VASAVADATTA CEMENTS vs THE STATE OF KARNATAKA

The Supreme Court upheld the constitutional validity of Section 5(3-D) of the Karnataka Sales Tax Act, 1957, which mandates that packing materials used for goods are subject to sales tax. The Court found that this provision aligns with similar provisions in other state laws, specifically referencing Section 6-C of the Andhra Pradesh General Sales Tax Act, 1957. The appeal was dismissed, affirming the Karnataka High Court's ruling that the issue was already settled by precedent in Ranganatha Associates v. State of Karnataka.