Bare Act

The Maharashtra Sales Tax on the Transfer of Property in Goods Involve in the Execution of the Works Contracts (Re-Enacted) Act, 1989

This Act regulates the taxation of goods used in "works contracts," such as construction, fabrication, or installation projects where both labor and materials are involved. Because these contracts are not simple sales, this law clarifies that the transfer of property in goods during such projects constitutes a "deemed sale" subject to tax. The Act includes a critical validation clause that ensures past tax assessments and collections remain legally binding, even if previous laws were challenged in court. It applies to contractors and businesses, ensuring they pay the correct sales tax on materials used, thereby preventing tax avoidance in the construction sector.

PDF: pending for this language.