Merchant Navy union to challenge I-T tribunal judgement in HC

Mumbai, Aug 19 (PTI) The Maritime Union of India (MUI)and the National Union of Seafarers of India (NUSI) havejointly decided to challenge a recent judgement of an incometax tribunal in the Kolkata High Court next week. A judgement delivered recently by the Kolkata incometax tribunal has now mandated Indian merchant navy workforceto pay taxes in India, which according to the Merchant Navyofficers has shattered the workforce of the maritime industryin the country. With the effect of the tribunal’s judgement, around1.30 lakh Indian seafarers, who were so far exempted frompaying taxes in India, will get affected. Amar Thakur, General Secretary, MUI, the only unionrepresenting Indian Merchant Navy officers since 1939 said,"We have hired eminent lawyers and tax consultants to stronglyoppose the Kolkata Income Tax tribunal’s verdict in theKolkata High Court. We will approach the court early next weekand challenge the tribunal’s order in the interest of theIndian maritime industry." Indian seafarers sailing offshore on ships for morethan 182 days in a year so far enjoyed the benefits conferredto Non-Resident Indians and hence were exempted from payingincome tax in India for their income earned overseas. NUSI, India’s oldest maritime trade union, and MUIhave also sought Centre’s immediate intervention in thematter. Maritime experts believe that the Kolkata income taxtribunal’s recent judgement is a huge blow to the IndianMinistry of Shipping’s ‘Maritime Agenda 2020′ that emphasiseson increasing the global share of Indian seafarers. "India with 12 per cent of the worldÂ’s population hasjust 7 per cent of the world-wide seafarers’ market whilstPhilippines with 12 per cent of the worldÂ’s population hasgrabbed 20 per cent global share. Additionally, PhilippinesÂ’government does not levy income tax on the remuneration earnedby the countryÂ’s seafarers," said NUSI’s General SecretaryAbdulgani Serang. "Tax free income has always been an added attractionfor the young Indian aspirants choosing a career at sea. Thetribunal’s decision is a major disappointment for them," hesaid in a release. PTI APM DK SRYBAS