https://www.taxtmi.com/caselaws?id=159384 A purchase falls within inter-State trade when the transaction occasions movement of goods from one State to another, and the passing of title is not decisive. Applying that test, the Bombay High Court treated watch movements bought at auction for use in a Daman factory, and actually moved there for manufacture, as inter-State purchases under the Central Sales Tax Act. As a result, purchase tax under the Bombay Sales Tax Act did not apply because the provision covered only local purchases from unregistered dealers, and the connected penalty could not survive once the underlying tax liability failed. en-us Thu, 14 Aug 1997 00:00:00 +0530 Tue, 18 Oct 2016 16:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=159384 A purchase falls within inter-State trade when the transaction occasions movement of goods from one State to another, and the passing of title is not decisive. Applying that test, the Bombay High Court treated watch movements bought at auction for use in a Daman factory, and actually moved there for manufacture, as inter-State purchases under the Central Sales Tax Act. As a result, purchase tax under the Bombay Sales Tax Act did not apply because the provision covered only local purchases from unregistered dealers, and the connected penalty could not survive once the underlying tax liability failed. Case-Laws VAT and Sales Tax Thu, 14 Aug 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=159384