Doubt in VAT - TNVAT - Second Sale

Rajeesh P R (Probationary Officer) (24 Points)

03 April 2011  

CHENNAI/ TN.::: I have purchased some furniture (wooden furniture) and a mattress but the retail trader didnt charge me anything as VAT. Instead at the bottom of the bill it was wriiten that "SECOND SALE" and in highlighted words "VAT ALREADY PAID. COMPOSSION TAX @ 0.5%". I am so confused as to why he didnt charge VAT. I am also not sure to which schedule it belongs to.

Does this "SECOND SALE" mean that it is a sale of second hand goods? Or it simply means that it is the second sale in the distribution channel ? Can anybody give me a reply ?