Section 2(25): “Sale Price” means the amount of valuable consideration paid or payable to a dealer for any sale made including any sum charged for anything done by the seller in respect of the goods at the time of or before delivery thereof, other than the cost of insurance for transit or of installation, when such cost is separately charged.

Notes:

• Duties levied or livable on goods under the Central Excise Act, 1944 or the Customs Act, 1962 or the Bombay Prohibition Act, 1949, shall be included in the Sales Price
  
  

• Deposit whether refundable or not which has been collected by seller whether by way of a separate agreement or not, in connection with or incidental or ancillary to the said sale of goods is to be included in Sales Price
  
  

• The amount of valuable consideration paid or payable of a dealer for the sale of Drugs specified in entry 29 in Schedule C shall be the maximum retail price (MRP) printed on the package containing the Drug.
  
  

• Sales price shall not include the tax paid under this act (i.e. VAT which is shown separately in the invoice)
   

• Sales Price in works contract: - In case of works contract sales price means the total consideration for the works contract, however for the purpose of levy of sales price shall be determined in accordance with the rules. This is because as per the constitutional provisions only the value of goods transferred to the contractee in execution of works contract is liable to Value Added Tax