EVEREADY INDUSTRIES INDIA LTD vs STATE OF KARNATAKA

The Supreme Court upheld the decision of the Karnataka High Court affirming the levy of entry tax under the Karnataka Tax on Entry of Goods Act, 1979 (KST Act) on Eveready Industries India Ltd. The Court found that the appellant was ineligible for exemption from entry tax as it failed to meet the investment requirement stipulated in Notification No.CI.92.SPI.1997 dated 25.06.1997. The ruling clarified that the appellant's failure to invest Rs. 111 crores disqualified it from claiming the tax holiday, thus affirming the lower authorities' decisions.