New Delhi, May 6 (PTI) The Supreme Court on Monday adjourned till May 17 the plea filed by the Serum Institute of India (SII) challenging an order of the Bombay High Court which dismissed its petition against a 2016 amendment to the Income Tax Act.

A bench comprising Chief Justice D Y Chandrachud and Justices J B Pardiwala and Manoj Misra deferred the matter after senior advocate Arvind P Datar, appearing for the company, sought time to argue.

Also Read | Swine Flu Death in Assam: Infant Dies Due to Swine Flu in Hailakandi District After Relatives Refuse Treatment.

The company has moved the apex court challenging the December 4, 2023 order of the Bombay High Court which rejected its petition against a 2016 amendment to Section 2(24) by insertion of sub-clause (xviii) under the Finance Act, 2015 that deals with the definition of ‘income'.

The plea challenged inclusion of subsidy, grant, waivers, concessions or reimbursements by the Centre or states or incentives in cash or kind as ‘income'.

Also Read | Delhi High Court Seeks Reply From AAP Government on Plea for Reconstitution of Waqf Tribunal.

The mere fact that institution of tax by virtue of a sub clause falls more heavily on the petitioner cannot result in the invalidity of the legal provision, the high court had said.

"The Constitution safeguards the right to trade under Article 19(1)(g) but does not extend this protection to the right to profit," the high court had said.

It is the duty of the legislature to ensure that the taxation policy reflects a balance between incentivising economic activity and ensuring equitable distribution of fiscal resources, the high court had said.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)