Madras High Court asks popular Tamil actor to loosen his purse strings
The Court ruled that actor Vijay has to pay the entry tax for his fancy imported car
The Madras High Court dismissed a writ petition filed under Article 226 of the Constitution against the Respondent – Authorities to forbear from demanding or collecting entry tax on the Petitioner's imported new Rolls Royce Ghost Motor Car Vehicle.
The matter titled C. Joseph Vijay v The State of Tamil Nadu & Ors was placed before a single-judge Court of Justice S.M. Subramaniam in the High Court of Madras.
The facts of the case are that the Petitioner, who is a well-known actor, had imported a new Rolls Royce Ghost Motor Car Vehicle from England for which he paid the import duty to the Customs Department as levied under the Customs Act. The Petitioner submitted that he was directed to submit a certificate stating no entry tax is payable but the Respondent – Assistant Commissioner informed him that the certificate would be issued when entry tax is paid for the vehicle. The Petitioner contended that an extraordinary entry tax on the imported vehicle was being imposed.
The judge noted that the Petitioner had not even stated his profession or occupation in his affidavit.
The Court stated that the Petitioner, who is a reputed Cine Actor, is expected to pay the tax promptly and punctually but he filed a writ petition in order to avoid payment of entry tax for a car imported from England. It made the following observations concerning taxation:
"The system of taxation is the backbone of our Nation's Economy, which keeps Revenue consistent, manages growth in the economy and fuels its industrial activity etc. Tax is mandatory contribution and not a voluntary payment or donation, which one decides on one's own."
The judge further stated that tax evasion is to be construed as an anti-national habit, attitude and mindset and unconstitutional.
Article 38 Sub Clause 2 was enumerated by this Court, which is stated below:
"The State shall, in particular, strive to minimise the inequalities in income, and endeavour to eliminate inequalities in status, facilities and opportunities, not only amongst individuals but also amongst groups of people residing in different areas or engaged in different vocations"
The Court opined that the non-payment of entry tax by the Petitioner can never be appreciated.
The Court, therefore, dismissed this writ petition by concluding that the Petitioner is bound to pay the entry tax for the Rolls Royce Ghost Motor Car Vehicle imported from England.