Constitution of India · Section Article 287
Exemption from taxes on electricity
Article 287 — Exemption from taxes on electricity
Parliament may by law otherwise provide, no law of a State shall impose, or authorise the imposition of, a tax on the consumption or sale of electricity
Plain English Summary
This article states that the Parliament has the power to create laws that allow for an exemption from taxes on electricity. Importantly, no state government can impose or authorize a tax on how much electricity is used or sold.
Key Points
- Parliament has the authority to make laws regarding electricity taxes.
- No state government is allowed to levy any tax on the consumption or sale of electricity.
- This establishes a constitutional limit on state taxation concerning electricity.
Why It Matters
This provision ensures that electricity remains an accessible service by preventing individual states from adding extra taxes on its use, which is crucial for public welfare.
Landmark Judgements
No major landmark judgements.