2002 (4) TMI 930 - HC - VAT and Sales Tax

Summary

The Rajasthan High Court ruled that tax cannot be levied separately on packing material without proving an independent sale of the packing material. The court emphasized that the transfer of property in the packing material must be for consideration related to the packing material alone. The judgment stated that invoking the last proviso to section 5(1) for taxing packing material requires establishing a separate sale of the packing material. The court dismissed the revision, affirming that tax cannot be imposed on packing material without evidence of a separate sale.