Inter-state trade and commerce
- Article 301 to 307 in Part 13 of the constitution deal with the trade, commerce and intercourse within the territory of India
- Article 301 declares that trade, commerce and intercourse throughout the territory of India shall be free. The freedom afforded by this applies to between the states and also within the state
- However, article 302-305 imposes some restrictions on the above. These restrictions are:
- Restriction can be imposed by the Parliament to safeguard public interest. However, no discrimination can be made between states while imposing restrictions
- Legislature of a state can impose reasonable restrictions on the freedom afforded by Art 301 to safeguard public interest. But, a bill for this purpose can only be introduced in the legislature with the prior recommendation of the president of India
- Legislature of a state can impose tax on import of goods and services from other states in those cases where similar taxes are imposed by the state on their goods and services
- Freedom under Art 301 can be curtailed subject to nationalization laws. Both Parliament and state can make laws in this regard
- Parliament has been authorized to appoint an appropriate authority for carrying out the purposes of the above provisions relating to Art 301
