FORM VAT-314

NOTICE OF DEMAND IMPOSING PENALTY FOR FAILURE TO MAKE

PAYMENT OF THE UNPAID AMOUNT OF TAX, INTEREST, PENALTY

[Refer sub-rule (2) of rule 54]

04. You were served with a notice for payment of tax due on assessment, penalty levied, and / or interest charged, issued in this office letter No. _________ dt. ___________. The said notice was served on you on. ____________.

05. This office records indicate that you have failed to make payment of the sum of Rs. __________ (Rupees ____________________) covered under the aforesaid notice within the due date.

06. Thus, there has been a delay of _________ months in making a payment and, therefore, a penalty @2% of the unpaid amount of Rs. __________ is now imposed under sub-section (5) of Section 50 of the Act.

07. The penalty now imposed amounts to Rs. __________ (Rupees __________________), which you are required to pay within thirty days, from the date of receipt of the notice by you and, produce of payment thereof within seven days, from the date of payment.

08. In addition to the penalty payable as above you are also required to pay the amount of outstanding tax and/or interest and penalty amounting to Rupees ................ Immediately.