M/S TATA SKY LTD. vs STATE OF M.P.

The Supreme Court ruled that the demand for entertainment tax on DTH broadcasting by the Madhya Pradesh Government under the Madhya Pradesh Entertainment Duty and Advertisements Tax Act, 1936 is invalid. The Court held that DTH broadcasting is a service chargeable to service tax under the Finance Act, 1994, specifically under sections 65(15) and 65(105)(zk), and thus cannot be subjected to state-level entertainment tax. The appeals by Tata Sky Ltd. were allowed, overturning the High Court's dismissal of their writ petitions.