47. Lump sum scheme in respect of brick kiln owners. section 9.

(1) A brick kiln owner may, subject to other provisions of this rule, opt for payment of lump sum in lieu of tax payable under the Act by way of composition at the rates given in the Table below.  

Note :-If a kiln is designed to be fired at two places, the rate of lump sum payable by the owner of such kiln shall be double of the aforesaid rates.

Explanation.¾ Ghori is vertical column of bricks of width equalling the length of a brick separated from the next similar vertical column by a distance of about 4” to 5” and “number of ghori” is the number of vertical columns of bricks capable of being accommodated between the inner and outer wall of the vessel of a brick-kiln over its full width.

(2) A brick kiln owner may at any time exercise his option to pay lump sum in lieu of tax in the following Form:

Form of application

I……………………………….… (name), aged ………(years), son of Shri ……………….…… resident of village/town ………… District ………..… proprietor/partner/manager/managing director of M/s ……………………………….… holding TIN …………… owner of brick kiln situated at ………………… (Place), District …………………, do hereby opt to pay lump sum in lieu of tax payable under the Act with effect from the beginning of the quarter and declare that I, fall in category ………………… as specified in sub-rule (1) of rule 47 as the brick kiln is of the capacity of …… number of ghori.

Place ………………… Signature of brick kiln owner

Date …………………”;

and hand over the same to the appropriate assessing authority. The option exercised in this manner, subject to the correctness of the information furnished, shall be accepted and the lump sum shall be payable for the whole of the month in which the application is made.

(3) The brick kiln owner exercising the option in the manner stated in the foregoing sub-rule shall have to do so in respect of all the brick kilns operated by him.

(4) A brick kiln owner liable to pay lump sum shall not be authorised to make purchase of goods at lower rate of tax under sub-section (2) of section 7 but he may make purchase of goods on the authority of declaration(s) in Central form C, which he shall disclose use of, at the time of applying for issue of declaration forms and in an annual return to be furnished in Form VAT-R8 within a month of the close of the year. He shall not be required to make use of declaration in Form VAT-D3 for carrying goods.

(5) The Commissioner or any person appointed to assist him under sub-section (1) of section 55 may inspect brick kiln(s) of an owner liable to pay lump sum for the purpose of verification of capacity of the kiln, its status – whether being worked, fired or closed – and the stock of bricks at the kiln site in case it is closed.

(6) (a) In case a brick kiln is intended to be closed for the next whole year beginning 1st October, the owner thereof who is liable to pay lump sum shall inform the appropriate Assessing Authority in writing at least ten days before the closure but not after 1st October and declare the stock of bricks at the kiln. The brick kiln shall be placed in category D from the next year beginning 1st October only if the opening stock of all types of bricks at the kiln on that day does not exceed five lakh bricks and the kiln is not fired throughout that year.

(b) In case of failure to furnish information about closure of a kiln in the manner in clause (a), it shall be presumed that the kiln has been functioning normally.

(7) Notwithstanding the operation of a brick kiln for a part of the year (ending 30th September), the owner thereof shall be liable to make payment of lump sum for the whole year except that an owner who opts for payment of lump sum for the first time shall be liable to pay lump sum from the beginning of the month in which he exercises his option and for the period before exercising the option for the first time, he shall be liable to pay tax under the usual provisions of law.