Notwithstanding anything contained in this Act, the Government may, if it is of the opinion, for reason to be recorded in writing that it is necessary or expedient so to do in public interest by notification grant immunity from penalty for any offence under this Act or reduce or remit interest on arrears of tax admitted by the dealers or assessed by the concerned authorities subject to such conditions as it may like, to impose for such period, not exceeding six months, as may be specified;

Provided that the Government may extend the period of payment of arrears on account of admitted or assessed tax accrued upto 31st March 1997 without interest and penalty to a maximum period of 30 quarterly instalments from 1st April, 1999. This concession shall be available to those dealers who have been paying their admitted or assessed tax, as the case may be, regularly from the accounting year 1997-98 and also to those who have defaulted in the payment of tax during the years 1997-98 and 1998-99 but pay the entire amount of admitted or assessed tax for the years 1997-98 and 1998-99 by 31st July, 1999;

Provided further that if any dealer makes a default in payment of one single instalment on account of arrears, he shall be liable to pay the same in the next following quarter alongwith the instalment due for that quarter. In case of any further default, the dealer shall be liable to pay the entire amount of arrears alongwith the interest and the penalty.

Provided also that the Government may, subject to such modifications and conditions as it may consider necessary, by notification in the Government Gazette, grant on etime extension in the immunity scheme under the first proviso to this section to such dealers who have failed to avail the same within the stipulated time or defaulted in compliance of the terms and conditions thereto.

Provided also that the Government may in the interest of industrial development of the State condone the default committed by any dealer operating an industrial unit with regard to any condition or grant extension of time for fulfillment of such condition(s) as specified in the Notifications issued in this behalf from time to time.