6A. Purchase tax payable on purchases of cotton

¹[6A. Purchase tax payable on the purchases of cotton.-

      (1) There shall be levied a purchase tax on  the turnover of purchases of cotton purchased, directly or through a commission agent, from a person who is not a dealer or a dealer who is not a registered dealer, if,-

(a)    the cotton so purchased are dispatched outside the State, to any place within India, not by reason of sale, to his own place of business or of his agent; or

(b)     the cotton so purchased are used in the manufacture of -

(i)           tax free goods; or

(ii)          taxable goods and the goods so manufactured are dispatched outside the State, to any place within India, not by reason of sale,  to his own place of business or of his agent.

(2)  The rate of purchase tax shall be equal to the rate of sales tax set out against the aforesaid goods in SCHEDULE C.]

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1.      This section inserted by Mah. Act No.8 of 2012 dated 25^th April 2012.