinafter referred to as the value added tax).

(2) In this section, the expression "value added part of his turnover of sales",-

(a) in the case of a dealer, other than the dealer referred to in clause (b), shall, in relation to any period, mean,-

(i) in respect of a reseller, that part of the turnover of sales of the goods specified in Schedule II which is added by him to the aggregate of prices of corresponding purchases of the goods specified in that Schedule from a registered dealer in West Bengal;

(ii) in respect of a manufacturer, that part of the turnover of sales of the goods specified in Schedule II which is added to the price of the goods purchased from a registered dealer in West Bengal for manufacture of goods so sold and the price of the materials for packing from a registered dealer in West Bengal;

(b) in the case of a dealer,-

(i) who imports into West Bengal any goods specified in Schedule II from any place outside West Bengal and sells such goods in West Bengal, or

(ii) who imports into West Bengal any goods containers and other materials for packing from any place outside West Bengal and uses such goods directly in the manufacture of any goods specified in Schedule II and uses such containers or other materials for the packing of the goods so manufactured, and sells in West Bengal the goods so manufactured by him in West Bengal, or

(iii) who purchases in West Bengal any goods specified in Schedule II from a person, other than a registered dealer, and sells such goods in West Bengal, or

(iv) who fails to furnish certificate referred to in the proviso to sub-section (4),

shall, in relation to any period, mean his turnover of sales in West Bengal of the goods specified in Schedule II, in respect of the class of dealers referred to in sub-clause (i) or sub-clause (ii) or sub-clause (iii) or sub-clause (iv), as the case may be.

(3) The expression : "turnover of sales in West Bengal" used in this section shall not include-

(a) a sale in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act, 1956 (74 of 1956);

(b) a sale in the course of export of the goods out of the territory of India within the meaning of section 5 of the Central Sales Tax Act,1956;

(c) a sale taken place outside the State of West Bengal within the meaning of sub-section (1) of section 4 of the Central Sales Tax Act, 1956;

(d) such other sales as may be prescribed.

(4) In computing the value added part of the turnover of sales in West Bengal a dealer, who is required to pay value added tax under sub-section (1), shall deduct from his turnover of sales in West Bengal-

(a) the aggregate of the purchase prices or part thereof of any goods and containers or other materials for the packing, if any, that the dealer has purchased, as a manufacturer in West Bengal, from a registered dealer on or after the coming into force of this section and used by him as inputs directly in the manufacture of the goods specified in Schedule II and sold by him in West Bengal or used by him for the packing of the goods so manufactured and sold by him in West Bengal, or

(b) the aggregate of the purchase prices of the goods specified in Schedule II that a dealer has purchased as reseller in West Bengal from a registered dealer on or after the coming into force of this section:

PROVIDED that no deduction shall be allowed to any dealer unless he furnishes, in such manner and by such time as may be prescribed, to the Commissioner a certificate in respect of sales to him containing the prescribed particulars in the prescribed form, obtainable in such manner and subject to such conditions and restrictions as may be prescribed, from the prescribed authority duly filled up, signed and issued by the registered dealer from whom he has made such purchase of goods specified in Schedule II in West Bengal for resale by him in West Bengal, or any goods for use by him directly in the manufacture in West Bengal of the goods specified in Schedule II, or container or other materials for the packing in West Bengal of the goods specified in Schedule II so manufactured.

EXPLANATION.- For the purpose of this sub-section,-

(i) the expression "the turnover of sales in West Bengal" for computing the value added part of turnover of sales shall not include the amount of sales tax separately charged on the sales made by any dealer required to pay tax under this section, and

(ii) the expression "the aggregate of the purchase prices" referred to in clause (a) or clause (b), as the case may be, shall not include the amount of sales tax payable under this Act, if any, which is charged separately on the sales made to such dealer by the registered dealer from whom the goods have been purchased.

(5) The value added tax payable under sub-section (1) shall be levied at the rate fixed in column (3), against the corresponding entry of goods in column (2), of Schedule II, on the value added part of his turnover of sales of such goods computed in accordance with the provisions of sub-section (4).

(6) Where the dealer selling the goods cannot fully identify his resales of goods specified in Schedule II with the corresponding purchases of such goods from a registered dealer in West Bengal, or identify fully the quantum of goods purchased in West Bengal and used by him directly in the manufacture of the goods specified in Schedule II in West Bengal or the aggregate purchase prices thereof referred to in clause (a) of sub-section (4) and the purchase price of containers and other materials used for the packing of the goods so manufactured with the sale in West Bengal of such manufactured goods, the purchase price of such goods and containers or other materials used in the packing, if any, shall be determined in such manner as may be prescribed.

(7) Where the turnover of sales of a dealer during a period relates to sale of goods specified in Schedule II, the value added part of turnover of sales in respect of such goods taxable at different rates shall be computed under sub-section (4) separately, and there shall be no adjustment in respect of tax payable on the value added part of turnover of sales of goods taxable at different rates for the same period or for different periods.