Karnataka High Court strikes down Health Security se National Security Cess Act, 2025
The Karnataka High Court has struck down the Health Security se National Security Cess Act, 2025, ruling that the method of taxing pan masala manufacturers based on machine capacity is unconstitutional. The court found the tax structure arbitrary and in violation of Article 14.
The High Court of Karnataka has struck down the Health Security se National Security Cess Act, 2025, and the associated Rules, holding that the method of levying cess on pan masala manufacturers based on the assumed production capacity of machines, rather than actual output, is unconstitutional and violates Article 14 of the Constitution of India.
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