THE CONSTITUTION (SIXTH AMENDMENT) ACT, 1956

                                        [11th September, 1956.]


An Act further to amend the Constitution of India.

BE  it  enacted by Parliament in the Seventh Year of the  Republic  of
India as follows:-

1.   Short  title.-This   Act  may be called  the  Constitution  (Sixth
Amendment) Act, 1956.

2.   Amendment of the Seventh Schedule.-In the Seventh Schedule to the
Constitution,-

(a)  in  the Union List, after entry 92, the following entry shall  be
inserted, namely:-

"92A.   Taxes on the sale or purchase of goods other than  newspapers,
where  such sale or purchase takes place in the course of inter-State
trade or commerce.";  and

(b)  in  the  State List, for entry 54, the following entry  shall  be
substituted, namely:-

"54.   Taxes  on the sale or purchase of goods other than  newspapers,
subject to the provisions of entry 92A of List I.".

3.  Amendment of article 269.-In article 269 of the Constitution,-

(a)  in  clause  (1), after sub-clause (f), the  following  sub-clause
shall be inserted, namely:-

"(g)  taxes  on the sale or purchase of goods other  than  newspapers,
where  such sale or purchase takes place in the course of inter-State
trade or commerce.";  and

(b)  after  clause  (2),   the  following  clause  shall  be  inserted,
namely:-

"(3) Parliament may by law formulate principles for determining when a
sale  or  purchase of goods takes place in the course  of  inter-State
trade or commerce.".

4.  Amendment of article 286.-In article 286 of the Constitution,-

(a) in clause (1), the Explanation shall be omitted;  and

(b)  for  clauses  (2)   and  (3),   the  following  clauses  shall  be
substituted, namely:-

"(2) Parliament may by law formulate principles for determining when a
sale  or purchase of goods takes place in any of the ways mentioned in
clause (1).

(3)  Any  law of a State shall, in so far as it imposes or  authorises
the  imposition of, a tax on the sale or purchase of goods declared by
Parliament  by law to be of special importance in inter-State trade or
commerce,  be subject to such restrictions and conditions in regard to
the system of levy, rates and other incidents of the tax as Parliament
may by law specify.".