Gauhati HC Orders to Expedite TDS Refund Process to Scheduled Tribe Officer [Read Order]

The Gauhati High Court (HC) presided by Justice Soumitra Saikia ordered the Commissioner of Income Tax (TDS) and concerned Income Tax Officer (ITO) to expedite the Tax Deduction Source (TDS) refund process to the Scheduled Tribe Officer within 3 weeks.

The petitioner served in the Border Security Force and is posted in Masimpur, Silchar, Assam. The petitioner contends to have rendered meritorious and unblemished service and has been awarded several commendations and medals from various meritorious services.

It was contended that the petitioner is a member of a recognized Schedule Tribe from the State of Rajasthan under Article 342 of the Constitution of India and is therefore entitled to Income Tax Exemption as provided under Section 10(26) of the Income Tax Act, 1961.

As per section 10(26) of income tax act 1961 a member of ST category residing in tribal area under paragraph 20 of 6th schedule of constitution is exempted from income tax.

The bench noted that this matter had already been resolved in the case of Pradip Kr. Taye and Others v. Union of India and Others, in which it was decided that Schedule Tribe members would be entitled to the benefits of Section 10(26) of the Income Tax Act regardless of where they were posted.

The bench further observed that any member of a Scheduled Tribe as defined in Clause (25) of Article 366 of the Constitution, residing in any of the areas prescribed under Section 10(26), is exempted from payment of income tax.

The single bench noted that the advantages accrued under Section 10(26) of the Income Tax Act, 1961 are due to the petitioner. In light of this, a mandate was  issued by the court to the respondent, more specifically the Commissioner of Income Tax (TDS) and the concerned Income Tax Officer, to swiftly process the petitioner’s request for a refund of income tax withheld from his or her salary and remit the requested amount to the petitioner.

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