Tax
NFAC Bound By The Decision Of Jurisdictional High Court: ITAT
The Bangalore Bench of the Income Tax Appellate Tribunal (ITAT) has held that the National Faceless Appeal Centre (NFAC) was bound by the binding decision of the jurisdictional high court, where the AO was situated.The two-member bench of N.V. Vasudevan (Vice President) and Laxmi Prasad Sahu (Accountant Member) has observed that an appeal against the decision of the Agra ITAT would be before...
Personal Hearing To Be Granted In All Matters Prior To Finalisation Of Assessment: Madras High Court
The Madras High Court has held that personal hearings shall be granted in all matters prior to the finalization of assessments, except where the stand of the assessee is intended to be accepted by the department.The single bench of Justice Anitha Sumanth has observed that the officer has grossly erred in proceeding to finalize the assessment in violation of the principles of natural...
Who Is The Proper Authority To Decide IGST Refund? Bombay High Court Directs The Dept. To Decide
The Bombay High Court has directed the department to decide who has the proper authority to decide on an IGST refund.The division bench of Justice Nitin Jamdar and Justice Abhay Ahuja has noted that the customs authorities claimed that the GST authority is the proper officer for processing refund claims, whereas the GST authorities claim that it is the customs officer.The court directed...
AO Issued Income Tax Assessment Notice To Non-Existent Company: Calcutta High Court Imposes Cost
The Calcutta High Court has imposed a fine of Rs. 20,000 on the assessing officer for issuing the income tax assessment notice to the non-existent company."It also appears from the past record that in respect of another assessee, this court has imposed the personal cost of Rs. 10,000 upon the very same Assessing Officer, Bitan Roy, by order dated August 2, 2023," the bench of Justice...
Expenses Of Solid Waste Disposal Is An Accrued Liability As It Was Disposed At Temporary Site: ITAT Allows Claim Worth Rs. 7.77 Crores
The Ahmedabad Bench of the Income Tax Appellate Tribunal (ITAT) has allowed the assessee’s claim of Rs. 7,77,73,600 as a provision for expenses of solid waste disposal.The two-member bench of Siddhartha Nauthiyal (judicial member) and Annapurna Gupta (accountant member) has noted that the assessee had booked the expenses for the disposal of the waste at the permanent site commensurate to...
Service Tax Not Payable On The Amount Collected From The Member Units For Treatment Of Effluent Water: CESTAT
The Hyderabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that service tax is not payable on the remuneration collected from the member units for the activity of treating effluent water.The two-member bench of Sulekha Beevi C.S. (Judicial Member) and Vasa VASA Seshagiri Rao (Accountant Member) has observed that as per Notification No. 08/2017-S.T....
Chokad Is Not An Industrial Input: Orissa High Court Quashes Order Imposing 4% VAT
The Orissa High Court has quashed the order imposing a 4% value-added tax (VAT) on the wheat bran (chokad) as it is not an industrial input.The division bench of Chief Justice S. Muralidhar and Justice M. S. Raman has observed that it was necessary for the Department to show that there was a notification issued by the State Government identifying ‘Chokad’ as an ‘industrial input'. In...
Kinley Water Falls Within Water, Not Aerated Or Mineral Water, Comes Within Tax Free List: Orissa High Court
The Orissa High Court held that the sale of packaged drinking water under the brand name Kinley Water falls within the expression "water but not aerated or mineral water sold in bottles or sealed containers," which is covered under Entry No.39 of the Tax-Free List.The division bench of Chief Justice S. Murlidhar and Justice Murhari Sri Raman has observed that the packaged drinking water...
Issuance Of SCN in Customs Brokers Licensing Regulations, Contemplates Dispatch Of Notice And Not Its Receipt: Delhi High Court
The Delhi High Court has ruled that the expression ‘issuance of show cause notice’ in Regulation 20(1) of the Customs Brokers Licensing Regulations, 2013 (CBLR), merely contemplates the dispatch of the notice and not its receipt by the Customs Broker, within the stipulated period. The bench of Justices Vibhu Bakhru and Amit Mahajan observed that there is a distinction...
Payment Received From Foreign Company On Account Of Business Support Services Not Taxable As FTS: ITAT
The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has held that payments received from foreign companies on account of business support services are held to be taxable as fees for technical services (FTS).The two-member bench of Anubhav Sharma (Judicial Member) and Shamim Yahya (Accountant Member) has observed that Article 12(5) of the India-Netherlands DTAA reveals that it does...
Lease Rent Paid For Acquiring Mining Rights Is Capital In Nature, Income Tax Deduction Not Allowable: ITAT
The Pune Bench of the Income Tax Appellate Tribunal (ITAT) has observed that lease rent paid for acquiring mining rights is capital in nature and income tax deductions cannot be allowed.The two-member bench of Partha Sarthi Choudhary (Judicial Member) and Inturi Rama Rao (Accountant Member) disallowed the amount of Rs. 24,33,339 towards amortization of leasehold premium paid in respect of...
CBDT Notifies Income Tax Exemption To Karnataka State Building and Other Construction Workers Welfare Board
The Central Board of Direct Taxes (CBDT) has notified the income tax exemption under section 10(46) of the Income Tax Act to the Karnataka State Building and Other Construction Workers Welfare Board.The state government framed rules in the interest of the construction laborers in 2007 in order to take up many welfare and development schemes. Keeping in mind the interest of the...