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No tax on sale of lottery tickets: SC

The Supreme Court on Friday held that state governments cannot levy tax on the sale of lottery tickets.

DNA Web Team

Updated : Nov 19, 2013, 11:17 PM IST

NEW DELHI: The Supreme Court on Friday held that state governments cannot levy tax on the sale of lottery tickets.

A five-judge Constitution Bench, headed by Justice Ruma Pal, overruling a 1986 judgement of the apex court, said the sale of lottery tickets cannot be equated with sale of goods, and hence a tax cannot be imposed.

Delivering the judgement on petitions challenging the levy of sales tax on lottery tickets, the bench said its order would be effective from Friday.

The Supreme Court in 1986 had held that tax could be levied on the sale of lottery tickets.

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