https://www.taxtmi.com/caselaws?id=161271 Dyeing and printing of cloth involve a deemed sale under the Works Contracts Act where property in dyes, colours and chemicals passes to the customer, including in chemical form. Following the Forty-sixth Amendment, a works contract is divisible to the extent of goods involved, so the dominant intention of the contract is not determinative. The coloured shade embedded in the fabric represents the chemical properties of the materials used, while discarded residue does not negate the transfer. Taxability depends on the passing of property, not on the quantity retained; even a small or residual transfer of material attracts the Act. en-us Fri, 22 Aug 2003 00:00:00 +0530 Mon, 12 Aug 2024 15:05:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=161271 Dyeing and printing of cloth involve a deemed sale under the Works Contracts Act where property in dyes, colours and chemicals passes to the customer, including in chemical form. Following the Forty-sixth Amendment, a works contract is divisible to the extent of goods involved, so the dominant intention of the contract is not determinative. The coloured shade embedded in the fabric represents the chemical properties of the materials used, while discarded residue does not negate the transfer. Taxability depends on the passing of property, not on the quantity retained; even a small or residual transfer of material attracts the Act. Case-Laws VAT and Sales Tax Fri, 22 Aug 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=161271