(1) Subject to the provisions of this Act, there shall be levied a tax on the turnover of sales of goods specified in Schedule II or Schedule III at the rate set out against each of them in the said Schedule II or, as the case may be, Schedule III.

(1A) Subject to the provisions of this Act, there shall be further levied an additional tax on the turnover of sales of goods liable to be taxed under sub-section (1). at the rate of-

(i) two and half paise in the rupee on the goods specified in the entries at serial numbers 25, 46B, 48A, 49A, 49B, 51A, 76A and 87 in Schedule II; and

(ii) one paisa in the rupee on the goods specified in the entries in Schedule II other than the entries mentioned in clause (i) above:

Provided that the additional tax shall not be levied on the sale of, -

(a) goods declared to be of special importance in section 14 of the Central Sales Tax Act, 1956 (74 of 1956);

(b) goods specified in entry at serial number 13 in Schedule II; and

(c) such goods as the State Government may, by notification in the Official Gazette, specify.

(2) The State Government may, by notification in the Official Gazette, reduce any rate of tax specified in Schedule II or Schedule III in respect of any entry ( or part thereof) in the said Schedule II or III and may, by like notification, omit or amend any entry (or part thereof) in the said Schedule II or III but not so as to enhance the rate of tax in any case and thereupon the Schedule I, II or III shall be deemed to have been amended accordingly.

(3) Every notification issued under sub-section (2) shall be laid for not less than thirty days before the State Legislature as soon as possible after it is issued and shall be subject to rescission by the State Legislature or to such modifications as the State Legislature may make, during the session in which it is so laid or session immediately following. Any rescission or modification so made by the State Legislature shall be published in the Official Gazette, and shall thereupon take effect.