9911796707
TMI Blog1967 (4) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... ncipal Act, and, therefore, void as they were made in contravention of the provisions of Art. 254(2) of the Constitution. The facts are in a small compass and they are as follows The Principal Act came into force on March 1, 1937. The assent of the Governor-General in Council was given under section 35 of the Government of India Act, 1935. This Act imposes tax on motor vehicles in the Province of Assam. In 1955 the Principal Act was amended by Assam Act IV of 1956 and it had received the assent of the President. Subsequently the Principal Act was amended by Act 15 of 1963, but the Bill was introduced in the Assam State Assembly with the previous sanction of the President and it came into force on April 1, 1963. Subsequent to the filing o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt to read at the outset the relevant Articles of the Constitution. Entry 57 of List II of the Seventh Schedule to the Constitution : Taxes on vehicles, whether mechanically propelled or not, suitable for use on roads, including tramcars subject to the provisions of entry 35 of List 111. Entry 35 of List III Mechanically propelled vehicles including the principles on which taxes on such vehicles are to be levied. Art. 254 (1) If any provision of law made by the Legislature of a State is repugnant......... to any provision of an existing law with respect to one of the matters enumerated in the Concurrent List, then, subject to the provisions of clause (2)........ the existing law, shall prevail and the law made by the Legislature of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t. The learned Solicitor General raised before us two points, namely, (i) Art. 254 of the Constitution posits the existence of two. parallel laws--One an existing law and the other a post Constitutional law-in respect of any one of the entries in the Concurrent List and the provisions thereof are in conflict with each other; but it has no application to a case where the State Legislature, within the scope of its legislative competency, amends an existing law so as to extinguish a part of it. (2) The amending Acts were only made under entry 57 of List 11 and, therefore, there is no scope for invoking the provisions of Art. 254 of the Constitution. Learned counsel for the respondent, on the other hand, contended that there was no dist ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... amending Act ,of 1966 substituted the Schedule of the Act by another Schedule. A persual of the aforesaid Schedule only disclose that different rates were fixed; that is to say, the amended Schedule does not lay down any principles on which taxes on motor vehicles are to be levied within the meaning of entry 35 of the Concurrent List; it is solely concerned with taxes on vehicles within the meaning entry 57 of List 11. The two entries deal With two different matters though allied ones-one deals with taxes on vehicles and the other with the principles on which such taxes are to be levied. When two entries in the Constitution, whether in the same List or different Lists, deal with two subjects, if possible, an attempt shall be made to harmoni ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n Rajasthan without paying an appropriate tax for it and, if he did so, be was made liable to the penalties imposed under s. 11 of that Act. This Court by majority held that such taxes were compensatory and regulatory taxes which did not hinder the freedom of trade. In the present case the respondent in her petition questioned the validity of the provisions, of the amending Acts on the following grounds :- (i) The Act abolished the permit fee previously payable on such motor vehicles. She alleges that as a result of the rationalisation of tax and the introduction of a single point levy, the tax fixed irrespective of road condition. distance travelled, region catered for imposes crushing burden oil the petitioner and the other stage carr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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