(1) Every dealer eligible to pay turnover tax at compounded rate under section 7, who desires to exercise the option provided for under the said section may apply to the assessing authority concerned for permission to pay turnover tax at the rates specified therein in Form no. 21 on or before the 30th day of April, of the year to which the option relates or along with the application for registration under the Act, whichever is later.

Provided that the assessing authority may admit an application filed after the prescribed date for good and sufficient reasons to be recorded in writing.

Provided further that the application relating to the year 2005-06 shall be filed within fifteen days from the date on which the Kerala General Sales Tax (Amendment) Rules, 2005 is published.

(2) (i) If the assessing authority is satisfied that the application filed is in order, it shall grant the permission in Form No. 22.

(ii) If the application filed is not in order, the assessing authority shall reject the application, for reasons to be recorded in writing, after giving the dealer an opportunity of being heard.

(iii) The dealer to whom permission is granted under sub-rule (2) shall submit along with the monthly return in Form No. 9 a statement of purchases of liquor made during the month, showing invoice number and date, particulars of goods, quantity and value, along with photocopies of the purchase bill/invoices.