Supreme Court of India

Federation of Hotel & Restaurant Association of India, Etc. v. Union of India & Ors.

Neutral citation

Reported as [1989] 2 S.C.R. 918

Bench R.S. Pathak, Sabyasachi Mukharji, S. Natarajan, M.N. Venkatachaliah and S. Ranganathan JJ.

Decided 2 May 1989

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

16 Supreme Court benches have cited this judgment.

What the Court ordered

In the result, for the foregoings reasons, these petitions fail and are dismissed.

Judgment, page 38

From the headnote

Hotel Expenditure Act, 1987: Sections 2-5, 6 and 24--Tax at 10% ad valorem on chargeable expenditure where room charges in hotels were Rs.400 per day per individual-Validity of-Competence r of Parliament to impose-Classification of hotel for tax purposes Whether arbitrary, violative of Article 14--Whether violative of Article 19( l)(g). Constitution of India, 1950: Articles 14 and 19( l)(g), Articles 246 and 248, Entry 97 List 1 and Entries 54 and 62, List Il, Seventh Schedule-Hotel Expenditure Act, 1987-Legislative competence of Parliament to impose tax-Classification of hotels based on

Authorities it was built on

1958 M. P. V. Sundararamier & Co. v. The State of Andhra Pradesh & Another cited by 58
1954 Navinchandra Mafatlal v. The Commissioner of Income-tax, Bombay City cited by 32
1961 M/s. Sainik Motors, Jodhpur and Others v. The State of Rajasthan cited by 13
1962 Kapur Chand Godha v. Mir Nawab Himayatalikhan Azamjah cited by 3

Where later benches applied it

2020 Pandurang Ganpati Chaugule v. Vishwasrao Patil Murgud Sahakari Bank Limited relied on
2011 Offshore Holdings Pvt. Ltd. v. Bangalore Development Authority & Ors. relied on
2021 Jalkal Vibhag Nagar Nigam & Ors. v. Pradeshiya Industrial and Investment Corporation & Anr. followed
2021 Union of India & Ors. v. Vkc Footsteps India Pvt Ltd. followed
2025 State of Kerala & Another v. Asianet Satellite Communications Ltd. & Others referred to
2025 C.T. Kochouseph v. State of Kerala and Another Etc. referred to
2024 Chief Commissioner of Central Goods and Service Tax & Ors. v. M/s Safari Retreats Private Ltd. & Ors. referred to
2024 Mineral Area Development Authority & Anr. v. M/s Steel Authority of India & Anr. Etc. referred to
2023 The Animal Welfare Board of India and Ors. v. Union of India & Anr referred to
2022 Union of India & Anr v. M/s Mohit Minerals Pvt. Ltd. through Director referred to
2022 State of Karnataka & Anr. Etc. v. State of Meghalaya & Anr. Etc. referred to
2018 Union of India & Anr. v. Mohit Mineral Pvt. Ltd. referred to
2016 Jindal Stainless Ltd. & Anr v. State of Haryana & Ors referred to
2014 M/s. Kone Elevator India Pvt. Ltd. v. State of Tamil Nadu and Ors. referred to
2013 M/s. Larsen & Toubro Limited & Anr. v. State of Karnataka & Anr. referred to
2018 Jayant Verma & Ors. v. Union of India & Ors. not applicable

Of those, 2 relied on · 2 followed · 11 referred to · 1 not applicable

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