https://www.taxtmi.com/caselaws?id=160836 Turnover from retreading and recapping tyres under contracts placed by customers outside Tamil Nadu was treated as an inter-State works contract because the contract, read as a whole, required receipt of worn-out tyres from outside the State, processing them in Tamil Nadu, and returning the retreaded tyres outside the State. Article 366(29A)(b) deems the transfer of property in goods involved in a works contract to be a sale, but the character of the transaction still depends on the contract as a whole. The movement of goods was integral to performance and occasioned by the contract, so the situs of the retreading work was not decisive. The turnover therefore fell within the inter-State trade or commerce exclusion in section 3-B(2)(a) and was not taxable under section 3-B of the Tamil Nadu General Sales Tax Act, 1959. en-us Wed, 18 Sep 2002 00:00:00 +0530 Wed, 25 Dec 2013 14:29:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=160836 Turnover from retreading and recapping tyres under contracts placed by customers outside Tamil Nadu was treated as an inter-State works contract because the contract, read as a whole, required receipt of worn-out tyres from outside the State, processing them in Tamil Nadu, and returning the retreaded tyres outside the State. Article 366(29A)(b) deems the transfer of property in goods involved in a works contract to be a sale, but the character of the transaction still depends on the contract as a whole. The movement of goods was integral to performance and occasioned by the contract, so the situs of the retreading work was not decisive. The turnover therefore fell within the inter-State trade or commerce exclusion in section 3-B(2)(a) and was not taxable under section 3-B of the Tamil Nadu General Sales Tax Act, 1959. Case-Laws VAT and Sales Tax Wed, 18 Sep 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=160836