DEPUTY COMMISSIONER OF SALES TAX (LAW) BOARD OF REVENUE (TA vs MIS. PADINJARKARA AGENCIES

The Supreme Court held that the rate of purchase tax applicable to goods purchased before 30th June 1974, which were later determined to be last purchases within the State, should be the rate in effect at the time of purchase, specifically 3% as per the Kerala General Sales Tax Act. The Court affirmed the High Court's decision, stating that the assessee could not be taxed at the increased rate of 5% effective from 1st July 1974 for purchases made prior to that date. The appeal was dismissed without costs.