Fringe Benefit Tax imposed by the Finance Minister during the last Budget

Two recent judicial orders emanating from Tamil Nadu have once again highlighted the controversial and deeply unpopular character of the Fringe Benefit Tax imposed by the Finance Minister during the last Budget. On September 14, 2005, the Madras High Court restrained the imposition of FBT on Kumbhat & Co, a firm of Chartered Accountants. On September 24, 2005, the Madurai Bench of the Madras High Court accepted a petition of the Tamil Nadu Chamber of Commerce and Industry and stayed the imposition of the FBT.