 the estate duty and tax on railway passenger fares (distribution) bill, 1957(as introduced in lok sabra)  the estate duty and tax on railway passen- ger fares (distribution) bill, 1957 (as introduced in lok sabha)a bill to provide for the distribution of the net proceeds of the estate duty and the tax on railway pabsenger fares among the statjea be it enacted by parliament in the eighth year of the republic of india as follows:-1 this act may be called the es1bte duty and tax on railway short title passenger fares (distribution) act, 1957 s 2 in this act,-(a) "estate duty" means the estate duty levied under the defiditiona 34 of 1953 estate duty act, 1953, in respect of property other than agriculturalland; (b) "state" does not include a union territoryj 2s of 1957 10 (c) "tax on railway passenger fares" means the tax levied under the railway passenger fares act, 1957 i 3 (1) during each financial year commencing on and after the distribution 1st day of april, 1957, the net proceeds of the estate duty levied and ~~e~~~ro­collected during that financiel year shall, after deducting therefrom a e8t~te duty f th'd eds b b bl assigned to is sum equal to one per cent 0 e s8l proce as eing attri uta e the states to union territories, be distributed among the states in accordance with the provisions of sub-section (2) (2) out of the total amount falling to be distributed in any financial yeer under sub-section (1) ,-20 (a) the amount attributable to immovable property shall be distributed among the states in proportion to the gross value of the immovable property situated in the respective states as determined in respect of that financial year; (b) the balance shall be distributed among the states as follows:-state pe-rcentage 5 andhra pradesh assam bihar bo~bay kerala madhya pradesh 8'76 2'53 10'86 13'52 3' 79 10 7'30 8'40 5'43 4~10 madras mysore orissa punjab  rajasthan 4'52 is 4-47 uttar pradesh 17' 71 ,  west <seftgal  7' 37 jammu and kashmir ] 24  (3) for the purposes of this section,-:ao (a) "amount attributable to immowble property" means an,,) amount which bears to the total amount distributable in any, •• financial year under sub-section (1) the same proportion which· the gross·value of all immowble property situated in the states bears to the gross value of all property, movable and immovable, 25  so situated, as determined in respect of that financial year; (b) "gross value", in relation to movable or immovable property, means the total value of all movable property or, as the oase may be, of all immovable property, passing on the death of any person as determined by the controller under' the estate 30  duty act; 1953; 34 of 1953 (c) "immovable property" does not include agricultural land special pro-4, (1) in respect of each of the financial years commencing od d~s~~b~~ion the 1st day of april, 191>3, 1954 and 191>5, the net proceeds of the 35 0?ne1t proestate duty levied and collected during that financial year shall, after ~~~~~ 1uty deducting therefrom a sum equal to two and three quarter per cent in respect of of the said proceeds as being attributable to part c states, be dis-~~~53-tributeci among the part a states and part b states in the same 54 to 1956-manner as the percentage of the net proceeds of taxes on income' 4(! 57 falu,ng to be distributed under clause (2) of article 270 of the consti-~ution has been distributed among those states in respect ot that fluanclal year (2) ~q respect of the financial year commencing on the 1st day s of apr~, 1956,-(a) seven-twelfths of the net proceeds of the estate duty levied and collected during the said financial year shall, after deducting therefrom a sum equal to two and three quarter per cent ~f the said proceeds as being attributable to part c states, 10 be distributed among the part a states and part b states in - respect of the first seven months of the said financial year in the same manner as the percentage of the net proceeds of taxes on income falling to be distributed under clause (2) of article 270 of the constitution has been distributed among those states in is respect of the said seven months, and (b) five-twelfths of the net proceeds of the estate duty levied and collected during the said financial year shall, after deducting therefrom a sum equal to one per cent of the said proceeds as being attributable to union territories, be distributed 20 in respect of the remaining five months of the said financial year, in the same manner as the percentage of the net proceeds of taxes on income falling to be distributed under clause (2) of article 270 of the constitution has been distributed among the states in respect of the said five months 2s (3) the provisions of this section shall be deemed to have had 34 011953-effect from the date on which the estate duty act, 1953, came into force 5 during each financial year commencing on and after the 1st disuibutioq - of net proday of april, 1957, the net proceeds of the tax on railway passenger ceeds of the 30 fares levied and collected during that financial year shall, after taxi10n  '  ra way deductmg therefrom a sum equal to one quarter per cent of the said passenger proceeds es being attributable to union territories, be distributed fareds asstbigne to e among the states as follows: -states state percentage andhra pradesh 8:86 35 assam "71 bihar 9'39 bombay 16'28 kerala 1'81 state percentage madhya pradesh 8'31 madras 6'46 mtsore 4'45 orissa 1'78 5 punjab 8'11 rajasthan ' 6~77 uttar pradesh 18'76 west bengal 6'31 power to make rule  6 (1) the central government may, by notification in the official 10 gazette, make rules providing for the manner in which the gross value of property is to be calculated, for the time at which and the -manner in which any payments under this act are to be made, for the making of adjustments between one financial year and another and for any other incidental or ancillary matters is (2) all rules made under this section shall, as soon as may be after they are made, be laid for not less than thirty days before each house of parliament and shall be subject to such modifications as parliament may make during the session in which they are so laid or the session immediately following 20  statement of objects and reasonsthe object of this bill is to lay down the principles of the distribution among the states of the net proceeds of the estate duty on property other than agricultural land and the tax on railway fares, except in so ~r as those proceeds represent proceeds attributable to union territories the principles of distribution embodied in the bill are those recommended by the second finance commission and accepted by government under article 269(2) of 'the constitution, the principles of distribution of these tax€'s have to be formulated by parliament by law t t krishnamachari new delhi; the 28th nooember, 1957 -  notes on clausesclause 3-this provides for the distribution of the net proceeds of estate duty from the current financial year on the basis suggested by the finance commission'  clquse 4-estate duty was actually levied in 1953-54, but pending the formulation of the pinciples of distribution by law, the net proceecis have been provisionally distributed in the manner prescribed for the distribution of the net proceeds of taxes on income assigned to the states under article 270 (2) of the constitution this clause formally ratifies the provisional distribution as recommended by the finance cqmmisliion clause s-this provides for the distribution of the tax on rauway passenger fares as suggested by the finance commission  memorandum regarding delegated legislationclause 6 of the bill empowers the central government to make rules in respect of certain matters specified therein they relate to the manner in which the gross value of property is to be calculated, the time at which and the manner in which any payments under this act are to be made, the making of adjustments between one financial year and another and other incidental and ancillary matters the matters in respect of which rules may be made are of a routine and an administrative character moreover, the rules to be made shall be subject to the scrutiny of parliament the delegation of legislative powers is thus of a normal character  a billto provide for the distribution of the net proceeds of the estate duty and the tax on railway passenger fares among the states the president has, in pursuance of clause (i) of article 117 and clause (i) of article 274 of the constitution of india, recommended to lok sabha the mtroduction of the bill m n kaul, secretary (shri t t knshnama&hari,  mtmster of finance) 