HIGH COURT OF BOMBAY Constitutional validity of provisions of section 245HA(1)(iv) read with section 245HA(3) of IT Act, 1961

Constitutional validity of provisions of section 245HA(1)(iv) read with section 245HA(3) of IT Act, 1961



The fixing of cut-off date under section 245D(4A)(1), the abatement under section 245HA(1)(iv), making available the confidential information under section 245HA(3), as inserted by the Finance Act, 2007, would be clearly ultra vires the Constitution and are liable to be struck down as null and void ab initio; it is, however, open to the High Court instead of striking down the impugned provision in its entirety to read down such provision in such a manner so as to set at naught the unconstitutional portion; by reading the words “any other application made under section 245C” in section 245HA(1)(iv)as “any other application made under section 245C, where due to reasons attributable to the assessee ” the High Court would avoid rendering any part of either section 245D(4A)(i) or section 245HA(1)(iv) otiose, meaningless or redundant; the two provisions, read in such a harmonious manner, would mean that the Settlement Commission must fulfill its mandatory statutory duty in disposing of such applications as are referred to in section 245D(4A)(i) by the date specified therein except where prevented from doing so due to any reason attributable on the part of the applicant, and that an application in respect of which the Settlement Commission has been prevented from fulfilling the aforesaid mandatory statutory duty due to any reasons attributable on the part of the applicant shall abate on the specified date under section 245HA(1)(iv); in this manner both section 245D(4A)(i) and section 245HA(1)(iv) will have applicability, meaning and effect.



HIGH COURT OF BOMBAY

Star Television News Ltd.

v.

Union of India

Writ Petition No. 952 of 2008

August 7, 2009

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