The ASSAM PROFESSIONS, TRADES, CALLINGS, AND EMPLOYMENTS TAXATION ACT, 1947

ASSAM ACT VI OF 194 7 *THE ASSAM PROFESSIONS, TRADES, CALLINGS, AND EMPLOYMENTS TAXATION ACT, 1947 (Corrected upto date) [Published in the Assam Ga;;.1tte of the 2nd April 1947 .] ~ ; An Act to levy a tax on professions, trades, callings and employments. Preamble WHEREAS it is expedient to impose a tax on professions, trades, callings and employments ; It is hereby enacted as follows:- PRELIMINARY .. . Short title, 1. (1) This Act may be called the Assam Professions, extent and Trades, Callings and Employments Taxation Act, 1947 . commence- ment. (2) It extends to the whole of Assamt. (3) It shall come into force on such date2 as the [State)1 Government may, by notification in the official Gazette, appoint. Definitions 2. In this Act, unless there is anything repugnant in the subject or context,- 4. [(a) "assessing authority" in a particular area means the Superintendent referred to in section 6 exercising jurisdiction in that area,] ;1, (aa) "person" includes a company, firm or other association of persons ; (b) "prescribed" means presc.ribed by rules made under this Act ; (c) "previous year" means twelve months. ending on the 31st of March next preceding the year for which the assessment is to be made ; (d) "principal officer'' means with referr.nce to [(i) a Government, the head of an office or the disbursing Officer] 5 ; (ii) a local authority, company, firm or other association of persons, the Chairman, Secre tary, Treasurer, Manager, or Agent of such local authority, company, firm or other association of persons ; (e) "[State]3 " means the [State]3 of Assam ; and . (f) "total gross income" means aggregate of income . derived from all sources • CHAPTER I LIABILITY TO AND CHARGE OF TAX Liability to 3. As from the first day of April 1947 and subject to tax. the provisions of this Act, every person ~ho carries on a *For Statement of Objects and Reasons see Assam Gazette page 35 Part V, 1947. 1 Substituted by the A. 0. 1950 for "Provincial" 2 Came into force from 1st May 1947 see Notification No.BB.94/45/50, dated 18th July 1947. 3 Substituted by the A. O. 1950 for "Province" tExtended to Excluded and P. E. Areas under section 92 of theGovernmentof India Act 1935 see NotificationNos.L.90/47/17, dated 9th April 1948 and No.BB.94/45/74, dated ~3rd January 1948, 4 Inserted by Assam Act XIII of 1952. 5 Substituted by Assam Act XIII of 195?. [Price 2 annas or 2d.] -- 2 trade either by himself or by an agent or representative, -or who follows a profession or calllng, or who is in employ me~t, either wholely or m part within the [State)l shall be liable to pay for each financial year a tax in respect of such profession, trade, calling or employment and in addition to any tax, rate, duty or fee which he is liable to pay under any other enactment for the time being in force : Provided that for the purposes of this section a person· on leave shall be deemed to be a person in employment. Rates of tax, 4. The tax shall be levied at the rates specified in the Schedule annexed to this Act. Determina- 5. The tax payable by any person under this Act shall tion of tax. be determined with reference to his gross income during the previous year from his profession, trades, calling or ... employment: Provided that the tax payable by any person shall not exceed fifty rupees for any financial year. 2 [ SA. The provisions of this Act shall not apply to a member of the armed forces of India. ] CHAPTER II TAXING AUTHORITIES Taxing [6. The Commissioner, Assistant Commissioner, Super- Assam Act Authorities. intendents, Inspectors and Sub-Inspectors or any other ~~~I of officer appointed under the Assam Sales _Tax Act, 1947, · shall be the Com missioner• Assistant Commissioner, Super intendents, Inspectors and Sub-Inspectors or such other officer respectively for carrying out the purposes of this Act, and their powers and duties and relation with one another shall be such as may be prescribed.]8 CHAPTER III ASSE~SMENT Returns. 7. ( 1) Every person liable to pay tax under this Act shall submit to the assessing authority a return in such form and within such time as may be prescribed : •. Provided that a person in respect of whom the tax has been -deducted under the provisions of section 9 shall, sub ject to the -provisions in sub-section (3) thereof, be exempt from the liability to submit a return under this sub-section. (2) In the case of any person who has not furnished a return under sub-section (1) inspite of his liability to pay tax under this Act for any financial year, the assessing autho rity may serve in that year a notice, in the prescribed form, on such person requiring him to furnish the return ; and such person shall thereupon furnish the return within the period specified in the notice : 1 Substituted by A.O. 1950 for "Province". 2 Inserted by the ASsam Act XXII of 1950 which came into effect from the date of the commencement of Assam Act VI of 1947. 3 Substituted by Assam Act XIII of 19S2 for original section. 3 Provided always that a person who is willing to pay tax on the basis of his assessment under the Indian Income-tax Act and who produces satisfactory evidence regarding the Act XI of amount on which he has been assessed will not be required 1922. to file' a return and the tax will be levied on the basis of such assessment. .. "' Provided also that any person offering to pay tax at the highest rate specified in the Schedule shall not be re quired to submit any return or to produce any evidence. Assessment 8. (1) If the assessing authority is satisfied that a return furnished under section 7 is correct and complete or satisfactory evidence of assessment under the Indian fncome- tax Act is produced he shall, by an order in writing, Act XJ of assess the person and determine the tax payable by him on 1922. the basis of such return or on the basis of such as!ess- , ment as the case may be. (2) If the assessing authority is not satisfied that a return furnished under section 7 is correct and c9mplete, he shall serve on the person concerned a notice requiring him, on the date, and at the hour and place to be specified there in, either to attend in person or to produce or cause to be produced evidence in support of the return. (3) On the days specified in the notice under sub-sec tion (2) or as soon afterward as may be, the assessing autho rity, after hearing such evidence as may be produced and such other evidence as he may require, shall, by an order in writing, assess the person and determine the tax payable by him. '(4 ) If any person fails to make a return· as required by section 7 or having made the return fails to comply with the terms of the notice issued under sub-section (2), the assess ing authority shall, by an order in writing, assess to the best of his judgment the person and determine the tax payable by him. [Provided that before making assessments, the assessing authority may allow the person such further time as he thinks fit to make the return or comply with the terms of the notice issued under sub-section (2).]1 ~ [8A. If for any reason any person has not been assessed or has been under-assessed for any financial year the assessing authority may, notwithstanding anything contained in sub-section (2) of section 7, at any time within three years of the end of that year, serve on the person liable to pay the tax, a notice containing all or any of the requirements which may be included in a notice under sub section (2) of section 7 and may proceed to assess or re assess him and the provisions of this Act shall, so far as may be, apply accordingly as if the notice were a notice issued under that sub-section : 1 Inserted by Assam Act XIII of 1952. 2 Inserted by Assam Act XIII of 1952. Asseasment Provided that the tax shall be charged at the rate at of Escaped which he would have been eharged if the person would not Tax. have escaped assessment or full assessment, as the case may be. Rectification 8B. ( 1) The authority which· made an assessment or of mistakes. passed an order on appeal or revision in respect thereof, may, of his own motion, and shall if an application is filed in this behalf, within three years from the date of such assessment or order rectify any mistake apparent from the record of the case : Provided that no such rectification having adverse effect upon an assessee shall be made unless the assessee has been given a reasonable opportunity of being heard. {2) Where any ~uch rectification has the effect of reduc ing the assessment, the assessing authority shall order any refund which may be due to such person. (3) Where any suchlrectification has the effect of enhanc ing the assessment or reducing the refund, the assessing authority shall serve on the person a notice of demand in the prescribed form specifying the sum payable, and such notice of demand shall be deemed to be issued under section 11 and the provision11 of this Act shall apply accordingly.] Deduction of 9. (1) The tax payable under this Act by any person tax at sour- in the employment of any Government, local authority, ccs. company, firm or other associ~tion of persons shall, in the manner prescribed, be deducted by the principal officer thereon from any amount payable to such person on behalf • of such Government, local authority, company, firm or other association of persons. (2) The principal officer making any deduction under sub-section (1) shaJl submit to the assessing authority such returns and within such time as may be prescribed. (3) The assessing authority may take action, if he thinks fit, in the manner pnvided by sub-section (2) of sec tion 7 and by section 8, in the case of any person in respect of whom he is satisfied that 1[no return under sub section (2) has been furnished or a return furnished under· that sub-section] is inaccurate or deficient. ~((4) Where any principal officer fails to deduct any tax or after deducting fails to pay it as required by or under this Act, he shall, without prejudice to any other consequen ces he may incur under this Act, be deemed to be a person in default in.respect of the tax not deducted or paid and all the provisions of section 13 shall apply to him: Provided that the assessing authority shall not make a direction under sub-section (2) of section 13 for the recovery of any penalty from such person unless it is satisfied that . . . such person has wilfully failed to deduct and pay the tax.] ~~qud~~~~- 8[9A. 'fhe assessing authority may require a principal tion of tax. officer to deduct, from any payment to a person, any tax or penalty due from him and the principal officer shall comply with such requisition.] ' 1 Substituted for the words "a return furnished under sub-section (2)" by Assam Act XIII of 1952. 2 Inserted by Assam Act XIII of 1952. 3 Inmted by Assam Act XIII of 1952. 5 Indemnity, i[9B. The principal officer deducting or paying any tax under the provisions of this Act is hereby indemnified for such deduction or payment thereof.] CHAPTER IV APPEALS Appeals1 2 [10. Any person aggrieved by an order passed by an assessing authority under this Act may in the prescribed manner appeal within thirty days of receipt of such order, to the Assistant Commissioner : Provided that the Assistant Commissioner may admit it after the expiration of thirty days, if he is satisfied that for reasons beyond the control of the appellant or for any other sufficient cause it could not be filed within time: Provided further that no appeal shall lie against an order of assessment under sub-section (4) of section 8.] Power of 8[10A. Subject to such rules as may be prescribed and revisiona for reasons to be recorded in writing, the Commissioner may, on an application by a person aggrieved by ariy order, filed within ninety days of that order, or of his own motion, revise any order passed under this Act by any officer subor dinate to him : Provided that no order prejudicial to a person shall be passed without giving him a reasonable opportunity of being heard.] CHAPTER V DEMANDS, PAYMENT AND RECOVERY Notice of 11. Where any tax or penalty is payable in consequence demand. of any ordl!r passed under or in pursuance of this Act, the assessing authority shall serve on the person concerned a notice of demand in the prescribed form specifying the amount so payable. Dues when 12. (1) The tax or penalty payable under this Act shall payable, be paid in the manner hereinafter provided. (2) Every person liable to furnish a return under sub section (I) of section 7 shall, before he furnishes the return pay into a Government·treasury the full amount of tax due on the basis of such return and shall furnish, along with the return, a receipt from such treasury in token of such payment. . (3) The principal officer deducting any tax under sec tion 9 shall pay the amount to a Government treasury with in thirty days of such deduction and shall furnish, along with the returns required to be made under sub-section (2) thereof, a receipt from such treasury in token of such pay ment. ( 4) The amount of tax or penalty due under this Act ( a) in excess of payment already made, or (b) wher~ no payment ha!i been ~ade,. . shall be paid by such date as may be specified m the notice of demand and, where no such date is specified, it shall be paid within thirty days of service of the notice of demand. 1 Irmrted by Assam Act XIII of 1952. 2 Substituted for the original section by Assam Act XIII of 1952. 3 Inserted by Assam Act XIII of 1952. 6 Mode ofre· 1(13, (1) Where any tax or other dues payable under , covery. t h.i s Act i.s not paid on or before the due date the person shall be deemed to be in default: Provided that where a person has presented an appeal or petition for revision and such appe.al or petition for revision has been admitted, he shall not be deemed, for so long as the appeal or petition for revision remains pending, ,. to be in default in respect of the portion of the dues in dispute. · (2) Where a person is in default, the assessing authority may, in his discretion direct that, in addition to the amount due a sum not exceeding that amount shall be recoverd from the defaulter by way of penalty. . (3) Where a person is in default, the assessing authority shall, unless action has been taken under section 9A, order that the amount due shall be recoverable as an arrear of land revenue and shall proceed to realise the amount due as such.] · Refunds, · 2(14. Any person who has paid any tax or penalty in excess of the amount due under this Act may, within ninety days of the service of the order of assessment or. that passed on appeal or revision as the case may be, apply for a refund and the amount paid in excess shall be refunded accord- ingly.] CHAPTER VII OFFENCES AND PENALTIES 15. Whoever- Failure to make re ( l) fails, without reasonable cause, to submit in due turns, etc. time any return required by or under the provisions of this Act or submit a false return ; or · (2) fails or neglects, ·without reasonable cause, to comp ly with any requirement made of, or any obligation laid on, him under the provisions of this Act, or , (3) fraudulently evades payment.of any tax due under this Act or conceals his liability to such tax ; shall, on conviction before a Magistrate and in addition to any tax or penalty or both that may be due from him, be punishable with imprisonment which may extend to six months or with fine not exceeding five hundred rupees or with both. CHAPTER VIII MISCELLANEOUS Power to 16. (1) The assessing authority ~ay, by a w~itten .notice compel require any person to attend before him and to give evidence attendancc1 or produce documents, as the case may be, for the purpqse etc. of determining the liability of himself or of any other person to taxation under this Act. .. ~_.,,._---- I S~bstituted for original section by Assam Act XIII of l 952. 2 Sub~tituted for original section by Assam.Act XIII of 1952. r / y 7 (2) Such person shall on such reqms1t10n be legally bound to attend and give evidence or produce documents, .. if in his power and possession, as the case may be, at the place and time specified in such notice, and whoever is re quired to produce a document may either attend and pro· duce it or cause it to be produced. Information 117. The assessing authority may demand from the prin- t~ ~ed fu~ cipal officer of any Government, local authority, company, ~~~ ;rinci:al firm or other association of persons the names and complete officer. addresses of all or any of the persons who have been, or are, in the employment of such Government, local authority, company, firm or other association of persons and such prin cipal officer shall thereupon furnish the assessing authority with the names and addresses so demanded. Prosecution, 1 [17A. No suit shall be brought in any civil court to set suits or aside or modify any assessment made or order passed under 0~~er proce- the provisions of this Act, and no prosecution, suit or •other e mgs. proceedings shall lie against any officer of the Government for anything in good faith done or intended to be done under this Act or the rules made thereunder: l 7B. In computing the period of limitation prescribed for an appeal or a revision, the day on which the order com plained of was made and the time requisite for obtaining a copy of such order shall be excluded.] Place of 18. Any person liable to pay tax under this Act shall assessment. ordinarily be assessed by the assessing authority of the area 'in which he carries on a trade, or follows a profession or calling or is in employment. Power to 19. The State2 Government may, subject to the condi- . make rules. tion of previous publication, make rules for carrying out the provisions of this Act. THE SCHEDULE (see Rule Section 4) RATES OF TAX A. In the case of every person other then a Hindu undiviued or joint family:- Where the total gross annual income Amount of tax Rs. 1. Does not exceed Rs.3,500 Nil 2. Exceeds Rs.3,500 but does not exceed Rs.5,000 24 3. Exceeds Rs.5,000 but does not exceed Rs.10,000 36 4. Exceeds Rs.10,000 50 B. In the case of every Hindu undivided or joint family: Where the total gross annual income Amount of tax ... Rs. 1. Does not exceed Rs.5,000 Nil 2. Exceeds Rs.5000 but does not exceed Rs.10,000 36 3, Exceeds Rs.10,000 50 1 Inserted by Assam Act XIII of 1952. 2 Substituted by the A. 0. 1950 for "Provincial". 3 See Notification No.BB.94/45 /72, dated 21st October 1947. A. G. P. (Leg.) No,31/54-150+500-5-3·1954.