Sir Hamid Moollan QC, Salim Moollan QC, Nandkishore Ramburn and Bishan Ramdenee appeared successfully for the heirs of the former Vice-President of Mauritius, late Mr A.V. Chettiar, before the Judicial Committee of the Privy Council in London. The Mauritius Revenue Authority (MRA) had appealed against the decision of the Supreme Court of Mauritius. The Supreme Court had allowed Mr. Chettiar’s appeal against the decision of the Assessment Review Committee (ARC) that a retiring Vice-President is liable to income tax on his pensions, and held that pensions drawn by Mr. Chettiar as retiring Vice-President by virtue of section 4 of the President’s Emoluments and Pension Act 1992 (PEPA) are exempt from tax.
On 21 December 2015, the Privy Council gave its judgment and upheld the Supreme Court’s decision. It was of the view that “the entitlement of the President and the Vice-President to exemption from tax on their prescribed pensions and other emoluments, allowances and privileges is clearly provided for in the 1995 [Income Tax] Act” and “overarchingly (…), their entitlement to exemption is entrenched in the Constitution”.