Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Maharashtra Sales Tax on the Transfer of the Right to Use Any Goods for Any purpose Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Case Disposed Off |
Headnote | Sales TaxMaharashtra Sales Tax on the Transfer of the Right to Use Any Goods for Any purpose Act, 1985 (18 of 1985)-S.2(10) Explain., Ss.3 and 8_A:Constitutionality of Expln to S.2(10)-Read down to the effect that it would not be applicable if the deemed sale is: (i) an outside; (ii) a sale in course of import or export; (iii) an inter-State sale.Transfer of right to use any goods/or any purpose-Taxable event and situs of-In absence of a legal fiction created by the appropriate legislature contemplating otherwise, situs of such sale, held, would be the place where the property in goods passes and not the place of location of the goods where they are put to use-Where the goods are in existence and right to use them is transferred under a written contract, the taxable event would be the execution of the contract and situs of the sale would be the place where the contract is executed-Where the goods are not in existence or there is an oral or implied transfer of the right to use them, the taxable event would be the delivery of goods Contract Act, 1878-Ss. 148,149-Bailment-Transfer of right to use goods-Nature of-Held, not in the nature of bailment-It is a deemed sale under the legal fiction en-grafted in Art. 366(29-(A)(d).U.P. Trade tax Act, 1948 (15 to 1948)-Ss. 2(h)(iv) & Expln. /(ii) and S. 3F-Constitutionality-Expln. 1(ii), held is in excess of legislative power of the State Legislature-However, instead of striking it down, it is read down. Rajasthan Sales Tax Act, 1954-Ss. 2(38}(4) and Expln. 11(b)- Constitutionality-Expln. II(b), Held, is in excess of legislative power provision read down.A.P. General Sales Tax Act, 1957-Ss. 5-E(a)&(b) and 38 and S.2(n) A Explns. 11(a)&(IV)-Constitutionality-S. 5-E(b), held, is in excess of legislative power of the State of under Entry 54 of List 11 of Sch. VII of the Constitution-provision read down. Haryana General Sales Tax Act, 1973-S.2(1)(iv) Note 4- Constitutionality-upheld. Karnataka Sales Tax Act, 1957-S.2(t)(iv) & Expln. 3(d) and S.5-Constitutionality-Expln. 3(d) to S.2(1), held, is beyond the State Legislature's power under Entry 54 of List 11 of Sch. VII to the Constitution-Provision read down. T.N. General Sales Tax Act, 1959, S.2(n)(iv) & Expln. 3(a) and S.3- A-Constitutionality-Exp/n. 3(a) to S.2(n), held, is in excess of legislative power under Entry 54 of List 11 of Sch. VII to the Constitution-Provision read down.Constitution of India-Arts. 366(29-A)(d), 269 & 286 and Sch. VII List II Entry 54 & List 1, Entry 92-A-Power of State Legislatures to levy tax on the transfer of right to use any goods-Held, is subject to Entry 92-A of list I read with Art. 269 and is also subject to restrictions under Art. 286- Central Sales Tax Act, 1956, Ss. 4, 3, 5, 2(g). |
Judge | Honble Mr. Justice V.N. Khare |
Neutral Citation | 2000 INSC 304 |
Petitioner | 20th Century Finance Corporation Ltd. And Anr. |
Respondent | State Of Maharashtra |
SCR | [2000] Supp. (1) S.C.R. 120 |
Judgement Date | 2000-05-09 |
Case Number | 4500 |
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