VIDEO ELECTRONICS PVT. LTD. AND ANR. ETC. ETC. vs STATE OF PUNJAB & ANR. ETC. ETC.

The Supreme Court upheld the constitutional validity of the Uttar Pradesh Sales Tax Act and the Central Sales Tax Act, specifically Sections 4A and 8(5), dismissing the petitioners' claims of discrimination under Articles 14, 19, and 301-305 of the Constitution. The Court established that the power to grant tax exemptions is inherent in taxing legislation and that such exemptions are necessary for economic development. It clarified that sales tax does not directly and immediately restrict trade, thus falling outside the scope of Article 301.