https://www.taxtmi.com/caselaws?id=160703 A State Financial Corporation's statutory priority over mortgaged and hypothecated assets prevailed over arrears of sales tax because the sales tax charge was not expressed as a first charge, while the Financial Corporations Act gave overriding effect and required sale proceeds to be applied first to recovery expenses and then to the corporation's debt. The tax department could recover only from any residue left after that priority was satisfied. Mere takeover of possession by the corporation did not make it jointly and severally liable as transferee for tax arrears; that statutory exposure arose, if at all, at the stage of actual sale, when the purchaser could be treated as transferee and the sale notice should disclose the tax charge. en-us Fri, 07 Jul 2000 00:00:00 +0530 Mon, 23 Dec 2013 12:43:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=160703 A State Financial Corporation's statutory priority over mortgaged and hypothecated assets prevailed over arrears of sales tax because the sales tax charge was not expressed as a first charge, while the Financial Corporations Act gave overriding effect and required sale proceeds to be applied first to recovery expenses and then to the corporation's debt. The tax department could recover only from any residue left after that priority was satisfied. Mere takeover of possession by the corporation did not make it jointly and severally liable as transferee for tax arrears; that statutory exposure arose, if at all, at the stage of actual sale, when the purchaser could be treated as transferee and the sale notice should disclose the tax charge. Case-Laws VAT and Sales Tax Fri, 07 Jul 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=160703