NEW DELHI : The Supreme Court has directed the Center to submit data on notices issued and arrests made under the Goods and Services Tax(GST). The court observed that the law would be interpreted and proper guidelines would be laid down to help torture of citizens by depriving them of their liberty. The case was heard on Thursday. A total of 281 petitions challenging various provisions of the GST Act, Customs Act and Prevention of Financial Misappropriation Act(PMLA).
Sanjeev Khanna, Justice MM Sundresh and Ny. The hearing is going on before the special bench of Bela M Trivedi. During the hearing, the special bench expressed concern over the ambiguity of Section 69 of the GST Act. This section deals with the power of arrest. The court clarified that the law will be interpreted to strengthen the freedom of citizens if necessary but won't allow torture of citizens. Give data on notices issued and arrests made under the GST Act in the last three years for contended arrears ranging from Rs1 crore to Rs5 crore.
This can lead to persecution of people and we can not allow that to happen. However, we will correct it, If we find that there's any ambiguity in the provision. Secondly, people can not be jugged in all these cases, ” the special bench told fresh Solicitor General SV Raju, appearing for the Centre. Elderly advocate Siddharth Luthra, appearing for some of the petitioners, told the court that there's contended abuse of powers under GST by officials.
He claimed that this is hampering the freedom of individuals. He said that occasionally arrests aren't made, but people are wearied by issuing notices, stewing arrest. Fresh Solicitor General Raju told the court that data regarding notices issued and arrests made under the Central GST Act will be collected. But it'll be delicate to collect similar information related to states. On that, the court clarified that we want all the data.
Why object to Article 69? Luthra, counsel for the petitioners, told the court that under Section 69 of the GST Act, the decision to arrest the tax payer is made indeed before the assessment of the amount due and owing. He said that the question should be considered as to whether the freedom of the taxpayer under Article 69 can be compromised without the assessment and determination of the amount.