https://www.taxtmi.com/caselaws?id=158287 Sections 57 to 59 of the Madhya Pradesh Vanijyik Kar Adhiniyam, 1994 and rule 75 of the M.P. Vanijyik Kar Niyam, 1995 were held to exceed the State's legislative competence under entry 54 of List II because they sought to impose information, record-keeping and penal obligations on transporters and clearing and forwarding agents. The court applied the principle that a sales tax power extends only to persons and measures having a reasonable and proximate connection with the taxable sale or purchase of goods. A transporter or carrier, acting only as a conduit for carriage, is not thereby a dealer or seller, and cannot be treated as liable for the principal's tax default. The provisions were therefore ultra vires. en-us Tue, 16 Apr 1996 00:00:00 +0530 Sat, 19 Oct 2013 16:37:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=158287 Sections 57 to 59 of the Madhya Pradesh Vanijyik Kar Adhiniyam, 1994 and rule 75 of the M.P. Vanijyik Kar Niyam, 1995 were held to exceed the State's legislative competence under entry 54 of List II because they sought to impose information, record-keeping and penal obligations on transporters and clearing and forwarding agents. The court applied the principle that a sales tax power extends only to persons and measures having a reasonable and proximate connection with the taxable sale or purchase of goods. A transporter or carrier, acting only as a conduit for carriage, is not thereby a dealer or seller, and cannot be treated as liable for the principal's tax default. The provisions were therefore ultra vires. Case-Laws VAT and Sales Tax Tue, 16 Apr 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=158287