Under Article 246 (A), Parliament has powers to make laws with respect to Goods and Services Tax
Under Article 246 (A)Â Parliament has powers to make laws with respect to goods and services tax where the supply of goods, or of services, or both takes place in the course of inter-State trade or commerce.
The Supreme Court upheld the Constitutional validity of Goods and Services Tax (Compensation To States) Act, 2017, as well as the Goods and Services Tax Compensation Cess Rules, 2017, as framed under the Act. The verdict was delivered by a Bench comprising Justice AK Sikri and Justice Ashok Bhushan.
GST validity
Case Name: Union of India & Anr. V. Mohit Mineral Pvt.
Issue: Constitutional validity of GST Act 2017
Judgement: Constitutional validity of Goods and Services Tax (Compensation to States) Act, 2017 upheld.
Backgrounders:
GST – 101ST Constitutional Amendment Act w.e.f. July 1, 2017
Article 246 (A) – Parliament has exclusive power to make laws with respect to goods and services tax where the supply of goods, or of services, or both takes place in the course of inter-State trade or commerce.
Article 269A – (1) Goods and Services Tax on supplies in the course of inter-State trade or commerce shall be levied and collected by the Government of India and such tax shall be apportioned between the Union and the States in the manner as may be provided by Parliament by law on the recommendations of the Goods and Services Tax Council.
(2) The amount apportioned to a State under clause (1) shall not form part of the Consolidated Fund of India.
(3) Where an amount collected as tax levied under clause (1) has been used for payment of the tax levied by a State under article 246A, such amount shall not form part of the Consolidated Fund of India.
Article 279A
1) President shall, within sixty days from the date of commencement of the Constitution (One Hundred and First Amendment) Act, 2016, by order, constitute a Council to be called the Goods and Services Tax Council.
(2) The Goods and Services Tax Council shall consist of the following members, namely:-
(a) The Union Finance Minister as Chairperson;
(b) The Union Minister of State in charge of Revenue or Finance as Member;
(c) The Minister in charge of Finance or Taxation or any other Minister nominated by each State Government as Members.
3)The Members of the Goods and Services Tax Council referred to in sub-clause (c) of clause (2) shall, as soon as may be, choose one amongst themselves to be the Vice-Chairperson of the Council for such period as they may decide.
(4) The Goods and Services Tax Council shall make recommendations to the Union and the States on-
(a) The taxes, cesses and surcharges levied by the Union, the States and the local bodies which may be subsumed in the goods and services tax;
(b) The goods and services that may be subjected to, or exempted from the goods and services tax;
(c) Model GST Laws, principles of levy, appointment of GST levied on supplies in the course of Inter-State trade or commerce under article 269A and the principles that govern the place of supply;
(d) The threshold limit of turnover below which goods and services may be exempted from goods and services tax;
(e) The rates including floor rates with bands of goods and services tax;
(f) Any special rate or rates for a specified period, to raise additional resources during any natural calamity or disaster;
(g) Special provision with respect to the States of Arunachal Pradesh, Assam, Jammu and Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh and Uttarakhand ; and
(h) Any other matter relating to the goods and services tax, as the Council may decide.
(5) The GST Council shall recommend the date on which the goods and services tax be levied on petroleum crude, high speed diesel, motor spirit (commonly known as petrol), natural gas and aviation turbine fuel.
(6) While discharging the functions conferred by this article, the GST Council shall be guided by the need for a harmonised structure of goods and services tax and for the development of a harmonised national market for goods and services.
(7) One half of the total number of Members of the GST Tax Council shall constitute the quorum at its meetings.
(8) The GST Council shall determine the procedure in the performance of its functions.
(9) Every decision of the GST Council shall be taken at a meeting, by a majority of not less than three-fourths of the weighted votes of the members present and voting, in accordance with the following principles, namely:- the vote of the central Government shall have a weightage of one third of the total votes cast, and
The votes of all the State governments taken together shall have a weightage of two-thirds of the total votes cast, in that meeting.
The GST Council shall establish a mechanism to adjudicate any dispute-
(a) between the Government of India and one or more States; or
(b) between the Government of India and any State or States on one side and one or more other States on the other side; or
(c) between two or more States, arising out of the recommendations of the Council or implementation thereof.
Isro spy case
Case Name: S. Nambi Narayanan Vs Siby Mathews and others.
Issue:Â Petition for action against former top officials of Kerala Police who had allegedly subjected Narayanan to torture and illegal detention in connection with the infamous ISRO Espionage Case.
Judgment:Â Supreme Court of India granted Rs 50 lakh compensation to former ISRO Scientist Nambi Narayanan. The Court has also constituted a committee headed by former Supreme Court Judge Justice DK Jain to inquire in to the role of police officers in the issue.
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Source :- https://telanganatoday.com/sc-upholds-constitutional-validity-of-gst
