Summarize the following court judgment. Appeal No. 38 of 1967. Appeal from the judgment and order dated December 1	 1966	 of the Assam and Nagaland High Court in Civil Rule No. 145 of 1964. section V. Gupte	 Solicitor General and Naunit Lal	 for the appellants. 612 Ram Labhaya Obhrai	 I. M. Obhrai	 S.K. Mehta and K. L. Mehta	 for the respondent. The Judgment of the Court was delivered by Subbarao C.J. This appeal by certificate is directed against the order of the High Court of Assam declaring that the Assam Motor Vehicles Taxation (Amendment) Acts of 1963 and 1966 were repugnant to the Assam Motor Vehicles Taxation Act	 1936 (Assam Act 9 of 1936)	 hereinafter called the Principal Act	 and	 therefore	 void as they were made in contravention of the provisions of article 254(2) of the Constitution. The facts are in a small compass and they are as follows The Principal Act came into force on March 1	 1937. The assent of the Governor General in Council was given under section 35 of the Government of India Act	 1935. This Act imposes tax on motor vehicles in the Province of Assam. In 1955 the Principal Act was amended by Assam Act IV of 1956 and it had received the assent of the President. Subsequently the Principal Act was amended by Act 15 of 1963	 but the Bill was introduced in the Assam State Assembly with the previous sanction of the President and it came into force on April 1	 1963. Subsequent to the filing of the petition	 out of which the present appeal has arisen	 the Principal Act was again amended in the year 1966 and it came into force on April 1	 1966. The tax on the stage carriage motor vehicles was gradually raised under each amendment and under the last of the amendments a sum of Rs. 56/ was imposed per seat. Under the last amendment Act the petitioner respondent had to pay a sum of Rs. 1680/ as tax for the stage carriage she was plying. The respondent filed a petition under article 226 of the Constitution in the High Court for declaring the amending Acts void and for other reliefs. The petition was heard by a Division Bench of the High Court and the learned Judges delivered two separate but concurrent judgments. They held that the Amending Acts of 1963 and 1966 were void and gave the petitioner respondent the reliefs :asked for. Hence the present appeal. The main question in the appeal is whether the said Amending Acts increasing the rate of tax are void for constitution incompetence. The High Court in effect held that the provisions of the said Amending Acts were inconsistent with those of the existing law	 namely	 the Principal Act and	 therefore	 as they had not received the assent of the President	 were void under article 254 of the Constitution. This conclusion was arrived at on the ground that the Amending Acts were made in respect of the matter contained in entry 35 of the Concurrent List. 613 To appreciate the contentions it will be convenient to read at the outset the relevant Articles of the Constitution. Entry 57 of List II of the Seventh Schedule to the Constitu tion : Taxes on vehicles	 whether mechanically propelled or not	 suitable for use on roads	 including tramcars subject to the provisions of entry 35 of List 111. Entry 35 of List III Mechanically propelled vehicles including the principles on which taxes on such vehicles are to be levied. article 254 (1) If any provision of law made by the Legislature of a State is repugnant. . to any provision of an existing law with respect to one of the matters enumerated in the Concurrent List	 then	 subject to the provisions of clause (2). . the existing law	 shall prevail and the law made by the Legislature of the State shall	 to the extent of the repugnancy	 be void. (2) Where a law made by the Legislature of a State with respect to one of the matters enumerated in the Concurrent List contains any provision repugnant to the provisions of an earlier law made by Parliament or an existing law with respect to that matter	 then the law so made by the Legislature of such State shall	 if it has been reserved for the consideration of the President and has received his assent	 prevail in that State. article 366(10) Existing law means any law	 ordi nance or bye law	 rule or regulation passed or made before the commencement of the Constitution by any Legislature	 authority or person having power to make such a law	 ordinance or bye law	 rule or regulation. The application of the said provisions to the subject matter of the present appeal leads to the following result. The Principal Act was an existing law. If the Amending Acts were made under entry 35 of the Concurrent List and if they were in conflict with any of the provisions of the existing law	 to the extent of the inconsistency the said amendments would he void. But	 on the other hand	 if the Amending Acts were passed under entry 57 of List 11 of the Seventh Schedule	 they would fall outside the scope of article 254 of the Constitution	 as article 254 would apply only to a conflict between the provisions of an "existing law" and those or the post constitution law in respect of matters enumerated in any of the entries of the Concurrent List. The learned Solicitor General raised before us two points	 namely	 (i) article 254 of the Constitution posits the existence of 614 two. parallel laws One an "existing law" and the other a post Constitutional law in respect of any one of the entries in the Concurrent List and the provisions thereof are in conflict with each other; but it has no application to a case where the State Legislature	 within the scope of its legislative competency	 amends an existing law so as to extinguish a part of it. (2) The amending Acts were only made under entry 57 of List 11 and	 therefore	 there is no scope for invoking the provisions of article 254 of the Constitution. Learned counsel for the respondent	 on the other hand	 con tended that there was no distinction between an amending Act and a new Act in the matter of. application of article 254 of the Constitution	 as in either case the provisions of the said Acts would be inconsistent with the existing law. He further argued that the Amending Acts introduced new principles of taxation and	 therefore	 fell squarely within the scope of entry 35 of the Concurrent List. As we are holding in favour of the appellant on the second point	 it is not necessary to express our view on the first. The short question	 therefore	 is whether any of the provisions of the Amending Acts is repugnant to any of the provisions of the existing law with respect to any of the matters enumerated in the Concurrent List. Under the existing law	 i.e.	 Act 9 of 1936	 no motor vehicle could be used in the Assam Province unless the owner thereof had paid in respect of it a tax at the appropriate rate specified in the Schedule to the Act and	 save as therein specified	 such tax should thereafter be payable annually notwithstanding that the motor vehicle might from time to time cease to be used (see section 4). As aforesaid	 the Schedule annexed to the Principal. Act was amended from time to time by different amending Acts and the rate was increased. Under the 1963 amending Act	 apart from other provisions which do not relate to any principles of taxation	 a new Schedule has been substituted. Neither the amending Act nor the Schedule laid down any principles of taxation in respect of motor vehicles. So too	 the amending Act 	of 1966 substituted the Schedule of the Act by another Schedule. A persual of the aforesaid Schedule only disclose that different rates were fixed; that is to say	 the amended Schedule does not lay down any principles on which taxes on motor vehicles are to be levied within the meaning of entry 35 of the Concurrent List; it is solely concerned with taxes on vehicles within the meaning entry 57 of List 11. The two entries deal With two different matters though allied ones one deals with taxes on vehicles and the other with the principles on which such taxes are to be levied. When two entries in the Constitution	 whether in the same List or different Lists	 deal with two subjects	 if possible	 an attempt 615 shall be made to harmonize them rather than to bring them into conflict. Taxes on vehicles in their ordinary meaning connote the liability to pay taxes at the rates at which the taxes are to be levied. On the other hand	 the expression "principles of taxation" denotes rules of guidance in the matter of taxation. We	 therefore	 hold that the Amending Acts do not come into conflict with the existing law in respect of any principles of taxation	 'but only deal with a subject matter which is exclusively within the legislative competence	 of the State Legislature. In this view	 there is no scope for the application of article 254 of the Constitution. Even so	 learned counsel for the respondent contended that the amending Acts offend the provisions of article 301 of the Constitution. Article 301 reads "Subject to the other provisions of this Part	 trade	 commerce and intercourse throughout the territory of India shall be free	. " The scope of this Article has been authoritatively defined by this Court in The Automobile Transport (Rajasthan) Ltd. vs The State of Rajasthan(1). There the majority held that regulatory Measures or measures imposing compensatory taxes for the use of trading facilities did not hamper trade	 commerce or interCourse but rather facilitate them	 and	 therefore	 were not hit by the freedom declared by article 301. There	 by virtue of section 4 of the Rajasthan Motor Vehicles Taxation Act	 1951	 read with the Schedules	 no one could use or keep a motor vehicle in Rajasthan without paying an appropriate tax for it and	 if he did so	 be was made liable to the penalties imposed under section 11 of that Act. This Court by majority held that such taxes were com pensatory and regulatory taxes which did not hinder the freedom of trade. In the present case the respondent in her petition questioned the validity of the provisions	 of the amending Acts on the following grounds : (i) The Act abolished the permit fee previously payable on such motor vehicles. She alleges that as a result of the rationalisation of tax and the introduction of a single point levy	 the tax fixed irrespective of road condition. distance travelled	 region catered for imposes crushing burden oil the petitioner and the other stage carriage permit bolders plying their vehicles in the short distance route and gives discriminatory weightage in favour of the State Carriage	 Inter State public carriers and other vehicles plying in longer distance routes. It will be seen that the averments are general and vague. On the other hand	 the State has filed a detailed affidavit. The following figures show the expenditure incurred on new roads and maintenance of old roads and the income from motor vehicles for (1) [1963] 1 S.C.R.491. 616 some years. In 1962 63 the expenditure was Rs. 671.60 lakhs and the income was Rs. 75.58 lakhs. In 1965 66 the expend ture was Rs. 1499.77 lakhs and the income was Rs. 137.96 lakhs. From the said figures it is clear that the State is charging from the users of motor vehicles some thing in the neighbourhood of II% and IO % respectively for the said two years of the cost it has to	 incur in maintaining and making roads. From Annexure D to the said affidavit it appears that in some cases tax under the 1963 Act had been increased by 50% under the 1966 Act and in some cases the tax under 1963 Act has been increased by 40% under 1966 Act. It is obvious that comparatively small proportion of the general expenditure is realised through the impugned taxation. In the circumstances	 we must hold that the said Acts were only regulatory measures imposing _compensatory taxes for facilitating trade	 commerce and intercourse. The Acts are	 therefore	 not hit by article 301 of the Constitution. in the result the order of the High Court is set aside and the appeal is allowed. The petition filed by the respondent in the High Court is dismissed with costs here and in the court below.

Under the Assam Motor Vehicles Taxation Act	 1936	 no motor vehicle could be used in the Assam Province unless the owner thereof had paid in respect of it a tax at the appropriate rate specified in the Schedule to the Act. The Schedule was amended from time to time by the substitution of new Schedules and as a result of such amendments in 1963 and 1966	 the tax on stage carriage motor vehicles was gradually raised. In a writ petition	 filed by the respondent	 challenging the validity of the Amending Acts of 1963 and 1966	 the High Court held that the Amending	 Acts were made in respect of the matter contained in Entry 35 of the Concurrent List	 namely principles of taxation of motor vehicles	 and	 as the provisions of the Amending Acts were inconsistent with those of the existing law	 namely	 the 1936 Act	 the Amending Acts were 	void	 because	 the assent of the President as required by article 254 was not received. In appeal to this Court	 HELD : (i) Taxes on vehicles connote the liability to pay taxes at &he rates at which the taxes are to be levied	 while	 the expression "principles of taxation" denotes rules of guidance in the matter of taxation. The Amending Acts do not come into conflict with the existing law in respect of any principles of taxation within the meaning of Entry 35 of the Concurrent List	 but only deal with a subject matter 	 namely	 taxes on vehicles within the meaning of Entry 57 of the State List	 which is exclusively within the legislative competence of the State Legislature; and as such. there is no scope for invoking article 254. [615A C] (ii) It is only a comparatively small proportion of the general expenditure incurred on new roads and the maintenance of the 	)Id roads that was realised through the impugned taxation. Therefore	 the Amending Acts are only regulatory measures imposing compensatory taxes for faci litating trade	 commerce and intercourse. The Acts are	 hence	 not hit by article 301 of the Constitution. [616C] The Automobile Transport (Raiasthan) Ltd. vs The State of Rajasthan	 [1963] 1 S.C.R. 491	 followed.