- (1.) When a legislative enactment has caused an amendment beyond the competence of the legislature and the mistake is corrected by another amendment to bring the enactment back within its competence, can the entire legislation, original as well as amendatory, be said to be "stillborn" and thus unenforceable, is the significant question which falls for determination in this group of cases.
(2.) It will be necessary' to refer to the legislative history of the questioned a provisions. In the year 1964, the Rajasthan State Legislature enacted a measure called the Rajasthan Urban Lands Tax Act (Act 18 of 1964 (hereinafter referred to as the "principal Act") , to provide for levy of tax alone on "urban lands" in the State of Rajasthan. The Act then did not levy tax on buildings though within the competence of the legislature. The principal Act was not enforced till 1973, when amendment was caused thereto by the Amending Act 15 of 1973, bringing about drastic changes in the Act of far-reaching consequences. By virtue of this Amendment Act, tax was sought to be levied or imposed upon both lands and buildings in the urban areas of the State of Rajasthan. The principal Act and the Amending Act were made enforceable with effect from 1/4/1973. A private corporation challenged the constitutional validity of the Act as amended, in the High court of Rajasthan. The State government perhaps realising the flaws in the Amending Act 15 of 1973, had the governor of the State issue on 23/6/19733. an Ordinance 6 of 1973 bringing about corrective changes in the provisions, (reference to which will be made later) which ordinance was replaced by the Amending Act 18 of 1973, which Came into force on 10-11- 1973 but effective from 1/4/1973. The rates of tax as applicable with effect from 1/4/1973 were changed subsequently by the Rajasthan Finance Act of 1977 (Act 2 of 1977 causing necessary amendments in the charging section of the principal Act.
(3.) Section 3 of the principal Act, as it was originally enacted, reads as under: "3.Levy of urban land tax, (1 Subject to the other provisions contained in this Act, there shall be levied and collected for each year a tax on urban lands (hereinafter referred to as the urban land tax) from every owner of urban land, at such rate not exceeding 2% of the market value of such urban land as determined under Section 4, as the Stale government may by notification in the Official Gazette declare in this respect: Provided that the State government may fix graduated rates of tax on different slabs of market values of urban lands: Provided further that no tax Shall be levied on any urban land if the owner thereof or his predecessor-in-interest has acquired such land by transfer from the government or any local authority within a period of two years immediately preceding the year for which the tax is levied. (2 The tax shall be in addition to any other tax for the lime being payable in respect of the urban land or portion thereof under any other law for the time being in force. "this Section 3 was subsequently substituted by the following provision, by Section 4 of the Amending Act 15 of 1973, with effect from 1/4/1973. "3.Levy of lands and buildings tax. (1 There shall be levied and collected, with effect on and from 1-4-1073, for each year a tax on lands and buildings situate in an urban area. (hereinafter referred to as the lands and buildings tax) from the owner of such lands and buildings at such rates not exceeding 2% of the market value thereof as the State government may. by notification in the Official Gazette declare in this behalf: Provided that the State government may fix graduated rates of tax on different slabs of market values of urban lands and buildings: Provided further that until a notification declaring rates of tax is issued under this sub-section, the rates of tax on lands and buildings shall be as follows: On first Rs. 50,000. 00 of the market value of the lands and NIL buildings On the balance of the market value of the lands and 1/4% buildings Provided further that if any area is declared a cantonment or is constituted a municipality, after the commencement of the Rajasthan Urban Land Tax (Amendment) Act, 1973, the tax on lands and buildings situate in such area shall be levied and collected with effect from the commencement of the year following the year during which the area is declared a cantonment or is constituted a municipality: Provided also that where more than one land or building in the same urban area is owned by the same person, [he land and building tax shall be assessed on the market value of all such lands and buildings taken together. (2 The tax shall be in addition to any other tax for the time being payable in respect of the land and building or portion thereof under any other law for the time being In force. " (emphasis supplied) BY Amending Ordinance 6 of 1973, which was later replaced by Amending Act 18 of 1973. the last proviso to Ss. (1 of Section 3 was omitted and it was provided that the same shall be deemed always to have been omitted and the following Ss. (1-A) was inserted retrospectively after Ss. (1 of section 3 "(1-A) For removal of doubt it is declared that the tax shall be levied on land or building or both separately as units. ";