Judgment

L.M.SHARMA, J.

(1) THE respondents in these appeals have successfully contended before the High court that the Wealth Tax Act, 1957 is not applicable to the State of Jammu and Kashmir inasmuch as Section 1(2 of the Act insofar as it extends the Act to Jammu and Kashmir, is ultra vires the power of Parliament. The High court has upheld their argument that in view of the special provisions contained in Article 370, the Parliament had no legislative competence to extend the Act to the State of Jammu and Kashmir.

(2) THE provisions in Article 370 (omitting the parts which are not relevant here) are in the following terms:

"TEMPORARY provisions with respect to the State of Jammu and Kashmir (1 Notwithstanding anything in this Constitution.

(A) * * *

(B) the power of Parliament to make laws for the said State shall be limited to

(I) those matters in the Union List and the Concurrent List which, in consultation with the government of the State, are declared by the President to correspond to matters specified in the Instrument of Accession governing the accession of the State to the Dominion of India as the matters with respect to which