7. Returns and Assessment.
(1) Notwithstanding anything contained in section 10, every registered dealer and every dealer who is liable to get himself registered under this Act shall every year submit a return to the assessing authority within such period and in such manner containing such particulars as may be prescribed.
(2) Before any dealer submits any return under sub-section (1), he shall in the prescribed manner pay in advance the full amount of tax payable by him on the basis of such return as reduced by any tax already paid under section 10, or of composition money fixed under the proviso to sub-section (1) of section 3 as the case may be, and shall furnish along with the return satisfactory proof of the payment of such tax and after the final assessment is made, the amount of tax so paid shall be deemed to have been paid towards the tax finally assessed.
(3) If the assessing authority is satisfied that any return submitted under sub-section (1) is correct and complete, he shall assess the dealer on the basis thereof .
(4) If no return is submitted by the dealer under sub-section (1) before the period prescribed or if the return submitted by him appears to the assessing authority to be incorrect or incomplete, he shall assess the dealer to the best of his judgement recording the reasons for such assessment:
PROVIDED that before taking action under this sub-section the dealer shall be given reasonable opportunity of proving the correctness and completeness of the return submitted by him.
(5) While making any assessment under sub-section (4), the assessing authority may also direct the dealer to pay in addition to the tax assessed a penalty not exceeding one and a half times the amount of tax due that was not disclosed by the dealer in his return or in the case of failure to submit a return one and a half times the tax assessed, as the case may be.