26-A.Special provision relating to casual traders

(1)   Notwithstanding anything to the contrary contained in any other provision of this Act, a casual trader shall-

(a)  inform the assessing authority at least three days before beginning of his business in Uttar Pradesh, such particulars of his business in such form and in such manner as may be prescribed;

(b) deposit security in cash or in the form of bank draft, of such amount as may be fixed by the assessing authority which shall not exceed estimated liability to pay tax for such period for which the casual trader is conducting the business in Uttar Pradesh;

(c)  pay tax daily on sales made during the previous day;

(d) furnish to the assessing authority next day after the conclusion of his business in Uttar Pradesh, a return in the prescribed form and manner; and

(e)  not issue any tax invoice.

(2)  The assessing authority shall, after verification of information furnished to him under clause (a) and receiving the security under clause (b) of sub-section (1), shall register the casual trader.

(3)  After registration of casual trader, the assessing authority shall issue the required forms to him for use as the declaration or certificate referred to in section 50 and 51 of this Act for bringing goods for sale in Uttar Pradesh and the casual trader shall maintain complete account of the used forms and surrender the unused forms along with the return referred to in clause (d) of sub-section (1).

(4)  The assessing authority shall, after examining the return furnished by the casual trader under clause (d) of sub-section (1), the forms referred to in sub-section (3) and the accounts maintained by him including the sale invoices issued, assess him to tax within one week and shall serve upon him a notice of assessment and demand and after adjusting any tax and any other dues payable under this Act, refund the balance amount of security to him in case security is deposited.

(5)  The casual trader shall pay immediately the amount mentioned in the notice of assessment and demand.

(6)    On being satisfied that the amount due has been paid the assessing authority shall release the security or balance security, as the case may be.

(7) Notwithstanding anything to the contrary contained in any other provision of this Act, the taxable quantum referred to in section 3 in respect of a casual trader shall be nil.

Explanation:- In this section casual trader means a person who, whether as principal, agent or in any other capacity undertakes occasional transactions in the nature of business involving buying, selling, supply or distribution of goods or conducting any exhibition-cum-sale in Uttar Pradesh whether for cash, differed payment, commission, remuneration or other valuable consideration.