P. KANNADASAN vs STATE OF TAMILNADU

The Supreme Court upheld the validity of The Cess and Other Taxes on Minerals (Validation) Act, 1992, affirming that the levy of local cess under Section 115 of the Tamil Nadu Panchayats Act, 1958 is within the legislative competence of the State Legislature. The Court reiterated the principle established in H.R.S. Murthy v. Collector Chittoor, 1964 (6) S.C.R. 666, which supports the imposition of taxes on land. The appeals challenging the High Court's dismissal of the writ petitions were therefore rejected, confirming the lawfulness of the tax.