https://www.taxtmi.com/caselaws?id=406383 Transfer of the right to use imported machinery under operating lease agreements was treated as a deemed sale, but exemption under Section 5(2) of the CST Act applied only if the transaction itself occasioned import or was completed through transfer of documents of title before the goods crossed customs frontiers. As the machinery was imported in the petitioner's name, with Bills of Lading and Bills of Entry standing in its name and effective control retained until clearance, the lease arrangements executed before clearance did not convert the whole transaction into a sale in the course of import. Lease rentals received up to actual clearance and transfer of effective control were deductible, while rentals for the post-clearance period remained taxable under the Tamil Nadu General Sales Tax Act. en-us Mon, 22 Mar 2021 00:00:00 +0530 Fri, 18 Jun 2021 12:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=406383 Transfer of the right to use imported machinery under operating lease agreements was treated as a deemed sale, but exemption under Section 5(2) of the CST Act applied only if the transaction itself occasioned import or was completed through transfer of documents of title before the goods crossed customs frontiers. As the machinery was imported in the petitioner's name, with Bills of Lading and Bills of Entry standing in its name and effective control retained until clearance, the lease arrangements executed before clearance did not convert the whole transaction into a sale in the course of import. Lease rentals received up to actual clearance and transfer of effective control were deductible, while rentals for the post-clearance period remained taxable under the Tamil Nadu General Sales Tax Act. Case-Laws VAT and Sales Tax Mon, 22 Mar 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=406383