M/S. Kone Elevator India Pvt. Ltd vs State Of T.N. & Ors

The Supreme Court addressed the issue of the applicability of the Tamil Nadu Tax on Entry of Goods into Local Areas Act, 2001, particularly Sections 3 and 4, which impose a tax on the entry of goods into local areas for consumption, use, or sale. The Court held that the tax is constitutionally valid and does not violate Article 19(1)(g) or Article 301 of the Constitution, establishing that states have the authority to levy such taxes as part of their fiscal powers. The petitions challenging the tax were dismissed, affirming the state's legislative competence in this regard.