[Central Sales Tax Act, 1956, S. 3] – No State can levy VAT on inter-State sales; taxation power for inter-State trade vests exclusively with the Union. – Constitution of India, 1950 — Article 269 — Taxes on sale or purchase of goods in the course of inter-State trade or commerce — Levied and collected by Union but assigned to States — Parliament’s power to formulate principles for determining when such sale/purchase takes place — State legislature’s power restricted to intra-State sales.
2026 INSC 491 SUPREME COURT OF INDIA DIVISION BENCH STATE OF UTTAR PRADESH AND OTHERS Vs. RELIANCE INDUSTRIES LIMITED AND OTHERS ( Before : J.K. Maheshwari and Atul S. Chandurkar,…


