Section 6 in The M.P. Vanijyik Kar Adhiniyam, 1994
6. Determination of liability to pay tax under this Act.
(1)The Commissioner shall, in the prescribed manner, institute proceedings for the purpose of determining the liability of a dealer to pay tax under this Act. Such liability shall be determined by an order and such determination shall be made within a period of twelve months from the date of institution of such proceedings.(2)Notwithstanding anything contained in sub-section (2) of Section 5, liability of a dealer to pay tax under this Act shall not be determined from a date earlier than five years prior to-(i)the date of institution of proceedings under sub-section (1); or(ii)the date of validity of the registration certificate, whichever, is earlier.
