INCOME-TAX OFFICER, ALLEPPEY vs M.C. PONNOOSE & ORS.

The Supreme Court upheld the High Court's decision that the notification empowering the Taluka Tehsildar as a Tax Recovery Officer under the Income-tax Act, 1961, was invalid due to its retrospective effect. The Court emphasized that new laws affecting rights cannot be ascribed retrospectivity unless explicitly stated by the legislature. It clarified that the exercise of power under Section 2(44) of the Income-tax Act is more of an executive act rather than legislative, and subordinate legislation cannot ordinarily operate retrospectively without clear language to that effect.