https://www.taxtmi.com/caselaws?id=154183 Transfer of machinery to a private company in return for allotment of fully-paid shares was treated as a sale under section 2(n) of the Tamil Nadu General Sales Tax Act, 1959. The arrangement was not a barter or exchange because the parties did not make mutual cross-transfers of property; allotment of shares merely satisfied the company's liability to pay the agreed price. The transaction was viewed as a sale for valuable consideration even though no cash passed, since the consideration consisted of discharge of reciprocal obligations. The contrary authority relied on by the assessee was held not to exclude such transactions from the concept of valuable consideration. en-us Fri, 12 Nov 1982 00:00:00 +0530 Fri, 09 Aug 2013 18:11:54 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=154183 Transfer of machinery to a private company in return for allotment of fully-paid shares was treated as a sale under section 2(n) of the Tamil Nadu General Sales Tax Act, 1959. The arrangement was not a barter or exchange because the parties did not make mutual cross-transfers of property; allotment of shares merely satisfied the company's liability to pay the agreed price. The transaction was viewed as a sale for valuable consideration even though no cash passed, since the consideration consisted of discharge of reciprocal obligations. The contrary authority relied on by the assessee was held not to exclude such transactions from the concept of valuable consideration. Case-Laws VAT and Sales Tax Fri, 12 Nov 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=154183