Summary
After the Supreme Court's judgment of 13 January 2023 in the Association of Old Settlers of Sikkim case, the Union, the State of Sikkim and a petitioner sought correction of paragraphs 10(a) and 77, counsel having failed to bring the amended writ petition to the Court's notice. Though the omission lay with counsel, the Court corrected the judgment in the interest of justice: a sentence in paragraph 10(a) about the absence of any distinction between Bhutia-Lepcha inhabitants and later settlers was deleted, and the words confining the exemption under Section 10(26AAA) of the Income Tax Act, 1961 to the financial year from 1 April 2022 were deleted so that the benefit runs from the insertion of the Explanation. No clarification on Article 371-F was needed.
Issues
- Whether paragraphs 10(a) and 77 of the judgment dated 13.01.2023 should be corrected to reflect the amended writ petition and to extend the benefit of the exemption under Section 10(26AAA) of the Income Tax Act, 1961 from the date of insertion of the Explanation rather than from the financial year 2022-23.
Provisions considered
- Section 10(26AAA) and its Explanation, Income Tax Act, 1961Since the judgment held the Explanation discriminatory against persons like the petitioners, the benefit of the exemption must be available from the date the Explanation was inserted; the definition of Sikkimese and the references to the repealed Sikkim Subjects Regulations, 1961 and Rules are relevant only for that Explanation. (¶¶ 2, clarification)
Held
- It was the duty of counsel to bring the substantial amendments to the original writ petition to the Court's notice, and the applications seeking correction proceed as if the error were the Court's; nevertheless, having heard all parties, the sentence in paragraph 10(a) regarding the absence of any distinction between original inhabitants and settlers stands deleted and the words 'from the current financial year i.e., 1st April, 2022 onwards' in paragraph 77 stand deleted. (¶¶ 1, 2)
- No observation is required that the Court expressed nothing on the validity or interpretation of Article 371-F of the Constitution, which was not the subject matter before it at all. (¶ Article 371-F clarification)
Result
Miscellaneous Applications disposed of by correcting paragraphs 10(a) and 77 of the judgment dated 13.01.2023 in WP (C) No. 59 of 2013 as indicated; Review Petition (C) D. Nos. 5450, 5075 and 5065 of 2023 and all pending applications including for intervention and clarification disposed of; order to be read as part and parcel of the judgment dated 13.01.2023.