(1) Where a dealer purchases any goods specified in Schedule IV in West Bengal before the transfer of such goods to any other Schedule and makes resale of such goods after the date if such transfer, he shall determine his taxable turnover of sales after deducting that part of the turnover of sales which represents resale of such goods, under sub-clause (xi) of clause (a) of sub-section (3) of section 17 from its gross turnover of sales provided the dealer makes resale of such goods within a period of one year from the date of transfer of such goods from Schedule IV.

Provided that no claim for deduction shall be allowed in respect of any resale of foreign liquor purchased by the dealer in West Bengal before the 1st day of September, 2004, unless it is shown to the satisfaction of the Commissioner that due tax been paid on any prior sale of such foreign liquor in West Bengal.

(2) Where any goods specified in Schedule IV is transferred by notification issued under section 25 with retrospective effect to any other Schedule and a dealer purchases such goods in West Bengal during the period beginning from the date on which transfer of such goods is effected and ending on the date immediately preceding the date of publication of the said notification on payment of tax under clause (c) of sub-section (1) of section 17 separately charged on the sales made to him and makes resales of such goods, he may, for the purpose of determining his taxable turnover of sales, deduct that part of his turnover of sales which represents resale of such goods under sub-clause (xi) of clause (a) of sub-section (3) of section 17 from his gross turnover of sales, provided the dealer makes resale of such goods within a period of one year from the date of coming into force of the said notification.