M/S. B.K. INDUSTRIES vs UNION OF INDIA

The Supreme Court upheld the validity of the levy and collection of cess under Section 3 of the Vegetable Oils Cess Act, 1983, for the period from March 1, 1986, to March 31, 1987. The Court ruled that the cess, being imposed by a parliamentary enactment, could only be rendered inoperative by another parliamentary enactment, which occurred with the repeal in 1987. The Court clarified that statements made by the Finance Minister in his Budget Speech do not constitute law and cannot exempt the cess, affirming the intention of Parliament to maintain the cess until its repeal.