SUDHIR CHANDRA NAWN vs WEALTH-TAX OFFICER, CALCUTTA & ORS.

The Supreme Court upheld the validity of the Wealth Tax Act, 1957, specifically Section 3, ruling that wealth tax is levied on the total assets of an individual as of the valuation date, not merely on the increase in wealth. The Court clarified that Parliament has the authority to impose wealth tax on assets, including non-agricultural lands and buildings, despite state powers under Entry 49 List II of the 7th Schedule. The judgment established that there is no constitutional prohibition against taxing the same subject-matter in successive assessment periods, affirming the constitutionality of the Act.