3. Establishment of National Tax Tribunal.—The Central Government shall, by notification in the Official Gazette, establish with effect from such date as may be specified therein, a Tax Tribunal to be known as the National Tax Tribunal to exercise the jurisdiction, powers and authority conferred on such Tribunal by or under this Act. 4. Composition of National Tax Tribunal.—The National Tax Tribunal shall consist of a Chairperson and such number of Members as the Central Government deems fit, to be appointed by that Government, by notification in the Official Gazette. 5. Constitution and jurisdiction of Benches.—(1) The jurisdiction of the National Tax Tribunal may be exercised by the Benches thereof to be constituted by the Chairperson. (2) The Benches of the National Tax Tribunal shall ordinarily sit at any place in the National Capital Territory of Delhi or such other places as the Central Government may, in consultation with the Chairperson, notify: Provided that the Chairperson may for adequate reasons permit a Bench to hold its temporary sitting for a period not exceeding fifteen days at a place other than its ordinary place of seat. (3) The Central Government shall notify the areas in relation to which each Bench of the National Tax Tribunal may exercise its jurisdiction. (4) The Central Government shall determine the number of Benches and each Bench shall consist of two members. (5) The Central Government may 1 *** transfer a Member from headquarters of one Bench in one State to the headquarters of another Bench in another State or to the headquarters of any other Bench within a State: 2 [Provided that no Member shall be transferred without the concurrence of the Chairperson.] 1. The words “in consultation with the Chairperson” omitted by Act 18 of 2007, s. 2 (w.e.f. 29-1-2007). 2. Ins. by s. 2. ibid. (w.e.f. 29-1-2007). 4 6. Qualifications for appointment of Chairperson and other Members.—(1) The Chairperson of the National Tax Tribunal shall be a person who has been a Judge of the Supreme Court or the Chief Justice of a High Court. (2) A person shall not be qualified for appointment as Member unless he— (a) is, or has been, or is eligible to be, a Judge of a High Court; or (b) is, or has been, a Member of the Income-tax Appellate Tribunal or of the Customs, Excise and Service Tax Appellate Tribunal for at least 1 [five years]. 7. Appointment of Chairperson and other Members.—(1) Subject to the provisions of sub-section (2), the Chairperson and every other Member shall be appointed by the Central Government. (2) The Chairperson and the other Members shall be appointed by the Central Government on the recommendations of a Selection Committee consisting of— (a) the Chief Justice of India or a Judge of the Supreme Court nominated by him; (b) the Secretary in the Ministry of Law and Justice (Department of Legal Affairs); (c) the Secretary in the Ministry of Finance (Department of Revenue). (3) No appointment of the Chairperson or of any other Member shall be invalidated merely by reason of any vacancy or any defect in the constitution of the Selection Committee. 8. Terms of office of Chairperson and other Members.—The Chairperson and every other Member shall hold office as such for a term of five years from the date on which he enters upon his office but shall be eligible for re-appointment: Provided that no Chairperson or other Member shall hold office as such after he has attained,— (a) in the case of Chairperson, the age of sixty-eight years; and (b) in the case of any other Member, the age of sixty-five years. 9. Resignation of Chairperson and other Members.—The Chairperson or any other Member may, by notice in writing under his hand addressed to the Central Government, resign his office. 10. Salary and allowances.—(1) Subject to the provisions of this Act, the salary and allowances and other terms and conditions of the Chairperson shall be the same as applicable to a sitting Judge of the Supreme Court, but no vacation shall be allowed: Provided that if a person who, immediately before the date of assuming the office as the Chairperson was in receipt of or being eligible so to do, had elected to draw, a pension in respect of any previous service or office held by such person under the Government of the Union or of a State, his salary in respect of service as Chairperson shall be reduced by the amount of that pension. Explanation.—For the purposes of this sub-section, “vacation” shall have the meaning assigned to it in the Supreme Court Judges (Conditions of Service) Act, 1958 (41 of 1958). (2) A Member shall draw salary of a High Court Judge and other allowances and the terms and conditions of his service shall be the same as applicable to a Secretary to the Government of India: Provided that if a person who, immediately before the date of assuming the office as Member was in receipt of, or being eligible so to do, had elected to draw, a pension in respect of any previous service held by such person in connection with the affairs of the Union or of a State, his salary in respect of service as Member shall be reduced to the extent of that pension. (3) The salary and allowances and other terms and conditions of service of Chairperson or a Member of the Tribunal shall not be varied to his disadvantage after appointment. 11. Removal and suspension of Chairperson and other Members.—(1) The Central Government may, in consultation with the Chief Justice of India, remove from office the Chairperson or any Member who— 1. Subs. by Act 18 of 2007, s. 3, for “seven years” (w.e.f. 29-1-2007). 5 (a) has been adjudged an insolvent; or (b) has been convicted of an offence which, in the opinion of the Central Government, involves moral turpitude; or (c) has become physically or mentally incapable of acting as such Chairperson or Member of the National Tax Tribunal; or (d) has acquired such financial or other interest as is likely to affect prejudicially his functions as the Chairperson or a Member of the National Tax Tribunal; or (e) has so abused his position as to render his continuance in office prejudicial to the public interest. (2) The Chairperson or any other Member shall not be removed from his office except by an order made by the Central Government on the ground of proved misbehaviour or incapacity after an inquiry made by a Judge of the Supreme Court in which such Chairperson or Member had been informed of the charges against him and given a reasonable opportunity of being heard in respect of those charges. (3) The Central Government may suspend from office the Chairperson or any other Member in respect of whom a reference of conducting an inquiry has been made to the Judge of the Supreme Court under sub-section (2) until the Central Government has passed orders on receipt of the report of the Judge of the Supreme Court on such reference. (4) The Central Government may, by rules, regulate the procedure for the investigation of misbehaviour or incapacity of the Chairperson or a Member referred to in sub-section (2). 12. Officers and employees of National Tax Tribunal.—(1) The Central Government shall provide the National Tax Tribunal with such officers and employees as it may deem fit. (2) The salaries and allowances and other conditions of service of officers and employees of the National Tax Tribunal shall be such as may be prescribed. (3) The officers and employees of the National Tax Tribunal shall discharge their functions under the general superintendence of the Chairperson. (4) The officers and the other employees shall be appointed on the recommendations of a Selection Committee constituted by the Central Government. 13. Appearance before National Tax Tribunal.—(1) A party to an appeal other than Government may either appear in person or authorise one or more chartered accountants or legal practitioners 1 *** to present his or its case before the National Tax Tribunal. (2) The Government may authorise one or more legal practitioners or any of its officers to present its case before the National Tax Tribunal. Explanation.—For the purposes of this section,— (a) “chartered accountant” means a chartered accountant as defined in clause (b) of sub-section (1) of section 2 of the Chartered Accountants Act, 1949 (38 of 1949) and who has obtained a certificate of practice under sub-section (1) of section 6 of that Act; (b) “legal practitioner” means an advocate, a vakil or any attorney of any High Court, and includes a pleader in practice. 14. Member to act as Chairperson or to discharge his functions in certain circumstances.—(1) In the event of any vacancy in the office of the Chairperson by reason of his death, resignation or otherwise, the Central Government may designate the senior-most Member to act as the Chairperson until the day on which a Chairperson, appointed in accordance with the provisions of this Act to fill such vacancy, enters upon his office. 1. The words “or any person duly authorised by him or it” omitted by Act 18 of 2007, s. 4 (w.e.f. 29-1-2007). 6 (2) When the Chairperson is unable to discharge his functions owing to absence, illness or any other cause, the Central Government may authorise the senior-most Member to discharge the functions of the Chairperson until the date on which the Chairperson resumes his duties. (3) The senior-most member designated to act under sub-section (1) or to discharge functions of the Chairperson under sub-section (2), of the Chairperson shall continue to draw salary and allowances of a Member.