Tax
E-Way Bill Expired Due To Vehicle Break Down: Allahabad High Court Quashes Seizure Memo
The Allahabad High Court has set aside an order under Section 129(3) of the UPGST Act 2017 by which a penalty was imposed solely on the ground that no evidence had been adduced regarding the illness of the driver and the breakdown of the vehicle.Petitioner regularly made inward supply from GAIL, Auraiya U.P. Inward supply from GAIL Auraiya U.P. was made for which two invoices dated 6.3.2023...
ITAT Allows Capital Gains Exemption To NSE Investor Under India-Mauritius Tax Treaty
The Delhi bench of the Income Tax Appellate Tribunal (ITAT) has allowed the capital gains exemption to NSE investors under the India-Mauritius tax treaty.The bench of G.S. Pannu (President) and Saktijit Dey (Vice President), while condemning the department, observed that when the assessee holds a valid Tax Residency Certificate (TRC) and Category 1 GBL and, moreover, the entire process...
Cenvat Credit Allowable To Nayara Energy On Inputs Used For Railway Lines: CESTAT
The Ahmedabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that cenvat credit is allowable on inputs used for railway lines.The bench of Ramesh Nair (Judicial Member) and C.L. Mahar (Technical Member) has observed that railway tracks are used to move inputs, raw materials, and manufactured goods within factory premises. Railway Track cannot be kept out...
‘Milk Cream’ Can’t Be Classified As ‘Milk’: Himachal Pradesh High Court Upholds Tax Demand
The Himachal Pradesh High Court has held that ‘milk cream’ cannot be classified as ‘milk’.The bench of Chief Justice M.S. Ramachandra Rao and Justice Ajay Mohan Goel, while dismissing the revision petition of Gujarat Co-Operative Milk Marketing Federation Ltd., observed that a scientific or technical meaning of the term ‘milk cream’, as sought to be projected by the assessee,...
No Service Tax Applicable On Providing Repair, Management And Maintenance Of Roads Services To NHAI: CESTAT
The Hyderabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is applicable to the repair, management, and maintenance of road services for the National Highway Authority of India (NHAI).The bench of Anil Choudhary (Judicial Member) and A.K. Jyotishi (Technical Member) has observed that the assessee has provided repair, management,...
Reusing E-way Bills Demonstrates Intention Of Tax Evasion: Punjab And Haryana High Court Upholds Penalty Against Transporter
The Punjab and Haryana High Court has upheld the penalty against the transporter and ruled that reusing e-way bills demonstrates the intention of tax evasion.The bench of Justice G.S. Sandhawalia and Justice Harpreet Kaur Jeewan has observed that the ‘intention to evade payment of tax’ is an essential ingredient for initiating proceedings against a person under Section 130. The...
Allahabad High Court Imposes 10K Cost On Income Tax Authority For Violation Of Principles Of Natural Justice
The Allahabad High Court on Wednesday imposed a cost of Rs. 10,000 to be paid by an erring officer of the Income Tax Department for violating the principles of natural justice while cancelling the earlier Assessment Order and initiating fresh proceedings under Section 263 of the Income Tax Act, 1961. Assessment of the Petitioner was completed under section 143(3) of the Income Tax...
Officer Concerned Not Authorized To Administer Oath, No Evidentiary Value: Delhi High Court
The Delhi High Court while upholding the ITAT’s ruling held that the addition of Rs. 10 crore was made purely on the basis of the statement made by directors without corroborative evidence.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that there is a qualitative difference between the statement recorded under Section 133A and Section 132(4) of the Income Tax...
No Service Tax Payable On Penal Interest & Cheque Bouncing Charges Received By Bajaj Finance: CESTAT
The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that penal interest and cheque bouncing charges received by Bajaj Finance as "consideration" for "tolerating an act" are not leviable to service tax under Section 66E(e) of the Finance Act, 1994.The Bench of S.K. Mohanty (Judicial Member) and M. M. Parthiban (Technical Member) has observed that...
Flue Gas Generated During Manufacturing Metallurgical Coke Is Not A Manufactured Product, Tata Steel Not Liable To Pay Excise Duty: CESTAT
The Kolkata Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that the flue gas generated during the course of manufacturing metallurgical coke is not a manufactured product and is also not marketable.The bench of Ashok Jindal (Judicial Member) and K. Anpazhakan (Technical Member) has observed that the burden of proof that the product is marketable is on the...
Services For Drain Hole Drilling In The Existing Oil Wells Qualify As “Mining Services”: CESTAT
The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that services for drain hole drilling in existing oil wells qualify as "mining services".The bench of Ashok Jindal (Judicial Member) and K. Anpazhakan (Technical Member) has observed that the activity of drilling core holes and test wells was held to be taxable only w.e.f. 01.06.2007 as services...
For Computing Holding Period For Capital Gain The Period To Be Taken From Date Of Allotment Of The Flat: ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that for computing the holding period for capital gain, the period is to be taken from the date of allotment of the flat.The bench of Aby T. Varkey (Judicial Member) and Om Prakash Kant (Accountant Member) has observed that for computing the holding period for capital gain, the period should not be taken from the date of...