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2017 (10) TMI 606 - HC - VAT and Sales TaxLevy of tax - Subsequent sale - Form C - Whether Commercial Tax Tribunal was legally justified in deleting the amount of tax on otherwise subsequent sale as provided u/s 3b read with Section 6(2) of Central Sales Tax Act and according to the provisions of 9(1) proviso the State of U.P. where the dealer is registered and from where form-C has to be issued, State of U.P. has power to levy tax on such kind of central sale? Held that: - once the contract was given over for execution to sub-contractors, there was no transfer of property in goods by the principal contractor nor would it be permissible to view the subcontracting as involving a re-transfer - the property in such contract passes by accretion. The Court is of the considered view that once the transaction had been taxed in the hands of the sub-contractors, no subsequent transfer of property in goods occurred so as to warrant the Department taking the position that there was a subsequent sale - revision dismissed.
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