Section 26. Amendment of certificate of registration

(1) Where a registered dealer -

(a) transfers his business, in whole or in part, or transfers his place of business, by sale, lease, leave or license, hire or in any other manner whatsoever, or otherwise disposes of his business or any part thereof or effects or comes to know of any other change in the ownership of the business;

(b) discontinues his business or changes the place of business thereof or opens a new place of business, or temporarily closes the business for a period more than thirty days;

(c) changes the name, style, constitution or nature of his business; or

(d) enters into partnership or other association in regard to his business or effects any changes in the ownership of the business,

 he shall, within the prescribed time inform the prescribed authority accordingly; and if any such dealer dies, his legal representative shall inform of such death or where any such dealer is a firm and there is any change in the constitution of the firm or the firm is dissolved, every person who was a partner thereof, shall in like manner, inform the said authority of the change in the constitution or as the case may be, dissolution of the firm.

 (2) The Commissioner may, after considering any information furnished under this Act or otherwise received and after making such inquiry as he may deem fit, amend from time to time, any certificate of registration:

Provided that the Commissioner shall, before amending on his own motion a certificate of registration, give the dealer affected by such amendment an opportunity of being heard.

(3) An amendment of the certificate of registration made under subsection (1) or (2) shall take effect from the date of contingency, which necessitates the amendment, whether or not information in that behalf is furnished within the time prescribed under sub-section (1).

(4) Any amendment of a certificate of registration under this section shall be without prejudice to any liability for tax, interest or penalty or for any prosecution for an offence under this Act.

(5) If a dealer fails, without sufficient cause, to comply with the provisions of sub-section (1), the Commissioner may after giving the dealer a reasonable opportunity of being heard, direct him to pay, by way of penalty a sum of rupees one hundred per day of default subject to a maximum of rupees five thousand.

(6) For the removal of doubts, it is hereby declared that where a registered dealer-

(a) effects a change in the name of his business;

(b) is a firm and there is a change in the constitution of the firm without dissolution thereof;

(c) is a trustee of a trust and there is a change in the trustees thereof;

(d) is a Hindu Undivided Family and the business of such family is converted into a partnership business with all or any of the coparceners as partners thereof; or

(e) is a firm or a company or a trust or any other set up and change in the management takes place including the change of the director or the Managing Director of the company ;

then merely by reason of the circumstances as aforesaid, it shall not be necessary for the dealer to apply for a fresh certificate of registration and on information being furnished in the manner required by this section, the certificate of registration shall be amended.