8-A Determination of Turnover
(1) In determining the turnover of a dealer of this Act, the following deductions shall be made from the aggregate of the sale prices, namely;
(a) the amount arrived at by applying the following formula:--
rate of tax X aggregate of sale prices
Provided that no deduction on the basis of the above formula shall be made if the amount by way of tax collected by a registered dealer, in accordance with the provisions of this Act, has been other wise deducted from the aggregate of sales prices.
Explanation: where the turnover of a dealer is taxable is taxable at different rates, the aforesaid formula shall be applied separately in respect of each part of a turnover liable to a different rate of tax;
(b) the sale price of all goods returned to the dealer by the purchases of such goods-
(i) within a period of three months from the date delivery of the goods, in the case of goods returned before the 14th day of May, 1966.
(ii) Within a period of six months from the date of delivery of the goods, in the case of goods returned on or after the 14th day of May,1966.
Provided that satisfactory evidence of such return of goods and of refund or adjustment in accounts of the sale price thereof is produced before the authority competent to assess or as the case may be, reassess the tax payable by the dealer under this Act; and
(c) such other deductions as the Central Government may, having regard to the prevalent market conditions, facility of trade and interests of consumers, prescribe.
(2) save as otherwise provided in sub-section(1), in determining the turnover of a dealer for the purposes of this Act, no deduction shall be made from the aggregate of the sale prices.
