https://www.taxtmi.com/caselaws?id=160674 Liability for sales tax arrears under section 15 of the Karnataka Sales Tax Act, 1957 arises only on a true transfer of the dealer's business, meaning transfer of the entire undertaking, including assets, liabilities and goodwill. A sale of selected assets such as land, plant and machinery by the State Financial Corporation in exercise of its independent statutory power under section 29 of the State Financial Corporations Act, 1951 does not by itself make the auction purchaser a transferee of the business. Section 15 was upheld as a valid ancillary recovery provision, but it could not fasten liability on the purchaser because no transfer of the whole business was shown. The charge under section 13(2)(i) also could not be enforced against the purchaser in these circumstances. en-us Wed, 22 Sep 1999 00:00:00 +0530 Sat, 21 Dec 2013 18:10:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=160674 Liability for sales tax arrears under section 15 of the Karnataka Sales Tax Act, 1957 arises only on a true transfer of the dealer's business, meaning transfer of the entire undertaking, including assets, liabilities and goodwill. A sale of selected assets such as land, plant and machinery by the State Financial Corporation in exercise of its independent statutory power under section 29 of the State Financial Corporations Act, 1951 does not by itself make the auction purchaser a transferee of the business. Section 15 was upheld as a valid ancillary recovery provision, but it could not fasten liability on the purchaser because no transfer of the whole business was shown. The charge under section 13(2)(i) also could not be enforced against the purchaser in these circumstances. Case-Laws VAT and Sales Tax Wed, 22 Sep 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=160674