PANDURONGA TIMBLO INDUSTRIAS vs THE UNION OF INDIA .

The Supreme Court upheld the constitutional validity of the Goa, Daman and Diu Barge Tax Act, 1973, affirming that the State Legislature has the authority to levy taxes on 'boats' under Entry 58 of List II in the Seventh Schedule of the Constitution of India. The Court clarified that a 'barge' is a type of boat, specifically a large flat-bottomed vessel used for transporting goods, which can be mechanically propelled. The definition of 'barge' in Section 2(1) of the Act was found to be valid, and thus the tax imposed on barges was deemed lawful and within the legislative competence of the State. The appeals challenging the Act were dismissed.