LACHMI NARAIN ETC. ETC. vs UNION OF INDIA & ORS.

The Supreme Court held that the 1957 Notification, which amended Section 6(2) of the Bengal Finance (Sales Tax) Act, 1941, by substituting 'such previous notice as it considers reasonable' for 'not less than 3 months’ notice', was invalid as it contravened the mandatory requirement of a three-month notice period. The Court emphasized that the Central Government could not unilaterally alter the notice period without legislative authority. Consequently, the withdrawal of sales tax exemptions with less than three months' notice was deemed unlawful, and the appeals were allowed.