Report No. 61

8.14. Section 2(g)-'valuable consideration' in the definition of sale.-

We shall deal with another question which also pertains to definitions contained in the Central Sales Tax Act. Most Sales Tax Acts of States (as well as the Central Sales Tax Act)1 define 'sale' as meaning a transfer of property in goods etc. for "each or for deferred payment or other valuable consideration", or in similar terms. Elucidating the expression "money consideration" occurring in the definition of "purchase" in the Punjab General Sales Tax Act, 1948, the Supreme Court2 has pointed out, that the expression "valuable consideration" takes its colour from the preceding expression "cash or deferred payment". If so, it can only mean some other monetary payment in the nature of "cash or deferred payment."

1. See section 12(g), Central Sales Tax Act.

2. Devi Dass v. State of Punjab, (1969) 1 SCJ 19 (28,_29).