(1) If within 90 (ninety) days from the date of receipt of the order of the Appellate Tribunal by the taxpayer or the Commissioner under section 292, the Commissioner or the taxpayer wishes to settle the matter by way of reference case to the High Court Division on any legal question arising out of such order, application can be made to the High Court Division in the prescribed form for the purpose:

Provided that no reference suit under sub-section (1) shall be filed against any order of the Taxes Appellate Tribunal, unless the taxpayer pays the fees and taxes at the following rates, namely:-

(a) in case of a taxpayer, a fee of Tk. 2 (two) thousand is not attached with the application; and

(b) in cases where the tax demand does not exceed 10 (ten) lakhs, if 15% (fifteen percent) of the amount equal to the difference between the tax determined on the basis of the order of the Appellate Tribunal and the tax payable under section 173 is not paid by the taxpayer;

(c) in cases where the tax demand exceeds 10 (ten) lakhs, if 25% (twenty five percent) of the amount equal to the difference between the tax assessed on the basis of the order of the Appellate Tribunal and the tax payable under section 173 is not paid by the taxpayer.

(2) The Board may, on the application of the taxpayer, reduce or waive the amount of such payment other than the fee under sub-section (1).

(3) The application under sub-section (1) shall be made in 3 (three) copies and shall be accompanied by the following documents, namely:-

(a) 3 (three) attested copies of the order of the Appellate Tribunal in which the question of law arose;

(b) 3 (three) attested copies of the order of the Deputy Commissioner of Taxes, the Inspecting Additional Commissioner of Taxes or the Appellate Additional or Joint Commissioner or, as the case may be, the Commissioner of Taxes (Appeals), which was the subject of an appeal before the Appellate Tribunal, and

(c) 3 (three) certified copies of any other document relating to any question of law arising in accordance with the subject matter of the application, which, in the proceedings of the case concerned with the order referred to in clause (a) or (b), the Deputy Commissioner of Taxes, the Inspecting Additional Commissioner of Taxes or the Commissioner (Appeal) or as the case may be, was filed with the Appellate Tribunal.

(4) Where the taxpayer is the plaintiff, the Commissioner shall be deemed to be the defendant and where the Commissioner is the plaintiff, the taxpayer shall be deemed to be the defendant:

Provided that the application shall not be voidable on the death or succession of the taxpayer or if the taxpayer is a dissolved company, and if the taxpayer is the plaintiff, by the executor, administrator or heir or other legal representative of the taxpayer, or if the taxpayer is the defendant, for or against, or, as the case may be, the application shall be active by the assignor or receiver.

(5) After receiving the notice regarding the date of hearing of the application, the defendant shall file a written reply to the said application at least 7 (seven days before the hearing; and whether a question of law was really raised by the plaintiff in pursuance of the relevant order of the Appellate Tribunal, the said statement shall be clearly admitted or denied.

(6) If the question raised by the plaintiff is considered to be defective in the opinion of the defendant, the context in which it may be defective shall be described in the above reply and if any question of law is implied in the order concerned, what the question may actually be shall be stated in the reply; and the reply shall be filed in 3 (three) copies and shall be accompanied by all documents relating to the question raised in the application which, in the case of proceedings connected with any order referred to in clause (a) or (b) of sub-section (2), to be provided with the Deputy Commissioner of Taxes, the Inspecting Additional Commissioner of Taxes, Additional Commissioner of Taxes (Appeals), Commissioner (Appeals) or, as the case may be, the Appellate Tribunal.

(7) Section 5 of the Limitation Act, 1908 (Act No. IX of 1908) shall apply to the application under sub-section (1).