Provisional registration in certain cases (1) Any person intending to establish a business in Uttar Pradesh for the purpose of manufacturing goods for sale of a value exceeding [two lakh rupees] or any person as may be specified by the State Government by notification intending to establish a business in Uttar Pradesh for the purpose of selling goods of a value exceeding 1[three lakh rupees] in a year may, notwithstanding that he is not required to apply for registration under section 8A, make an application to the assessing authority in such form and manner as maybe prescribed for provisional registration (2) The application for provisional registration shall be verified in the prescribed manner, and shall be accompanied by satisfactory proof of payment of a fee of one hundred rupees for the first assessment year or part thereof and fifty rupees for every subsequent assessment year or part thereof, for which it has been made.
(3) If the assessing authority, after making such enquiry as it may consider necessary, .it is satisfied as to the bona fide intention of the person making the application, it may grant a provisional certificate of registration in the prescribed form, on such person furnishing such security as the assessing authority may consider necessary. The provisions of section 8C shall, mutatis mutandis, apply to the security or additional security demanded under this sub-section.
(4) A provisional certificate of registration granted under this section shall be in force for such period as may be specified therein and the provisions of section 8A shall, so far as may be, apply in respect thereof:
PROVIDED that the assessing authority may, for reasons to be recorded in writing and on payment of the fee specified in sub-section (2) extend the period of registration.
(5) Every person who has been granted a provisional certificate of registration under this section shall, for the purpose of this Act, be deemed to be a registered dealer and be liable to pay tax under this Act, anything regarding the minimum turnover contained in sub-section (2) of section 3 or section 18 notwithstanding.
(6) If a person who has been granted a provisional certificate of registration under this section fails to start selling goods manufactured by him within the period specified in the certificate or within the period extended by assessing authority, as the case may be, he shall, if he has purchased raw materials on payment of tax at concessional rate or without payment of tax in accordance with sub-section (1) of section 4B be liable to pay as penalty an amount equivalent to the difference between the amount of tax, on the sale or purchase of such raw materials at the full rate applicable thereto under section 3A or section 3D, as the case may be, and the amount of tax, if any, paid in accordance with sub-section (1) of section 4B:
PROVIDED that no penalty shall be imposed by the assessing authority under this sub-section except after a reasonable opportunity of being heard has been given to such person.
advertisement