STATE OF MAHARASHTRA & ANR. vs CHAMPALAL KISHANLAL MOHTA

The Supreme Court reviewed its earlier judgment regarding the sale of standing timber under the Bombay Sales Tax Act, 1959, which had held that such sales were not chargeable to sales tax. The Court found that the definition of 'goods' in Section 2(7) of the Sale of Goods Act was amended by Maharashtra Act 15 of 1967 to include standing timber agreed to be severed, thus making it taxable. The Court held that the amendment was valid and allowed the appeal, correcting the earlier error apparent on the record.