First attach then adjudicate – Beware the tides of March

By Vijay Kumar

Under Section 11 of the Central Excise Act, to recover the dues from a defaulter his property can be attached and sold but it so happens that by the time the default is determined, there is hardly anything to attach and sell as the unit would have gone totally bankrupt by that time. In the Income Tax Act there is a provision in Section 281B to provisionally attach the property during the pendency of a dispute if it is felt required to protect revenue interests. Now this provision is proposed to be imported into Central Excise. That is, along with the Show Cause Notice you can get stuck with an attachment order. It seems this is in the pipeline.

Retrospective legislation is here to stay

The Supreme Court has once again upheld the legislature’s right to bring in fiscal laws with retrospective effect as reported in our main story today. The Apex Court had consistently held that the legislature has such powers, though it appears repugnant to the concepts of equity, fair play and justice. The only way out is for Parliament to pass a law that laws cannot be amended with retrospective effect.

In every action of Parliament Members, our 540 million youth who are below 25 years of age should see in you great leaders, who can be their role models who are going to bring a dynamic change in politics and the developmental missions.

- President APJ Abdul Kalam to parliamentarians.