Two Certainties
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The Monsoon of Tax ‘Reform’
It’s raining tax ‘reform’. Income Tax Bill, 2025 (‘IT Bill, 2025’) will soon replace the six decades old Income Tax Act, 1961. Goods and Services Tax (‘GST’) will ostensibly be simplified by Diwali of 2025. And we will…
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Shelf Drilling Judgment: A Case of Interpretive Disagreements
The Supreme Court in a split judgment left unresolved the long standing issue of interplay between Section 144C-Section 153 of the Income Tax Act, 1961 (‘IT Act, 1961’). The absence of a clear resolution while not ideal, provides…
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GST @8: A Journey Via Eight Amendments
Introduction Goods and Services Tax (‘GST’) came into force eight years ago on 1 July 2017. Eight long, eventful years that have been full of sound and fury. But, do they signify something? Yes and No.…
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Service Charge, its Similarity with Tax, and a ‘Double Whammy’ for Consumers: Some Thoughts
Introduction The Delhi High Court (‘High Court’) recently ruled that levy of mandatory service charge by restaurants violates customer rights. The High Court’s reasoning, anchored in consumer protection laws, termed a mandatory service charge as deceptive and misleading…
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Fraudulent Sale is Supply Under GST: Three Errors of the Advance Ruling
A recent advance ruling by Gujarat AAR is a frustrating read. AAR held that sale by a seller constitutes as supply under GST laws even if the seller was defrauded and did not receive any consideration for such…
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Legislative Intent or Error: Puzzle of Indian Tax Policy
Introductory Questions Let me start with a question: how does one discover legislative intent in a provision of tax statute? Through a plain reading of the provision or through a subsequent statement by the State’s legal…
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When A Princess Worried About Tax on Alimony
All things in life have a tax angle, including alimony payments. In this article I elaborate on tax treatment of alimony payments under the Income Tax Act, 1961 (‘IT Act, 1961’). Upfront, these are the three…
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Tax Privacy: To Begin a Conversation …
Income tax law is based on disclosing information to the State. Personal financial information. Bank account statements, investments, salary receipts, rent paid or received, medical expenses, money transferred to spouse, expenses of children, insurance premiums, political…
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Powers of Arrest under CGST Act, 2017 and Customs Act, 1962: Constitutionality and their Scope
The Supreme Court in a recent judgment upheld the constitutionality of arrest-related provisions contained in Customs Act, 1962 and CGST Act, 2017. The Court also elaborated on the scope of arrest powers under CGST Act, 2017 and safeguards…
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Long Wait for GSTATs: July 2017 … and Counting.
GSTATs have been envisaged as the first appellate forum under GST laws. And yet, 7.5 years since implementation of GST, not a single GSTAT is functioning. Reason? Many. Some are easy to identify, others are tough…
