https://www.taxtmi.com/caselaws?id=258328 Lease rentals received after 1.4.2005 for cars leased and delivered before that date were not taxable under the Karnataka Value Added Tax Act, 2003. The taxable event in a transfer of the right to use goods occurs when the agreement is executed and the right is transferred, not when deferred rentals are later received. Because the transactions were completed under the Karnataka Sales Tax Act, 1957 and the cars had already suffered local tax, the assessee retained the vested immunity available under the proviso to Section 5-C of that Act. The VAT Act operated prospectively and contained no express retrospective levy to withdraw that protection or tax the later receipts. en-us Wed, 06 Aug 2014 00:00:00 +0530 Sat, 17 Oct 2015 15:07:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=258328 Lease rentals received after 1.4.2005 for cars leased and delivered before that date were not taxable under the Karnataka Value Added Tax Act, 2003. The taxable event in a transfer of the right to use goods occurs when the agreement is executed and the right is transferred, not when deferred rentals are later received. Because the transactions were completed under the Karnataka Sales Tax Act, 1957 and the cars had already suffered local tax, the assessee retained the vested immunity available under the proviso to Section 5-C of that Act. The VAT Act operated prospectively and contained no express retrospective levy to withdraw that protection or tax the later receipts. Case-Laws VAT and Sales Tax Wed, 06 Aug 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=258328