https://www.taxtmi.com/caselaws?id=163426 A fiscal incentive under an industrial policy may validly include conditions that preserve the existing unit's tax liability at the higher of the three-year average or actual liability. The Karnataka HC analysis treats this condition as part of the special concession package for a mega project, not as a separate levy or an unauthorised tax. It regulates when and to what extent the incentive for the expanded unit accrues, while maintaining the revenue base of the existing unit. On that basis, the condition is described as consistent with the policy and not violative of Article 265 of the Constitution of India. en-us Mon, 01 Aug 2005 00:00:00 +0530 Wed, 02 Apr 2014 14:34:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=163426 A fiscal incentive under an industrial policy may validly include conditions that preserve the existing unit's tax liability at the higher of the three-year average or actual liability. The Karnataka HC analysis treats this condition as part of the special concession package for a mega project, not as a separate levy or an unauthorised tax. It regulates when and to what extent the incentive for the expanded unit accrues, while maintaining the revenue base of the existing unit. On that basis, the condition is described as consistent with the policy and not violative of Article 265 of the Constitution of India. Case-Laws VAT and Sales Tax Mon, 01 Aug 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=163426