Credit Of CVD Paid Through Debit In DEPB Scheme Is Admissible: CESTAT Allows Cenvat Credit To Hindustan Zinc

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the Cenvat Credit to Hindustan Zinc and held that credit of CVD paid through debit in the Duty Entitlement Passbook Script (DEPB) Scheme is admissible, and the bills of entry assessed by the customs authorities have not been bifurcated between CVD and Cess.The bench of Ajay Sharma (Judicial Member)...

Reimbursable Expenses Are Not Includible In The Taxable Value Of The Service: CESTAT

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that reimbursable expenses are not includible in the taxable value of the service in terms of Rule 5(1) of the Service Tax (Determination of Value) Rules, 2006.The bench of Ashok Jindal (Judicial Member) and Rajeev Tandon (Technical Member) has relied on the decision of the Delhi High Court in the...

Tax Cases Weekly Round-Up: 9 April to 15 April, 2023

Supreme CourtMere Delay In Remittance Of TDS Doesn’t Attract Penalty Under S 271C Income Tax Act: Supreme CourtCase Title: M/s US Technologies International Pvt Ltd vs. The Commissioner of Income Tax Citation : 2023 LiveLaw (SC) 285The Supreme Court has ruled that no penalty is leviable under Section 271C of the Income Tax Act, 1961 on mere delay in remittance of the tax deducted at...

Suspension Of The Licence Of Broker Is Not Warranted After The Investigation And Issue Of Show Cause Notice: CESTAT

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that suspension of the license is not warranted after investigation and the issuing of a show cause notice.The bench of P.K. Choudhary (Judicial Member) and K. Anpazhakan (Technical Member) has observed that immediate suspension of the customs broker is warranted when there is an apprehension that...

CESTAT Allows Service Tax Refund On Construction Services Of Complex Provided By The Cooperative Housing Society

The Ahmedabad Bench of the Customs, Excise, and Services Tax Appellate Tribunal (CESTAT) has allowed the service tax refund on the construction of complexes provided by the appellant’s cooperative housing society.The bench of Ramesh Nair (judicial member) and C.L. Mahar (technical member) has noted that cooperative societies have not taken the services of a contractor for the construction...

Services Provided By Branch Office To Head Office And Vice Versa Will Attract GST: AAR

The Tamil Nadu Authority for Advance Ruling (AAR) has held that the services, including those of common employees of a person, provided by branch offices to the head office and vice versa, each having a separate GST registration, will attract GST.The bench of R. Gopalsamy and N. Usha has observed that even the services of employees deployed from a registered place of business to...

Allahabad High Court Directs Department To Release The Seized Goods On The Condition Of Payment Of 200% Of The Tax Payable

The Allahabad High Court has directed the department to release the seized goods on the condition of payment of 200% of the tax payable on the goods valued at the same on the basis of the valuation as shown in the invoice.The bench of Justice Pankaj Bhatia has observed that the value of the goods in transit is to be determined in accordance with the provisions of Section 15 declared in...

Cricket Player Providing Brand Promotion Services Not Liable To Pay Service Tax: CESTAT

The Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the demand for service tax on remuneration received by the cricket player from M/s. Nike India Pvt. for brand promotion.The bench of Ramesh Nair (judicial member) and C. L. Mahar (technical member) relied on the decision of the Calcutta High Court in the case of Sourav Ganguly vs. UOI & Others, in which it was...

Freight And Handling Charges Shown Separately In The Invoice Is Not Includable In The Assessable Value Of The Excisable Goods: CESTAT

The Ahmedabad bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that freight and handling charges shown separately in the invoice of the appellant are also not includable in the assessable value of the excisable goods.The two-member bench of Ramesh Nair Member (Judicial) and Raju Member (Technical) has observed that the amount charged as freight and...

Rajasthan High Court Upholds GST Demand On Royalty Paid To The Mining Department Towards Mining Lease

The Rajasthan High Court has upheld the GST demand on royalty paid to the Mining Department towards mining lease.The Bench of Justice Vijay Bishnoi and Justice Praveer Bhatnagar has relied on the decision of the Rajasthan High Court, Jaipur Bench in the case of Sudershan Lal Gupta & Ors. versus Union of India & Ors. in which a batch of writ petitions were dismissed challenging the...

ITAT Disallows Income Tax Deduction On Employees’ Contribution To PF & ESI Beyond The Due Dates

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has disallowed income tax deduction on employees’ contributions to PF and ESI beyond the due dates.The bench of Amit Shukla (Judicial Member) and Prashant Maharishi (Accountant Member) has observed that the auditor in the audited accounts only pointed out the date of payment and the due date prescribed under the PF and ESI Act, and...

Procedural Lapse Cannot Be The Basis To Deny Service Tax Refund, Defeating The Object Of SEZ: CESTAT

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the beneficial object of establishing the SEZ tax-free, without any burden of duties, means that the procedural lapse, if any, cannot be the basis to deny the refund.The bench of Binu Tamta (Judicial Member) and P. V. Subba Rao (Technical Member) has observed that the general principles...