Centre to retain GST on oxygen concentrators

The Central authorities ought to evaluate its resistance to exempting the Goods and Services Tax (GST) levied on oxygen concentrators imported for private use, the Delhi High Court noticed on Thursday after the Finance Ministry conveyed its incapability to settle for the Court’s order issued on Wednesday.

A High Court Bench of Justices Rajiv Shakdher and Talwant Singh additionally critiqued the Centre’s PR train amidst the pandemic, and mooted that it was time to be extra humane, whereas mentioning that even President Joe Biden had dropped the U.S. administration’s resistance to mental property waivers for COVID-19 vaccines after “good sense prevailed”.

Exlained | How does an oxygen concentrator assist?

The petitioner within the case, a senior citizen whose nephew had shipped him a concentrator as a present, had challenged a May 1 notification that levied 12% GST on such imports from 28% earlier. He invoked Article 21 of the Constitution, which enshrines the elemental proper to life.

The authorities counsel stated the Court’s order had been escalated to the best ranges, however the choice was that the utmost doable reduction had already been given by lowering the GST price. While the plea was just for GST exemption on items, the Court stated the federal government ought to take into account the exemption for all such imports until the pandemic subsides.

“Just one small single item is being reported on this, last few days. I won’t call it bad publicity, they are just narrating the facts as they are happening in the court. They will do more damage to your PR exercise… We are not saying that any PR exercise is required in COVID times… Let us be more humane, this is my request to you. It will win so many hearts for the government — people will feel comforted,” Justice Singh stated.

Also learn | Government permits import of oxygen concentrators purchased via submit, courier for private use

“Everybody doesn’t have a relative abroad, no? Suppose a judge of this court wants to import, he doesn’t have a relative. But he has a friend who says I will arrange it for you, but you bear the cost. Should the State, in these circumstances, be imposing a tax? How much are you gaining out of this collection?” Justice Shakdher requested the federal government counsel.

“I don’t know why there is this resistance to this, which from every angle seems right? I can assure you that this will give us an opportunity to decide whether Article 21 is applicable and maybe it will set a new trend,” he stated.

“We want to keep our hands off… Good sense may prevail on them, which is what we hope, against all odds,” Justice Singh famous, whereas Justice Shakdher noticed that the U.S. administration had additionally acted in the same method.

“Today, I read that President Biden has decided to waive [IP norms for COVID-19 vaccines] … they were equally resistant when we approached the WTO, with many countries… they didn’t want to waive it. And now, some good sense has prevailed, because they realise that if this continues here, it will affect the U.S. as well,” he identified.

Referring to the difficulties being confronted by all in related circumstances because the petitioner, the judges talked about the struggling of a lawyer “colleague” and remarked that the paperwork “just doesn’t seem to be understanding this”, regardless of dropping very senior officers.

Justice Singh additionally stated he had been looking for concentrators himself they usually weren’t obtainable in lots of international locations.

Questioning the federal government on how a lot income it hoped to increase from such GST levies, the Court famous its legislation officers’ charges could also be greater than the income generated.

“Whatever money the government is going to collect, most of its part would be spent on COVID relief. So instead of first collecting the money, then spending it on COVID relief, why can’t you allow this exemption? This is one way of fighting the COVID,” Justice Singh noticed.