M. A. RAHMAN AND OTHERS vs THE STATE OF ANDHRA PRADESH

The Supreme Court upheld the constitutionality of Section 4(1) of the Madras Sales of Motor Spirit Taxation Act, which mandates the registration of dealers for tax purposes, as a reasonable restriction under Article 19(1)(g) of the Constitution. The Court found that the requirement for registration was essential for the State to identify tax liabilities and that the cancellation of registration under Section 4(6) for non-compliance was a legitimate coercive measure. The judgment clarified that the potential extinction of a dealer's business due to cancellation does not render the provision unreasonable.