K M VIJAYAN Vs. UNION OF INDIA

JUDGEMENT

(1.) IN this batch of writ petitions, some petitioners seek a declaration that the Tamil Nadu Tax on Professions, Trades, Callings and Employments Act, 1992 (Tamil Nadu Act 24 of 1992) (hereinafter referred to as "the Act"), is ultra vires the power of the Tamil Nadu State Legislature, and some others seek a declaration that article 276(2) of the Constitution of INdia, as amended by the Constitution (Sixtieth Amendment) Act, 1988, itself, is violative of the proviso to article 368 of the Constitution of INdia. Some others seek a declaration that certain particular provisions of the Act, are violative of articles 14 and 19 of the Constitution of INdia. The said Act, passed by the Tamil Nadu Legislature, came into force on April 1, 1992, and sub-section (1) of section 3 thereof, the charging section, enables every local authority in Tamil Nadu to levy tax on "profession, trade, calling and employment" As per section 2(4) of the Act, "local authority" means, ---

(2.) THE said sixtieth amendment only substituted the abovesaid sum of" two hundred and fifty rupees "by" two thousand and five hundred rupees

(3.) SECTION 9 provides that where any employer fails to pay the tax as required by the Act, he shall, without prejudice to any other consequence or liability, be deemed to be an assessee in default in respect of the tax. Thus, the employer himself is deemed to be an assessee for the purpose of this Act. Then, section 10 of the Act provides that where a registered employer or an enrolled person fails to make payment of the tax within the required time or date as specified in the notice of demand, the executive authority may, after giving him a reasonable opportunity of being heard, impose upon him a penalty not exceeding fifty per cent. of the amount of tax due. Then section 15 of the Act provides that if any question arises, about the interpretation of any entry in the Schedule before the commencement of assessment of an employer under section 7, the executive authority shall make a reference in the case of Municipal Corporations, to the State Government ; in the case of municipalities, to the Director of Municipal Administration ; and in the case of panchayats, to the Director of Rural Development, and the decision of the State Government, the Director of Municipal Administration, the Director of Rural Development as the case may be, on such questions shall be final. SECTION 16 of the Act provides for appeals if any person or employer is aggrieved by any order of the executive authority in relation to the payment of tax (including penalty and interest)SECTION 27 of the Act provides as follows" Save as otherwise provided in this Act, no order passed or proceeding taken by any authority or officer under this Act shall be called in question in any court, in any suit or application and no injunction shall be granted by any court in respect of any action taken or to be taken by such authority or officer in pursuance of any power conferred by or under this Act .