Section 22 in Daman and Diu Value Added Tax Regulation, 2005
22. Cancellation of certificate of registration.
(1)Where -(a)a registered dealer, who is required to furnish security under the provisions of this Regulation, has failed to furnish or maintain such security; or(b)a registered dealer has ceased to carry on any activity or business which would entitle him to be registered as a dealer under this Regulation; or(c)an incorporated body has been wound up or otherwise ceases to exist; or(d)the owner of a proprietorship business dies leaving no successor to carry on the business; or(e)in the case of a firm or association of persons, it is dissolved; or(f)registered dealer has ceased to be liable to pay tax under this Regulation; or(g)a registered dealer knowingly furnishes a return which is misleading or deceptive in a material particular; or(h)a registered dealer has committed one or more offences or contravened the provisions of this Regulation; or(i)the Commissioner, after conducting proper inquiries, is of the view that it is necessary to do so,the Commissioner may, after service of a notice in the prescribed form and after giving the dealer an opportunity of being heard, cancel the certificate of registration of the dealer with effect from the date, as may be, specified by him in the notice.(2)Where -(a)a registered dealer has ceased to carry on any activity which would entitle him to be registered as a dealer under this Regulation; or(b)an incorporated body has been wound up or otherwise ceases to exist; or(c)the owner of a proprietorship business dies leaving no successor to carry on business; or(d)in the case of a firm or association of persons, it is dissolved; or(e)a registered dealer has ceased to be liable to pay tax under this Regulation,the registered dealer or the dealer's legal representative in case of clause (c) above, shall make an application for cancellation of his certificate of registration to the Commissioner in the manner and within the time as may be prescribed.Explanation. - For the purpose of this sub-section, "legal representative" has the same meaning as assigned to it in clause (11) of section 2 of the Code of Civil Procedure, 1908 (5 of 1908).(3)On receipt of such application, if the Commissioner is satisfied that the dealer has ceased to be entitled to be registered, he may cancel the certificate of registration.(4)If a registered dealer ceases to be registered, the Commissioner shall cancel the certificate of registration of the dealer.(5)If certificate of registration of a dealer, which has been cancelled under this section, has been restored as a result of an appeal or other proceeding under this Regulation, the certificate of registration of such dealer shall be restored and he shall be liable to pay tax as if his registration had never been cancelled.(6)If any registered dealer, whose certificate of registration has been restored under sub-section (5), satisfies the Commissioner that an excess tax has been paid by him during the period of his certificate of registration was not in force which, but for the cancellation of his certificate of registration, he would not have paid, then the amount of such tax shall be adjusted or refunded in such manner, as may be prescribed.(7)Every registered dealer, who applies for cancellation of his certificate of registration, shall surrender with his application the certificate of registration granted to him and every registered dealer whose certificate of registration is cancelled otherwise than on the basis of his application shall surrender the certificate of registration within seven days of the date of communication to him of the cancellation.(8)The Commissioner shall, at intervals not exceeding three months, publish in the Official Gazette, such particulars as may be prescribed, of registered dealers whose certificate of registration has been cancelled.(9)The cancellation of certificate of registration shall not affect the liability of any person to pay tax due for any period and unpaid as on the date of such cancellation or which is assessed thereafter notwithstanding that he is not otherwise liable to pay tax under this Regulation.
