Home Case Index All Cases VAT and Sales Tax VAT and Sales Tax + HC VAT and Sales Tax - 2009 (2) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (2) TMI 768 - HC - VAT and Sales TaxDemanding tax on the sales turnover of ice cream sold under the brand name - Held that:- Party Nos. l and 3 referred to in the agreement are Joy Ice Creams (Bangalore) Pvt. Ltd. and Joy Ice Creams, Bangalore who assigned the franchisee rights in Kerala exclusively to the respondent. Therefore, this contention is an absolutely false claim raised when we were about to reverse the order of the Tribunal. The very purpose of section 5(2) providing for tax at the point of sale by the brand name holder is to ensure that tax is levied on real value of the goods which happens when the brand name or trade mark holder sells the goods irrespective of whether such brand name or trade mark is used by the holder as its owner or as a franchisee or as an assignee. We, therefore, reject this contention raised by the respondent as factually untenable. The sales tax revision cases are therefore allowed reversing the orders of the Tribunal and of the first appellate authority and by restoring the assessments.
|