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2013 (3) TMI 580 - HC - VAT and Sales TaxWhether, in the facts and circumstances of the present case, the Haryana Tax Tribunal, Chandigarh, has correctly passed an order that the lease rental for the entire lease period is a sale price when the appellant delivered the goods, therefore, the lease amount received or receivable would be quantified as turnover? Held that:- The turnover is aggregate of the goods sold or purchased by a dealer during a tax period in terms of rule 2(zg) of the Rules. Since the transfer of the right of use in the vehicle is the sale falling within the definition of section 2(zf), therefore, the rentals received or receivable during the tax period is the sale price received by the dealer, exigible to tax in a financial year. The right to use vehicle is dependent upon the monthly payment of rentals and therefore, the monthly rentals received or receivable by the dealer is a turnover and consequently the sale price. In view of the said fact, we find that the orders passed by the authorities under the Act are not sustainable. The lease rental received or receivable during the tax period only, as a right to use goods, is the turnover forming part of sale price. Appeal allowed.
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