Additions Can't Be Made In Cases Of Unabated Assessments Without Incriminating Material: Mumbai ITAT

The Mumbai ITAT held that no addition can be made by AO in respect of completed/unabated assessments, in absence of any incriminating material found during the course of search u/s 132 or requisition u/s 132A. Section 132A of Income tax Act empowers income tax authorities to carry out a search and seizure of books of accounts, documents, cash & jewellery. Referring to...

Merely Because The Transactions Are Made Through Banking Channel Does Not Itself Prove The Creditworthiness

The Mumbai ITAT held that merely because the transactions are made through banking channel does not itself prove the creditworthiness of the lender and genuineness of the transaction. The Bench of Prashant Maharishi (Accountant Member) observed that “Subsequent repayment of the accommodation entry naturally does not show that the originally credit is genuine and provider of the...

Final Assessment Passed Within Two Days Of Issuing Intimation, Violation Of 143(1) IT Act : Mumbai ITAT

The Mumbai ITAT held that the AO has no jurisdiction to make any adjustment in final assessment order passed u/s 143(3) before thirty days of receiving any response from the assessee on basis of intimation issued u/s 143(1). As per Section 143 of the Income tax Act, the response received from the assessee, if any, shall be considered before making any adjustment, and in a case where...

CESTAT Weekly Round-Up: 7 To 13 July 2024

Black Sand Not A By-Product, Just A Waste; CESTAT Quashes Excise DutyCase Title: M/s. Ashok Leyland Ltd. Versus Commissioner of GST & Central ExciseThe Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has clearly erred in fastening the appellant with duty liability on black sand, which was not manufactured.Assessee Entitled To Cash Refund Of Cenvat Credit...

Direct Tax Weekly Round-Up: 7 To 13 July 2024

Delhi High CourtLoans Extended By NOIDA Is Not Commercial Activity, Eligible For Section 10(46) Exemption: Delhi High CourtCase Title: New Okhla Industrial Development Authority Versus Union Of India & Ors.The Delhi High Court has held that the loans and advances extended by the New Okhla Industrial Development Authority (NOIDA) are not commercial activities and are eligible for...

Indirect Tax Weekly Round-Up: 7 To 13 July 2024

Delhi High CourtUploading Of Notices By GST Department Under Heading 'Additional Notices' Is Sufficient Service: Delhi High CourtCase Title: Kamla Vohra Versus Sales Tax OfficerThe Delhi High Court has held that the uploading of notices by the GST department under the heading 'additional notices' amounts to sufficient service.Bombay High Court Bombay High Court Quashes Customs Duty...

Once Revision Order Become Final, No Question Of Passing Another Order Will Arise: Meghalaya High Court

The Meghalaya High Court has held that once the revision order becomes final, no question of passing another order will arise.The bench of Chief Justice S. Vaidyanathan and Justice W. Diengdoh has observed that the Assessing Officer had passed an order under Section 263 of the Income Tax Act, 1961, which was set aside by the Principal Commissioner of Income Tax, Shillong. The order...

Uploading Of Notices By GST Department Under Heading 'Additional Notices' Is Sufficient Service: Delhi High Court

The Delhi High Court has held that the uploading of notices by the GST department under the heading 'additional notices' amounts to sufficient service.The bench of Justice Vibhu Bakhru and Justice Sachin Datta, while remanding the matter to the authority to adjudicate the Show Cause Notice afresh, observed that the GST Authorities had addressed the issue and had re-designed the portal to...

Suncros UVA Lotion/Gel/Hyclean Cream Classifiable As Medicaments: CESTAT

The Ahmedabad Bench of Customs Excise and Service Tax Appellate Tribunal (CESTAT) has held that Suncros UVA Lotion, Gel, and Hyclean Cream are classifiable as medicaments.The bench of Ramesh Nair (Judicial Member) and C. L. Mahar (Technical Member) has observed that the appellant-assessee produced ample evidence, such as the ingredients used in the manufacture of UVA Lotion, Gel, and...

CBIC Issues Guideline To Address Recovery Of Outstanding Dues Till GSTAT Becomes Functional

The Central Board of Indirect Taxes and Customs (CBIC) has issued the guidelines for recovery of outstanding dues, in cases in which first appeal has been disposed of, till the Goods and Service Tax Appellate Tribunal (GSTAT) comes into operation.The Board has received doubts from the trade and the field formations in respect of recovery of outstanding dues, in cases where the first...

Activity Of Electroplating Amounts To Manufacture, No Service Tax Payable: CESTAT

The Chandigarh Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the activity of electroplating amounts to manufacture and no service tax is payable.The bench of S. S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) has observed that electroplating of electrical contacts by the appellant amounts to manufacture, and therefore they are not liable...

Section 254(2) Applies Only Rectification Of Mistake, Can't Be Utilised For Recall And Review Order: ITAT

The Ahmedabad Bench of Income Tax Appellate Tribunal (ITAT) has held that the provision of Section 254(2) of the Income Tax Act is intended to only rectify the mistake apparent from the records, and the power of Section 254(2) of the Income Tax Act cannot be utilized to recall and review the order on its merit.The bench of Raghunath Kamble (Judicial Member) and Narendra Prasad Sinha...