Act not to apply to sales or purchases outside the State, in the course of import or export, etc.

Nothing contained in this Act shall be deemed to impose or authorize the imposition of a tax on the sale or purchase of any goods, where such sale or purchase takes place, - (i) Outside the State; or (ii) In the course of the import of the goods into, or export of the goods out of the territory of India; or (iii) In the course of inter-State trade or commerce. Explanation:- The provisions of Chapter II of the Central Sales Tax Act,1956 (Central Act 74 of 1956), shall apply for the purpose of determining when a sale or purchase takes place in the course of inter State trade or commerce or outside a State or in the course of import or export. 38-A. Provision in the case of defective or irregular proceedings : No assessment made, penalty or compounding fee levied or other order passed by any officer or authority under this Act, shall be set aside merely on account of any defect or irregularity in the procedure relating thereto, unless it appears that such defect or irregularity has in fact occasioned material hardship or failure of justice. Note : Section 38-A was inserted by Act 26 of 1961, w.e.f.1.10.1961. 38-AA. Rounding off of turnover: The amount of turnover shall be rounded off to the nearest multiple of ten rupees and for this purpose any part of a rupee consisting of paise shall be ignored and thereafter if such amount is not a multiple of ten, then, if that last figure in the amount is five or more, the amount shall be increased to the next higher amount which is a multiple of ten and if the last figure is less than five, the amount shall be reduced to the next lower amount which is a multiple of ten; and the amount so rounded off shall be deemed to be total turnover of the assessee for the purposes of this Act. NOTE : Section 38-AA was inserted by Act 49 of 1976, w.e.f.1.9.1976. 38-B. Rounding of tax, etc.: 1(x x x) the amount of tax, interest, penalty, or any other sum payable and the amount of refund due under the provisions of this Act, shall be rounded off to the nearest rupee and for this purpose, where such amount contains a part of a rupee consisting of paise, then, if such part is fifty paise or more, and it shall be increased to one rupee and if such part is less than fifty paise, it shall be ignored. Note : Section 38-B was inserted by Act 5 of 1974, w.e.f. 1.3.1974. 1. The words 'The amount of turnover or' were omitted by Act 49 of 1976, w.e.f.1.9.1976.