Indirect Tax Cases Monthly Round Up: February 2024

Supreme Court Customs Act | Claimant Entitled To Interest On Delayed Return Of The 'Duty Drawback' : Supreme Court Case Title: Union Of India And Ors. Versus M/S. B. T. Patil And Sons Belgaum (Construction) Pvt. Ltd. Citation : 2024 LiveLaw (SC) 90 The Supreme Court observed that if there is a delay in refund of the 'duty drawback' to the claimant under the Customs Act, 1962, then the claimant would be entitled to interest in addition to the amount of drawback at the rate of interest which was fixed by the Central Government at the relevant point of time. Delhi High Court Exporters Not Traceable, Customs Broker Can't Be Held Liable After Issuance Of 'Let Export Orders': Delhi High Court Case Title: Naman Gupta Versus Commissioner Of Customs Airport And General The Delhi High Court has held that as a customs broker, the petitioner cannot be held liable because exporters were not traceable after the issuance of 'Let Export Orders' and the export of the goods out of the country. Delhi High Court Directs Dept. To Consider ITC Refund In Light Of CBIC Circular Extending Benefit Of Exclusion Period Case Title: M/S Bharti Enterprises Versus Commissioner, Value Added Tax, Department Of Trade And Taxes & Ors. The Delhi High Court has directed the department to consider refunding the input tax credit (ITC) in light of the circular issued by the Central Board of Indirect Taxes and Customs (CBIC) extending the benefit of the exclusion period. Period Spent In Disposal Of Appeal Before CESTAT Shall Not Be Counted Towards Period Stipulated Under Section 28 (9) Of Customs Act: Delhi High Court Case Title: Anand International And Ors. Versus Commissioner Of Customs The Delhi High Court has held that the period spent in the disposal of the appeal before the CESTAT, i.e., between the filing and the final order being passed, shall not be counted towards the period stipulated under Section 28 (9) of the Customs Act. Delhi High Court Quashes SCN & Order Lacking Reasons For Retrospective Cancellation Of GST Registration Case Title: Apshara Garments Pvt. Ltd Versus Commissioner Of Delhi Goods And Service Tax The Delhi High Court has quashed the show cause notice, which was lacking reasons for retrospective cancellation of GST registration. Bombay High Court Legal Services Provided By Individual Advocate, Partnership Firm Of Advocates Exempted From Service Tax: Bombay High Court Case Title: Adv. Pooja Patil Versus The Deputy Commissioner The Bombay High Court has held that the service provided by an individual advocate, a partnership firm of advocates, by way of legal services is exempt from levy of service tax. Assessee Ought Not To Have Meted Out Discriminatory Treatment Of Denying Clearance: Bombay High Court Allows Provisional Release Of Premium Cold Coffee Case Title: M/s. SCK International Versus Commissioner of Customs (Nhava Sheva-V) The Bombay High Court has held that the petitioner ought not to have been meted out such discriminatory treatment as denying clearance. The harsh and unreasonable conditions cannot be imposed, and more so when there is not an iota of material on the part of the department, as placed before the Court, indicating as to why a different yardstick would be required to be applied to the present consignments when earlier seven consignments were released at 16% to 28% bank guarantee. Deficiency In Filing Appeal Can't Make Appeal Filed Within Prescribed Period Of Limitation To Be Labelled As Time Barred: Bombay High Court Case Title: Shri Yogesh Rajendra Mehra Versus Principal Commissioner CGST & Central Excise Raigad (appeal) The Bombay High Court has held that any deficiency in filing the appeal or application, like failure to file physical documents, cannot cause the appeal, which was registered on the online portal within the prescribed period of limitation, to be labelled and/or held to be barred by limitation. Madras High Court Electricity Qualifies As Input For Grant Of CENVAT Credit: Madras High Court Case Title: M/s.India Cements Limited Versus Commissioner of Customs The Madras High Court has held that electricity qualifies as an input for the grant of CENVAT credit under the CENVAT Credit Rules, 2002 (CCR). Refund Claim Has To Be Examined Based On Documents Pertaining To Availing Of ITC And Export Of Products On Zero Rated Basis: Madras High Court Case Title: Flow Link Systems Pvt. Ltd. Versus The Assistant Commissioner (ST)(FAC) The Madras High Court, while remanding the matter, held that the refund claim has to be examined and determined based on documents pertaining to the availing of ITC. Discount Linked To Subsidy Alone Can Form Part Of “Transaction Value”: Madras High Court Case Title: M/s.Supreme Paradise Versus Assistant Commissioner (ST) Citation: ...

Indirect Tax Cases Monthly Round Up: February 2024

Mariya Paliwala

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