https://www.taxtmi.com/caselaws?id=167775 A State tax on tobacco products under the Karnataka Value Added Tax Act was invalid where the levy was measured by the maximum retail price printed on the package rather than the actual sale price. The Court treated this as a notional valuation divorced from the sale transaction, similar to the principle applied in the Rajasthan Chemists line of cases, and therefore beyond the State's legislative competence under entry 54 of List II. The impugned provision was consequently unconstitutional, and the writ petition was allowed. en-us Tue, 20 Nov 2012 00:00:00 +0530 Mon, 05 Jan 2015 12:34:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=167775 A State tax on tobacco products under the Karnataka Value Added Tax Act was invalid where the levy was measured by the maximum retail price printed on the package rather than the actual sale price. The Court treated this as a notional valuation divorced from the sale transaction, similar to the principle applied in the Rajasthan Chemists line of cases, and therefore beyond the State's legislative competence under entry 54 of List II. The impugned provision was consequently unconstitutional, and the writ petition was allowed. Case-Laws VAT and Sales Tax Tue, 20 Nov 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=167775