MERCY GEORGE Vs. JOINT REGIONAL TRANSPORT OFFICER

JUDGEMENT

(1.) Does the 'purchase value' of a vehicle take in the tax payable under the Kerala Value Added Tax Act, 2003 in order to decipher the one-time tax payable under the Kerala Motor Vehicles Taxation Act, 1976 ('the Act' for short)

(2.) The term 'purchase value' has been defined under Section 2(e) of the Act as follows:-

(3.) The transactions in question are governed by the Sale of Goods Act, 1930 and the sale becomes complete by payment of consideration coupled with delivery of possession of the vehicle. Section 2(10) of the Sale of Goods Act, 1930 defines 'price' to mean the money consideration for a sale of goods. The money consideration obviously includes the price, excise duty, cess or any other tax imposed under the Acts applicable to the area. It has been held in State of Kerala and others v. Maharashtra Distilleries Ltd. and others, 2005 141 STC 358] that Excise Duty paid form part of the sale consideration. The Supreme Court in State of Tamil Nadu v. Kothari Sugars & Chemicals Ltd., 1996 101 STC 197] held as follows:-