THE STATE OF BOMBAY AND ANOTHER vs THE UNITED MOTORS (INDIA) LTD. AND OTHERS.UNION

The Supreme Court upheld the Bombay Sales Tax Act, 1952, specifically sections 2(14), 5, and 10, affirming the state's power to levy sales tax on intra-state sales while clarifying that sales deemed to occur within the state for tax purposes do not violate Article 286(1) of the Constitution. The Court ruled that the definition of 'sale' includes transfers of property in goods delivered in the state, regardless of where the property passed. The judgment confirmed the validity of the Act and the associated rules, emphasizing the state's authority in taxation matters.