THE STATE OF PUNJAB vs NARANJAN DASS DOOMRA RICE&GEN.MILLS &ORS

The Supreme Court addressed the legality of the imposition of Urban Development Cess under Section 62-A of the Punjab Municipal Act, 1911, following the exemption of certain goods from octroi. The Court held that the imposition of the cess was invalid as it was not properly enacted, leading to the direction for refund of the collected amounts with interest at 12% per annum. The judgment emphasized the necessity of adhering to statutory procedures in tax imposition, reinforcing the principle that taxes must be levied in accordance with the law.