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State can levy sales tax on sales aspect only and not on the entire bill amount
State can levy sales tax on sales aspect only and not on the entire bill amount
Sky Gourmet provides catering services to airlines. It provides food and also provides food supply services like loading and unloading, transportation of food, etc. Sky Gourmet charged separately for food from other services offered. It charged service tax on services provided and VAT on food sale.VAT officer levied VAT on total turnover, including other services too. Sky Gourmet appealed.Court held that State can not levy VAT on other services.
