https://www.taxtmi.com/caselaws?id=166496 Old automobile spare parts recovered from dismantled vehicles and sold by weight were held to retain their character as usable spare parts rather than scrap, because the invoices and inspection materials showed pricing by unit weight and the goods were capable of reuse; the description in the bills did not change the true nature of the commodity. The sales were therefore taxable at the higher rate applicable to automobile spare parts. Penalty for suppressing the true nature of the sales was justified as an attempt to obtain a lower tax rate, but the quantum was found excessive and was reduced to 50% of the tax, subject to payment of tax at the assessed higher rate. en-us Thu, 04 Nov 2010 00:00:00 +0530 Wed, 01 Oct 2014 09:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=166496 Old automobile spare parts recovered from dismantled vehicles and sold by weight were held to retain their character as usable spare parts rather than scrap, because the invoices and inspection materials showed pricing by unit weight and the goods were capable of reuse; the description in the bills did not change the true nature of the commodity. The sales were therefore taxable at the higher rate applicable to automobile spare parts. Penalty for suppressing the true nature of the sales was justified as an attempt to obtain a lower tax rate, but the quantum was found excessive and was reduced to 50% of the tax, subject to payment of tax at the assessed higher rate. Case-Laws VAT and Sales Tax Thu, 04 Nov 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=166496