PART IX

INSPECTION OF GOODS IN TRANSIT

Rule 157. (1) The document referred to in sub-section (2) of section 53 shall be,-

(a) a delivery note in Form VAT 505, issued by the owner or the consignor of goods, in respect of such goods as may be notified by the Commissioner and where the goods are carried as a result of sale, a tax invoice or a bill of sale; 

(b) a tax invoice or a bill of sale where the goods are carried as a result  of sale and are not covered by clause (a); and

(c) a delivery note in Form VAT 505, issued by the owner or the consignor of goods or Form VAT 515, issued by the owner or the consignor of goods, who is a dealer permitted to issue such delivery note in Form VAT 515 as may be notified by the Commissioner subject to such conditions as specified, where the goods carried are not covered by clause (a). 

(2) (a) The delivery note in Form VAT 505 shall be obtained by a dealer from the Local VAT officer or VAT sub-officer on payment of fifty rupees per book of twenty five Forms or two rupees per Form.

(b) Every Form VAT 505 so obtained by the dealer shall be kept by him in safe custody, and the dealer shall be personally responsible for the loss, destruction or theft of any such Form or the loss of revenue to the State Government resulting directly or indirectly from such loss, destruction or theft.

(c) Every dealer shall maintain in a register in Form VAT 510 true and complete account of every such Form obtained by him and where any Form is lost, destroyed or stolen, the dealer shall report the fact to the jurisdictional Local VAT officer or VAT sub-officer within a week of such loss, destruction or theft, shall make appropriate entries in the remarks column of the said register and take such other steps to issue public notice of the loss, destruction or theft, as such officer may direct.

(d) Any unused delivery note in Form VAT 505 remaining in stock with a dealer shall be surrendered to the jurisdictional Local VAT officer or VAT sub-officer within thirty days of the discontinuance of the business by the dealer or cancellation of his certificate of registration.

(e) No dealer who has obtained such Form shall, either directly or through any other person, transfer the same to another person.

(f) A delivery note in respect of which a report has been received by the jurisdictional tax officer under clause (c) shall not be valid for the purpose of sub-section (2) of section 53.

(g) The Joint Commissioner shall from time to time publish in the Official Gazette, the particulars of the delivery notes in Form VAT 505 in respect of which a report has been received under clause (c).

(3)(a) Every dealer issuing a delivery note in Form VAT 515 shall notify in advance the commencement of issue of such delivery notes to the jurisdictional Local VAT officer or VAT sub-officer and thereafter the said dealer shall be deemed to be permitted to issue Form VAT 515.

(b) Every delivery note in Form VAT 515 issued under clause (a), shall be printed in triplicate in black ink on white paper measuring 210 by 297 m.m. and serially machine numbered, and the dealer shall maintain an account in respect of such delivery notes issued in a register in Form VAT 520.

(c) If any dealer fails to maintain a true and correct account as required under clause (b) or is found to have transported any goods in contravention of the provisions of sub-section (2) of section 53, the jurisdictional Local VAT officer or VAT sub-officer shall, after giving such dealer a reasonable opportunity of being heard pass an order dis-entitling such dealer from issuing any delivery note in Form VAT 515 and directing such dealer to obtain delivery note in Form VAT 505.

(d) The Local VAT officer or VAT sub-officer may, subject to payment of security that he may demand for proper use of delivery note in Form VAT 515, in his discretion, permit a dealer in respect of whom an order has been passed under clause (c), to issue the Form VAT 515 afresh and to make use of the same for transport of goods.