https://www.taxtmi.com/caselaws?id=127586 Under an irrevocable letter of credit, the passing of property in exported goods depends on the parties' intention as gathered from the contract and surrounding circumstances. Where the negotiating bank pays the seller against the shipping documents, the bank acts as the buyer's agent for payment and the seller does not retain title merely because the bank disclaims liability. On these facts, title passed in Madras when the documents were negotiated and payment was made. The sale was therefore completed within Madras, making it an intra-State sale liable to sales tax there rather than an outside sale. en-us Mon, 05 Mar 1956 00:00:00 +0530 Tue, 12 Mar 2013 15:51:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=127586 Under an irrevocable letter of credit, the passing of property in exported goods depends on the parties' intention as gathered from the contract and surrounding circumstances. Where the negotiating bank pays the seller against the shipping documents, the bank acts as the buyer's agent for payment and the seller does not retain title merely because the bank disclaims liability. On these facts, title passed in Madras when the documents were negotiated and payment was made. The sale was therefore completed within Madras, making it an intra-State sale liable to sales tax there rather than an outside sale. Case-Laws VAT and Sales Tax Mon, 05 Mar 1956 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=127586