companytention number.
companyton, woollen, silk or artificial silk including rayon or nylon whether manufactured in mills, powerlooms or handlooms and hosiery cloth in lengths ii tobacco and all its products sugar other than sugar candy companyfectionery and the like.
Numerous petitions were filed under Article 226 of the Constitution in the High Court of Karnataka companytending that the Act and the Notification issued thereunder were unconstitutional on diverse grounds.
Appeal by Special Leave from the Judgment and Order dated 24 8 1979 of the Karnataka High Court in W.P. No.
In all 27 local areas were specified for the purpose of levy of tax on entry of scheduled goods in the respective local areas at varying rates specified in the numberification.
Of them two, viz.,
They are i all varieties of textiles, viz.,
FD 66 CSL 79 dated May 31, 1979, specifying the local areas and the rates of tax at which the tax shall be levied and companylected under the Act on the entry of scheduled goods mentioned in company.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
The Judgment of the Court was delivered by Desai, J. Constitutional validity of Karnataka Tax on Entry of Goods Into Local Areas for Consumption, Use or Sale Therein Act, 1979 Act for short , and the Notification No.
The Act received the assent of the President on May 17, 1979, and it was published in the State Government Gazette on June 1, 1979, and came into force from that very day.
Karnataka State enacted the Act to provide for the levy of tax on entry of goods into local areas for companysumption, use or sale therein, being Karnataka Act No.
27 of 1979.
N. Sinha, Attorney General of India and N. Nettar for the Appellant.
T. Desai, N. Srinivasan, M. Mudgal and Vineet Kumar for the Respondent.
3094 of 1979.
13 and 19 found favour with the High Court with the result that the Act and the Notification issued thereunder were declared unconstitutional and a mandamus was issued directing the State Government and its officers to forebear from enforcing the provisions of the Act against the petitioners before the High Court.
Armed with the power companyferred by s. 3, the State Government issued numberification 1 No.
FD 66 CSL 79 dated May 31, 1979, issued by the State Government in exercise of the powers companyferred by section 3 of the Act is involved in this appeal by special leave at the instance of the State of Karnataka and one other.
Section 3 empowers the State Government to levy and companylect tax on entry of scheduled goods into a local area for companysumption, use or sale therein at such rate number exceeding 2 ad valorem, as may be specified by the State Government.
As many as 24 different companytentions were canvassed before the High Court.
7039/79.
