Tax
Intention To Smuggle Prohibited Goods Can't Be Equated With Attempt To Export Prohibited Goods: CESTAT
The Hyderabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that intention to smuggle prohibited goods cannot be equated with an attempt to export prohibited goods.The bench of Anil Choudhary (Judicial Member) and A.K. Jyotishi (Technical Member) observed that the appellant was intercepted by the CISF officials outside the customs area. The appellant...
Telangana High Court Holds 'Handling Of Cargo In Customs Areas Regulations, 2009' As Ultra Vires Of The Customs Act, 1962
The Telangana High Court holds 'Handling of Cargo in Customs Areas Regulations, 2009' by way of which cost of living expenses were recoverable from the Customs Cargo Service Provider as ultra vires of the Customs Act, 1962.“In the absence of any special authorization to levy cost recovery charges, appellants have no authority to impose cost recovery charges by means of a Regulation....
“Certainly The High Court Should Not Scrutinise An Order Of The ITSC As An Appellate Court,” Says Bombay High Court
The Bombay High Court has held that interference with the orders of the Income Tax Settlement Commission (ITSC) should be avoided, keeping in mind the legislative intent. The scope of interference is very narrow, and certainly the High Court should not scrutinize an order of the ITSC as an appellate court. Unsettling reasoned orders from the ITSC may erode the confidence of assessees. The...
Opportunity For Hearing Was Refused Due To Assessee's Failure To Click On Appropriate Button, Madras High Court Quashes Faceless Assessment Order
The Madras High Court has quashed the order as the opportunity for hearing was refused due to the assessee's failure to click on the appropriate button.The bench of Justice Mohammed Shaffiq has observed that the personal hearing ought to have been extended, though the assessee might have failed to click on the appropriate button. The bench, while quashing the order, was directed to pass the...
Malabar 'Parota' Is Akin To 'Bread', Exigible To 5% GST: Kerala High Court
The Kerala High Court has held that Malabar 'Parota' is akin to 'bread' and is exigible at the rate of 5% GST and not 18% GST.The bench of Justice Dinesh Kumar Singh has observed that Malabar 'Parota' and Whole Wheat Malabar Parota are exigible at the rate of 5% GST and not 18% as held by the Advance Ruling Authority and Advance Ruling Appellate Authority.The petitioner is in the business...
Cash Sales Already Offered As Income Can't Be Taxed In Garb Of Inflation Sales To Cover Up Demonetization Currency: Delhi ITAT
The New Delhi ITAT recently clarified that the cash sales already been offered as income, cannot be taxed in the garb of inflation sales to cover up demonetization currency. The Bench of N.K. Billaiya (Accountant Member) and Astha Chandra (Judicial Member) observed that “Merely because there was a minor variation in the cash sales during the alleged period compared to previous...
Money Received As Security Deposit If Subsequently Refunded To Developer, Is Irrelevant For Determining Taxability U/s 56(2)(Vii)(A): Mumbai ITAT
While deleting the enhancement made u/s 56(2)(vii)(a) of the Income Tax Act, the Mumbai ITAT explained that as per the provisions of section 56(2)(vii)(a), any sum of money, the aggregate of which exceeds Rs.50,000, received by an individual without consideration is taxable as income from other sources, and thus, u/s 56(2)(vii)(a), the incidence of taxation is at the stage of receipt...
Commission Expenses Can Be Allowed If Taxpayer Satisfies Rendering Of Services By Commission Agents And Income From Same Is Shown In Return: Mumbai ITAT
While deleting the addition made u/s 68 of the Income Tax Act, the Mumbai ITAT directed the assessee to file the details of the services rendered by the commission agents for availing the commission payment from the assessee. The ITAT clarified that if the assessee satisfies the AO about the services rendered by these commission agents and that they had shown their income as...
Action Can Be Initiated U/s 153C Based On Seizure Made During Course Of Search And Not Based On Material Impounded In Course Of Survey: Mumbai ITAT
While quashing the proceedings initiated u/s 153C of the Income Tax Act based on the material impounded in course of survey action, the Mumbai ITAT clarified that the material considered for initiating action u/s 153C in the case of assessee was not seized in the course of search action but was impounded in the course of the survey action, and hence assessment u/s 153C is not as...
No Addition Permitted U/s 68 Once Taxpayer Establishes Genuineness & Creditworthiness Of Share Subscribers: Mumbai ITAT
The Mumbai ITAT upheld the order of CIT(A) in deleting the addition made by the AO u/s 68 of the Income Tax Act, since the assessee has successfully established the genuineness and creditworthiness of the share subscribers alleged for the bogus transactions. The Bench of the ITAT comprising of Aby T. Varkey (Judicial Member) and B R Baskaran (Accountant Member) observed that...
No Deduction Can Be Claimed If Employees' Contribution Deducted From Employee's Salary was Not Paid To Respective PF & ESI A/c: Kolkata ITAT
Finding that the returns of the assessee have been processed in the Computer Processing Centre, the Kolkata ITAT ruled that if the Auditors have reported in the Audit Report that employees' contribution have been deducted by the assessee from the salaries of the employees but not deposited within due date provided under PF&ESI Act then no deduction can be claimed by assessee. The...
Income Of Co-Operative Society By Way Of Interest Derived From Investment With Any Other Cooperative Society, Is Allowable U/s 80P: Mumbai ITAT
Finding that assessee in the present case is not a cooperative bank, since the office of Central registrar of cooperative societies, New Delhi has issued a certificate of registration to the assessee registering it u/s 11 of Multistate Cooperative Societies Act, 2002, the Mumbai ITAT ruled that the income earned by a co-operative society by way of interest derived by from its investment...