Madras Bar Association vs Union Of India & Anr

The Supreme Court examined the constitutional validity of the National Tax Tribunal Act, 2005, and the Constitution (Forty-second Amendment) Act, 1976, asserting that the latter violates the basic structure of the Constitution by undermining the power of judicial review vested in High Courts. The Court held that the establishment of the National Tax Tribunal, which replaces High Courts in adjudicating tax appeals, is unconstitutional as it compromises the independence and fairness essential to judicial functions. Consequently, the Court declared the NTT Act unconstitutional, reaffirming the primacy of High Courts in tax adjudication.