https://www.taxtmi.com/caselaws?id=257014 Hospital treatment is a service contract whose dominant substance is medical care. Medicines, drugs, stents, valves, implants and consumables supplied during treatment are integral to that service and cannot be artificially severed as taxable sales. Entry 54 permits taxation only of sales of goods, while Article 366(29-A) extends taxation only to specified deemed sales; hospital supplies do not fall within those categories. The dominant nature test therefore applies, and value added tax cannot be levied unless the supply independently satisfies the legal ingredients of a sale. en-us Fri, 23 Jan 2015 00:00:00 +0530 Thu, 15 Oct 2020 10:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=257014 Hospital treatment is a service contract whose dominant substance is medical care. Medicines, drugs, stents, valves, implants and consumables supplied during treatment are integral to that service and cannot be artificially severed as taxable sales. Entry 54 permits taxation only of sales of goods, while Article 366(29-A) extends taxation only to specified deemed sales; hospital supplies do not fall within those categories. The dominant nature test therefore applies, and value added tax cannot be levied unless the supply independently satisfies the legal ingredients of a sale. Case-Laws VAT and Sales Tax Fri, 23 Jan 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=257014