Constitution (One Hundred and Fifteenth Amendment) Bill as passed by Parliament on 8 September, 2016, became “the Constitution (One Hundred and First Amendment) Act, 2016. The following provisions got amended in the Constitution in relation to introduction of Goods and Services Tax Act.
| Before Amendment | After Amendment | Impact | |
| 246A | Not existing | Introduced | Special provision on goods and services tax conferring simultaneous legislative powers on both the Union and the States. |
| 248 | Residuary power | Amended | The Union’s residuary legislative power is subjected to Article 246A. |
| 249 | Power of Parliament to legislate regarding a matter in the State List in the national interest | Amended | It gives power to the Parliament to enact any law applicable to states on the matters mentioned even in states list. GST, not mentioned in States list, is now explicitly mentioned. |
| 250 | Power of Parliament to legislate regarding any matter in the State List if a Proclamation of Emergency is in operation | Amended | It has a similar impact as does the amended Article 249 |
| 268 | Duties levied by the Union but collected and appropriated by the States | Amended | Additional Duties of Excise (Medicinal and toilet preparations) stand subsumed into GST. |
| 268A | Service tax levied by Union and collected and appropriated by the Union and the States : | Omitted | Service Tax has been subsumed into GST. So Entry No. 92C of List-I too stands omitted. |
| 269 | Taxes levied and collected by the Union but assigned to the States | Amended | The arrangement under Article 269 is subjected to Article 269A, a new provision. |
| 269A | Not existing | Inserted | Levy and collection of goods and services tax during inter-State trade or commerce.
The power to levy and collect GST during inter-State trade or commerce is vested with the Government of India. The taxes so collected will be apportioned between the Union & the States in a manner prescribed. |
| 270 | Taxes levied and distributed between the Union and the States. | Amended | Now Article 268A and Entry No. 92C of List-I stand omitted; so service tax is subsumed under GST. So in Article 270, a reference to Article 268A has been omitted, and a new reference to Article 269A for levy of GST for Inter-State transactions has been introduced. |
| 271 | Surcharge on certain duties and taxes for purposes of the Union | Amended | Parliament’s powers to levy an additional surcharge on Union taxes under Article 271 now stands amended: Parliament can levy no additional surcharge on GST. |
| 279A | Not existing | Inserted | Provision for creating the GST Council, a constitutional body. |
| 286 | Restrictions on the imposition of tax on the sale or purchase of goods | Amended | First, the word “sales” is replaced with “supply”, and the word “goods” is replaced with “goods or services or both”
States cannot legislate on the supply of goods or services if such supply is outside their state or is in the course of import or export. Originally, States could not levy and collect tax on specific Inter-State transactions. With omitting Clause (3), now even inter-State transactions of that nature would attract GST. |
| 366 | Definitions | Inserted | |
| 368 | Amended | ||
| Sixth Schedule. | Provisions on the Administration of Tribal Areas in the States of Assam, Meghalaya, Tripura, and Mizoram
8. Powers to assess and collect land revenue and to impose taxes. |
Amended | It concerns powers to assess and collect land revenue and to impose taxes in the Tribal Areas of a few States. |
| Seventh Schedule | |||
| List I : Entry 84 | Barring those excluded, the Union could levy excise duty on all other goods, including tobacco, manufactured or produced in India. The excluded ones are these: (a) alcoholic liquors for human consumption;
(b) opium, Indian hemp, and other narcotic drugs and narcotics, but including medicinal and toilet preparations containing alcohol or any substance in subparagraph (b). |
Amended | Now excise duty is levied only on the enumerated items :
(a) petroleum crude; (b) high-speed diesel; (c) motor spirit (commonly known as petrol); (d) natural gas; (e) aviation turbine fuel; and (f) tobacco and tobacco products.” |
| Entry 92 | Taxes on the sale or purchase of newspapers and on advertisements published. | Omitted | Now, taxes on the sale or purchase of newspapers and on advertisements published therein have been subsumed into GST. |
| Entry 92C | Taxes on services. | Omitted | Service tax has also been subsumed into GST. |
| List II Entry 52 | Taxes on the entry of goods into a local area for consumption, use or sale therein. | Omitted | Purchase tax, too, has been subsumed into GST. |
| Entry 54 | Taxes on the sale or purchase of goods other than newspapers, subject to the provisions of entry 92A of List I.
(Entry 92A of List I concerns inter-State trade or commerce.) |
Amended | Now the taxes are confined to the sale of petroleum crude, high-speed diesel, motor spirit (petrol), natural gas, aviation turbine fuel, and alcoholic liquor for human consumption. But excluded is the sale in the course of inter-State trade or commerce.
(Now the sale or purchase of goods stands subsumed by GST) |
| Entry 55 | Taxes on advertisements other than advertisements published in the newspapers and advertisements broadcast by radio or television. | Omitted | Taxes on advertisements other than advertisements broadcast by radio or television has also been subsumed into GST. |
| Entry 62 | Taxes on luxuries, including taxes on entertainments, amusements, betting, and gambling. | Amended | (a) Taxes on Luxury, betting, and gambling have been subsumed into GST.
(b) Right to levy Tax on entertainments and amusements has been restricted to Panchayats, Municipalities, Regional Councils, and District Councils. |
