“Section 13 – Application for Registration” is read as follows:-
Section 13(1) Any seller who is liable to be registered under section 12 shall apply to the Director General for registration as a registered seller in the prescribed form not later than the last day of the month following the month in which he is liable to be registered as referred to in paragraph 12(2)(a) or (b).
Section 13(2) Upon receipt of the application under subsection (1), the Director General may approve the registration, subject to such conditions as he deems fit.
Section 13(3) The Director General shall register the seller under subsection (1) with effect from the first day of the month following the month in which the application under subsection (1) is made or from such earlier date as may be agreed between the Director General and the seller but such date shall not be earlier than the date he becomes liable to be registered.
Section 13(4) Where any seller fails to comply with subsection (1), the Director General shall register the seller on the date as the Director General may determine but not earlier than the date he is liable to be registered under section 12. Section 13(5) Any seller who fails to comply with subsection (1) commits an offence.
“Section 14 – Voluntary Registration” is read as follows:- Section 14(1) Any seller who is not liable to be registered under section 12 may apply to the Director General for registration as a registered seller.
Section 14(2) Upon receipt of the application under subsection (1), the Director General may approve the registration from such date as he may determine subject to such conditions as he deems fit.
Finance (No. 2) Bill 2023
The Finance (No. 2) Bill 2023 brings significant amendments to Sections 13 and 14 of the Sales Tax Act 2018, aiming to streamline the registration process for sellers.
The amendments focus on refining the application procedures, making them more adaptable to evolving regulatory needs.
Let’s delve into the specifics of these changes and their potential implications for businesses.
Amendment of Section 13:
The proposed change in Section 13 involves substituting the phrase “in the prescribed form” with “in the form and manner as determined by the Director General.”
This amendment empowers the Director General to specify not only the form but also the manner in which sellers apply for registration.
This flexibility ensures that the registration process remains aligned with the dynamic requirements of tax administration.
Amendment of Section 14:
In Section 14, the amendment includes inserting the words “in the form and manner as determined by the Director General” after mentioning a “registered manufacturer.“
Similar to the amendment in Section 13, this change grants the Director General authority to determine both the form and manner of registration for sellers not obligated under Section 12.
This adaptability is pivotal in accommodating businesses’ diverse nature and unique registration needs.
Tax Impact:
While procedural, these amendments have a significant impact on the ease and efficiency of the registration process for sellers.
By granting the Director General the authority to determine the form and manner of registration, the amendments aim to enhance the system’s adaptability.
This can lead to a more responsive and streamlined registration process, reducing business administrative burdens.
Sellers need to stay informed about these changes and ensure compliance with the revised procedures to navigate the registration process effectively.
