Section 43(2)(a) in The M.P. Vanijyik Kar Niyam, 1995
(a)On receipt of the application, the appropriate Commercial Tax Officer shall grant a tax clearance certificate in Form 44 to the dealer or reject the application within one month from the date of receipt of the application. An application for a tax clearance certificate shall be rejected, if the dealer is either in arrears of a tax or has not furnished a return for any period which is pending for assessment.