https://www.taxtmi.com/caselaws?id=100736 Contracts for quarrying, breaking stones and supplying ballast were treated as works contracts because no property in goods passed from the contractor to the railway. The stones and ballast remained the railway's property throughout, and the contractor merely performed work and labour on materials belonging to the railway. The presence of a rejected-ballast removal arrangement and a royalty clause did not change the essential character of the transaction. On that basis, the supplies were not sales within section 2(n) of the Madhya Pradesh General Sales Tax Act, 1958, so no sales tax liability arose and the penalty could not be sustained. en-us Mon, 13 Apr 1970 00:00:00 +0530 Mon, 19 May 2014 16:53:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=100736 Contracts for quarrying, breaking stones and supplying ballast were treated as works contracts because no property in goods passed from the contractor to the railway. The stones and ballast remained the railway's property throughout, and the contractor merely performed work and labour on materials belonging to the railway. The presence of a rejected-ballast removal arrangement and a royalty clause did not change the essential character of the transaction. On that basis, the supplies were not sales within section 2(n) of the Madhya Pradesh General Sales Tax Act, 1958, so no sales tax liability arose and the penalty could not be sustained. Case-Laws VAT and Sales Tax Mon, 13 Apr 1970 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=100736