CORPORATION OF CALCUTTA AND ANOTHER vs LIBERTY CINEMA

The Supreme Court held that the levy imposed under Section 548(2) of the Calcutta Municipal Act, 1951, is a tax and not a fee for services rendered. The Court clarified that the term 'fee' in this context does not imply a return for services, as the Act allows for levies that are essentially taxes. The Court found that the levy did not confer any special benefit to the cinema owners, thus invalidating the resolution that increased the fee to Rs. 6,000 per year, which was deemed excessive and unconstitutional under Article 19(1)(f) and (g). The High Court's decision to quash the resolution was upheld.