https://www.taxtmi.com/caselaws?id=285599 A realised capital gain on the sale, exchange or transfer of a capital asset was treated as income for the purpose of the legislative entry on taxes on income, so the capital gains charge under the Indian Income-tax (Amendment) Act, 1947 fell within the taxing power and was intra vires. Even on the assumption that the measure extended beyond the classes covered by the relevant entry, the severability principle preserved the valid portion because the provision could operate independently for individuals and companies and was not inseparably linked to any invalid excess. The constitutional challenge to the capital gains levy therefore failed. en-us Fri, 07 Sep 1951 00:00:00 +0530 Sat, 18 Jan 2020 15:31:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=285599 A realised capital gain on the sale, exchange or transfer of a capital asset was treated as income for the purpose of the legislative entry on taxes on income, so the capital gains charge under the Indian Income-tax (Amendment) Act, 1947 fell within the taxing power and was intra vires. Even on the assumption that the measure extended beyond the classes covered by the relevant entry, the severability principle preserved the valid portion because the provision could operate independently for individuals and companies and was not inseparably linked to any invalid excess. The constitutional challenge to the capital gains levy therefore failed. Case-Laws Income Tax Fri, 07 Sep 1951 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=285599