THE WEST BENGAL VALUE ADDED TAX RULES, 2005
CHAPTER III : Taxable quantum, registration of dealer, display of signboard, furnishing of information by the dealers, amendment and cancellation of certificate of registration, imposition of penalty for failure to apply for registration or for failure to furnish information, and fine for failure to display the certificate of registration and signboard.

8. Imposition and demand of penalty for the failure of a dealer to get registration.-

(1) Where it appears to the appropriate assessing authority that a dealer is liable to pay penalty under sub-section (4) of section 23, he shall serve a notice in Form no. 4 upon such dealer directing him to appear in person or through an agent and show cause, on the date and at the time and place specified in such notice, as to why a penalty as proposed in the notice shall not be imposed on him.

(2) The appropriate assessing authority shall fix a date for hearing, which, ordinarily, shall not be less than fifteen days from the date of issue of such notice.

(3) The appropriate assessing authority, after hearing the dealer, may, by an order in writing, impose such amount of penalty as he deems fit and proper and shall serve a notice in Form no. 5 upon the dealer directing him to pay the amount of penalty so imposed specifying the date, not less than twenty days from the date of service of the notice, by which the payment shall be made and the date by which the receipted challan in proof of such payment shall be produced before the said authority.