VILLAGE PANCHAYAT OF KANHAN PIPRI vs STANDING COMMITTEE, ZILA PARISHAD, NAGPUR, AND ORS.

The Supreme Court held that while octroi can be validly levied under Rule 22 of the Maharashtra Village Panchayats Taxes and Fees Rules, 1960, prior approval of the Collector under Rule 21 is necessary before collection. The Court ruled that collections made before such approval cannot be validated retroactively. Additionally, it upheld the validity of Rule 5, stating it applies only to appeals against the levy of tax, not assessments, and the dismissal of the respondent's appeal as time-barred was incorrect, allowing the Standing Committee to consider the appeal on its merits.