PART XII CHAPTER I.-FINANCE Miscellaneous Financial Provisions 287. Exemption from taxes on electricity.- Save in so far as
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 (whether produced by a Government or other
persons) which is- (a) consumed by the Government of India, or sold to the Government of
India for consumption by that Government; or (b) consumed in the construction, maintenance or operation of any
railway by the Government of India or a railway company operating that
railway, or sold to that Government or any such railway company for
consumption in the construction, maintenance or operation of any
railway, and any such law imposing, or authorising the imposition of, a tax on
the sale of electricity shall secure that the price of electricity
sold to the Government of India for consumption by that Government, or
to any such railway company as aforesaid for consumption in the
construction, maintenance or operation of any railway, shall be less
by the amount of the tax than the price charged to other consumers of
a substantial quantity of electricity.
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