CBIC Issues Clarification Regarding Determination Of Place Of Supply

The Central Board of Indirect Taxes and Customs (CBIC) has issued a clarification regarding the determination of the place of supply.The Board has received representations from the trade and field formations seeking clarification with respect to the determination of place of supply in case of supply of service or transportation of goods, including through mail and courier; supply of services...

Income Tax Dept. Is Duty Bound To Provide All Material Information On Which Reliance Was Placed To The Assessee: Jharkhand High Court

The Jharkhand High Court has held that the Department is duty-bound and is mandatorily required to provide all material information or inquiry conducted on which reliance is being placed, along with supporting documents, to the petitioner as per the provisions of Section 148A of the Income Tax Act, 1961.The bench of Justice Rongon Mukhopadhyay and Justice Deepak Roshan has observed...

Madras High Court Directs Customs Dept. To Release Fresh Apples Imported From New Zealand On Furnishing Of Bank Guarantee Towards Differential Duty

The Madras High Court has directed the customs department to release fresh apples imported from New Zealand on the furnishing of bank guarantees towards differential duty. The Madras High Court has directed the customs department to release fresh apples imported from New Zealand on the furnishing of bank guarantees towards differential duty.The bench of Justice R. Mahadevan and Justice...

CBIC Circulars Are Binding On Service Tax Dept, Violations Will Make Actions Illegal: Jharkhand High Court

The Jharkhand High Court has held that the circulars or instructions issued by the Central Board of Indirect Taxes and Customs (CBIC) are legally binding on the department, and their violation will make the actions of the respondent illegal and ex-facie bad in law.The bench of Justice Rongon Mukhopadhyay and Justice Deepak Roshan has observed that the Department has violated Clauses 14.10...

Deemed Dividend Is Taxable Only In The Hands Of The Shareholder: ITAT

The Ahmedabad Bench of Income Tax Appellate Tribunal (ITAT) has held that a deemed dividend is taxable only in the hands of the shareholder.The bench of Siddhartha Nautiyal (Judicial Member) and Annapurna Gupta (Accountant Member) has observed that the assessee firm was neither a registered shareholder nor a beneficial shareholder; there is no reason to tax the amount received by it by way...

ITAT Allows Income Tax Deduction On Interest Income From Investment In Co-Operative Bank

The Chennai Bench of Income Tax Appellate Tribunal (ITAT) has allowed the deduction under Section 80P(2)(d) of the Income Tax Act on the interest income from investments in cooperative banks.The bench of Mahavir Singh (Vice President) and Manjunatha.G. (Accountant Member) has observed that the Erode District Central Co-operative Bank is also governed by the Tamil Nadu Co-operative Societies...

Cognizant Technology Challenges ITAT Order Upholding Dividend Distribution Tax Demand On Buyback Of Rs 19,000-Crore Shares Before Madras High Court

The Cognizant Technology has challenged the order of the Income Tax Appellate Tribunal (ITAT) which upheld the dividend distribution tax demand on buyback of Rs. 19,000-crore shares before Madras High Court.The issue relates to assessment year (AY) 2017–18, during which assessee, Cognizant acquired 94 lakh equity shares from its stockholders in the US and Mauritius for a face value of Rs....

Finance Ministry Notifies 18% Of GST On Corporate Guarantees

The Central Board of Indirect Taxes and Customs (CBIC) has implemented an 18% Goods and Services Tax (GST) on corporate guarantees involving related entities, such as parent companies and subsidiaries, effective from Thursday, October 26th. The notification gives effect to the decision announced by the GST Council on October 8th. The CBIC order of the GST Rule is made...

Tax Cases Weekly Round-Up: 22 To 28 October, 2023

Supreme Court State Amendments Made To VAT Acts After GST Came Into Effect Are Invalid : Supreme Court Case Title: The State of Telangana & Ors. V. M/S Tirumala Constructions., Civil Appeal No(S). 1628 Of 2023 Citation : 2023 LiveLaw (SC) 927 A Division Bench of the Supreme Court, while deciding the appeals arising from judgments of Telangana, Gujarat and Bombay...

UPVAT Act | Family Entitled To Insurance Money Under Group Insurance Policy If Registration Valid On Date Of Death Of Registered Dealer: Allahabad HC

The Allahabad High Court held that if registration under the Uttar Pradesh Value Added Tax Act, 2008 was subsisting on the day of his death, his family would be entitled to insurance claim under the Group Insurance Policy.The bench comprising of Justices Saumitra Dayal Singh and Surendra Singh-I held“If the deceased held a registration certificate prior to the occurrence of his death and...

Jammu & Kashmir And Ladakh High Court Dismisses Writ Petition Challenging SCN Regarding Export Of Banned Yarn Shawls

The Jammu & Kashmir and Ladakh High Courts have held that jurisdiction in the case of shawls containing prohibited material lies in Delhi, not Jammu & Kashmir, as the seizure took place in Delhi.The bench of Chief Justice N. Kotiswar Singh and Justice M.A. Chowdhary has observed that in the absence of any specific pleadings in the writ petitions as well as memoranda of appeals, it...

TDS Paid From Assessee’s Own Account Can’t Form Part Of Consideration Of Service Charges Paid To Overseas Service Provider, No Service Tax Payable: CESTAT

The Bangalore Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the TDS amount paid to the Income Tax Department by the appellant from his own account cannot form part of the consideration of the service charges paid to the overseas service provider, and service tax is not payable.The bench of D. M. Misra (Judicial Member) and Pullela Nageswara Rao...