https://www.taxtmi.com/caselaws?id=376998 Under the Kerala Value Added Tax Act, 2003, drugs, implants and consumables used in inpatient treatment are treated as part of a composite medical service and are not taxable as separate sales of goods. Pharmacy sales of medicines and other goods to outpatients are distinct transactions with an element of choice and are taxable; hospitals carrying on such sales must register as dealers. Oxygen, X-ray charges, laboratory chemicals and similar in-hospital diagnostic or treatment inputs are likewise not separate sales. Penalty for non-registration may survive where taxable outpatient sales exist, but penalty for non-production of books under section 67 is not justified, and time-barred notices or assessments are liable to be quashed. en-us Tue, 26 Feb 2019 00:00:00 +0530 Mon, 14 Jun 2021 09:55:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=376998 Under the Kerala Value Added Tax Act, 2003, drugs, implants and consumables used in inpatient treatment are treated as part of a composite medical service and are not taxable as separate sales of goods. Pharmacy sales of medicines and other goods to outpatients are distinct transactions with an element of choice and are taxable; hospitals carrying on such sales must register as dealers. Oxygen, X-ray charges, laboratory chemicals and similar in-hospital diagnostic or treatment inputs are likewise not separate sales. Penalty for non-registration may survive where taxable outpatient sales exist, but penalty for non-production of books under section 67 is not justified, and time-barred notices or assessments are liable to be quashed. Case-Laws VAT and Sales Tax Tue, 26 Feb 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=376998