LARSEN & TOUBRO LIMITED vs ADDITIONAL DY.COMMR.OF COMMRL.TAXES &ANR

The Supreme Court addressed the applicability of Sections 5-B and 6-B of the Karnataka Sales Tax Act, 1957, in the context of works contracts executed by Larsen & Toubro Ltd. The Court held that the value of work entrusted to sub-contractors cannot be included in the total turnover of the main contractor for tax purposes, as the transfer of property involved in such execution had already been taxed. The judgment of the High Court affirming the tax liability of the appellant was set aside, ruling in favor of the appellant.