Registration, Voluntary Registration and De-Registration Rules, 1996
In exercise of the powers conferred by section 50 of the Sales Tax Act, 1990, read with section 15 to 21 and 28 thereof, the Central Board of Revenue is pleased to make the following rules, namely:-
1. Short title, application and commencement : — (1) These Rules may be called Registration, Voluntary Registration and De-registration Rules, 1996.
(2) These shall apply to all persons who-
(a) are required to be registered under section 14 of the Act;
(b) opt for voluntary registration;
(c) opt for separate registration of branches, divisions manufacturing units; or
(d) are liable to be de-registered under section 21 of the Act.
(3) These shall come into force on the first day of July, 1996.
2. Definitions : — For the purposes of these Rules : —
(a) “Act” means the Sales Tax Act, 1990;
(b) “Annex” means the annex appended to these Rules;
(c) “application for registration” means application for registration of taxpayers in the form at Annex ‘A’; and
(d) “registration certificate” means a certificate of registration as at Annex ‘B’.
3. Application for registration : — (1) A person liable to be registered under section 14 of the Act or who opts for voluntary registration shall apply for registration in form at Annex `A’ which shall be submitted to the Collector-
(a) having jurisdiction in the area where his registered office is located, in case he keeps his business records at the registered office; and
(b) having jurisdiction in the area where the business premises are located, if the records are kept at the business premises:
(2) Where the application for registration is complete in all respects, the applicant shall be registered and a certificate of registration containing his registration number will be issued to him as in Annex ‘B’.
(3) Where an applicant has unsold or un-used stock of tax-paid inputs on which he desires to claim the benefits in accordance with section 59 of the Act, lie shall declare such stock to the Collector in a statement in the form, set out at annex-C, to be appended to his application for registration.
4. Application for separate registration of branches, divisions or manufacturing units : — (1) In case a registered person who conducts his taxable activity through different branches, divisions or manufacturing units is desirous of getting them registered separately, he shall file separate applications for their registration to the Collector of Sales Tax having jurisdiction in the area where that branch, division or manufacturing unit is located.
(2) The applications for registration filed under sub-rule (1) shall be processed in the respective collectorate and such branch, division or, as the case may be manufacturing unit shall be registered by the Collector subject to the conditions that–
(a) the registered person shall keep the relevant business records at the business premises of the branch, division or, as the case may be manufacturing unit which is separately registered; and
(b) the registered person shall file tax return in respect of such branch, division or manufacturing unit in the designated branches of National Bank of
4A. Compulsory registration:- (1) Wherein the opinion of an officer not below the rank of Assistant Collector any person is liable for compulsory registration under section 19 of the Act, he may issue notice to such person in the form set-out at annex-D.
(2) In case the officer, issuing the notice, receives written reply from the said person within the time specified in notice, contesting his liability to registration, he shall grant the person an audience and, after hearing him, shall decide whether such person is or is not liable to compulsorily registration. A copy of that decision shall be given to the said person.
(3) Where the person to whom a notice has been given under sub-rule (1), does not respond within the time specified in the notice, the officer issuing the notice may compulsorily register the person and allot him a registration number.
5. Deregistration : — (1) A registered person is liable to be deregistered if-
(a) he ceases to carry on his business;
(b) his supplies are no longer chargeable to sales tax;
(c) his turnover during the last twelve months in case of a manufacturer, is below one million rupees and in case of a retailer, is below five million rupees; or
(d) he fails to file sales tax return consecutively for six months.
(2) A person liable to be de-registered under clause (a), (b) or (c) of sub-rule (1) shall make an application to the concerned Collector of Sales Tax specifying therein the grounds for de-registration.
(3) On receipt of application under sub-rule (2), an officer not below the rank of an Auditor or a Deputy Superintendent of Sales Tax Shall be assigned to visit the registered office or the business premises of the registered person, wherever the records are kept, and examine, inspect and audit the relevant records and also to verify the physical stocks of taxable inputs and taxable supplies made so as to ascertain whether the applicant qualifies for de-registration.
(4) If, on the basis of inquiry under sub-rule (3), the concerned Collector of Sales Tax is satisfied that the applicant is liable to be de-registered he shall direct him to furnish a final return in respect of his taxable activity.
(5) The final return, submitted under section 28 of the Act, shall be examined and if the concerned Collector of Sales Tax is satisfied that the applicant has settled his tax liability, he shall be de-registered within the period specified under sub-section (1) of section 21 of the Act.
(6) In case the applicant is to be de-registered due to cessation of business or his supplies are no longer chargeable to tax, he shall be de-registered from such date as may be determined by the concerned Collector of Sales Tax Tint not later than the period specified under sub-section (1) of section 21 of the Act.
(7) In case a manufacturer seeks de-registration on the ground that his turnover has fallen below one million rupees he shall be de-registered from the beginning of next financial year in accordance with sub-section (2) of section 21 Of the Act.
(8) A person liable to be de-registered under clause (d) of sub-rule (1) shall be served with a show cause notice asking him to explain as to why he should not be deregistered and after giving him an opportunity of being heard, the concerned Collector of Sales Tax may de-register him without prejudice to any other action which may be taken under any other provision of the Act.
Annex – A
APPLICATION FOR REGISTRATION UNDER SALES TAX ACT, 1990
(FOR CORPORATION/COMPANIES/FIRMS/HUFs/AOPs/INDIVIDUALS/OTHER BUSINESSES)
The form may be filled in accordance with the appended instructions
(This form may be used both for New and Existing Taxpayers)
(Additional sheets may be attached if required)
(01) National Tax No. (NTN) ___________________________________
(02) Sales Tax Registration No. ________________________________
(To be filled by Existing Taxpayers and by Re-registrants)
(03) Import Registration No. __________________________________
(04) Business Name _________________________________________
(05) Address Of Registered Head Office _________________________
(06) City ______________________ Post Code __________________
(07) Tel. No. ___________________ Fax No. _____________________
(08) Addresses Of all the premises of the Business Activities ________
(09) Address where Business Records are kept (If different from 08 above) ___________________________________________________________
(10) City ______________________ Post Code __________________
(11) Tel. No. ___________________ Fax No. _____________________
(12) Business Activity
(Please tick whichever is applicable)
Note: In case of more than one activities, please tick all applicable boxes.
(13) Principal Business Activity (Please tick ONLY ONE of the categories below):
(14) Primary Product Manufactured/Sold/Imported/Exported Etc.
Product ___________________ PCT Code (For Official Use) _______________
(Only one of the Column from Column (15) to Column (21) is required to be filled, the remaining may be left blank or cut off)
(a) NIC Number ________________________________________
(b) Date of Commencement Of Business ____________________
(c) Initial Capital employed Rs.____________________________
(a) Date Of Constitution ________________________________
(b) Initial Capital Employed ______________________________
(c) No Of Members _____________________________________
(d) Date of Commencement Of Business____________________
(a) Date Of Registration of Deed _________________________
(b) Date from which partnership was effective _____________
(c) No. Of Partners ____________________________________
(d) Initial Capital employed ______________________________
(e) Date from which registration is granted by Income Tax Department ______________________________ (In case of registered firm only)
(f) Date of Commencement Of Business ___________________
(a) Company Registration No. ____________________________
(b) Date of Incorporation. _______________________________
(c) Limited by share ____ or by guarantee _______
(d) Issued/Paid up Capital Rs.____________________________
(e) Date of Commencement Of Business ___________________
(f) Type Of Company (Please tick one of the relevant box applicable below)
Domestic Public Company
Corporate Body formed under any law in force in
Domestic Pvt. Ltd. Company
Listed On Stock Exchange
Domestic Unlisted Public Company