(1) Where the authority prescribed in rule 3 is satisfied that the Assessee/Proprietor of any entertainment is defaulting or delaying or avoiding the payment of entertainment tax due from him he may after giving the Assessee/Proprietor an opportunity of being heard, direct the Assessee/Proprietor to pay an amount in advance determined in accordance with sub-rule (2) by any date within a week of such direction.
(2) The amount of tax required to be deposited in advance shall not exceed the estimated tax for one month. Such an estimate shall be made on the basis of probable estimated receipts for the period in respect of which such advance tax is required to be paid and in making the estimates the seating capacity of the entertainment and the number of shows proposed to be held and such other materials which in the opinion of the authority, are relevant, shall be taken into account.
(3) The amount of tax collected in advance under sub-rule (1) in respect of any period shall be set off against the amount of tax assessed or penalty imposed for the same period or any other period for which tax or penalty may be due from such Assessee/Proprietor. If the tax so collected in advance is in excess of the amount of tax which is or may become due, the excess amount shall be refunded to the Assessee/Proprietor in the prescribed manner or may be adjusted with tax and penalty of subsequent periods.