TaxTMI 
TaxTMI 
2014 (1) TMI 458
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....tively and also the order dated 25-03-2011 for the assessment years 2008-09 and 2009-10 as per Annexures L and M and for other reliefs. 2. Petitioner is a company registered under the provisions of the Companies Act, 1956 engaged in trading of house articles, electric and electronic goods. The petitioner has been registered as a dealer under the provisions of the Karnataka Value Added Tax Act, 2003 (for short the KVAT Act). Petitioner further contends that it is paying service tax under the provisions of Central Government Finance Act, 1994. For the assessment years 2005-06 to 2009-10 the petitioner regularly filed returns on the turnover and remitted the tax after claiming permissible deductions. Even on the service rendered by the petiti....
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....earned senior counsel appearing for the petitioner company contends that the installation charges and transportation charges are not included in the value of the goods sold by the petitioner company. The value of the goods sold alone shall be subject to the payment of Value Added Tax in terms of Section 3 of the KVAT Act. The manufacturers supplied the goods to the petitioner specifies the sale price of the goods and the same is excluding the installation charges and transportation charges. Even in the invoices issued by the petitioner it is specifically stated that the prices are ex-showroom prices and delivery will be made only on the request of the customer at their costs, risk and responsibility. Therefore the installation charges and t....
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....Vedamurthy, learned Government Pleader supports the impugned reassessment orders. It is contended that the installation charges and transport charges are part of sale price as per Sections 2(35) and (36) of the KVAT Act. It is contended that there is obligation on the part of the petitioner to transport the goods sold and also to install the same. Therefore the charges collected for this purpose will amount to part of sale price of goods. Reliance is placed on the following decisions. 1. Apco Concrete Block & Allied Products v. Dy. Commissioner of Commercial Taxes STA No. 84/2009 disposed on 08-07-2010 2. India Meters Ltd. v. State of Tamil Nadu [2010] 34 VST 273 (SC) 7. Heard arguments o....
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....done by the dealer in respect of the goods sold at the time of or before the delivery thereof. When the transfer of title in the goods is to be at the place of buyer then all charges incidental thereto like transport of goods, installation charges and other expenditures incurred by the seller would become part of amount for which the goods are sold by the seller to the buyer. If the transfer of title of goods is to be at the place of seller then the subsequent charges for transporting goods, installation and other expenditure do not form part of amount for which the goods are sold. If the sale agreement specifies an obligation on the part of the seller to transport the goods as incidental to the sale then the same becomes part of the amount....