Corporate
International Tax Cases Not Exempt From Faceless Reassessment Regime: Bombay High Court Quashes S.148 IT Act Notice
The Bombay High Court quashed the reassessment notice issued under Section 148 of the Income Tax Act, 1961, stating that the reassessment notice did not follow the mandate that the Faceless Assessing Officer only has the jurisdiction to reopen the assessment and not the Jurisdictional Assessing Officer. It was further stated that even international taxation matters could be made subject...
Service Tax | Once Pre-Deposit Condition Is Fulfilled, Appeal Must Be Heard On Merits: Jharkhand High Court
The Jharkhand High Court held that once an appeal was dismissed for non-compliance with the mandatory pre-deposit of the Service Tax amount, the Appellate Authority does not become functus officio and was competent to decide the appeal on merits if the mandatory condition of pre-deposit of 7.5% of the Service Tax amount was subsequently complied with by the assessee. A Division...
Dispute Over Property Used Exclusively For Trade Constitutes Commercial Dispute Even If Situated In Residential Area: Delhi High Court
The Delhi High Court held that a dispute arising from a lease agreement under which premises were used actually used for running a retail showroom qualifies as a commercial dispute under section 2(1)(c)(vii) of the Commercial Courts Act, 2015 even if the property is situated in a residential zone under the Municipal Law. A Division Bench of Justice Anil Kshetrapal and Justice...
Pendency Of Proceedings Elsewhere No Ground For Delay; NCLT Kochi Rejects Customs' Claim Filed 787 Days Late
The National Company Law Tribunal (NCLT) at Kochi has recently held that the pendency of an appeal or any other proceeding before a different forum cannot be a valid ground for missing the strict deadlines for filing claims under the Insolvency and Bankruptcy Code (IBC), while refusing to condone a delay of 787 days by the Customs Department A coram of Judicial Member Vinay Goel and...
Breach of Settlement Instalments Cannot Trigger Insolvency Proceedings: NCLT Kolkata
The National Company Law Tribunal (NCLT) at Kolkata has recently held that it is not a forum to recover money arising from a default in instalments under a settlement agreement, and that such a breach cannot be treated as an operational debt to trigger CIRP under the Insolvency and Bankruptcy Code. A coram of Judicial Member Bidisha Banerjee and Technical Member Siddharth Mishra dismissed...
Delhi High Court Grants SanDisk Permanent Injunction Against Indian Company's Copycat Trade Dress
The Delhi High Court has granted a permanent injunction in favour of SanDisk LLC, the global flash-storage manufacturer, after Welborn Industries Pvt. Ltd., an Indian electronics company that sells memory-storage products, agreed to permanently discontinue packaging that SanDisk said copied the distinctive red-and-black trade dress of its USB drives and SD cards. Justice Manmeet Pritam...
Bombay High Court Restrains City Hotel From Infringing Five-Star Hotel Chain Orchid's Trademark
The Bombay High Court has restrained “Orchid Hotel and Hostel” from using the word “Orchid” for its hospitality services, after finding that the name infringes the registered trademark of Kamat Hotels (India) Limited, which runs the five-star hotel chain “The Orchid”. The ad-interim injunction will remain in force until December 3, 2025. A single bench of Justice Sharmila U...
Predominant Purpose Of Industry Is Essential For Determining Bracket Of Cess Taxation: Allahabad High Court
The Lucknow Bench of the Allahabad High Court has held that in determining cess for an industry, the assessing authority must consider the predominant purpose of the industry. “In this case where the question is whether a particular industry is an industry as covered in Schedule I of the Act, it has to be judged normally by what that industry produces mainly. Every industry carries...
Income Tax Appellate Tribunal Cannot Pass Ex-Parte Orders Without Recording Reasons For Denying Adjournment: Allahabad High Court
While hearing an appeal under S. 260A of the Income Tax Act, the Allahabad High Court has held that the Income Tax Appellate Tribunal cannot reject adjournment applications and pass ex-parte orders without recording reasons for such dismissal. It was held that if the Tribunal was allowed to do such a thing, it would hamper the right of the parties to a reasonable opportunity...
NCLT Bengaluru Reserves Order On Riju Ravindran's Plea Against Glas Trust's Aakash Right Issue Funding Plan
The National Company Law Tribunal (NCLT), Bengaluru, on Wednesday reserved its order on an interim plea sought by Riju Ravindran, former promoter of Think and Learn Pvt Ltd (Byju's), challenging the Committee of Creditors' (CoC) approval of a Compulsorily Convertible Debenture (CCD) structure proposed by Glas Trust to fund TLPL's participation in Aakash Educational Services Ltd's (AESL)...
Use Of Word 'Determined' In SCN Shows Pre-Determination; S.74 Invocation Unsustainable: Madras High Court Quashes GST Demand
The Madras High Court has held that using the word 'Determined' in the show cause notice (SCN) betrays an element of pre-determination on the part of the authority. The bench highlighted that the show cause notice must clearly specify whether the assessee is being charged with fraud, suppression or wilful misstatement to invoke section 74 of the Tamil Nadu Goods and Services...
Order Refusing To Terminate Arbitration Is Not An Interim Award: Bombay High Court Dismisses Challenge U/S 34 A&C Act
The Bombay High Court dismissed a petition under section 34 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) challenging an order passed by the Arbitral Tribunal by which it had refused to terminate the ongoing proceedings holding that the order was merely a prima facie view, interlocutory one and not an arbitral award capable of being challenged. Justice...