https://www.taxtmi.com/caselaws?id=154425 A statutory deduction from works-contract payments was upheld as a valid recovery mechanism for sales tax on the value of goods transferred in execution of the contract, rather than a levy on the entire contract amount or on non-sale components. The Bihar Finance Act provisions, rules and notifications were therefore sustained as intra vires, and the four per cent deduction was not treated as confiscatory. However, no deduction was permitted where a contract was labour-only and involved no transfer of property in goods. Any reimbursement claim under section 64A of the Sale of Goods Act was treated as a separate contractual issue and did not affect the validity of the deduction scheme. en-us Mon, 10 Feb 1986 00:00:00 +0530 Wed, 21 Aug 2013 10:12:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=154425 A statutory deduction from works-contract payments was upheld as a valid recovery mechanism for sales tax on the value of goods transferred in execution of the contract, rather than a levy on the entire contract amount or on non-sale components. The Bihar Finance Act provisions, rules and notifications were therefore sustained as intra vires, and the four per cent deduction was not treated as confiscatory. However, no deduction was permitted where a contract was labour-only and involved no transfer of property in goods. Any reimbursement claim under section 64A of the Sale of Goods Act was treated as a separate contractual issue and did not affect the validity of the deduction scheme. Case-Laws VAT and Sales Tax Mon, 10 Feb 1986 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=154425