https://www.taxtmi.com/caselaws?id=371377 Sales tax dues were treated as having priority over a secured creditor's claim because the Tamil Nadu General Sales Tax Act, 1959 creates a statutory charge under Section 24 over the defaulter's property. The Court applied the settled rule that priority between government dues and secured interests depends on whether the taxing statute itself creates such a charge, and held that a statutory charge prevails over mortgage rights. It further noted that the non obstante provisions of the Tamil Nadu General Sales Tax Act and the SARFAESI Act could be harmoniously applied, so there was no conflict displacing the statutory charge. Recovery against the auction purchasers was therefore upheld. en-us Thu, 01 Nov 2018 00:00:00 +0530 Tue, 04 Dec 2018 08:56:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=371377 Sales tax dues were treated as having priority over a secured creditor's claim because the Tamil Nadu General Sales Tax Act, 1959 creates a statutory charge under Section 24 over the defaulter's property. The Court applied the settled rule that priority between government dues and secured interests depends on whether the taxing statute itself creates such a charge, and held that a statutory charge prevails over mortgage rights. It further noted that the non obstante provisions of the Tamil Nadu General Sales Tax Act and the SARFAESI Act could be harmoniously applied, so there was no conflict displacing the statutory charge. Recovery against the auction purchasers was therefore upheld. Case-Laws VAT and Sales Tax Thu, 01 Nov 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=371377