https://www.taxtmi.com/caselaws?id=162830 Section 35 of the Madhya Pradesh Commercial Tax Act, 1994, which required deduction at source from the gross value of a works contract, was beyond the State Legislature's competence because it operated without excluding turnover attributable to sales outside the State, inter-State sales, or sales in the course of import and export. The existence of a certificate mechanism under section 35A did not cure the defect, since the levy still applied to the full contract value and captured transactions outside State taxing power. The provision was therefore treated as ultra vires the Constitution, and the challenge to its validity succeeded. en-us Thu, 28 Sep 2006 00:00:00 +0530 Sat, 15 Mar 2014 10:44:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=162830 Section 35 of the Madhya Pradesh Commercial Tax Act, 1994, which required deduction at source from the gross value of a works contract, was beyond the State Legislature's competence because it operated without excluding turnover attributable to sales outside the State, inter-State sales, or sales in the course of import and export. The existence of a certificate mechanism under section 35A did not cure the defect, since the levy still applied to the full contract value and captured transactions outside State taxing power. The provision was therefore treated as ultra vires the Constitution, and the challenge to its validity succeeded. Case-Laws VAT and Sales Tax Thu, 28 Sep 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=162830