DRAFT CONSTITUTION 1111
P ART IV
The Andaman and Nicobar Islands.”
Sir, I do not think the amendment which I have moved calls for any explanation.
Shri Jainarain Vyas : I would like to know if Sirohi State has been put in anywhere.
The Honourable Dr. B. R. Ambedkar : Sirohi, I understand is administered under the Extra-Provincial Jurisdiction Act, 1947, partly by Bombay and partly by Rajasthan. That is the reason why it has not been separately mentioned.
ARTICLE 264A
*The Honourable Dr. B. R. Ambedkar (Bombay: General) : Sir, I move amendment No. 425.
“That in amendment No. 307 of List XIII (Second Week), for the proposed article
264A the following be substituted :—
‘264A. (1) No law of a State shall impose, or authorise the imposition of a Restriction as tax on the sale or purchase of goods where such sale or to imposition purchase takes place— of tax on Sale or purchase of (a) outside the State; or goods. (b) in the course of the import of the goods into, or export of the goods out of, the territory of India.
Explanation. —For the purposes of sub-clause (a) of this clause a sale or purchase shall be deemed to have taken place in the State in which the goods have actually been delivered as a direct result of such sale or purchase for the purpose of consumption in that State, notwithstanding the fact that under the general law relating to sale of goods the property in the goods has by reason of such sale or purchase passed in another State.
(2) Except 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 sale or purchase of any goods where such sale or purchase takes place in the course of inter-State trade or commerce :
Provided that the President may by order direct that any tax on the sale or purchase of goods which was being lawfully levied by the Government of any State immediately before the commencement of this Constitution shall, notwithstanding that the imposition of such tax is contrary to the provisions of this clause, continue to be levied until the thirty-first day of March, 1951.
(3) No law made by the Legislature of a State imposing, or authorising the imposition of, a tax on the sale or purchase of any such goods as have been declared by Parliament by law to be essential for the life of the community shall have effect unless it has been reserved for the consideration of the President and has received his assent.’ ”
*CAD, Vol. X, 16th October 1949, pp. 325-327.