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36 With reference to Article 253 of the Constitution of India, which conferred Parliament, the power to make any law for the whole or any part or territory of India for implementing any Treaty, Agreement or Convention with any other country or countries or any decision at international conference, association or other body, it is noted that the said Article read with Entry 13 and 14 of Seventh Schedule, would imply that in implementing a treaty, the limitations imposed by Article 245 and 246 (3) are eclipsed and the total ield of legislation is open to Parliament enabling it to explore ields of legislation.

With this paraphrasing, the scope of Section 90 was highlighted in following words :-

"14. Section 90 of the Act, in particular sub-section 2 thereof is a law made by Parliament referable to article 253 read with entries 13, 14 and 82 of List I of the Seventh Schedule. The provision (sub-section (2)) enacts that where the Central Government has entered into an agreement with the Government of any other country under sub- section (1) for grant-of relief of tax or avoidance of double taxation, then, in relation to the assessee to whom such grant apples, tlthe provisions of the Act shall apply to the extent they are more beneicial to that assessee.

Pertinent observation of the said decision is in Para 150:-

"150. Strained construction of the treaty provisions, where not authorized by the settled principles of statutory construction, either by the tax administrator or by the judicial branch at the invitation of the Revenue of one of the Contracting States to a treaty would also transgress the inherent and vital constitutional scheme, of separation income tax.doc of powers. Treaty-making power is integral to the exercise of sovereign legislative or executive will according to the relevant constitutional scheme, in all jurisdictions. Once power is exercised by the authorized agency (the Legislature or executive, as the case may be) and a treaty entered into, the provisions of such treaty must receive good faith interpretation by every authorized interpreter, whether an executive agency, quasi-judicial authority or the judicial branch. The supremacy of the tax treaty provisions duly operationalised within a contracting State (which may (theoretically) be disempowered only by explicit and appropriately authorized legislative exertions), cannot be eclipsed by employment an interpretive stratagem, on misconceived and ambiguous assumption revenue interests of one of the Contracting States. Where the operative treaty's provisions are unambiguous and their legal meaning clearly discernible and lend to an uncontestable comprehension on good faith interpretation, no further interpretive exertion is authorized; for that would tantamount to usurpation (by an unauthorized body--the interpreting agency/tribunal), intrusion and unlawful encroachment into the domain of treaty-making under article 253 (in the Indian context), an arena off-limits to the judicial branch;

( C) (3) INTERPLAY BETWEEN TREATY AND SECTION 115-0 INCOME TAX ACT, 1961 44 What is relevant is Sub-Section (2) of Section 90, of the Act of 1961, which in view of the Article 253 of the Constitution of India, which provide that the Parliament has the power to make any law for the whole or any part of the territory of India, it must exercise the said power for implementing any Treaty, Agreement or Convention with any other country, or any decision made at any International Conference, Association or other body.