Section 64A of SOGA : Section 64A: In Contracts Of Sale, Amount Of Increased Or Decreased Taxes To Be Added Or Deducted

Explanation using Example

Here is an example of how Section 64A of The Sale of Goods Act, 1930 might be applied:

Imagine that a business, ABC Electronics, enters into a contract to sell 100 laptops to a school on January 1st, with delivery scheduled for March 1st. The contract price is set at $50,000 with no specific mention of tax because at the time of the contract, laptops were not subject to any special electronics tax.

On February 15th, the government imposes a new electronics tax that affects the price of laptops, increasing ...

Login to access all pages and read more content.

To disable ads and read rest of the premium content, subscribe to KanoonGPT Pro.