(1) Subject to provisions of sub-section (2), the amount of tax due from a registered dealer or a dealer liable to be registered under this Act shall be assessed in the manner hereinafter provided, for the Tax Period during which the dealer is so liable as prescribed.
(2) Notwithstanding anything contained in this Section, if a registered dealer has failed to furnish return or returns under sub-section (1) of Section 29 in respect of any tax period or periods, the prescribed authority shall proceed to make provisional assessment under Section 36.
(3) Subject to sub-section 5 of this Section, if a registered dealer has filed all the returns and the annual return in respect of any tax period within the prescribed time and the return so filed are found to be in order, it shall be accepted as self-assessment in the prescribed manner, subject to adjustment of any arithmetical error; apparent on the face of the said return(s).
(4) The amount of input tax credit, exemptions and other credits or concessions claimed by the dealer in the return(s) for which no supporting declarations, certificates or evidence required under this Act or Central Sales Tax Act is furnished, self assessment shall be made accordingly without such input tax credit, exemption and other claims, treating such sales as taxable by levying appropriate rate of tax, notwithstanding the fact that the dealer may have been prevented by sufficient cause to produce such declarations, certificates or evidence in support of his claim.
(5) If a dealer has furnished all the returns and the revised returns, if any, within the prescribed period and in the prescribed manner or within next fifteen days thereafter and-
(a) The prescribed authority is satisfied that the returns or the revised returns as the case may be, and self assessment claim are prima-facie correct, consistent and complete, he shall accept the self assessment as filed by the dealer and shall assess the amount of tax and interest due from the dealer on the basis of such returns, after making prima-facie adjustment in the nature of arithmetical errors, if any, in the returns and the self assessment;
(b) If the self assessment has not been filed within the time prescribed or if filed, the prescribed authority is not satisfied that the return or the revised returns as the case may be, and the self assessment are consistent and complete, he may, assess after allowing the dealer an opportunity of being heard, the amount of tax and interest due from the dealer on the basis of such returns and documents which have come on record, after making such adjustments as may be necessary includingâ€“
(i) disallowance of claim of input tax credit, exemptions and deductions and any other concessions or rebates not supported by requisite evidence as required under the Act or the rules made thereunder; and
(ii) disallowance of claims of tax payments and refund adjustment not verified or otherwise not admissible; and
(iii) withdrawal of claim of tax credit including carry forward of tax credit not admissible; and
(iv) levying of interest applicable under this Act.
(6) No assessment under this Section shall be made after the expiry of two years, from the end the Tax Period in respect of which or part of which the tax is assessable.