4 Rates of tax

(1) The rates of tax payable on the taxable turnover of a dealer shall be-
(a) in respect of goods specified in the Second Schedule, at the rate of one paisa in the rupee;
(b) in respect of goods specified in the Third Schedule, at the rate of four paise in the rupee;
(c)in respect of goods specified in the Fourth Schedule, at the rates specified therein against the description of goods:
 Provided that the rate of tax in respect of goods specified in the Fourth Schedule shall be higher than the rate of tax applicable under clause (e) of this. sub-section but shall not be more than thirty paise in the rupee;
(d)  in respect of the goods involved in the execution of the works contract, at the rate of twelve and a half paise in the rupee; and

PROVIDED that tax shall be paid at the rate of four paise in the rupee of the turnover of the dealer pertaining to declared goods, as defined from time to time in the Central Sales Tax Act, 1956 (74 of 1956), involved in the execution of works contract if such goods are transferred from the contractor to the contractee in the same form in which they were purchased by the contractor:

PROVIDED FURTHER that in respect of the works contracts which are in the nature of printing works, the rate of tax shall be four paise in the rupee.

(e) in the case of any other goods, at the rate of twelve and a half paise in the rupee:
PROVIDED that the rate of tax on packing materials or containers shall be the same as the rate at which the goods sold are chargeable to tax.

(2) The Government may, if it deems necessary, reduce the rates of tax as specified in sub-section (1), by a notification to that effect in the official Gazette.