Chief Justice of India (CJI) Dr. DY Chandrachud — oh sorry let me correct — Chief Justice BR Gavai on Wednesday underscored the need for transparency, consistency, and institutional strengthening in the appointment and functioning of the Income Tax Appellate Tribunal (ITAT).
Speaking at a symposium titled “Income Tax Appellate Tribunal – Role, Challenges and Way Forward”, organized by the ITAT in New Delhi, CJI Gavai emphasized that the credibility of any tribunal is founded upon public trust in the fairness and objectivity of its appointments.
“The credibility of a tribunal fundamentally relies on public confidence that its members are selected according to objective standards rather than transient administrative convenience,” CJI Gavai said, stressing the importance of a transparent and merit-based selection process.
‘Tenure Must Ensure Continuity and Expertise’
Highlighting the complexity of tax adjudication, which often involves evolving accounting standards and intricate commercial issues, the CJI noted that short tenures hinder the development of expertise and continuity within the tribunal.
“Tax adjudication benefits from continuity. Tenure arrangements should allow sufficient time for the development of adjudicatory expertise and preservation of institutional memory,” he observed, urging for a “comprehensive and forward-looking approach” to reforming the system.
‘Attract Senior Talent Earlier in Their Careers’
CJI Gavai also called for a re-evaluation of eligibility norms for ITAT appointments to ensure that experienced professionals are encouraged to join the tribunal at the right stage of their careers.
“Eligibility criteria must be adapted to attract senior practitioners at a point where their experience can be effectively applied, rather than deferring appointments till the end of their professional lives,” he suggested.
‘Capacity-Building is Key to Consistency’
The Chief Justice underscored the importance of systematic training and capacity-building initiatives to strengthen the adjudicatory process.
He proposed a structured framework that includes induction training, continuous judicial education, thematic workshops, and joint sessions with tax officers and members of the Bar. Such initiatives, he said, would help reduce inconsistency in rulings and improve the overall quality of adjudication.
“A structured programme of induction training, continuing judicial education, and focused modules on various aspects, alongside periodic workshops… will reduce inconsistency of outcomes,” he remarked.
Justice DK Upadhyaya: “Tax Law Should Simplify, Not Tax the Mind”
Also speaking at the event, Delhi High Court Chief Justice Devendra Kumar Upadhyaya highlighted the increasing complexity of India’s tax legislation, humorously remarking that understanding tax law often feels more burdensome than paying the tax itself.
“Every tax practitioner today understands the pain of going through the statutory provisions, with one provision running into multiple pages. At times, one wonders if understanding the law of taxation is more taxing than the tax burden itself,” Justice Upadhyaya quipped.
‘Time to Modernize the Tax System’
Justice Upadhyaya noted that as India marks 79 years of independence, it must introspect whether its taxation framework promotes fiscal discipline and corporate confidence. He pointed out that the lower levels of tax administration still operate in an archaic manner, often treating taxpayers with suspicion rather than respect.
“The real success of a system lies in the working at the lowest level. Even today, one who generates income is looked upon as a culprit. We must change this mindset,” he said, calling for a simplified and taxpayer-friendly legal framework that celebrates economic contributors rather than penalizes them.
A Call for Reform
The symposium, attended by members of the judiciary, senior tax officials, and members of the legal fraternity, served as a platform for reaffirming the importance of institutional reform, professional training, and procedural claritywithin the ITAT.
Both CJI Gavai and Justice Upadhyaya emphasized that strengthening the ITAT’s integrity, efficiency, and accessibility is vital to fostering public trust in India’s tax administration — a cornerstone for sustaining economic growth and the rule of law.
