MUNICIPAL COUNCIL, PUSAD vs GOKALDAS DOSSA & CO. LTD.

The Supreme Court held that the Boja and Bale Tax imposed by the appellant Municipality under Section 66(1)(b) of the Central Provinces Municipalities Act, 1922, does not contravene Section 142A(2) of the Government of India Act, 1935, or Article 276(2) of the Constitution. The Court affirmed the validity of the tax, stating that it was imposed prior to the ceiling limit established by Article 276, and thus, the demand notice was lawful. The appeal was allowed, reversing the High Court's decision that had quashed the tax demand as unconstitutional.