No: 16 Dated: Nov, 24 2020

THE MEGHALAYA SETTLEMENT OF ARREARS (UNDER THE STATE TAXATION ACTS) ACT, 2020

ACT NO. 16 OF 2020

    An Act to provide for securing the interest of Revenue Collection by the Government of Meghalaya, and to reduce the arrears arising out of the enactments administered by the Commercial Taxes Department and matters incidental thereto.

Be it enacted by the Legislature of the State of Meghalaya in the Seventy-first year of the Republic of India as follows:-

1. Short title, extent and commencement:- (1) This Act may be called The Meghalaya Settlement of Arrears (under State Taxation Acts) Act, 2020.

(2) It extends to the whole of the State of Meghalaya.

(3) It shall come into force on such date as the State Government may, by notification in the official Gazette appoint.

2. Definitions:- (1) In this Act, unless the context otherwise requires, —

(a) “Annexure” means the Annexure appended to this Act;

(b) “Appellate Authority” means the authorities competent to hear appeals against orders passed under the provisions as existed before the subsumation of the enactments under the Meghalaya Goods and Services Tax Act, Act or as existing under the enactments kept out of the Meghalaya Goods and Services Tax Act, Act and includes the Assistant Commissioner of Taxes (Appeals) or any officer not below the rank of Commissioner of Taxes, Assistant Commissioner of Taxes, the Appellate Tribunal and all authorities specified in sub-section (4) of Section 6 of this Act;

(c) “Applicant” means a tax defaulter or a tax non-payer or short payer who is liable to pay arrears of Tax, interest, surcharge and penalty, levied or imposed under the relevant State Taxation Acts and who desires to avail the benefit of settlement, by complying with the conditions, under this Act;

(d) “Arrears” means the composite amount of tax, interest, surcharge, penalty as the case may be, —

(i) payable by an assessee as per any statutory order under the relevant State Taxation Act as on the cut-off date which is the 31st March 2020; or

(ii) admitted in the return or, as the case may be, the revised return filed under the relevant State Taxation Acts and which has not been paid either wholly or partly; or

(iii) determined and recommended to be payable by the auditor, in the audit report under the relevant State Taxation Acts; or

(iv) in respect of which a notice has been issued, in relation to any proceeding under the relevant State Taxation Acts; or 

(v) determined to be payable by the assessee where no notice in relation to any proceeding under the relevant State Taxation Acts is issued, and such arrears of tax, interest, surcharge, penalty, pertains to specific tax period for which the return has been filed;

(e) “Assessing Officer” means the Government official designated to complete assessment of periodical tax Returns filed by a registered dealer under respective State Taxation Acts;

(f) “Assessment” means statutory proceedings under State Taxation Acts to determine the tax liability of a registered dealer;

(g) “Commissioner” means the Commissioner of Taxes, Meghalaya;

(h) “Dealer” means a person who carries on business, as defined under clause (xvi) of Section 2 of the Meghalaya Value Added Tax Act, 2003, sub-section (3) of Section 2 of the Meghalaya Sales Tax Act, subsection (2) of Section 2 of the Meghalaya (Finance) Sales Tax Act, sub-section (3) of Section 2 of the Meghalaya Purchase Tax Act, subsection (4) of Section 2 of the Meghalaya (Sales of Petroleum and Petroleum products etc.) Taxation Act and clause (b) of Section 2 of the Central Sales Tax Act, 1956;

(i) “Government” means the Government of Meghalaya;

(j) “Hotelier” means a person as defined under clause (d) of Section 2 of The Meghalaya Tax on Luxuries (Hotels and Lodging Houses) Act, 1991;

(k) “Notice of Demand” means a statutory notice issued to a registered dealer after assessment requiring him to pay the outstanding dues;

(l) “Person” includes an individual, joint family, firm, company, association of persons, body of individuals whether incorporated or not, Central Government or State Government or local authority;

(m) “Registered dealer Taxation Act” means a dealer or a hotelier registered under the respective State Taxation Acts;

(n) “Scheme” means the settlement of Arrear (under the State Taxation Acts) as provided under Section 3 to Section 13 of this Act;

(o) “State” means the State of Meghalaya;

(p) “State Taxation Acts” include The Meghalaya Sales Tax Act (Assam Act XVII of 1947 as adapted and amended by Meghalaya), The Meghalaya (Finance) Sales Tax Act (Assam Act XI of 1956 as adapted and amended by Meghalaya), The Meghalaya Tax on Luxuries (Hotels and Lodging Houses) Act, 1991, The Meghalaya (Sale of Petroleum and Petroleum Products etc.) Taxation Act (Assam Act IX of 1956 as adapted and amended by Meghalaya), the Meghalaya Purchase Tax Act (Assam Act XIX of 1967 as adapted and amended by Meghalaya), the Meghalaya Value Added Tax Act, 2003 and the Central Sales Tax Act, 1956 as administered, collected and appropriated by the Government;

(q) “Tax Defaulter” means a registered dealer who has been assessed to tax and has been issued notice(s) of Demand on or before the 31st March 2020, but has failed to pay the outstanding dues of tax, interest, surcharge or penalty; and

(r) “Tax Non-payer and/or Short payer” means a registered dealer who has furnished the return for all tax periods upto 31st March, 2020 but has made no payment or has failed to make full payment of the tax admitted therein and notice(s) of demand has not yet been served;

    (2) Words and expressions used in this Act but not defined herein shall have the same meaning as respectively assigned to them under the relevant State Taxation Acts;

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