Tax
Income Earned From Offshore Supply Of Escalators And Elevators Is Not Taxable In India: ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has observed that income earned by the assessee from the offshore supply of escalators and elevators is not taxable in India.The two-member bench of G.S. Pannu (President) and Sandeep Singh Karhail (Judicial Member) have observed that the property in goods passes on to the buyer at the port of shipment. Though the cost,...
Excise Duty Not Payable On Scrap Sent To The Job Workers For Manufacture Of Angles And Channels: CESTAT
The Chennai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that excise duty is not payable on the scrap that has been sent to the job workers for the manufacture of intermediate products such as angles and channels.The two-member bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Seshagiri Rao (Accountant Member) has observed that the Department has...
Late Filing Of Return, Denial Of Section 80P Exemption Not Justified: ITAT
The Rajkot Bench of the Income Tax Appellate Tribunal (ITAT) has ruled that denying the exemption under Section 80P of the Income Tax Act solely on the basis of the assessee's late filing of a return is not justifiable.The two-member bench of Suchitra Kamble (Judicial Member) and Waseem Ahmed (Accountant Member) has relied on the decision of the Kerala High Court in the case of Chirakkal...
Service ​​Provider Deploying Employees In Manufacturing Premises For Specified Job Works Can’t Be Held As Manpower Supply Services: CESTAT
The Delhi bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has ruled that where the service provider has deployed his employees in the assessee's manufacturing premises for specific job works, it cannot be considered manpower supply services.The two-member bench of Justice Dilip Gupta (President) and Hemambika R. Priya (Technical Member) has observed that the supply...
CBDT Notifies e-Verification Scheme To Encourage Voluntary Tax Compliance
The Central Board of Direct Taxes (CBDT) has issued a press release introducing the e-Verification Scheme to encourage voluntary tax compliance and facilitate a transparent and non-intrusive tax administration.Using information technology effectively, the scheme aims to share and verify the financial transaction information with the taxpayer, which appears to be either unreported or...
KVAT Act | Dealer Claiming Input Tax Credit Must Prove Transaction Beyond Reasonable Doubt : Supreme Court
The Supreme Court has held that under Section 70 of the Karnataka Value Added Tax Act, 2003, a dealer claiming Input Tax Credit on purchase ought to prove and establish actual physical movement of goods and genuineness of transaction. It noted that in order to establish the same, the dealer should furnish the name and address of the selling dealer, details of the vehicle which has delivered...
Reassessment Notice Issued By The AO Merely On The Basis Of Change Of Opinion: Bombay High Court Quashes Order
The Bombay High Court has quashed the reassessment order on the grounds that the only reason for issuing the notice under Section 148 of the Income Tax Act appeared to be that the Assessing Officer had come to a different opinion on the question of valuation than the one adopted by the petitioner.The division bench of Justice Dheeraj Singh Thakur and Justice Valmiki SA Menezes has observed...
GST Under Reverse Charge Mechanism Is Applicable On Services Of Renting Residential Premises as Guest House: AAR
The Odisha Authority of Advance Ruling has held that GST under the reverse charge mechanism is applicable to services by way of taking residential premises on rent for use as its guest house.The two-member bench of Gopal Krishna Pati and P.K. Mohanty has observed that the nature of rented properties clearly appeared to be residential properties used for commercial purposes.The applicant has...
No Disallowance Shall Be Made With Respect To Chargeable Sum Paid To A Foreign Company Without Deduction Of Tax: ITAT.
The Delhi Bench of Income Tax Appellate Tribunal has held that no disallowance shall be made to the assessee in regards to the chargeable sum paid by the assessee to a foreign company without deduction of tax. The division bench of N.K. Billaiya (Accountant Member) and Yogesh Kumar (Judicial Member) held that the second proviso to clause (i) of S. 40 of the Income Tax Act (IT)...
Imported Coal Does Not Attract Customs Education Cess And Higher Education Cess: CESTAT
The Chennai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that imported coal would not attract the Customs Education Cess and the Higher Education Cess.The two-member bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Sheshagiri Rao (Technical Member) has observed that the adjudicating court erred by including the clean energy cess component with...
Builder/Developer/Promoter Not Liable To Pay Service Tax On Construction Of Complex Service Or Works Contract Prior To July 2010: CESTAT
The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no liability for paying tax under ‘construction of complex service’ or ‘works contract’ would lie on the builder, developer, or promoter during the period prior to July 2010.The two-member bench of P. Dinesha (Judicial Member) and M. Ajit Kumar (Technical Member) has observed that it was...
CESTAT Allows Cenvat Credit On Service Tax Paid By Automotive Dealers
The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the cenvat credit on service tax paid by automotive dealers.The two-member bench of S. K. Mohanty Member (Judicial Member) and C.J. Mathew (Technical Member) has relied on the Supreme Court's decision in the case of CCE & C versus MDS Switchgear Ltd., in which it was held that once the...