Union List

Also called: List I · Topic: Federalism and Centre-State Relations · NCERT: Class 7, Ch 6 "The State, the Government, and You"; Class 8, Ch 6 "The Parliamentary System: Legislature and Executive"; Class 9, Ch 6 "Democracy"; Class 10, Ch 2 "Federalism"; Class 11, Ch 7 "Federalism"

Meaning

The Union List (List I of the Seventh Schedule) is the list of subjects on which only Parliament can make laws, under Article 246(1) [2]. It covers subjects where the whole country needs one policy, such as defence, foreign affairs, war and peace, atomic energy, railways, airways, posts, currency, banking and foreign trade.

It matters because it shows the strong centre in Indian federalism. Where the Union List overlaps with a state subject, the Union List wins.

Explanation

How it works

• Federalism means power is shared between two levels of government, the Union and the states. The Constitution decides which level makes laws on which subject.
• The Seventh Schedule (the part of the Constitution that holds the lists of subjects) has three lists [2]:
• List I (Union List): only Parliament can make laws.
• List II (State List): only the state legislature can make laws, for its own state.

• List III (Concurrent List): both Parliament and the states can make laws.

• Article 246(1) gives Parliament exclusive power (power that belongs to it alone) over the Union List [2].

• The Union List wins where lists overlap:
• Article 246(1) begins with the words "notwithstanding anything in clauses (2) and (3)".

• So if a Union entry and a State or Concurrent entry cover the same ground, Parliament's power comes first.

• Roots: the Government of India Act 1935 had a Federal List. The Union List grew out of it.

Main subjects (with entry numbers)

• Defence: entry 1
• Atomic energy: entry 6
• Foreign affairs: entry 10
• War and peace: entry 15
• Railways: entry 22
• Airways: entry 29
• Posts: entry 31
• Currency: entry 36
• Foreign trade: entry 41
• Banking: entry 45
• Industries that Parliament declares are under Union control in the public interest: entry 52
• Mines: entry 54
• Residuary matters: entry 97. A residuary matter is any subject that is not in any of the three lists.

Size of the list

• 1950: 97 entries.
• Today: about 98 entries. Check the current count, because it changes with amendments.
• Why the last number does not match the count:
• New entries get letters, for example 2A, 92A and 92B.
• Some entries have been deleted, for example 92 and 92C, which the 101st Amendment (2016) removed when GST came in.
• Old entries keep their numbers, so "entry 97" does not mean there are exactly 97 entries.

Limits on the Union List

• Residuary power goes with it:
• Article 248, read with entry 97, gives Parliament power over every subject not named in any list.
• This includes residuary taxation, which means any tax not named in any list.

• Examples: cyber laws and computer software did not exist in 1950, so both fall to Parliament.

• Not every kind of "energy" is a Union subject: atomic energy is in List I (entry 6), but electricity is in the Concurrent List (entry 38).

• The GST exception (Article 246A, 101st Amendment, 2016):
• Parliament and the states can both tax the supply of goods and services.

• Only Parliament can tax supplies between states.

• Courts can limit wide Union entries:

• In 2024 the Supreme Court read some State entries broadly.
• As a result, Union entries 52 and 54 could not be used to take away state powers (see below).

In the Constitution and practice

• Where it sits:
• Part XI, Chapter I (Articles 245–255).
• Article 246(1) together with the Seventh Schedule, List I [2].
• Article 248 and entry 97 for residuary power.

• Article 245(2): a law of Parliament is not invalid just because it works outside India (extraterritorial operation). This matters for Union subjects such as foreign affairs and foreign trade.

• Who uses it: Parliament alone. A state law on a Union List subject is outside the state's power.

• How courts handle overlaps with the Union List:
• Pith and substance means the court looks at the true main purpose of a law. If that purpose is in a list the legislature can use, the law is valid even if it touches another list by the way.
• Prafulla Kumar Mukherjee v. Bank of Commerce, Khulna (Privy Council, 1947): the Bengal Money-lenders Act was about money-lending, a provincial subject. It was valid even though it touched promissory notes, a federal subject under the 1935 Act.
• State of Bombay v. F.N. Balsara (1951): the Bombay Prohibition Act 1949 was about intoxicating liquor, a State subject. It was valid even though it touched the import of liquor, a Union subject.

• GVK Industries v. ITO (2011): Parliament can make laws on matters outside India, but they must have some link to India.

• 2024 rulings that drew lines around Union entries:

• Mineral Area Development Authority v. Steel Authority of India (25 July 2024, 9 judges, 8:1) [3]:
  • Royalty is not a tax. It is a payment under a contract for the right to take out minerals [3].
  • States can tax mineral rights under State List entry 50. Parliament's power over mines under Union List entry 54 does not take this taxing power away [3].
  • The Court overruled India Cement Ltd. v. State of Tamil Nadu (1989) [3].
  • A later order on 14 August 2024 let states recover past dues only from 1 April 2005, and only in instalments [4].
• State of U.P. v. Lalta Prasad Vaish and Sons (23 October 2024, 9 judges, 8:1) [5][6]:
  • "Intoxicating liquors" in State List entry 8 includes industrial alcohol that is not fit to drink [6].
  • Parliament cannot use Union List entry 52 (controlled industries) to take over the industry of intoxicating liquor [6].
  • The Court overruled Synthetics and Chemicals Ltd. v. State of U.P. (1990) [5][6].

Don't confuse with

• State List (List II): only the states can make laws on it. It covers local subjects such as police, public order and agriculture. It had 66 entries in 1950 and has about 59 today. The Union List had 97 in 1950 and has about 98 today.
• Concurrent List (List III): both levels can make laws on it, for example education, criminal law and electricity. A clash between the two is settled under Article 254 (repugnancy). The Union List gives power to Parliament alone.
• Residuary power (Article 248): this covers subjects in no list. It is linked to the Union List only through entry 97. India copied it from Canada. The Concurrent List idea came from Australia.
• The 1935 Federal List: this was the colonial-era list. The Union List is the list in the Constitution of 1950, which kept the 1935 three-list design.

Prelims Hooks

• Article 246(1) gives Parliament exclusive power over List I. Its opening words, "notwithstanding anything in clauses (2) and (3)", make the Union List prevail in an overlap [2].
• Atomic energy is in List I (entry 6), but electricity is in List III (entry 38). This is a common "energy" trap.
• Residuary power comes from Article 248 + Union List entry 97. It belongs to Parliament and includes taxation. In the USA and Australia, residuary power lies with the states.
• Number of entries: 97 in 1950. The 101st Amendment (2016) deleted entries 92 and 92C. New entries get letters, such as 2A, 92A and 92B.
• MADA v. SAIL (2024): Union List entry 54 (mines) does not stop the states from taxing mineral rights under State List entry 50 [3].
• Lalta Prasad Vaish (2024): Union List entry 52 cannot be used to take over the intoxicating liquor industry. It overruled Synthetics and Chemicals (1990) [6].

Mains Points

• A strong centre, by design:
• The Union List prevails in an overlap, Parliament holds residuary power, and subjects have moved only towards the Union or Concurrent List, as with the 42nd Amendment (1976).
• The framers wanted national unity after Partition. Defence, currency and foreign affairs need one uniform policy.

• States argue that this leaves them less autonomy (their freedom to decide for themselves). A good answer weighs national uniformity against local needs.

• The judiciary as a balancer:

• Pith and substance and harmonious construction (reading entries together so that each one keeps some meaning) let both Union and state laws survive.

• The 2024 rulings (MADA, Lalta Prasad Vaish) stopped broad Union entries (52, 54) from swallowing State List powers. This strengthened fiscal federalism, the states' power to raise their own money [3][6].

• Unclear entries mean long legal fights:

• Disputes over mineral taxation and industrial alcohol lasted for decades and needed 7- and 9-judge benches.
• Clearer drafting, or a regular review of the Seventh Schedule, could reduce Centre–state litigation.

Related concepts

• Seventh Schedule
• State List
• Concurrent List
• Residuary powers
• Transfer of subjects to the Concurrent List
• Doctrine of pith and substance
• Doctrine of colourable legislation
• Doctrine of territorial nexus

Read more

• Distribution of legislative powers: the Seventh Schedule and its interpretation