https://www.taxtmi.com/caselaws?id=413261 A financier that repossesses and sells hypothecated vehicles and other assets under loan agreements is liable to value added tax where the sale falls within the broad statutory definitions of dealer, sale and turnover under the Tamil Nadu Value Added Tax Act, 2006. The transaction is treated as a taxable disposal carried out under contractual rights, not as a mere agency arrangement for the borrower. Even on the assumption of agency, tax liability still arose because the sale was effected by the financier in exercise of its contractual rights without the borrower's consent. The assessment was upheld and the revision petitions failed. en-us Fri, 17 Sep 2021 00:00:00 +0530 Thu, 07 Oct 2021 16:43:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=413261 A financier that repossesses and sells hypothecated vehicles and other assets under loan agreements is liable to value added tax where the sale falls within the broad statutory definitions of dealer, sale and turnover under the Tamil Nadu Value Added Tax Act, 2006. The transaction is treated as a taxable disposal carried out under contractual rights, not as a mere agency arrangement for the borrower. Even on the assumption of agency, tax liability still arose because the sale was effected by the financier in exercise of its contractual rights without the borrower's consent. The assessment was upheld and the revision petitions failed. Case-Laws VAT and Sales Tax Fri, 17 Sep 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=413261