Tamil Nadu Value Added Tax Act, 2006

No: 32 Dated: Dec, 14 2006

THE TAMIL NADU VALUE ADDED TAX ACT, 2006

(Tamil Nadu Act 32 of 2006)

    An Act to consolidate and amend the law relating to the levy of tax on the sale or purchase of goods in the State of Tamil Nadu.

    Be it enacted by the Legislative Assembly of the State of Tamil Nadu in the (Sixty sixth) (Sixty-seventh) Fifty-seventh Year of the Republic of India as follows:-

1. Short title and commencement. - (1) This Act may be called the Tamil Nadu Value Added Tax (Second Amendment ) Act, 2016 2015.

(2) It shall come into force on such date as the State Government may, by Notification, appoint..

(3) It shall be deemed to have come into force on the 1st day of January 2007

2. Definitions. -In this Act, unless the context otherwise requires, - .

(1) "Additional Commissioner" means any person appointed to be an Additional Commissioner of Commercial Taxes under section 48;

(1-A) "Administrative Deputy Commissioner" means any person appointed to be an administrative Deputy Commissioner of Commercial Taxes under Section 48;}

(2) "Appellate Deputy Commissioner" means any person appointed to be an Appellate Assistant Commissioner of Commercial Taxes under section 48;

(3) "Appellate Joint Commissioner" means any person appointed to be an Appellate Deputy Commissioner of Commercial Taxes under section 48;

(4) "Appellate Tribunal" means the Tribunal constituted under section 50;

(4-A) "Assessment" means an assessment made or deemed to have been made under this Act and includes a reassessment or revision of assessment ;

(5) "Assessing authority" means any person authorised2 by the Government or by the Commissioner to make any assessment under this Act;

(5-A "Assistant Commissioner" means any person appointed to be an Assistant Commissioner under Section 48;

(6) Omitted Omitted by Act No.23 of 2011- Section 2. prior to this omission (from 26th August 2010) this clause read as under;-

(6) "Assistant Commercial Tax Officer" means any person appointed by the Commissioner by name or by virtue of his office to exercise the powers of an Assistant Commercial Tax Officer ;

(7) Omitted

(8) Omitted

(9) "branded" means any goods sold under a name or a trade mark registered or pending registration or pending registration of transfer under the Trade and Merchandise Marks Act, 1958 (Central Act 43 of 1958) or the Trade Marks Act, 1999 (Central Act 47 of 1999).

(10) "business" includes -

(i) any trade or commerce or manufacture or any adventure or concern in the nature of trade, commerce or manufacture, whether or not such trade, commerce, manufacture, adventure or concern is carried on with a motive to make gain or profit and whether or not any profit accrues from such trade, commerce, manufacture, adventure or concern; and

(ii) any transaction in connection with, or incidental or ancillary to, such trade, commerce, manufacture, adventure or concern;

(11) "capital goods" means, -

(a) plant, machinery, equipment, apparatus, tools, appliances or electrical installation for producing, making, extracting or processing of any goods or for extracting or for bringing about any change in any substance for the manufacture of final products;

(b) pollution control, quality control, laboratory and cold storage equipments;

(c) components, spare parts and accessories of the goods specified in (a) and (b) above;

(d) moulds, dies, jigs and fixtures;

(e) refractors and refractory materials;

(f) storage tanks; and

(g) tubes, pipes and fittings thereof used in the State for the purpose of manufacture, processing, packing or storing of goods in the course of business excluding civil structures and such goods as may be notified by the Government;

(12) "casual trader" means a person who has, whether as principal, agent or in any other capacity, occasional transactions of a business nature involving the buying, selling, supply or distribution of goods in the State, whether for cash, or for deferred payment, or for commission, remuneration, or other valuable consideration, and who does not reside or has no fixed place of business within the State;

(12-A) "clearing and forwarding agent" means any person who is engaged in providing any service, either directly or indirectly, connected with the clearing and forwarding of goods in any manner to any other person;

(13) "Commercial Tax Officer" means any person appointed by the Commissioner by name or by virtue of his office, to exercise the powers of a Commercial Tax Officer;

(14) "Commissioner" means any person appointed to be a Commissioner of Commercial Taxes under section 48;

(15) "dealer" means any person who carries on the business of buying, selling, supplying or distributing goods, directly or otherwise, whether for cash, or for deferred payment, or for commission, remuneration or other valuable consideration, and includes-

(i) a local authority, company, Hindu undivided family, firm or other association of persons which carries on such business;

(ii) a casual trader;

(iii) a factor, a broker, a commission agent or arhati, a del credere agent or an auctioneer, or any other mercantile agent by whatever name called, and whether of the same description as hereinbefore or not, who carries on the business of buying, selling, supplying or distributing goods on behalf of any principal, or through whom the goods are bought, sold, supplied or distributed;

(iv) every local branch of a firm or company situated outside the State;

(v) a person engaged in the business of transfer otherwise than in pursuance of a contract of property in any goods for cash, deferred payment or other valuable consideration;

(vi) a person engaged in the business of transfer of property in goods (whether as goods or in some other form) involved in the execution of a works contract;

(vii) a person engaged in the business of delivery of goods on hire-purchase or any system of payment by instalments;

(viii) a person engaged in the business of transfer of the right to use any goods for any purpose (whether or not for a specified period) for cash, deferred payment or other valuable consideration;

(ix) a person engaged in the business of supplying by way of, or as part of, any service or in any other manner whatsoever of goods, being food or any other article for human consumption or any drink (whether or not intoxicating), where such supply or service is for cash, deferred payment or other valuable consideration;

Explanation I. - A society including a co-operative society, club or firm or an association which, whether or not in the course of business, buys, sells, supplies or distributes goods from or to its members for cash, or for deferred payment or for commission, remuneration or other valuable consideration, shall be deemed to be a dealer for the purposes of this Act:

Explanation II. - The Central Government or any State Government which, whether or not in the course of business, buy, sell, supply or distribute goods, directly or otherwise, for cash, or for deferred payment, or for commission, remuneration or other valuable consideration, shall be deemed to be a dealer for the purposes of this Act;

Explanation III. - Each of the following persons or bodies who dispose of any goods including unclaimed or confiscated or unserviceable or scrap surplus, old or obsolete goods or discarded material or waste products whether by auction or otherwise directly or through an agent for cash or for deferred payment or for any other valuable consideration, notwithstanding anything contained in this Act, shall be deemed to be a dealer for the purposes of this Act to the extent of such disposals, namely:-

(i) Port Trust;

(ii) Municipal Corporations, Municipal Councils and other local authorities constituted under any law for the time being in force;

(iii) Railways administration as defined under the Railways Act, 1989(Central Act 24 of 1989);

(iv) Shipping, transport and construction companies;.

(v) Air Transport Companies and Airlines;

(vi) Any person holding permit for the transport vehicles granted under the Motor Vehicles Act, 1988 ( Central Act 59 of 1988 )which are used or adopted to be used for hire;

(vii) The Tamil Nadu State Road Transport Corporations;

(viii) Customs Department of the Government of India administering the Customs Act, 1962 (Central Act 52 of 1962);

(ix) Insurance and Financial Corporations or Companies and Banks included in the Second Schedule to the Reserve Bank of India Act, 1934 (Central Act II of 1934);

(x) Advertising agencies; and

(xi) Any other corporation, company, body or authority owned or set up by, or subject to administrative control of the Central Government or any State Government.

(16) "declared goods" means goods declared by section 14 of the Central Sales Tax Act, 1956 (Central Act 74 of 1956), to be of special importance in inter-State trade or commerce;

(16-A) "Deputy Commercial Tax Officer" means any person appointed by the Commissioner by name or by virtue of his office, to exercise the powers of a Deputy Commercial Tax Officer;

(17) Omitted

(18) "Deputy Commissioner" means any person appointed to be a Deputy Commissioner of Commercial Taxes under section 48;

(18-A) "Deputy Commissioner (Assessment)" means any person appointed to be a Deputy Commissioner of Commercial Taxes (Assessment) under section 48;

(19) "Deputy Commissioner (Enforcement)" means any person appointed to be a Deputy Commissioner of Commercial Taxes (Enforcement) under section 48;

(20) "exempted goods" means the goods falling under the Fourth Schedule and goods exempted by the Government, by notification, from time to time.