SC raps Centre over switch of tax circumstances from excessive courts

SC raps Centre over switch of tax circumstances from excessive courts

The Supreme Court turned down the Union authorities’s plea to switch a clutch of circumstances regarding reassessment notices despatched below the Income Tax Act from varied excessive courts to the highest courtroom, observing that the Centre should cease this “practice of convenience”.

“Is it a matter of convenience for the Union government to bring all matters to the Supreme Court? You want all the cases to come here and, in the process, you ensure no other court can proceed. Aren’t the high courts also constitutional courts? Why can’t they hear and decide a case?” a bench, headed by Chief Justice of India (CJI) NV Ramana requested further solicitor basic (ASG) Balbir Singh.

Singh, showing for the central board of direct taxes (CBDT), had requested the Supreme Court to switch to itself a number of a whole bunch of petitions pending earlier than the excessive courts of Bombay and Calcutta on the validity of notices issued to a number of entities below the previous provisions of Section 148 of the Income Tax Act, 1961. The ASG emphasised there are a couple of lakh notices issued below Section 148 of the previous Act.

Singh maintained that the excessive courts have stayed the income division’s notices in all these circumstances and that an authoritative ruling by the highest courtroom might assist the state of affairs since totally different excessive courts could find yourself laying down totally different judgments.


But the bench, which additionally included justices Surya Kant and Hima Kohli, was furious on the Centre’s try and convey all of the circumstances to the highest courtroom.

“Why do you do this in every case? This has become a forum of convenience for the central government, we think. You also force all the litigants to come to the Supreme Court who want high courts to decide. We will have to stop this practice,” the bench informed Singh.

“You withdraw this and seek your remedies before the high court. We will not entertain it here. We will rather have the advantage of the high court judgment,” stated the bench, compelling the ASG to withdraw the switch petition.

The Centre earlier this 12 months moved the Supreme Court looking for switch of a number of batch of circumstances regarding separate features of the 2021 Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules from varied excessive courts to the highest courtroom.

In March, the federal government sought switch of circumstances regarding regulating content material of releases on over-the-top platforms similar to Amazon Prime, Netflix, Hotstar, and Zee5.

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