Fri Nov 15 06:43:00 IST 2024: ## Karnataka High Court Restrains Institute from Offering Unlawful Tax Practitioner Courses

**Bengaluru, November 15, 2024:** The Karnataka High Court has ordered the Institute of Chartered Tax Practitioners India (ICTPI) to halt all enrollment activities and the issuing of certifications for income tax, goods and services tax (GST) practitioners, and custom brokers. The court issued the injunction following a petition filed by the Institute of Chartered Accountants of India (ICAI), which alleged that ICTPI’s courses are illegal and misleading.

Justice Suraj Govindaraj, who passed the interim order, specifically prohibited ICTPI from enrolling students in courses such as Post Graduate Diploma in Taxation, Professional Skill Qualification, Recognition for Prior Learning, and similar offerings related to tax practice. The order also prevents ICTPI from registering any individuals or entities as affiliates, associates, fellows, honorary members, or academics for the purpose of delivering tax-related courses or issuing certificates.

The ICAI’s petition argued that ICTPI has created fictitious courses without legal recognition, and that the Ministry of Finance, the Registrar of Companies, and the University Grants Commission have failed to take action despite receiving multiple representations about the alleged illegal activities. The ICAI claimed that ICTPI’s offerings violate Section 15A of the Chartered Accountants Act, 1949, which restricts other bodies from offering courses in the field of education handled by ICAI. They accused ICTPI of misleading the public by presenting their courses as legitimate degrees, which is not the case.

The petition also highlighted that ICTPI’s name closely resembles that of ICAI, leading to a misleading impression that they are affiliated or associated. The ICAI stated that many unsuspecting individuals are paying substantial fees to enroll in these unauthorized courses.

The Karnataka High Court’s ruling represents a significant step in safeguarding the integrity of the tax practitioner profession and protecting students from being misled by illegal educational institutions. The court has directed ICTPI to appear before it on a later date to address the allegations.

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