Judgement

HEGDE, J. : -The only question that arises for decision in this appeal is whether the exclusion of government servants from the exemption given under Section 4 (3) (xxi) of the Indian Income-tax Act 1922 and later on under Section 10 (26) of the Income-tax Act 1961 is violative of Article 14 of the Constitution. For our present purpose it may be taken that the said two provisions are similar.

2. The respondent who is a government servant serving in the State of Assam has been assessed to income tax for the assessment years 1959-60, 1960-61, 1961-62 and 1962-63. He challenged the legality of his assessments in civil rule No. 127 of 1963 on the file of the High Court of Judicature of Assam. The Assam High Court accepted his petition and quashed the assessments in question holding that Section 4 (3) (xxi) of the Indian Income Tax Act 1922 as well as Section 10 (26) of the Income Tax Act 1961 to the extent they excluded government servants from the benefit of the exemption given thereunder are void. The income-tax authorities as well as the Union of India have come up to this Court in appeal by special leave.

3. The facts of this case lie within a narrow compass. The respondent