Justice Manmohan: IT, GST Officers View Wealth Creators as Thieves
Supreme Court Justice Manmohan has warned that India cannot reach its dream of becoming a developed economy by 2047 unless its legal and regulatory systems undergo a complete transformation.
Speaking at Nyaya Nirmaan 2025, hosted by the General Counsels’ Association of India (GCAI), he criticised the way income tax and GST officials deal with taxpayers.
“When someone generates wealth, the officer treats him like a thief. The mindset is that something must be wrong if you are earning. This entire ecosystem has to change,” he said.
Justice Manmohan also highlighted the complexity of existing tax laws, pointing out that the Income Tax Act runs into hundreds of pages, making it difficult for ordinary citizens to understand. He stressed that India’s legal framework still caters to a physical economy, even though the country is already digital.
He called for new laws on data sovereignty, digital rights, damages, and climate justice, adding that courts are being asked to handle modern issues without proper legislative tools. On mediation, he noted that most family disputes and even large partition suits could be resolved effectively, but government mistrust and fear of inquiries prevent officials from using mediation in tax and GST cases.
Comparing India with the US, he said disputes there can be closed over a phone call with the IRS, while in India, rigid procedures make resolution slow and intimidating.
“The law, the system, everything needs reimagination, not just reform. By 2047, India must aim for laws that are just, courts that are accessible, and governance that is transparent,” he concluded.
Justice Pankaj Mithal, also present at the event, criticised the manner in which Parliament passes laws without proper debate. He said laws are often drafted in offices and pushed through without discussion, which weakens their quality. He also spoke about the Collegium system, noting that while it was introduced with good intentions, it may need changes if shortcomings exist.