Tax
No Service Tax Leviable On Construction Of Residential Complexes Prior To 01.07.2010: CESTAT
The Chennai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax could be levied on the construction of residential complexes prior to July 1, 2010, even when the service is rendered either as a service simpliciter or as a work contract.The bench of P. Dinesha (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that the...
CBDT Notifies Income Tax Exemption to National Institute of Design
The Central Board of Direct Taxes and Customs (CBDT) notified the National Institute of Design, Ahmedabad, of the income tax exemption.The government approved the National Institute of Design, Ahmedabad, under the category of university, college, or other institution for scientific research for the purposes of Section 35(1)(ii) of the Income-tax Act, 1961, read with Rules 5C and 5E of...
Income Tax Act- AO Can’t Make Additions to Completed Assessments In Absence Of Incriminating Materials: Supreme Court
The Supreme Court has ruled that no additions can be made by the Assessing Officer (AO) under Section 153A of the Income Tax Act, 1961 in the absence of any incriminating material found during the course of search under Section 132 or requisition under Section 132 A, in respect of completed /unabated assessments. The bench of Justices M.R. Shah and Sudhanshu Dhulia remarked that...
Reopening Not Permissible Merely On The Basis Of Change Of Opinion: Gujarat High Court Quashes Reassessment Against Axis Bank
The Gujarat High Court has quashed the reassessment against Axis Bank and held that reopening is not permissible merely on the basis of a change of opinion.The division bench of Justice Ashutosh Shastri and Justice J. C. Doshi has observed that the action of the department in reopening the assessment is not justified as it would be tantamount to a mere change of opinion, which is not...
Transfer Of Going Concern By AAI To Adani Jaipur Airport Does Not Attract GST: Rajasthan AAR
The Rajasthan Authority of Advance Ruling (AAR) has ruled that GST is not applicable on transfers of going concern by the Airport Authority of India (AAI) to Adani Jaipur Airport.The bench of Umesh Kumar Garg and Mahesh Kumar Gowla has observed that the invoice raised by the applicant for reimbursement of the salary/staff cost on M/s. Adani Jaipur International Airport Limited is a...
Supply Of Precast Manhole Using The Steel And Cement Attracts 18% GST: Rajasthan AAR
The Rajasthan Authority of Advance Ruling (AAR) has ruled that the supply of precast manholes using steel and cement attracts 18% GST.The bench of Umesh Kumar Garg and Mahesh Kumar Gowla has observed that precast manholes and rises are movable property; hence, the supply of precast manholes and rises is a supply of goods and not a supply of services on the basis of the findings.The applicant,...
Without Corroborating Evidence, Addition Can’t Be Made On The Basis Of A Declaration Made U/s 132(4) Of The Income Tax Act: ITAT
The Guwahati Bench of the Income Tax Appellate Tribunal (ITAT) has held that without corroborating evidence, an addition ought not to be made on the basis of a declaration made under Section 132(4) of the Income Tax Act.The bench of Rajpal Yadav (Vice President) and Manish Borad (Accountant Member) has observed that apart from the disclosure statement, no other document is being referred to...
Claim Of Deduction Under Section 80P Is Conditional On Filing A Return Within The Due Date: Kerala High Court
The Kerala High Court has held that the pre-condition for claiming the deduction under Section 80P of the IT Act has now been made more stringent by reducing the time available to an assessee for making the claim.The bench of Justice A.K. Jayasankaran Nambiar and Justice Mohammed Nias C.P. has observed that the claim for deduction under Section 80P is conditional on filing a return within the...
Tax Cases Weekly Round-Up: 16 April To 22 April, 2023
Supreme Court Transfer Pricing | High Courts Not Precluded From Scrutinising ITAT’s Determination Of Arm’s Length Price : Supreme Court Case Title: SAP Labs India Private Limited vs Income Tax Officer, Circle 6, Bangalore Citation : 2023 LiveLaw (SC) 328 The Supreme Court has ruled that the High Court is not precluded from considering the determination of the...
Wooden Ice Cream Sticks And Spoons Exigible To 12% GST: AAR
The Karnataka Authority of Advance Ruling (AAR) ruled that 12% GST is exigible on wooden ice cream sticks and wooden ice cream spoons.The two-member bench of M.P. Ravi Prasad and Kiran Reddy T. has observed that heading 4419 covers tableware and kitchenware of wood, and specifically, 4419 90 covers tableware and kitchenware of other wood, i.e., other than bamboo wood. Further HSN...
Goa Value Added Tax (12th Amendment) Act, 2020 Defies The Doctrine Of Separation Of Powers: Bombay High Court
The Bombay High Court has held that the Goa Value Added Tax (12th Amendment) Act, 2020, is an impermissible judicial override defying the doctrine of separation of powers.The bench of Justice M. S. Sonak and Justice Bharat P. Deshpande has observed that by simply not issuing sanction orders or delaying the issue of sanctions indefinitely or unreasonably, the state cannot arbitrarily deprive...
Income Tax Assessment Can’t Be Reopened Without Any Foundation: Gujarat High Court
The Gujarat High Court has held that when the foundation was missing, there could not have been the erection of ground to seek reopening of assessment.The bench of Justice N.V. Anjaria and Justice Devan M. Desai has observed that neither foundational facts existed nor could any tangible material be available with the assessing officer to justify the exercise of power to reopen the...