Municipal Council, Kota, Rajasthan vs Delhi Cloth And General Mills Co. Ltd

The Supreme Court examined the nature of the 'Dharmada' levy imposed by the Municipal Council, Kota, under the Rajasthan Municipalities Act, 1959, specifically Section 104, which mandates the levy of octroi on goods. The Court held that the levy of Dharmada is a legitimate tax under the Act, affirming the historical context and legal basis for its imposition since 1860. The Court concluded that the Municipal Council has the authority to levy such taxes as per the provisions of the Act, thereby upholding the validity of the Dharmada tax.