D.K.Mahajan, J.

1. This order will dispose of Civil Writ Petitions Nos. 3759 of 1968 and 470 of 1969. Both these cases were referred to a Full Bench by Harbans Singh and S.S. Sandhawalia, JJ. That is how, these cases have been placed before us for disposal.

2. Initially, three points were urged before the Division Bench, namely:-

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(1) That in view of the preamble of the Punjab Professions, Trades, Callings and Employments Taxation Act, 1956 (Punjab Act No. 7 of 1956) (hereinafter referred to as the Professions Tax Act), the Act does riot apply to the Union Territory of Chandigarh, because no change has been made by the Adaptation Order in the preamble; and the Act only applies to the territories of the Punjab;

(2) That the Act has become ultra vires the Constitution with effect from the date of formation of the Union Territory of Chandigarh, in view of Art, 276 of the Constitution of India; and, therefore, no tax can be levied on persons engaged in any trade, calling or profession; and

(3) That the employees of the High Court are not serving under a State or under any Local Authority etc. and consequently Section 7 of the Professions Tax Act and Rule 8 framed under the sa