Tax
Income Tax Appeal Cannot Be Rejected Solely For Assessee's Non-Appearance Before CIT(A): Kerala High Court
The Kerala High Court has held that an Income Tax Appeal cannot be rejected solely for the assessee's non-appearance before the Commissioner of Income Tax (Appeals). Justice Ziyad Rahman A.A. stated that none of the provisions in Section 250 of the Income Tax Act permit the appellate authority to reject the appeal on the ground of non-appearance of the assessee/appellant,...
Interest On Delayed Agricultural Income Tax Not Deductible U/S 37 Income Tax Act: Kerala High Court
The Kerala High Court has held that interest on delayed agricultural income tax is not deductible under Section 37 Income Tax Act. Section 37 of the Income Tax Act provides deductions on expenses which are directly related to a business's operations. Justices A. Muhamed Mustaque and Harisankar V. Menon examined whether the interest paid on account of the delayed payment...
Income From Public Religious/Charitable Trusts Not Eligible For Exemption U/S 10(23BBA) Income Tax Act: Kerala High Court
The Kerala High Court has held that income derived from public religious/charitable trusts is not eligible for exemption under Section 10(23BBA) of the Income Tax Act. Section 10(23BBA) of the Income Tax Act, 1961, provides a complete exemption from income tax for the income of a body or authority that has been established, constituted, or appointed under any Central,...
Non-Monetary Benefits From Manufacturer “Promotional” In Nature, Taxable Under GST: Tamil Nadu AAR
The Tamil Nadu Bench of Authority for Advance Ruling (AAR), comprising C. Thiyagarajan (CGST Member) and B. Suseel Kumar (SGST Member), has held that non-monetary benefits such as gifts, perquisites, and tour packages received by a dealer from a manufacturer amount to consideration for “support services” and are exigible to Goods and Services Tax (GST). A wholesale and retail...
Delay By Authority In Sanctioning Refund Claim Is 'Sufficient Cause' For Excluding Limitation: CESTAT Chennai
The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that delay by the refund authority in sanctioning a refund claim is 'sufficient cause' for excluding limitation under Section 14 of the Limitation Act. Section 14 of the Limitation Act, 1963, allows for the exclusion of time spent in good faith in a previous civil proceeding from the...
Classification Of Goods Is Factual Issue, Not For Writ Court To Decide: Kerala High Court Upholds Seizure & Provisional Release Conditions
The Kerala High Court has held that the classification of 'Nata de Coco' is a factual matter that must be decided by the adjudicating authority through statutory proceedings and not by the writ court. Justice Ziyad Rahman A.A. stated that since it is a statutory proceeding contemplated under Section 124 of the Act, which should be followed from the proceedings under Section 110 of...
No Input-Tax Credit On IGST Paid Through Pre-Consultation Letter Or TR-6 Challan: Gujarat AAR
The Gujarat Authority for Advance Ruling (AAR) has disallowed Input Tax Credit (ITC) worth Rs. 27,14,559 paid towards differential IGST demand for mold-cleaning machine import from China through pre‑consultation letter/TR‑6 challan. In a ruling dated November 24, 2025 Gujarat AAR comprising Shri. Vishal Malani (Memmer- Central Tax) and Smt. Sushma Vora (Member- State Tax) ruled on...
Nescafé Premix Is 'Instant Coffee', Attracts Lower Sales Tax Rate: Bombay High Court
The Bombay High Court in a matter concerning classification of Nescafé Premix and if it was exigible to sales tax at the rate of 8% or 16%, has held that a premix resulting in 'Coffee and Instant drinks' would be classifiable as such, attracting lower rate of tax. (8% not 16%). In a judgment dated November 27, 2025 the Bench comprising Justice M.S. Sonak and Justice Advait...
Income Tax Act | Documents Seized From Actor Yash's Residence Make Him 'Searched Person': Karnataka High Court Quashes Order U/S 153C
The Karnataka High Court has held that the search conducted at Actor Yash's residence makes him a 'searched person' under the Income Tax Act, as documents were seized from him, during the search and a panchanama was drawn. Hence, the order under Section 153C of the Act, which applies to persons other than the one originally searched, is without jurisdiction. Section 153C of the...
“Customs Cannot Resort To Delaying Tactics”: Delhi High Court Slams Dept For Not Releasing Seized Goods Despite Court Order
The Delhi High Court has slammed the Customs Department for repeatedly delaying implementation of its orders for release of articles seized from passengers arriving from abroad.Calling out the authority's “delaying tactics”, a division bench of Justices Prathiba M. Singh and Renu Bhatnagar warned of “stringent action” along with imposition of costs on errant officials.“This...
Central Govt Ensuring GST Rate Cuts Are Passed On To Consumers: Finance Ministry Tells Lok Sabha
The Ministry of Finance has informed the Lok Sabha that, where several GST rates were rationalised, the Central Government has put in place a coordinated tax-administration mechanism to ensure that businesses actually pass on the GST rate-cut benefits to consumers. CBIC Monitoring Prices After GST Rate Cuts The Finance Ministry stated that the CBIC has been monitoring prices of...
Centre Rationalises Drone Taxation: Uniform 5% GST, IGST & Customs Duty Relief For Flight Simulators
The Union Government has informed the Lok Sabha that drones across all categories will now attract a uniform 5% GST, following the recommendations of the 56th GST Council Meeting held on 03.09.2025, aimed at removing classification disputes and promoting ease of doing business in the aviation and emerging-technology sectors. Replying to Unstarred Question No. 708, the Minister of...