SC Judge advocates balanced tax enforcement

Hyderabad: The Supreme Court Judge Justice Ujjal Bhuyan on Saturday underscored the imperative of a balanced approach in tax enforcement, advocating for the protection of individual liberties while ensuring the integrity ofrevenue collection mechanisms.

He addressed the full-day National Tax Conference, organised by the All India Federation of Tax Practitioners (AIFTP), South Zone, with support from the Telangana Tax Practitioners Association and the Federation of Telangana Chamber of Commerce & Industry (FTCCI), at FTCCI in Red Hills. Justice Ujjal Bhuyanwas the chief guest, and Justice Alok Aradhe, Chief Justice, High Court of Telangana, was the guest of honour. They opened the Conference by lighting the lamp along with the office bearers of the AIFTP.

Giving his keynote address, Justice Ujjal Bhuyan shared his personal experiences as a Judge of the Mumbai High Court and the landmark judgments on arrest provisions of GST under section 69 and property attachment provisions under section 83 of GST Law. He narrated to the hall full of over 400 advocates, tax practitioners, and tax consultants his experiences as a Judge in Mumbai High Court on the arrest. He stated while no court in the country was giving bail to the arrested, they have granted bail based on the principle that the officers who have the power to arrest a person shall also record the reason before arresting the person. His judgment in the Mumbai High Court paved the way for similar judgments in granting bail on property attachment. He stated that it will infringe the right to privacy of the person and it shall be exercised by the officer concerned very judiciously. He recalled the provision of the Prevention of Money Laundering Act, 2002 (PMLA) compared with sections 69 and 83 of the GST law and stated that these stringent provisions of law given to officers will have a profound impact on the business. He also stated that the power shall be exercised in such a way that the business is not crippled.

Justice Alok Aradhesaid that tax is the critical pillar of a civil society. The government imposes taxes to run the machinery of the state. It fulfils the social and economic growth of society. Tax is a vast subject. It is a complex and rapidly changing one. Quoting Chanakya, an ancient Indian polymath, philosopher, economist, jurist, and royal advisor, he said taxes from the citizens must be collected in such a way as honeybees collect nectar from the flowers, gently and without inflicting pain. He wished the conference would effectively exchange ideas and harness collective wisdom for the advancement of public good through reasonable and respectable practice.

The conference was organized in Hyderabad after an 8-year gap. It discussed Understanding Sec.43B(h): Section 147 and 148 from 1.4.2021: A Welcome Bliss or disguised Bane; Analysis of Input Tax Credit, U/s 16 (2) and 16 (4) & Recent Landmark decisions under GST.