(1) Subject to the provisions of sub-section (2), the tax payable by a dealer, who is liable to pay tax under section 10, or sub-section (3) of section 24, or sub-section (3) of section 27C on his turnover of sales, shall be levied on such part of his turnover of sales as remains after deducting therefrom -
(a) sales of goods declared tax-free under section 21;
(b) sales of goods which are shown to the satisfaction of the Commissioner not to have taken place within West Bengal, or to have taken place in the course of inter-State trade or commerce within the meaning of section 3 of the Central Sales Tax Act,1956, or in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of that Act;
(ba) sales of goods which are zero-rated as specified in Schedule AA;
(c) such other sales on such conditions and restrictions as may be prescribed.
(2) The tax payable by a dealer on the turnover of sales as referred to in sub-section (1), shall be levied-
(a) at the rate of one per centum of such part of his turnover of sales as represents sales of any goods specified in Schedule B;
(b) at the rate of five per centum of such part of his turnover of sales as represents sales of-
(i) such capital goods, as the State Government may, by notification, specify; and
(ii) any goods specified in Schedule C;
(ba) at the rate of fourteen decimal five zero per centum of such part of his turnover of sales as represents sales of any goods specified in Schedule CA;
(c) at such rate as may be fixed by the State Government under sub-section (1) of section 19, on such part of his turnover of sales as represents sales of any goods specified in Schedule D.
(d) at such rate as may be fixed by the State Government under sub-section (2) of section 19, on such sales as represents sales of any goods specified in Schedule D in respect of which such rate has been fixed.
Explanation.-For the purpose of this sub-section, it is hereby declared that the export of the goods out of the territory of India shall be zero rated i.e. the tax paid under this Act shall be refunded or adjusted, as the case may be, against the output tax payable, if any, by a dealer.
(2A) When taxable goods are sold together with containers or packing materials, then notwithstanding anything contained in sub-section (2), the rate of tax applicable to such containers or packing materials, as the case may be, shall be the same as that applicable to the goods contained, or packed, and the sale price of the containers or packing materials, whether shown separately or not, shall be included in the sale price of the goods.
(2B) Where the sale of any goods, which is exempt from tax, is packed in any container or in any packing material, then notwithstanding anything contained in sub-section (2), the sale of such container or packing material shall also be exempt from tax.
(3) Notwithstanding anything contained in sub-section (1) or sub-section (2), any registered dealer having liability to pay tax under this Act, may, at his option,-
(a) if his gross sales in the year ending on the day preceding the appointed day does not exceed fifty lakh rupees; or
(b) if his turnover of sales in the preceding year commencing on or after the appointed day does not exceed fifty lakh rupees. or
(c) if his turnover of sales during the period from the commencement of the year in which he gets himself registered to the date of his registration, does not exceed fifty lakh rupees,
pay tax at such compounded rate or rates not exceeding three per centum of the total turnover of sales of such dealer in the year for which such option is required to be exercised, or a fixed amount, and subject to such conditions and restrictions, as may be prescribed, for each tax period of the year in lieu of tax payable under sub-section (2), on all his sales, and for such purpose different rates may be prescribed for different class of dealers:
Provided that the registered dealer having liability to pay tax under this Act as stated in this sub-section shall not include-
(a) an importer; or
(b) omitted; or
(c) a dealer engaged in execution of works contract; or
(d) a dealer who transfers goods otherwise than by way of sale within or outside the State; or
(e) a dealer who sales goods within the meaning of section 3 of the Central Sales Tax Act,1956; or
(f) a dealer who sales goods in the course of import of the goods into, or export of the goods out of, the territory of India within the meaning of section 5 of the Central Sales Tax Act,1956:
(ca) a dealer who has purchased tea sold under the auspices of any tea auction centre in West Bengal duly authorised by the Indian Tea Board; or
Provided further that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act:
Provided also that a registered dealer who, in addition to the purchase of goods in course of his business in a year, have also received goods from the supplier within or outside West Bengal, on branch transfer or on consignment basis, for which no price has been paid, shall not be entitled to opt for payment of tax under such compounded rate:
Provided also that if during the period of enjoyment of payment tax at compounded rate, turnover of sales of a dealer exceeds fifty lakh rupees, he shall become ineligible to pay tax under this sub-section from the commencement of the month immediately following the month during which his turnover of sales exceeded such sum.
(3A) Notwithstanding anything contained in sub-section (1) or sub-section (2), a registered dealer being a club having liability to pay tax under the Act, selling goods in West Bengal to its members or others, may, at its option, pay tax, in lieu of tax payable under sub-section (2), for each tax period of a year, at such compounded rate not exceeding eight per centum as the State Government may, by notification, specify, on the turnover of sales of such goods on which tax is payable, subject to such restrictions and conditions as may be prescribed:
Provided that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act.
(3B) Notwithstanding anything contained in sub-section (1) or sub-section (2), a registered dealer having liability to pay tax under the Act, who makes sale by way of transferring the right to use any goods as mentioned in sub-clause (c) of clause (39) of section 2, may, at his option, pay tax, in lieu of tax payable under sub-section (2), for each tax period of a year, at such compounded rate not exceeding two per centum as the State Government may, by notification, specify, on the turnover of sales of such goods on which tax is payable, subject to such restrictions and conditions as may be prescribed:
(4) Notwithstanding anything contained in sub-section (2) and sub-section (2A), any registered dealer, who imports into or manufactures such goods in West Bengal as may be notified by the State Government, may, at his option, pay, in lieu of the tax payable by him on sale price of such goods under this section, tax at such rate on the maximum retail price of such goods as may be specified in that notification, and different rates may be fixed for different items of such goods:
Provided that where a dealer has purchased any goods, -
(a) from an importer or a manufacturer upon payment of tax on the maximum retail price of such goods; or
(b) from another registered dealer where tax on the maximum retail price of such goods was paid in West Bengal in an earlier occasion,
the purchasing dealer, irrespective of whether he is registered or not, while making resale of such goods in West Bengal, shall, notwithstanding anything contained elsewhere in the Act, be entitled to recover from the buyer the amount of tax paid by him at the time of purchase of such goods under such conditions and restrictions, and in such manner, as may be prescribed.
(5) Any registered dealer, who intends to opt for payment of tax at the compounded rate under sub-section (3) or under subsection (3A) or under sub-section (3B) of this section, shall exercise his option for a year, or a part of the year in which he gets himself registered, by making an application to the Commissioner in such manner, and within such time, as may be prescribed, and an option exercised by a registered dealer to pay tax at the compounded rate in terms of any of the sub-sections of this section, shall be deemed to be final and irrevocable for that year or part of that year, as the case may be, for which such an option has been exercised, subject to the conditions mentioned in sub-section (3).
(6) Notwithstanding anything contained in sub-section (1) or sub-section (2) a registered dealer having liability to pay tax under the Act, who makes sales of such cooked foods, non-alcoholic drinks and beverages, manufactured by him, as are specified in Schedule CA, from his hotel, mandap, restaurant or any other eating-house in West Bengal, may at his option,-
(a) if his turnover of sales of such goods, as referred to in this subsection, in the year ending on the day preceding the date of coming into. force of this sub-section does not exceed fifteen lakh rupees; or
(b) if his turnover of sales of such goods, as referred to in this sub-section, in the preceding year does not exceed twenty five lakh rupees; or
(c) if his turnover of sales of such goods, as referred to in this sub-section, during the period from the commencement of the year in which he gets himself registered to the date of registration, does not exceed twenty five lakh rupees,
pay, in lieu of tax payable under sub-section (2), tax for each tax period of the year, at such compounded rate not exceeding four per centum as the State Government may, by notification, specify on his turnover of sales of such goods on which tax is payable, in the year for which such option is required to be exercised, subject to such restrictions and conditions as may be prescribed: -
Provided that such dealer shall not be entitled to issue tax invoice referred to in clause (48) of section 2 of the Act:
Provided further that if during the period of enjoyment of payment of tax at compounded rate, turnover of sales of such goods, as referred to in this sub-section, of a dealer exceeds twenty five lakh rupees, he shall become ineligible to pay tax under this sub-section from the commencement of the month immediately following the month during which his turnover of sales of such goods, as referred to in this subsection, exceeded such sum.
Explanation I.-for the purpose of this. sub-section, the word "hotel" shall have the same meaning as assigned .to it in the West Bengal Entertainments and Luxuries (Hotels and Restaurants) Tax Act, 1972 (West Ben. Act XXI of 1972).
Explanation II.- For the purpose of this sub-section, the word "mandap" means any immovable property as defined in section 3 of the Transfer of Property Act, 1882, and includes any furniture, fixtures, light fittings and floor coverings therein let out for consideration for organising any official, social or business function.
(7) Any registered dealer; who intends to opt for payment under sub-section (6) of this section, shall exercise his option for a year, or part of the year in which he gets himself registered, by making an application to the Commissioner in such manner, and within such time,, as may be prescribed, and such an option exercised by a registered dealer shall be deemed to be final and irrevocable for that year or part of that year, as the case may be, for which such option has been exercised, subject to the conditions mentioned in sub-section (6).;