https://www.taxtmi.com/caselaws?id=163845 An earlier equitable mortgage held by the bank prevailed over the State's later sales tax claim because the Tamil Nadu General Sales Tax Act, 1959 gives tax claims priority over other claims but does not create an express first charge. The Court distinguished precedents under statutes that expressly conferred a first charge and held that, on these facts, the bank's secured interest created in 1993 was anterior to the crystallised tax demand. The demand requiring the bank to remit auction sale proceeds was therefore unsustainable and the proceedings were quashed. en-us Mon, 19 Jan 2009 00:00:00 +0530 Thu, 20 Nov 2014 09:16:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=163845 An earlier equitable mortgage held by the bank prevailed over the State's later sales tax claim because the Tamil Nadu General Sales Tax Act, 1959 gives tax claims priority over other claims but does not create an express first charge. The Court distinguished precedents under statutes that expressly conferred a first charge and held that, on these facts, the bank's secured interest created in 1993 was anterior to the crystallised tax demand. The demand requiring the bank to remit auction sale proceeds was therefore unsustainable and the proceedings were quashed. Case-Laws VAT and Sales Tax Mon, 19 Jan 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=163845