https://www.taxtmi.com/caselaws?id=162057 A statutory charge for sales tax arrears under the Tamil Nadu General Sales Tax Act was held unenforceable against an auction purchaser who bought for value without actual or constructive notice. Applying section 100 of the Transfer of Property Act, the Court stated that a charge cannot defeat a transferee for consideration without notice unless the special law clearly excludes that protection. On the facts, the auction disclosed no arrears, the sale consideration was paid, the sale was confirmed, and no material showed notice of the charge. The property was therefore treated as passing free of the charge, and the encumbrance proceedings were set aside. en-us Thu, 20 Jul 2006 00:00:00 +0530 Fri, 01 Mar 2024 14:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=162057 A statutory charge for sales tax arrears under the Tamil Nadu General Sales Tax Act was held unenforceable against an auction purchaser who bought for value without actual or constructive notice. Applying section 100 of the Transfer of Property Act, the Court stated that a charge cannot defeat a transferee for consideration without notice unless the special law clearly excludes that protection. On the facts, the auction disclosed no arrears, the sale consideration was paid, the sale was confirmed, and no material showed notice of the charge. The property was therefore treated as passing free of the charge, and the encumbrance proceedings were set aside. Case-Laws VAT and Sales Tax Thu, 20 Jul 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=162057