Trademark-based deemed first sale taxation applies to branded blended coffee sold after the initial sale point.

Section 5AA deems a trademark or patent holder selling non-declared goods at a point other than the first sale to be the first seller, while allowing deduction of tax collected at the preceding point on the same goods. Blended coffee made from taxed coffee seeds and chicory, and marketed under the dealer's own trademark, falls within this deeming provision. Trademark registration is immaterial for applying the levy. Accordingly, sales of branded blended coffee at a subsequent sale point are taxable under Section 5AA.

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Issues: Whether sales of blended coffee marketed under the dealer's own trademark at a point other than the first sale are taxable under Section 5AA.

Analysis: Section 5AA deems a trademark or patent holder selling non-declared goods at a point other than the first sale to be the first seller and permits deduction of tax collected at the preceding point on the same goods. Blended coffee, produced from taxed coffee seeds and chicory and marketed under the dealer's own brand, attracted this deeming levy. Registration of the trademark was immaterial.

Conclusion: Sales of blended coffee under the dealer's own trademark were taxable under Section 5AA; the issue was decided against the assessee and in favour of the Revenue.

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