https://www.taxtmi.com/caselaws?id=762053 Section 7-A of the Tamil Nadu General Sales Tax Act, 1959 applies only where the dealer first purchases goods in the statutory sense and the goods are then consumed, disposed of otherwise than by sale, despatched outside the State, or used as contemplated by the Act. On the facts, the defective spare parts were not purchased from customers; they were retrieved as part of an annual maintenance and replacement arrangement when new parts were supplied. Because the statutory precondition of a purchase was absent, purchase tax could not be levied on the defective parts. The Tribunal's view was therefore sustained and the revenue challenge failed. en-us Wed, 06 Nov 2024 00:00:00 +0530 Sat, 23 Nov 2024 08:01:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762053 Section 7-A of the Tamil Nadu General Sales Tax Act, 1959 applies only where the dealer first purchases goods in the statutory sense and the goods are then consumed, disposed of otherwise than by sale, despatched outside the State, or used as contemplated by the Act. On the facts, the defective spare parts were not purchased from customers; they were retrieved as part of an annual maintenance and replacement arrangement when new parts were supplied. Because the statutory precondition of a purchase was absent, purchase tax could not be levied on the defective parts. The Tribunal's view was therefore sustained and the revenue challenge failed. Case-Laws VAT / Sales Tax Wed, 06 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762053