https://www.taxtmi.com/caselaws?id=265579 A bank that repossesses hypothecated vehicles on default and sells them by auction can be treated as a dealer under Section 2(15) of the Tamil Nadu Value Added Tax Act, 2006 for those disposals. The Court reasoned that the hypothecation agreement authorises repossession and sale for recovery of dues, so the auction is not a voluntary sale by a willing owner but a compulsory realisation mechanism. It also held that Explanation III to Section 2(15) is sufficient to deem banks dealers when they dispose of goods by auction or otherwise for consideration, even where ownership is disputed or the goods are not transferable in the ordinary sense. The issue was decided against the assessee. en-us Wed, 12 Aug 2015 00:00:00 +0530 Wed, 22 Jun 2016 16:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=265579 A bank that repossesses hypothecated vehicles on default and sells them by auction can be treated as a dealer under Section 2(15) of the Tamil Nadu Value Added Tax Act, 2006 for those disposals. The Court reasoned that the hypothecation agreement authorises repossession and sale for recovery of dues, so the auction is not a voluntary sale by a willing owner but a compulsory realisation mechanism. It also held that Explanation III to Section 2(15) is sufficient to deem banks dealers when they dispose of goods by auction or otherwise for consideration, even where ownership is disputed or the goods are not transferable in the ordinary sense. The issue was decided against the assessee. Case-Laws VAT and Sales Tax Wed, 12 Aug 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=265579