Admission Fees Paid To Club For Corporate Membership Is Exclusively For Business Purpose, It Is 'Revenue' In Nature: Bombay HC

The Bombay High Court has held that the admission fees paid to a club towards corporate membership are wholly and exclusively for business purposes, and the same are revenue-generating in nature.The bench of Justice K.R. Shriram and Justice Rajesh S. Patil also observed that the expenditure incurred towards entrance fees and annual membership would be a "revenue expenditure" because it has...

Madras HC Directs Income Tax Dept. To Lift Attachment Of Pension Account Considering Age, Ailment Of Assessee

The Madras High Court has directed the income tax department to lift the attachment of the pension account of the assessee considering his age and ailment.The bench of Justice R. Mahadevan and Justice Mohammed Shaffiq passed this order noting that the entire pension amount, with arrears, is lying in the bank account of the appellant or assessee. It is also seen that only a sum of Rs....

Gujarat High Court Stays Proceedings Concerning GST Imposition On Transfer Of Leasehold Rights Of GIDC Land

The Gujarat High Court stayed the proceedings in respect of the issue related to the imposition of GST on the transfer of leasehold rights to Gujarat Industrial Development Corporation (GIDC) land and issued the notice to the department.The bench of Justice Biren Vaishnav and Justice Mauna M. Bhatt passed this order while presiding over a petition in respect of several notices that had...

ITAT Deletes Addition On Cash Deposit During Demonetisation On Account Of Sale Of Petrol, Diesel And Other Petroleum Products

The Ahmedabad Bench of Income Tax Appellate Tribunal (ITAT) has deleted the addition of cash deposits during demonetisation on account of the sale of petrol, diesel, and other petroleum products.The bench of T.R. Senthil Kumar (Judicial Member) and Waseem Ahmed (Accountant Member) have observed that cash deposits are on account of the sale of petrol, diesel, and other petroleum products....

Hindustan Coca Cola Did Not Recover Excise Duty From Their Customers, Is Not Hit By The Bar Of Unjust Enrichment: CESTAT

The Mumbai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Hindustan Coca-Cola did not recover excise duty from their customers and is not hit by the bar of unjust enrichment.The bench of Ajay Sharma (Judicial Member) has observed that when duty has been paid during the investigation at the insistence of the department post-clearance of the goods,...

UPGST | For Claiming ITC, Burden On Assesee To Prove Genuineness Of Transaction Beyond Doubt: Allahabad High Court

The Allahabad High Court has held that input tax credit cannot be claimed by an assesee if he has failed to discharge the burden to prove the actual transaction and physical movement of goods beyond doubt.Referring to Section 16 and 74 of the UP Goods and Service Tax Act, 2017, Justice Piyush Agrawal held “it is evident that in the event of wrong availment of input tax credit, the...

Non-Adherence To Mandatory Requirement Of Passing Draft Assessment Order Invalidates Final Assessment Order: Delhi High Court

The Delhi High Court has held that non-adherence to the mandatory requirement of passing a draft assessment order invalidates the final assessment order.The Bench of Chief Justice Satish Chandra Sharma and Justice Sanjeev Narula have observed that the omission to pass a draft assessment order is not merely a procedural oversight but a substantive lapse, which renders the subsequent order...

Subscription Fee Received By Deloitte Exempted From Tax On Principle Of Mutuality: Delhi High Court

The Delhi High Court has held that subscription fees received by Deloitte are exempted from tax on the principle of mutuality.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that the expression “mutuality” flows from the expression “mutual”, which indicates reciprocity of arrangement in which the concerned parties have reciprocal rights or understanding...

There Should Be Finality To Assessment, Can’t Have Repeated Reassessment Proceeding On The Dictate Of Audit Party: Jharkhand High Court

The Jharkhand High Court has held that if the assessing authority is allowed to initiate repeated re-assessment proceedings against an assessee merely on the dictate of the audit party, there would not be finality of assessment. The assessee would have a sword of Damocles hanging over it in perpetuity.The bench of Justice Rongon Mukhopadhyay and Justice Deepak Roshan has observed that, as far...

Section 234B Interest Has To Be Charged On The Assessed Income And Not On The Returned Income: Jharkhand High Court

The Jharkhand High Court has held that interest under Section 234B of the Income Tax Act has to be charged on the assessed income and not on the returned income.The bench of Justice Rongon Mukhopadhyay and Justice Deepak Roshan has observed that, as per Section 234B, interest has to be charged on an amount equal to the assessed tax or, as the case may be, on the amount by which the advance...

Double Taxation Avoidance Agreement Cannot Be Enforced Unless Notified By Centre Under Section 90 Income Tax Act : Supreme Court

The Supreme Court has held that a Double Taxation Avoidance Agreement (DTAA) cannot be given effect to by a court, authority or a tribunal unless it has been notified by the Central Government under Section 90 of the Income Tax Act.The Court held that until the Government of India issues a notification as per Section 90, the DTAA treaty is not enforceable per se in Indian courts.A...

GST | ‘Cannot Go Beyond Your Pleadings’: Allahabad High Court Refuses To Quash Penalty Order Under Section 129

The Allahabad High Court, on Wednesday, refused to quash penalty order passed under Section 129 of the Goods and Service tax Act, 2017 on the ground that petitioner cannot be permitted to argue the case without there being any pleading in support of his arguments.The Court held that the petitioner had failed to make a specific averment in the pleadings before the writ Court regarding...