Liability of additional tax for unregistered dealer

[madhavvan n]

as per punjab vat amendment section 8B inserted wherein it is mentioned that there shall be levied and collected on taxable turnover of a person other than registered person an additional tax which shall be calculated at rate of 10% of the tax payable by him under the act. does this mean that any body who is not registered under Punjab VAT is liable for payment of additional tax @10% on tax payable by him under tha act the above provision is not clear can learned viwers throw light on the implication of above.

[DEV KUMAR KOTHARI]

It is necessary to read entire charging provisions and also the relevant provisions and the context, purpose and scheme of the Act.

AI Summary

Additional tax liability for unregistered dealers depends on construction of the statutory charging provisions and scheme of the VAT law. Whether an unregistered dealer must pay an additional tax depends on the proper construction of the charging provision that levies tax on the 'taxable turnover of a person other than registered person'; the question requires reading that clause together with related definitions, assessment and collection rules and the Act's purpose and scheme to determine the provision's scope and application.