Tax
Wrongful Application Of Foreign Contribution By Trust Not In Accordance With Trust’s Objective: Delhi High Court Upholds Reassessment
The Delhi High Court has upheld the reassessment proceedings against a trust for wrongful application of foreign contribution, which was against the objective of the trust.The bench of Chief Justice Satish Chandra Sharma and Justice Tushar Rao Gedela has observed that the AO based its opinion on tangible and concrete information in the form of the petitioner’s trust deed and the statement...
Bombay High Court Direct JAO To Provide Specific Information Relied Upon To Issue The Section 148A(b) Notice
The Bombay High Court has directed the Jurisdictional Assessing Officer (JAO) to provide specific information relied upon to issue the notice under Section 148A(B) of the Income Tax Act.The bench of Justice K. R. Shriram and Justice Neela Gokhale has quashed the assessment order and directed the JAO to dispose of the matter on or before December 31, 2023.The department agreed to quash...
Rates On Which Power Is Available Through Indian Energy Exchange Can’t Be Applied As It Is Not Rates To Consumers But Rates To DISCOM: ITAT Deletes TP Adjustment
The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has deleted the Transfer Pricing (TP) Adjustment as rates on which power is available through the Indian Energy Exchange cannot be applied because these are not the rates to the consumers but rates to the DISCOMs.In the Tata Steel Ltd case, the bench of Amit Shukla (Judicial Member) and Padmavathy S (Accountant Member) eliminated...
No Service Tax Payable On Service Of Laying Of Pipeline For Gujarat Water Supply & Sewerage Board: CESTAT
The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is payable on the service of laying a pipeline for the Gujarat Water Supply and Sewerage Board (GWSSB).The bench of Ramesh Nair (Judicial Member) and C. L. Mahar (Technical Member) has observed that the service of laying pipelines for GWSSB does not fall under the service of...
Sun Pharmaceuticals Danazol Eligible For Excise Duty Exemption: CESTAT
The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the product ‘Danazol’ of Sun Pharmaceuticals Industries Ltd. is eligible for excise duty exemption.The bench of Sulekha Beevi C.S. (Judicial Member) and M. Ajit Kumar (Technical Member) has observed that since the terms ‘bulk drugs’ and ‘drug and medicines’ have not been defined in...
ITAT Dirests ALP Computation Towards Guarantee Commission @ 0.3523% In Case Of Macrotech Developers
The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has directed the ALP Computation Towards Guarantee Commission at a rate of 0.3523% in the case of Macrotech Developers.The bench of Kuldip Singh (Judicial Member) and Padmavathy S. (Accountant Member) has observed that the rate of guarantee commission is required to be determined on the basis of the credit rating of the issuer company...
GST Council Can Recommend Rate But Can’t Determine Classification: Madras High Court Allows Parle Agro’s Petition Challenging Classification Of Flavoured Milk
The Madras High Court has allowed Parle Agro’s petition challenging the classification of flavoured milk.The bench of Justice C. Saravanan has observed that the GST Council cannot impose the wrong classification of “flavoured milk” as a “beverage containing milk” under the residuary item "non-alcoholic "beverages" under Subheading 2202 90 30 of the Customs Tariff Act,...
Bombay High Court Quashes Income Tax Assessments Against Agriculturist And Rickshaw Driver For Improper Sanction
The Bombay High Court has quashed the income tax assessments for the assessment year 2016-2017 against agriculturists and rickshaw drivers for improper sanction.The bench of Justice K.R. Shriram and Justice Neela Gokhale relied on its earlier decision in Siemens Financial Services Private Limited Vs. Deputy Commissioner of Income Tax & Ors. The court held that the approval of the...
CENVAT Credits Can’t Be Denied To Service Recipient Without Opening Assessment Of Service Extended By Service Provider: CESTAT
The Mumbai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that without an opening assessment of the provision of service extended by the service provider, CENVAT credits cannot be denied to the recipient who had paid the required service tax through the service receiver in order to avail the input services.The bench of Dr. Suvendu Kumar Pati (Judicial Member)...
UP VAT Act | Definition Of “Goods” Under Sec. 2(m) And Sec. 13(1)(f) Includes Taxable As Well As Exempted Goods: Supreme Court
The Supreme Court has held that the definition of “Goods” under Section 2(m) of Uttar Pradesh Value Added Tax Act, 2008 (“UP VAT Act”) includes both taxable as well as exempted goods. Similarly, the word “goods” under Section 13(1)(f) of the UP VAT Act cannot be said to be qualified by the word “taxable”.The Bench comprising the Chief Justice Dr. Dhananjaya Y. Chandrachud,...
Tax Cases Weekly Round-Up: 05 November To 11 November, 2023
Delhi High Court CENVAT Credit Refund Can’t Be Denied In Absence Of Self-Assessed Return Having Been Questioned, Reviewed Or Re-Assessed: Delhi High Court Case Title: BT (India) Private Limited Versus UOI Citation: 2023 LiveLaw (Del) 1082 The Delhi High Court has held that a CENVAT credit refund cannot be denied in the absence of the self-assessed return having...
Allahabad High Court Grants Interim Relief To Anand And Anand, Stays Show Cause Notice Demanding Refund Of Rs.138 Crores
The Allahabad High Court has granted interim relief to Anand and Anand Law Firm by staying the proceedings initiated under the Goods and Service Tax Act, 2017.The bench comprising of Chief Justice Pritinker Diwaker and Justice Ashutosh Srivastava stayed proceedings initiated pursuant to the show cause notice issued against the law firm till the next date of listing. While dealing with...