N.M. GOEL & CO. vs SALES TAX OFFICER, RAJNANDGAON & ANR.

The Supreme Court interpreted Section 3 of the M.P. Sthaniya Kshetra Me Mal Ke Prevesh Par Kar Adhiniyam 1976, which imposes entry tax on specified goods for consumption and use, but not for sale. The Court held that the appellant, a contractor, was not liable for entry tax on materials supplied by the P.W.D. since these materials were not purchased but supplied for a work contract, and thus, the entry tax assessment was invalid. The ruling clarified the distinction between goods supplied for work contracts and those purchased for resale under the relevant tax provisions.