Value Added Tax (Amendment) Act, 1997

3. Section seventeen of !he principal Acl is amended by­ ( a) the insenion immedialely after subsection (I) of the following new subsection: (2) A taxable supplier who has lodged a return but has not paid the tax due on the return within !he time allowed, shall pay additional tax of one hal fof one per cenlllm of the tax payable in respect of the prescribed accounting period covered by the return for each day · following the day when the return was lodged lo the date that payment of the tax is made. (h) the re-numbering of subsection (2) as (3) and subsection (3) as (4); ( c) by the addition after subsection (4) of the following new subsection: (5) Where the taxable supplier fails to make a tax relllm within the lime allowed and did not intend to avoid or postpone liability to pay tax, the addilional tax payable under this section may be remitted in whole or in part. Amendment of section 24

4. Section twenty:four of the principal Act is amended by the inscrtion- (a) immediately aftcr thefigure" 24 "of the figure" (I) "; and • • r Value Added Tax (Amendment) (No. 2 ofl997 5 (b) immediately after subsection (I) of the following new subsection: (2) Where a registered supplier continues to make taxable supplies beyond the time allowed by the Commissioner-General under paragraph (b) of sub­ section (I) as security or funher security, the supplier shall be guilty of an offence and shall be liable, upon conviction, to a fine not exceeding ten thousand penalty units or to imprisonment for a tenn not exceeding twelve months, or to both.

5. Section twenty-five of the principal Act is amended by the insertion, immediately after subsection (2), of the following new; subsection: Amendment or section 25 (3) Where a taxable supplier fails to make any payment required under subsection (I), the supplier shall be guilty of an offence and shall be liable, upon conviction, to a line not exceeding ten thousand penalty units or to imprisonment for a term not exceeding twelve months, or to both.

6. Section twenty-eight of the principal Act is amended- Amendment of section 28 ( a) by t!ie insertion, immediately after subsection (5), of the following new subsection: (6) The registration of a supplier shall take effect from- ( a) in the case of a new business, the dale of commence�ent of trading; or (b) in the case of a continuing business- . (i) within one month of an appli­ cation being made or from the date the the application was received by Commissioner-General; or (ii) if the application is not made within one month of the taxable tumover becomingdue, the taxable turn­ over prescribed under subsection ( l) shall apply; and (b) by the re-numbering of subsection (6) as subsection (7). 6 No. 2 of 1997] Value Added Tax (Amendment) Amendment of section 32

7. Section thirty-two of the principal Act is amended by the deletion of subsection (4) and the substitution therefor of the following: (4) A person aggrieved by a decision of the Tribunal may appeal to the High Court. Insertion of section 38A

8. The principal Act-is amended by the insertion, immediately after section thirty,eight, of the following new section thirty­ eight A: Impounding and removal of goods

38A. (I) Where- an officer of the rank of Assistant Commissioner or above who is authorised by the Commis­ sioner-General, has reason to believe that a supplier is selling taxable goods without charging the tax due on such supplies, the officer may impound the goods either al the premises where t!ie goods arc being sold or at such place as the officer considers appropriate. (2) Where an officer of the rank of Assistant Commis­ sioner or above, who is authorised by the Commissioner­ Gencral, has reason to believe that a supplier has received taxable goods witbout having been charged the tax due on their supply or at importation, the officer may impound the goods either at the premises where the goods arc or al such place as the officer considers appropriate. (3) For the purposes of impounding goods under this section by an officer authorised by the Commissioner­ General, a police officer may be present while the goods are being impounded. (4) An officer authorised under subsections (I) and (2) may, at the cost of the taxpayer, employ such persons as the officer may think necessary to assist such ofliccr in the execution of such oflicer's duty to ensure the security or the goods impounded or lo assist with their removal. (5) An officer who hns IJccn authorised under subsections (I) and (2) who impounds goods under subsection (1) or (2) shall issue a receipt for any such goods removed. (6) If a taxable supplier from whom the goods have been impounded under subsection (1), fails to produce, within fourteen days, evidence that such a supplier has comp I ied with the provisions of this Act, the Commissioner-General may declare any or all of the goods to be forfeited. (7) If a taxable supplier from whom the goods have been .J Value Added Tax ( Amendment) rNo. 2 of 1997 7 impounded under subsection (2) fails to produce. within fourteen days, evidence that tax has been paid at the time the goods arc supplied or at importation, the Commissioner­ General may declare any or all the goods Lo be forfeited. (8) Where goods arc forfeited under this section, Lhc Commissioner-General shall, by notice in writing, specif'y the articles which have been seized and inform the person rrom whom the goods have been seized Lhat proceedings for their recovery may be instituted within Lhrec months from the date the notice is given. (9) If proceedings arc not instituted undcrthc provisions of subsection (8), any articles forfeited shall, by direction of the Commissioner-General, be sold al a public auction. (10) Notwithstanding any other provision of this section. where goods which arc of a perishable nature arc impounded, the Commissioner-General may direct that the goods shall be de. troyed or sold immediately by public auction if the officer who has been so authorised hy Lhe Commissioner-General can secure an offer of not less than fifly per centum of the market value. ( 11) Where goods of a perishable nature have been sold and Lhc supplier provides evidence that such supplier has complied with this section. the supplier shall immediately he paid- (a) the proceeds of the sale without deduction; and (h) such other resitution as is agreed with the Commissioner-General or the supplier may recover by restitution, in a court of compe1e1ll jurisdiction.