TaxTMI 
TaxTMI 
1973 (12) TMI 99
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....s in the High Court challenged the legality of notices issued by the Executive Authority, Ballabgarh Panchayat Samiti claiming Rs. 200/- on account of profession tax for the year 1963-64. The notice was issued under section 76 of the Gram Panchayat Samitis and Zila Parishads Act, 1961 referred to as the 1961 Act. The appellants contended that the claim under section 76 of the 1961 Act was in violation of Article 276 of the Constitution because a similar professional tax on a graded scale subject to a maximum limit of Rs. 250/- per annum had been and was being collected by tile State of Haryana. The Full Bench of the High Court upheld the contention of the respondents that the recoveries can be made by each one of the authorities mentioned i....
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.... tax. Income between Rs. 6000/- and Rs. 8500/- was subjected to a tax of Rs. 120/per annum. The maximum sum of Rs. 250/- per annum was levied on income exceeding Rs. 2500/'-. The appellants were paying Rs. 250/- per annum to the State by way of professional tax. Under section 5 of the Punjab Temporary Taxation Act, 1962 the Schedule to the 1956 Act was altered. Income between Rs. 1800:/- to Rs. 3000/- was subjected to a tax of Rs. 28/- per annum. Income exceeding Rs. 11,500/was subjected to a tax of Rs. 250/- per annum. By Punjab Act 6 of 1967 the 1956 Act was repealed. There is now no professional tax so far as the reorganised State of Punjab is concerned. The provisions of the 1956 Act however continued to be applicable to the State o....
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....rities at certain rates mentioned in the relevant statutes. A tax on income can be imposed if there is income. A tax on pro- fession can be imposed if a person carries on a profession. Such a tax on profession is irrespective of the question of income. Article 276(2) as well is the proviso has the combined effect which precludes a challenge on the ground that the tax on profession is a tax on income or that it exceeds Rs. 250/- per annum. The proviso saves existing taxes. The proviso states that notwithstanding that a profession tax exceeds Rs. 250/- per annum it can continue to be levied until provision to the contrary is made by Parliament by law. The provisions in Article 276(2) were contended by counsel for the appellants to indic....
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....e read as the word "and" in a conjunctive sense. The words "the total amount payable in respect of any one person to the State or to any one municipality, district board, local board or other authority" mean that tax of and up to the sum of Rs. 250/- can be imposed by any one of the authorities mentioned. If the Constitution wanted the total taxes to be imposed by the State and other authorities to be Rs. 250/- the Constitution would have said that the total amount payable in respect of any one person by way of tax on professions, trades, callings and other employments shall not exceed Rs. 250/- per annum whether imposed by the State, municipality, district board, local board or other local authority. Further, if the total of the taxes be a....