790 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
The Honourable Dr. B. R. Ambedkar : Sir, I move :
“That after article 254 the following article be inserted :—
254-A. (1) No Bill or amendment which imposes or varies any tax or duty in which States are interested, or which varies the meaning of the expression ‘agricultural income’ as defined for the purpose of the enactments relating Prior recommendation to Indian Income-tax or which affects the principles of President required to on which under any of the foregoing provisions of Bills affecting taxation this Chapter moneys are or may be distributable in which States are to States, or which imposes any such surcharge interested. for the purposes of the Union as is mentioned in the foregoing provisions of this Chapter, shall be introduced or moved in either House of Parliament except on the recommendation of the President.
(2) In this article the expression ‘tax or duty in which Slates are interested’ means—
(a) a tax or duty the whole or part of the net proceeds whereof are assigned to any State ; or
(b) a tax or duty by reference to the net proceeds whereof sums are for the time being payable out of the Consolidated Fund of India to any State.”
Sir, I might mention one or two reasons why we felt that at the fag end, so to say, this new article be inserted in the Constitution. A similar provision exists in the Government of India Act. The Drafting Committee considered the matter. They did not think it necessary to incorporate and transfer that article into the new Constitution. However, when a Conference of Premiers was held, it was suggested that such an article would be useful and perhaps necessary, because, once an allocation has been made by Parliament between the provinces and the States, such an allocation should not be liable to be disturbed by any attempt made by any private member to bring in a Bill to make alteration in matters in which the provinces become interested by reason of the allocation. It is because of this that the Drafting Committee has now brought forth this amendment in order to give an assurance to the provinces that no change will be made in the system of allocation unless a Bill to that effect is recommended by the President.
Mr. President : There is no amendment to this article.
Mr. President : Do you wish to speak, Dr. Ambedkar ?
The Honourable Dr. B. R. Ambedkar : I do not think any reply is necessary.
Article 254-A was added to the Constitution.