Section 16-B Of Himachal Pradesh General Sales Tax Act Is Not Ultra Vires Any Provision Of Law: Supreme Court Reiterates

The Supreme Court has ruled that Section 16-B of the Himachal Pradesh General Sales Tax Act, 1968 (HPGST Act) is not ultra vires any provision of law. The bench comprising Justices S. Ravindra Bhat and Dipankar Datta set aside the judgment of the Himachal Pradesh High Court where it had held that Section 16-B of the HPGST Act was inconsistent with Section 35 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) and was ultra vires the provisions of the Constitution of India.

Supreme Court Upholds Requirement Of ‘Pre-Import Condition’ To Claim IGST And GST Compensation Cess On Imports Made Under ‘Advance Authorization’

The Supreme Court has upheld the requirement of ‘pre-import condition’ incorporated in the Foreign Trade Policy of 2015-2020 (FTP) and Handbook of Procedures 2015-2020 (HBP) to claim exemption of Integrated Goods and Services Tax (IGST) and GST Compensation Cess on inputs imported into India for manufacture of export goods, on the basis of ‘Advance Authorization’.

In 'Works Contract', Assessee Liable To Pay Service Tax On Service Element & Sales Tax On Goods Transferred : Supreme Court

The Supreme Court has ruled that the value of the service portion in the execution of the works contract has to be determined as per Rule 2A of Service Tax (Determination of Value) Rules, 2006, or as per the Works Contract (Composition Scheme for Payment of Service Tax) Rules, 2007 (Composition Scheme), if adopted by the assessee, and that the assessee has to pay service tax on the service element and can claim CENVAT Credit only on the said amount.

Mere Broad-Basing Of Entries Under Central Excise Tariff Act, Cannot Justify Re-Classification, Without Change In Nature, Character Or Use Of The Product: Supreme Court

The Supreme Court has ruled that the classification of a product under the Central Excise Tariff Act, 1985, cannot be changed merely on the ground of change of tax structure or tariff entries, without showing a change in the nature and character of a product or a change in the use of the product(Commissioner of Customs, Central Excise and Service Tax, Hyderabad vs Ashwani Homeo Pharmacy).

Delhi High Court

Delhi High Court Allows Appeal Of Poor Daily Wage Earners Against Seizure Of Goods Without Pre-Deposit

The Delhi High Court has allowed the appeals of poor daily wage earners against the seizure of goods without insisting on the requirement of pre-deposit.

Bombay High Court

Bombay High Court Upholds The Validity Of Goa Tax on Entry of Goods Act, 2000

Case Title: Modi Car Agencies Pvt. Ltd. Versus The State of Maharashtra and Ors.

The Bombay High Court has directed the sales tax commissioner to determine the applicability of VAT on road tax, insurance premiums, and octroi duty.

Madras High Court

Assessee Was Given Only 13 Hours Time To Reply To The Show-Cause Notice: Madras High Court Quashes Assessment

The Madras High Court has quashed the assessment as the assessee was given only 13 hours to reply to the show-cause notice.

Kerala High Court

Profile Of An Assessing Authority Can’t Be Stern And Unreasonable, Programmed Solely To Collect Tax: Kerala High Court

Case Title: Prodair Air Products India Private Limited Versus State Of Kerala

The Kerala High Court has held that the profile of an assessing authority can no longer be that of a stern and unreasonable automaton that is programmed solely to collect the tax.

Jammu & Kashmir And Ladakh High Court

No Sales Tax On Supply Of Goods For Erecting Transmission Lines, Substations & Power Grids Before 15.05.1997: Jammu & Kashmir And Ladakh High Court

Case Title: M/S Power Grid Corporation of India Ltd. Versus Assessing Authority Sales Tax Circle D Jammu

Citation: 2023 LiveLaw (JKL) 105

The Jammu & Kashmir And Ladakh High Court has held that no sales tax is exigible for the supply of goods for erecting transmission lines, substations, and power grids.

ITAT

ITAT Directs AO To Charge 6.5% Gross Profit Rate On Bogus Purchases

The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has directed the AO to charge a 6.5% gross profit rate on bogus purchases.

Co-Operative Banks Are Also Registered Co-Operative Societies: ITAT Allows Section 80P(2)(d) Deduction

Case Title: Manila Sahayak Gruh Udyogsaha Versus Asstt. Commissioner of Income Tax Anand Circle, Anand

The Ahmedabad Bench of the Income Tax Appellate Tribunal (ITAT) has allowed the income tax deduction under Section 80P(2)(d) of the Income Tax Act on the grounds that cooperative banks are also registered cooperative societies.

Customary Amongst Married Women To Keep On Changing The Jewellery As And When New Designs Come In The Market: ITAT Deletes Income Tax Addition

Case Title: Sh. Nirmal Kumar Minda Versus ACIT

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has deleted the addition and held that it is customary amongst married women to keep on changing the jewelleryas and when new designs come on the market.

CESTAT

Penalty Under Section 114 A Of The Customs Act Is Invariably Linked To The Quantum Of Duty Evaded: CESTAT

Case Title: M/s Vanick Oils and Fats Pvt. Ltd. Versus Commissioner of Central Excise, Delhi- III, Gurgaon

The Chandigarh Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the penalty under Section 114 A of the Customs Act is invariably linked to the quantum of duty evaded.

Department Recovering Tax Without Any Authority Of Law Cannot Be Permitted To Retain The Amount: CESTAT

Case Title: M/s Synergy Steels Ltd. Versus Commissioner of Customs

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that just as an assessee cannot be permitted to evade payment of rightful tax, the authority that recovers tax without any authority of law cannot be permitted to retain the amount merely because the taxpayer was not aware at that time.

Department Cannot Decide Title Of The Goods When No One Disputes Ownership: CESTAT

The Ahmedabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the department cannot self-assign to itself the duty of declaring bad in law the certificate issued to the importer by the Ministry of Renewable Energy or decide the title to the goods, even when no one is disputing ownership.

Inspection Charges Received In Connection With The Sale Of Goods Are Not Includible In Assessable Value: CESTAT

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that inspection charges received in connection with the sale of the goods are not includible in the assessable value in the absence of evidence.

No Excise Duty Payable On Amortization Cost Of The Cylinder: CESTAT

The Ahmedabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no excise duty is payable on the amortization cost of the cylinder.

Rule 5 Of Cenvat Credit Rules, 2004 Cannot Be Invoked To Sanction The Refund Of Unutilized Cenvat Credit Lying With The Assessee: CESTAT

Case Title: M/s Mahavir Metal Manufacturing Company Versus Commissioner (Appeals), Central Excise and CGST

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has observed that Rule 5 of the Cenvat Credit Rules, 2004 cannot be invoked to sanction the refund of unutilized cenvat credit lying with the assessee.

AAR

ITC Not Allowable On Construction Of Shed Using Prefabricated Technology: Telangana AAR

Applicant’s Name: M/s. Sanghi Enterprises

The Telangana Authority of Advance Ruling (AAR) has held that input tax credit (ITC) is allowed for the construction of sheds using prefabricated technology.

Inter-State Supply Of Ambulances To Tripura Government Attracts 28% IGST: AAR

Applicant’s Name: Raminfo Limited

​​The Telangana Authority of Advance Ruling (AAR) has held that the supply of ambulances to the Tripura government attracts 28% IGST as it is an interstate supply.