SC issues notice to T.N. officials over contempt of pleas on border tax collection

The Supreme Court has issued notice to Tamil Nadu government officials in contempt petitions filed against the continued levy and collection of the authorisation fee/border tax despite a stay order passed by the top court.

The All India Tourist Vehicles (Permit) Rules, 2023, had also done away with the power of levying and collecting border tax by States at various border check posts.

A Bench headed by Justice Surya Kant, in its order passed on November 21 and published on Wednesday, issued notice to K. Nanthakumar, Transport Department Secretary, and P. Amudha, Home Secretary (Transport Enforcement), with Tamil Nadu.

The court exempted the officials from personal appearance and ordered the notice to be returnable on January 10, 2024.

The petitioners were represented by senior advocate S. Muralidhar, advocates S. Mahesh Sahasranaman, Arjun Garg, Ajeesh A., and others.

Tamil Nadu counsel Sabarish Subramanian accepted the notice in the case. The court ordered the counter-affidavit, if any, in the case to be filed in two weeks.

The petitioners, who are tourist vehicle operators, said the 2023 Rules were brought into effect by the Centre, taking away the State government’s authority to collect border tax.

“However, in spite of the same, the various State governments, in the present case, States of Kerala and Tamil Nadu, continue with the arbitrary collection of the fees. Without payment of the border tax, the plying of the tourist vehicles owned by the petitioners is not being allowed by the State governments,” Mr. Sahasranaman said.

The apex court recorded the assurances given by lawyers appearing for both Tamil Nadu and Kerala to “faithfully and meticulously” follow the court order and comply with the law.