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Basic definition of sales

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Anonymous

12y ago
Updated: 8/17/2019

Definition of Sale: When there is movement of material from one place to another place and by this movement transfer of ownership is changed (compulsory condition) is termed as Sales.

Now There are many laws depends upon material, place etc but all fulfill basic above condition.

Movement of Material from One store to another Store (No tax is charged because ownership does not change to certify this movement we produce Form F)

Sale of house cannot be deemed as sales because there are no movement of material hence builders never charged sales tax.

Service: There is no movement of material but still there is transfer of ownership is termed as service. ( Charged cost is time cost, technology cost etc)

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Wiki User

12y ago

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