In WP(C)/404/2023-GAU HC- Member of Scheduled Tribe as defined in Clause (25) of Article 366 of Constitution, residing in any area prescribed u/s 10(26) of I-T Act, is exempted from payment of income tax: Gauhati HC allows plea of BSF Officer
Justice Soumitra Saikia [03-02-2023]

Read Order: CHYAWAN PRAKASH MEENA Vs. THE UNION OF INDIA AND 3 ORS 

LE Correspondent

Gauhati, February 16, 2023: Giving the benefit accrued under Section 10(26) of the Income Tax Act, 1961, the Gauhati High Court has allowed the petition of the petitioner working as DIG (Ops) of Border Security Force and a member of a recognized Schedule Tribe seeking Income Tax Exemption under Section 10(26) of the Income Tax Act, 1961. 

In this matter before the Bench of Justice Soumitra Saikia, the petitioner, serving as a DIG (Ops) of Border Security Force and posted in Masimpur, Silchar, Assam contended to have rendered meritorious service and had been awarded several commendations and medals from various meritorious service. 

It was the petitioner’s case that he 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. Reference was made to the Caste Certificate issued by the Executive Magistrate and Tehsildar, Dist. Sawai Madhopur, Rajasthan, which certified that the petitioner belonged to the “Meena” community which is considered to be a Schedule Tribe under the Constitution Schedule Tribe State order 1951 in the State of Rajasthan. The petitioner during the course of his service had been posted in several places.

As per the petitioner, although he is certified to be a member of the Schedule Tribe “Meena” in the State of Rajasthan and by virtue of which he is exempted from payment of Income Tax under the provisions of Section 10(26) of the Income Tax Act, 1961, Income Tax had been deducted from his salary in the form of Taxes Deducted from Source (TDS). 

Time and again, the petitioner had represented before the authorities concerned to refund the taxes deducted from his salary and seeking refund of Income Tax deducted in view of the caste certificate issued in his name and the benefit of exemption as prescribed under Section 10(26). However, the Income Tax deducted from his salary had not been refunded till date.

Referring to section 10(26) of the Income Tax Act, the Bench opined that the 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. 

This Court in Pradip Kr. Taye and Ors. Vs. Union of India and Ors, (2010) 2 GLR 367,  had elaborately dealt with this issue and held that the expression under Section 10(26) “residing in any area specified” cannot be given a narrow and restricted meaning to imply that the members of a Schedule Tribe migrating from their places of origin.

Thus, after perusing the Judgment of this Court rendered by a full Bench in Pradip Kr. Taye (Supra) as well as in view of the Tax Exemption Certificates issued by the respondent department, the Bench of the view that the prayers made by the petitioner wouldl have to be allowed.

“The petitioner is indeed entitled to the benefits accrued under Section 10(26) of the Income Tax Act, 1961”, the Bench held while issuing Mandamus to the Commissioner of Income Tax (TDS) as well as the concerned Income Tax Officer of the ward to expeditiously process the request for refund of income tax deducted from the salary of the petitioner and remit to the petitioner forthwith.