Samsung India Electronics Pvt. Ltd. Vs State of West Bengal & Ors. (Supreme Court of India)
The Supreme Court considered Special Leave Petitions arising from the Calcutta High Court’s judgment upholding the constitutional validity of the West Bengal Tax on Entry of Goods into Local Areas Act, 2012, as amended by the West Bengal Finance Act, 2017. The original petitioners had challenged the State’s authority to levy entry tax on goods entering local areas in West Bengal when such goods were meant for export outside India. Their challenge before the High Court had failed, leading them to approach the Supreme Court. The Supreme Court issued notice in the matter, observed that the issues raised required consideration, and granted interim protection by directing that no coercive steps be taken against the petitioners until the next date of hearing. The matter was directed to be heard finally.
Read Calcutta High Court Judgment in this case: Calcutta HC Upholds Entry Tax Amendments as Jindal Stainless Overruled Earlier Legal Basis
Before the Supreme Court, the State contended that the controversy was substantially covered by the decisions in State of Telangana v. Tirumala Constructions and the nine-Judge Bench decision in Jindal Stainless Ltd. v. State of Haryana. The State relied particularly on the interpretation of Section 19 of the Constitution (101st Amendment) Act, 2016, which introduced the Goods and Services Tax regime and provided transitional arrangements concerning existing indirect tax laws. According to the State, Section 19 preserved the authority of legislatures to amend or repeal pre-existing tax laws during the transitional period.
