I am very happy that I am part of 75th Independence Day celebrations and it is a proud privilege for me to be with all the members of the AIFTP in the programme of Azadi ka Amruth Mahotsav. The daily Judgments on whatsapp groups and mails are very effectively useful to each and every member of the Federation. My tenure has already completed 7.5 half months and the rest of 4.5 months, we have lots of programmes coupled with vision and mission. The 45 years History book of the Federation and Programmes of the Foundation Day of Federation are under preparation. Further, under the chairmanship of Shri CA. Mitesh Kotecha and with the help of Past Presidents, who are also Advisors and Collegiums of the Federation. We are planning to felicitate all the Past Presidents, Past Secretary Generals, Past National Treasures, Past Zonal Chairmen, Past National Vice Presidents, Past National Joint Secretaries and Past NEC members and other seniors who have served the Federation for this glorious stage of bench mark of 45 years on Thursday afternoon of 11.11.2021 at Pune orgainsed by Western Zone of AIFTP. All the members of the Federation are welcomed to this auspicious programme and grace the occasion. Foundation Day & NTC Committee Chairman Shri Narendra Sonawane, Convenor Smt. Anagha Kulkarni and other Committee Members of Western Zone, Chairman Shri Pravin Shah along with his Zonal Managing Committee Members are waiting to welcome all the members in the planned city of Pune in Maharashtra. The arrangements are well going on for the Reception, Hospitality, Fellowship & Friendship. In this connection I am requesting all the members of AIFTP to block their dates and request to attend the said programme and make it is a grand success.

AIFTP National Tax Moot Court Competition and Research Paper in memory of Padma Vibhushan Dr. N. A. Palkhivala, Senior Advocate has also scheduled virtual programme which will be conducted by Western Zone of AIFTP. The Moot Court consists of Income Tax and GST. All committee members are also working for a grand success of the programme. The members of the AIFTP all over the country are requested to contribute a small contribution towards this noble cause. GSTPAM, Mumbai and Maharashtra National Law University, Mumbai are joining with the AIFTP – Western Zone for offering their attributes to Padma Vibhushan Dr. N. A. Palkhivala, Senior Advocate at his 100th year function under the able leadership of Dr. K. Shivaram, Senior Advocate and Past President, AIFTP as a Chief Advisor.

AIFTP is planning to release a motivational song and also planning to release a postal stamp of Rs. 5/- for spreading over the signature project on this 45th year which will enable us to get more and more life members into the net of AIFTP family. The Direct Tax Journal on monthly basis is an instrument of the AIFTP, the Hon’ble Judges of Supreme Court, High Courts, Members of ITAT and others are also studying and reading and made appreciations on various platforms, the Chief Editor, Advisors, Research Team – Direct Taxes, Editorial Team are also appreciated for their commendable work executed by them from time to time respectively. In this connection, I request all the members of AIFTP to subscribe AIFTP journal and pay the subscription for more and more learning and information. Please go through AIFTP subscription brochure for the year 2021-22 on our website.

I request all the members to join AIFTP programmes physically and virtually and make it a grand success for professional learning and knowledge. The future programmes are 1) 28th & 29th virtual NTC by Southern Zone, AIFTP 2) RRC Northern Zone, AIFTP at Amritsar, Punjab on 3rd 4th 5th September, 2021. Physical NEC & NTC at Katra, Jammu and Kashmir by Northern Zone, AIFTP on 1st 2nd 3rd of October, 2021, Physical Foundation Day Programme, NTC & NEC on 11th 12th 13th November, 2021 at Pune by Western Zone, AIFTP and finally Convention in Northern Zone.

The zonal elections, national elections for the term 2022 & 2023 are already schedule by the Chief Election Officer Dr. Ashok Saraf, Senior Advocate, Past President, AIFTP and he had also appointed zonal election officers for 5 zones and the relevant process is on schedule separately. The Constitution Committee Chairman and the members have redrafted the Constitution, Election Rules which will be effective from 01.01.2022. The above both committees worked for the welfare of the Federation and as a President, I am very thankful to them.

I would at the end, request all of you to stay safe with social distance, frequent sanitizing and masking for always. Be happy.

Place: Eluru 
Dated: 18-8-2021 

M. Srinivasa Rao
National President, AIFTP

Happy 75th Independence Day
to all esteemed professional colleagues

It is an achievement for our country to traverse the challenging journey of 74 years as a Democratic Republic of India. When we look around in our neighborhood one realises that founding fathers of our Constitution have given us a Constitution and handed over institutions to protect and uphold constitutional values. We should not only cherish them, but, conduct ourselves in such a manner as not to undermine the same. Hope this wisdom prevails among the Parliamentarians also cutting across all political parties.

The Hon’ble Finance Minister in the abruptly concluded Monsoon Session of the Parliament moved Bill No. 120 of 2021 to reverse the retrospective amendments made through the Finance Act, 2012 to section 9 of the Income tax Act, 1961. The Statement of Objects and Reasons para 4 reads as “The said clarificatory amendments made by the Finance Act, 2012 invited criticism from stakeholders mainly with respect to retrospective effect given to the amendments. It is argued that such retrospective amendments militate against the principle of tax certainty and damage India’s reputation as an attractive destination. In the past few years, major reforms have been initiated in the financial and infrastructure sector which has created a positive environment for investment in the country. However, this retrospective clarificatory amendment and consequent demand created in a few cases continues to be a sore point with potential investors. The country today stands at a juncture when quick recovery of the economy after the COVID-19 pandemic is the need of the hour and foreign investment has an important role to play in promoting faster economic growth and employment.”

The potential investors are hailing this bold decision of the government. We professionals also join them as it is never too late to correct once mistake. We will be over joyed if few more corrections to such mistakes pointed out by we professionals are also accepted. Especially the insertion of Explanation-5 to section 43B of the Income tax Act, 1961 through Finance Act, 2021 to overcome decisions which were in favour of the assesses who had paid the employees contribution to the exchequer prior to the filing of return under section 139 of the Act. If this amendment is also reversed then it will be in the spirit of the observations made by the Hon’ble Supreme Court in the case State of Karnataka vs. Karnataka Pawn Brokers Association, dated 15th March, 2018. The Hon’ble court observed in para 23 that “However, the Legislature cannot set at naught the judgments which have been pronounced by amending the law not for the purpose of making corrections or removing anomalies but to bring in new provisions which did not exist earlier. The Legislature may have the power to remove the basis or foundation of the judicial pronouncement but the Legislature cannot overturn or set aside the judgment, that too retrospectively by introducing a new provision. The legislature is bound by the mandamus issued by the Court. A judicial pronouncement is always binding unless the very fundamentals on which it is based are altered and the decision could not have been given in the altered circumstances. The Legislature cannot, by way of introducing an amendment, overturn a judicial pronouncement and declare it to be wrong or a nullity. What the Legislature can do is to amend the provisions of the statute to remove the basis of the judgment.”

Friends, in this issue we are starting a new series of articles to celebrate “Azadi ki Amrut Mahatsav”. Justice R.V. Easver and Justice S.C. Dharmadhikari have obliged us by accepting our request to contribute. I thank all the professionals who have taken out time to bring out the present issue of the AIFTP-Journal. Wishing you all once again wishing a very happy Independence Day. Please continue following the COVID-19 appropriate behavior as the threat is not yet over. Please motivate as many people as possible to get vaccinated.