Anadi Tewari
The Delhi High Court on Thursday (May 06) has observed that the Central Government should review its stand of not exempting the Goods and Services Tax (GST) levied on Oxygen Concentrators imported for personal use.
This comes after when the Finance Ministry of India conveyed to the Court its inability to comply with this Court’s order issued on Wednesday (May 05).
The division bench of Delhi High Court comprising of Justices Rajiv Shakdher and Talwant Singh examined the Public Relations exercise of the Central Government amidst this pandemic and observed that it is time to be more humane while mentioning that the President of United States Joe Biden has dropped US Administration resistance to intellectual property waivers for COVID-19 vaccines.
“Just one small single item is being reported on this, last few days. I won’t call it bad publicity, they are just narrating the facts as they are happening in the Court. They will do more damage to your PR exercise. Let us be more humane, this is my request to you. It will win so many hearts for the government and people will be comforted,” Justice Talwant Singh remarked.
“Today I read that President Biden has decided to waive intellectual property norms on COVID-19 vaccines, they were equally resistance but now some good sense prevailed as they realize that if it continues now, it will affect the US as well,” Justice Shakdher observed that the US administration had also acted in a similar way.
“Everybody does not have a relative abroad. Suppose a judge of this Court wants to import but he doesn’t have a relative. But there is his friend who says I will arrange it for you but bear the cost. How far this imposition of tax is required in these situations?” Justice Shakdher asked the government counsel.
The Counsel for the government went on to note that the order of this Court on Wednesday has been escalated to the highest levels but the decision was that the maximum possible relief has already been given.
“How much revenue the government hopes to raise from such levies?” the bench questioned taking note that its law officer’s fees may be more than the revenue generated.
“I don’t know why there is a resistance to this, which from every angle seems right? I assure you that this will give us a new opportunity to decide whether Article 21 of the Constitution is applicable and maybe it will set a new trend,” Justice Shakdher urging the Centre to revisit its stand.
Senior Advocate Arvind Datar has been appointed as the Amicus Curiae in the matter where the petitioner is seeking exemption of Goods and Services Tax (GST) on Oxygen Concentrators imported for personal use.
Order of Wednesday (May 05)
On Wednesday, a division bench of Delhi High Court comprising of Justices Rajiv Shakdher and Talwant Singh after being informed by the Additional Solicitor General that a notification bearing no. 4/2021- Customs dated 03.05.2021 has exempted imposition of GST on oxygen concentrators imported by the State Government, or via any entity, relief agency or statutory body, went on to order thus:
“We are of the view that since the respondent has gone this far, it could move further, and extend the exemption, to even individuals, to enable them to obtain imported oxygen concentrators by way of a gift, albeit, without having to pay IGST. Both the learned ASG and Mr Zoheb Hossain have stated before us that they will revert with instructions. Accordingly, list the matter on 06.05.2021.”
Background of the Case
The petitioner, in this case, is a senior citizen aged 85 whose nephew has sent him an Oxygen Concentrator from the USA, and thereby he has challenged the aforesaid impugned notification that levies 12℅ GST on such imports. The Petitioner has invoked Article 21 of the Constitution that enshrines the Right to Life.
“Right to have oxygen is a part of the right to life under Article 21 of the Constitution”, the petitioner has contended.
Prior to this impugned notification, the import of Oxygen Concentrators for personal use was levied with a GST of 28℅ which was later reduced by the government to 12%.
This matter is next listed on May 18, 2021.
Case: Gurcharan Singh v. Ministry of Finance, Government of India [W.P(C) 5149/2021]