(1) Where it appears to the appellate authority that the appellant has-

(a) not paid the amount of net tax or any other tax, penalty, late fee or interest, as the case may be, that the appellant admits to be payable by or due from him, or

(ab) not paid the amount as referred to in sub-clause (ia) of clause (b) of sub-rule (2) of rule 138; or

(b) not enclosed a copy of the assessment order or order of determination or order of determination of late fee of interest, as the case may be, or

(c) not affixed the court fee stamp showing adequate payment of fee for presenting the appeal, or

(d) not filled in the Form 68 properly including the verification or,

(e) not complied with the provisions of sub-rule (3) of rule 138,

such appellate authority shall serve a notice upon the appellant directing him to show cause on the date and time specified in such notice as to why the appeal presented by him shall not be refused to be entertained.

Provided that the appellate authority shall issue such notice ordinarily within fifteen days from the date of presentation of such appeal.

(2) If the appellant fails to show cause in terms of the provisions of sub-rule (1), by the date specified in the notice referred to in that sub-rule, the appellate authority shall, for reasons to be recorded, pass an order to the effect that such appeal cannot be entertained, and inform the appellant accordingly.

(3) Where the appellant furnishes satisfactory explanation in respect of show cause notice issued under sub-rule (1), or, as the case may be, pays the amount of net tax or any other tax, penalty, late fee, or interest that he admits to be payable by or due from him, and the amount as reffered to in sub-clause (ia) of clause (b) of sub-rule (2) of rule 138, and produces before the appellate authority, on the date specified in the notice or on such date as may be allowed by the appellate authority, the proof of such payment, such appellate authority shall entertain the appeal for hearing on its merit.

(4) Where the appellant pays the fee or makes good the deficiencies of such fee by the date specified in the notice, or such other date as may be allowed by the appellate authority, by means of court fee stamp, or where he furnishes by the date specified in the notice, or such other date as may be allowed by the appellate authority, a copy of the order of assessment against which he has presented his appeal, such appellate authority shall, after allowing the appellant to amend the memorandum of appeal in this behalf, entertain the appeal for hearing on its merit.

(5) The date on which the appellant complies with the requirement referred to in clause (c) and clause (d) of sub-rule (2) of rule 138 or the date on which the delay in presentation of the memorandum of appeal in Form 68 is condoned, whichever is later, shall, notwithstanding that he has presented the memorandum of appeal on any earlier date, be deemed to be date for presentation of his memorandum of appeal for counting the period of limitation.