Tax
Dept. Initiated Reassessment By Deviating From Prior View Without Any Cogent Reasoning: Delhi High Court Quashes Reassessment Notices
The Delhi High Court has quashed the reassessment notices on the grounds that the department has initiated reassessment by deviating from prior views without any cogent reasoning.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that the reassessment notice and order suffered from two infirmities, namely that it was proceeded on a view inconsistent with the...
Taxpayers Filing Declaration Under SVLDR Scheme Can’t Quantify The Duty Under Indirect Taxes: Delhi High Court
The Delhi High Court has held that taxpayers filing declarations under the Sabka Vishwas (Legacy Dispute Resolution) Scheme Rules, 2019 (SVLDR Scheme) cannot quantify the duty under indirect taxes.The bench of Justice Yashwant Varma and Justice Dharmesh Sharma has observed that in terms of Section 121(r) of the Finance Act, 2019, the word "quantified" means a written communication of the...
Non-Supply Of Survey Report, Delhi High Court Stays Reassessment Proceedings Against Centre For Policy Research
The Delhi High Court has stayed the reassessment proceedings against the Centre for Policy Research.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that the entire survey report was not submitted to the petitioner; only the relied-upon portion of the survey report was provided to the petitioner.The petitioner has assailed the notices dated March 28, 2023, and...
Interest On Delayed Service Tax Refund Payable On Expiry Of 3 Months From Application: CESTAT
The Chandigarh Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that interest on delayed service tax refunds is payable on the expiration of 3 months from the date of application.The bench of S. S. Garg (Judicial Member) has observed that under Section 11BB of the Act, interest is payable after the expiration of 3 months from the date of receipt of...
Uttar Pradesh Jal Nigam Is Not A Local Authority: AAAR Denies Concessional Rate Benefit On Works-Contract Services
The Uttar Pradesh Appellate Authority of Advance Ruling (AAAR) has held that Uttar Pradesh Jal Nigam (UPJN) is not a local authority and 18% GST is payable on the works-contract services.The Bench of Uma Shankar and Ministhy S, while upholding the ruling of the Authority of Advance Ruling (AAR) observed that by way of Notification No. 15/2021-Central Tax (Rate) dated November 18, 2021, the...
Power To Collect Entertainment Tax No Longer Vest In The State After 101st Amendment: Patna High Court
The Patna High Court has held that the power to collect entertainment tax would no longer vest in the state after the 101st Amendment.The bench of Chief Justice K. Vinod Chandran and Justice Madhuresh Prasad has observed that the 101st Constitution Amendment Act substituted Entry 62 of List II to the extent that the power to levy and collect entertainment tax was bestowed only upon...
CBDT Proposes Changes To Rule 11UA In Respect Of Angel Tax, Notifies Excluded Entities
The Central Board of Direct Taxes (CBDT) has proposed the changes to Rule 11UA in respect of Angel Tax and has also notified the excluded entities.In the Finance Act, 2023, an amendment has been introduced to bring the consideration received from non-residents for the issue of shares within the ambit of Section 56(2)(viib) of the Income-tax Act, 1961. It provides that if such consideration...
E-Filing Of “Audit Report” Beyond The Date, Violative Of CBDT Circular: ITAT Denies Section 11 Exemption to Trust
The Raipur Bench of the Income Tax Appellate Tribunal (ITAT) refused to grant the exemption under Section 11 of the Income Tax Act on the grounds that the trust e-filed the "audit report" in Form 10B beyond the date.The bench of Ravish Sood (a judicial member) has observed that the assessee trust had e-filed or uploaded the "audit report" in Form 10B as of June 21, 2019, which was much beyond...
Relationship Between Consultant Doctor And The Hospital Can't Be seen As Employer Employee : ITAT Deletes Addition
The Chennai Bench of Income Tax Appellate Tribunal (ITAT) has deleted the addition made towards short deduction of TDS and held that the relationship between a Professional Doctor consultant and the Hospital cannot be treated as an Employer-Employee relationship unless there exist specific Rules and Provisions in the contract of appointment between the consultant and Hospital.The bench of...
NLU-Delhi Is Not Engaged In Business: ITAT Quashes Income Tax Penalty
The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has quashed the penalty under Section 271B of the Income Tax Act on the grounds that the NLU-Delhi is not engaged in "business" and exists solely for educational purposes.The bench of Anubhav Sharma (Judicial Member) and Anil Chaturvedi (Accountant Member) has observed that to justify invoking the mandate of Section 44AB, it...
Faceless Assessment Is Not A Fundamental Right: Delhi High Court Dismisses Gandhis, Aam Aadmi Party's Pleas
The Delhi High Court, while dismissing the plea of Rahul Gandhi, Priyanka Gandhi, and the Aam Aadmi Party, has held that neither the e-assessment nor the faceless assessment scheme in any manner modifies the power to transfer cases from one Assessing Officer under a Principal Commissioner of Income Tax to another Assessing Officer under another Principal Commissioner of Income Tax who are...
Tax Cases Weekly Round-Up: 21 May to 27 May 2023
Supreme CourtNo Service Tax Applicable on User Development Fee collected From Passengers by Delhi, Mumbai and Hyderabad International Airports: Supreme CourtCase Title: Central GST Delhi – III vs Delhi International Airport LtdCitation : 2023 LiveLaw (SC) 457The Supreme Court has ruled that “user development fee” (UDF) levied and collected by the airport operation, maintenance,...