20. Form of certificate by a selling VAT dealer. section 8(3).

(1) The certificate referred to in sub-section (3) of section 8 shall be in Form VAT-C4 and shall be furnished by the selling VAT dealer to the purchasing VAT dealer in respect of sale of taxable goods made by him to the purchasing dealer on tax invoice when the tax payable under the Act on such sale has been paid by him in full.

(2) A single certificate in Form VAT-C4 may cover one or more than one transactions of sale between the same two dealers in a year:

Provided that where, in the case of any transaction of sale, the delivery of goods is spread over to different financial years it shall be necessary to furnish a separate certificate in respect of goods delivered in each financial year.

(3) A VAT dealer making purchase of taxable goods from another VAT dealer in the State on payment of tax shall, in support of his claim of input tax in respect of such goods, produce before a taxing authority when so required by it, along with a tax invoice, a certificate in Form VAT-C4 furnished to him by the selling VAT dealer.

(4) The liability of a selling VAT dealer to pay tax on sale of goods by him to other VAT dealer on tax invoice shall not abate if he fails to furnish or furnishes a false certificate referred to in the foregoing sub-rule to the purchasing VAT dealer and tax for this reason has been realised from the latter but if the selling VAT dealer later pays the tax due from him, the liability of the purchasing VAT dealer shall accordingly abate and he may, within three years of finalisation of his assessment, claim refund of tax paid by him.