STATE OF TAMIL NADU vs KOTHARI SUGARS AND CHEMICALS LTD.ETC.ETC

The Supreme Court addressed the liability of purchasers of sugarcane to pay purchase tax under the State Sales Tax Act on amounts exceeding the minimum price fixed under Clauses 3 and 5-A of the Sugarcane (Control) Order, 1966, issued under the Essential Commodities Act, 1955. The Court held that while the additional price determined under Clause 5-A is subject to purchase tax, the excess amount paid beyond the combined minimum and additional prices does not attract such tax. The judgment clarifies the scope of taxable amounts in the context of sugarcane purchases, emphasizing the statutory framework governing pricing.