ISMAIL AND CO MATTANCHERRY Vs. STATE OF KERALA

JUDGEMENT

(1.) The petitioner in this case,- Ismail & Co., Mattancherry, Cochin, - is a partnership concern engaged in the business of exhibiting cinematographic films at Mattancherry in the theatre called Star Theatre. The petitioners case is that for the successful exhibition of films in its theatre, advertisement about the films exhibited is necessary and that without advertisement it is impossible to carry on its business successfully and that the advertisement tax which is going to be imposed by the respondent Municipality is really a tax on its calling and cannot exceed the maximum of Rs. 250/- prescribed by Art.276(2) of the Constitution.

(2.) S.126 of the Kerala Municipalities Act, Act 14 of 1961, hereinafter called the Act, authorises the levy of a tax on advertisements from persons who erect, exhibit, fix, or retain upon or over any land any advertisement calculated at such rates and in such manner and subject to such exemptions as the Council may decide with approval of the Government. The relevant portion of S.126 is as follows:

(3.) The petitioner has challenged the competency of the State Legislature to enact S.126 of the Act, but there is no substance in that challenge. Entry No. 55 in list II in the Seventh Schedule reads as follows: