The Forum of Free Enterprise was a non-political organization founded in 1956 by A.D Shroff and was established to educate public opinion in India on free enterprise and a democratic way of life. The Forum published booklets to further its objects. The following booklet titled, “Reforms Needed In Indian Income-Tax Law” was published on February 10, 1966 and was authored by V R Dalal. This article discusses the legal situation in India regarding income tax. Specifically, it addresses the Income Tax Act of 1961 that replaced the Indian Income Tax Act 1922. The author analyses the new Act in terms of its adherence to the canons of taxation, such as the ability to pay, certainty and unambiguity, and simplicity and clarity. He also points out how the effective implementation of this law depends on the character of citizens and bureaucrats rather than systemic checks.