What does it mean when a tax is "on the sale or purchase of goods"?
When a tax is "on the sale or purchase of goods," it refers to a tax applied on the transfer, delivery, or supply of any goods for cash, deferred payment, or other valuable consideration. This includes taxes on various types of transactions involving goods such as direct sales, transfers in works contracts, hire-purchase arrangements, and supplies by unincorporated associations to their members. The tax is considered to be paid when the seller makes a sale, and purchased when the buyer receives the goods.