In Brief
ACC Ltd entered into an agreement with Cochin Cement Limited, whereby Cocem would manufacture cement from ACC-supplied clinker under the ACC brand name for marketing and sale by ACC. ACC claimed the transaction qualified as a second sale under the Kerala General Sales Tax Act. The tax authority assessed it as a first sale under Section 5(2), treating the brand name holder's (ACC's) sale as the first taxable event. The Court upheld this, holding that Section 5(2) mandates that sales by a brand name holder are deemed first sales, and Cocem—the mere manufacturer—was not the brand name holder. The Court dismissed ACC's appeals as devoid of merit.
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