02.04.2024 HC junks plea challenging legality of GST council

Patna: Calling it an “over-enthusiastic exercise” of an advocate petitioner, the Patna high court on Monday dismissed a writ petition, which questioned the legality of central goods and services tax (GST) council.

The council, constituted under GST Act, recommends the Parliament measures to taking care of nationwide fiscal problems in indirect taxation and aids the central legislature in apportionment of indirect taxes between Centre and states.

A division bench, comprising chief justice K Vinod Chandran and Justice Harish Kumar, dismissed the petition, which had argued that it “abrogates the basic structure of the constitution wherein powers of taking fiscal decisions are conferred to Parliament which approves all financial and fiscal transactions” by passing all money bills and through its annual financial statement (Budget).

The petitioner lawyer argued that the Parliament has refused to exercise its constitutional powers and duties by constitutional powers and duties by constituting the council.

Source: Times of India

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