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2014 (2) TMI 765 - HC - VAT and Sales TaxWhether equipment used during surgery amount to sale or not - Levy of Value Added Tax (UP VAT / Sales Tax) on stents and valves used by the petitioner as an intrinsic and integral element in the performance of a heart procedure at a super-speciality hospital. - Forty-sixth Amendment to the constitution - sale or works contract - Held that:- this is not a case where the petitioner is contending that the sale of medicines at the pharmacy in the hospital is not assessable to tax. The only issue is as to whether the definition of the expression 'sale' in Section 2 (ac) of the Act is attracted where a stent or valve is implanted in a patient in the course of a surgical procedure. Plainly, in our opinion, there is no element of sale. The fact that in the bill which is raised on the patient, the hospital recovers, apart from the cost of the surgery, charges towards drugs and other consumables would not render the transaction of the implantation of a stent or valve a 'sale' within the meaning of Section 2 (ac) of the Act. - Decided in favor of assessee.
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