GUJARAT CHAMBER OF COMMERCE & INDUSTRY Vs. UOI

JUDGEMENT

(1.) HEARD Mr. K.H. Kazi, the learned advocate on behalf of the petitioner. Notice returnable on 15 -11 -2005.

(2.) FOR the purposes of ad interim relief, the learned counsel have invited the attention of the Court to the speeches made by the Finance Minister of Union of India at various stages. They have also submitted that, as such, there would be three categories in which the assessees would broadly fall; the first category where they are covered by the provisions of the Fringe Benefit Tax, the second category where the case may be governed partially, and the third category wherein the circular seeks to levy Fringe Benefit Tax despite the fact that the employer is not making any payment to any employee or not incurring any expenditure for any employee so as to attract Fringe Benefit Tax. It was, therefore, submitted that so far as the category Nos. 2 and 3 are concerned, the assessees must be protected, and in the alternative, insofar as the third category is concerned, there should be absolute protection and qua the second category, if the petitioners, and similarly situated assessees are required to make any payment, each individual assessee must be permitted to compute the tax on its own in light of the principal statute and not be compelled to pay tax as stipulated by the impugned circular being Circular No. 8/2005, dated 29 -8 -2005.