THE HIMACHAL PRADESH VALUE ADDED TAX (AMENDMENT) Act, 2006

Act No. 17 of 2006

(As Assented to by the Governor on 28th September, 2006)

ACT

Further to amend the Himachal Pradesh Value Added Tax act, 2005 (Act No. 12 of 2005).

Be it enacted by the Legislative Assembly of Himachal Pradesh in the Fifty sixth year of the Republic of India as follows:

1. Short title and Commencement

(1) This Act may be called the Himachal Pradesh Value Added Tax (Amendment) Act, 2006.

(2) It shall and shall always be deemed to have come into force on 27th day of July, 2006

2. Amendment of Section 28:

In Section 28 of the Himachal Pradesh Value Added Tax Act, 2005 (12 of 2005), in sub-section (1), of the existing first proviso, the following provisos shall be substituted, namely:- .

"Provided that an application for refund of any excess amount of input tax credit under sub-section (4) of Section 12, may be made by a registered dealer after the expiry of a quarter of the year and where the Assessing Authority finds that the returns for the tax period are correct and complete, it shall in the prescribed manner refund to such registered dealer the excess amount of input tax credit or allow it to be carried forward to the next tax period:

Provided further that where any investigation, scrutiny, inspection or audit or other enquiry is pending against the registered dealer, and the officer authorised to sanction the refund is of the opinion that the payment of such refund is likely to adversely affect the revenue, which may become due from such registered dealer at the conclusion of such investigation, scrutiny, inspection or audit or other enquiry, he may, for reasons to be recorded in writing, either refund the amount of excess input tax credit subject to furnishing of a security equal to the amount to be refunded to such registered dealer or withhold the refund till such time the proceedings are concluded."

3. Repeal of Ordinance No.2 of 2006 and savings

(1) The Himachal Pradesh Value Added Tax (Amendment) Ordinance, 2006 is hereby repealed.

(2) Notwithstanding such repeal, anything done or any action taken under the Ordinance as repealed shall be deemed to have been done or taken under the corresponding provisions of this Act.