[Breaking] Madras High Court asks actor Dhanush to pay remaining entry tax due on imported Rolls Royce within 48 hours

The Madras High Court on Thursday disposed of a 2015 writ petition moved by Kollywood actor Dhanush concerning the payment of entry tax on an Rolls Royce Ghost car imported from the UK, after directing that he pay the remaining tax of ₹ 30,30,757 (about ₹ 30.3 lakhs) within 48 hours.(Mr K Dhanush v. State of Tamil Nadu) .Justice SM Subramaniam passed the order this afternoon after counsel for Dhanush informed earlier in the morning that the actor was willing to pay the remaining tax due by Monday and wanted to withdraw the 2015 writ petition moved on the issue. .The Court, however, did not allow the withdrawal of the case right away, and queried why the actor had not paid the tax due earlier and withdrawn the petition, especially since the Supreme Court had settled the issue years earlier. .While he acknowledged that the Court had not listed the petition for some time, the Judge pointed out that Dhanush could have chosen to withdraw the plea earlier after paying the tax instead of keeping the case pending. .The Court also took critical note of the fact that the actor had not disclosed his profession in the writ petition."Your affidavit also, you have also not stated profession. As if you are to working anywhere ... Persons coming to the Court must state identity, who are you, what is your profession, you have to say .. You have to pay the tax by Monday, that is a different issue. What do you have to say about suppression of fact? ... When you are filing the affidavit, you have to be responsible", Justice Subramaniam remarked..The Judge, who was initially inclined to post the matter for orders tomorrow, went on to observe that the petitioner should explain why he has suppressed details regarding his profession, which is required to be furnished in the affidavit. .The Court, later, posted the matter for final orders in the afternoon after directing the concerning authorities to inform how much Dhanush is left to pay as entry tax on the car..In the morning hearing, Justice Subramaniam further remarked that while the actor is free to purchase imported luxury cars, he must pay the tax applicable once he has brought the car to India for plying the same on Indian roads. This is a Constitutional duty that he was expected to abide by, the Court said..In the final order passed this afternoon, Justice Subramaniam directed the Registry to ensure that petitions are only numbered after it is made sure that all requirements under the Madras High Court's Writ Rules are complied with. Orally, Justice Subramaniam observed that many petitions were being casually numbered. In its final order, the Court has ordered:."The Registry, High Court Madras, is directed to ensure that affidavits filed by the litigants in writ petitions are entertained on compliance of the requirements as contemplated under The Madras High Court Writ Rules, 2021. In the event of any lapses, negligence or dereliction on the part of the officials, the Registrar General, High Court, Madras, is directed to initiate appropriate action under the Service Rules in force.".In the final order, the Court also recorded the petitioner's case that he (Dhanush) had paid the customs duty applicable and was, therefore, under the impression that no further tax is to be paid. He had therefore sought an injunction restraining the authorities from collecting entry tax in respect of the imported vehicle..The Court today "rejected" the relief sought, also given that the Supreme Court had settled the issue years earlier. Instead, the matter was disposed of by the High Court. .It is not as if a litigant can file a case and leave as it is and avoid payment of taxes: Court.The Judge has also added certain observations in the final order on the responsibility of a litigant appearing before the Court. .He observed that it is not right to selectively pursue litigation, depending on whether favourable interim orders are received or not and to keep such matters pending unnecessarily when Courts are already overburdened and have more important issues to decide. ."Undoubtedly, the State suffers huge revenue loss for many number of years, as these tax dues are not collected on account of the interim orders granted and due to pendency of the writ petitions ... It is not as if a litigant can file a case and leave as it is and avoid payment of taxes, even after finality in respect of disputes", the Court added, in its final order. .The Judge commented that a large number of unnecessary writ petitions are pending before the High Court, either due to the non-cooperation of the litigants or on account of interim orders being utilized for unjust gains. ."Cars imported several years back are plying on the roads within the State without paying Entry Tax. Ultimate revenue loss undoubtedly would affect the public interest. Thus, this Court is of the opinion that the constitutional perspectives and the manner in which the writ petitions are filed are to be dealt with for the interest of protecting the rights of the citizens, who are all approaching this Court for redressal of their genuine grievance," the Court said. .The Judge further observed that these are only ober dicta (Court observations that do not become binding precedent in future cases)."... this Court thought fit that citizens of this great nation are to be reminded of their fundamental duties in order to avoid unnecessary ligations before the High Courts, which would not only cause over burdening, but the redressal of the grievance of the genuine litigants are being affected", Justice Subramaniam explained. .On a related note, the Judge had recently admonished actor Vijay while dealing with another case involving the payment of entry tax on an imported Rolls Royce car. While directing Vijay to pay the amount raised by the authorities as entry tax and imposing Rs 1 lakh as costs, Justice Subramaniam had recorded in his order, "Tax evasion is to be construed as anti-national habit, attitude and mindset and unconstitutional ... These Actors are portraying themselves as champion to bring the social justice in the society. Their pictures are against corrupt activities in the society. But, they are evading tax and acting in a manner, which is not in consonance with the provisions of the Statutes.".On appeal, however, a Division Bench of Justices M Duraiswamy and R Hemalatha stayed the single-Judge order after Vijay's counsel undertook to pay the remaining 80 per cent of entry tax within a week after the tax demand is raised again. .Before the Division Bench, Vijay's counsel had submitted that there was no justification for making adverse comments against the actor and sought the expungment of the same while adding that the actor is willing to pay the tax demanded..[Read Order]