https://www.taxtmi.com/caselaws?id=163964 Under the Tamil Nadu General Sales Tax Act, 1959, tax assessed or payable was given statutory priority over other claims against the dealer's property, and unpaid tax was treated as a charge on the assessee's assets. Applying the settled rule that a statutory first charge prevails over an earlier mortgage, the Madras HC held that the State's sales tax arrears ranked ahead of the appellant-bank's secured interest under an equitable mortgage. Earlier authorities recognising priority for statutory tax dues were followed, and the bank's reliance on a different line of cases was rejected as inapplicable on the facts. en-us Mon, 10 Jul 2006 00:00:00 +0530 Tue, 15 Apr 2014 14:17:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=163964 Under the Tamil Nadu General Sales Tax Act, 1959, tax assessed or payable was given statutory priority over other claims against the dealer's property, and unpaid tax was treated as a charge on the assessee's assets. Applying the settled rule that a statutory first charge prevails over an earlier mortgage, the Madras HC held that the State's sales tax arrears ranked ahead of the appellant-bank's secured interest under an equitable mortgage. Earlier authorities recognising priority for statutory tax dues were followed, and the bank's reliance on a different line of cases was rejected as inapplicable on the facts. Case-Laws VAT and Sales Tax Mon, 10 Jul 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=163964