Verification of returns.

42. Where the Commissioner, for reasons to be recorded in writing, has reason to believe that a dealer has furnished incorrect or incomplete statement of his turnover of purchases or turnover of sales or contractual transfer price or incorrect or incomplete particulars of his purchases or sales or contractual transfer price or has claimed excess amount of input tax credit or input tax rebate or that there are certain discrepancies as noticed upon scrutiny of the return under section 41 or otherwise in any return furnished under sub-section (1), or sub-section (3), of section 32 or has failed to disclose the interest payable under sub-section (1) of section 33, he may verify the statement and particulars furnished in such return with reference to the accounts, registers or documents, including those in the form of electronic records, maintained or kept by such dealer.

(2) If upon verification of return made under sub-section (1), the Commissioner is not satisfied that the return furnished by the dealer is correct and complete he shall proceed to make assessment of the dealer as referred to in section 46 or section 48, as the case may be.

(3) No verification shall be made under sub-section (1) after the assessment of the dealer is initiated under section 46 or section 48.