Tax
Explanation 2 To S. 37(1) of Income Tax Act, Which Bars Deduction of CSR Expenses, Is Prospective In Nature: Delhi High Court
The Delhi High Court has reiterated that Explanation 2 to Section 37(1) of Income Tax Act, 1961, inserted by the Finance Act, 2014, which bars deduction of CSR expenses while computing income from business or profession, is prospective in nature. The bench of Justices Rajiv Shakdher and Tara Vitasta Ganju remarked that deductibility of CSR expenses under Section 37(1), prior to...
Since Investigation By DGGI Started Prior To Filing Of Application, AAR Order Is Invalid : Andhra Pradesh High Court
The Andhra Pradesh High Court has ruled that the term ‘any proceedings’ referred to in the proviso to Section 98(2) of the CGST Act/ Andhra Pradesh GST Act (APGST Act), includes within its ambit the investigation initiated against the applicant under the said Act. The bench of Justices U. Durga Prasad Rao and T. Mallikarjuna Rao noted that the proviso to Section 98(2) puts an...
Supreme Court Stays Madras High Court’s Order Directing Payment of Tax On Manufacture Of Water Borehole Drilling Rigs
The Supreme Court has stayed the order passed by the Madras High Court directing the payment of a minimum 4% tax on the manufacturing of the water borehole drilling rigs.The division bench of Justice Krishna Murari and Justice C.T. Ravi Kumar has observed that tax at the rate of 4% has already been deposited by the petitioner. The direction in the order to pay another 4% shall remain in...
Extension Of Limitation To Issue Order Under S. 73 Of CGST Act Would Also Extend Time Limit To Issue SCN: Kerala High Court
The Kerala High Court has ruled that when the time limit for issuing an order under Section 73(10) of the CGST Act stands extended by a notification, the time limit for issuance of show cause notice under Section 73(2) would also stand extended. The bench of Justice Gopinath P. was dealing with a writ petition challenging an order passed under Section 73 of the CGST/SGST Act on the...
Merely Making Unsustainable Claim Will Not Amount To Furnishing Of Inaccurate Particulars Of Income: ITAT
The Pune bench of the Income Tax Appellate Tribunal (ITAT) has held that the mere making of a claim, which is not sustainable by the law itself, will not amount to furnishing inaccurate particulars of income.The bench of S.S. Vishwanethra (Judicial Member) has observed that the appellant cannot be held guilty of furnishing inaccurate particulars of income, and, therefore, the Assessing...
Claim That Investment In Shares Was A Capital Account Transaction, Non-Application Of Mind By AO: Delhi High Court Quashes Reassessment Notice
The Delhi High Court has quashed the reassessment notice as the AO failed to apply his mind as to whether an investment in shares was a capital account transaction.The division bench of Justice Rajiv Shakdher and Justice Tara Vitasta Ganju has observed that the principal allegation against the assessee is that it purchased shares of an Indian company and that this led to the escapement of...
Writ Court Can’t Classify Products Under Customs Tariff Act, Technical Analysis Is Required: Calcutta High Court
The Calcutta High Court has held that a writ court cannot answer the classification of products under the Customs Tariff Act as it requires technical analysis.The single bench of Justice Md. Nizamuddin has observed that a writ court in the exercise of its constitutional writ jurisdiction under Article 226 of the Constitution of India should not act as an expert to scrutinize the composition...
Supreme Court Sets Aside Bail Condition To Deposit Rs 70 Lakhs In Case For Wrongfully Claiming ITC
The Supreme Court has overturned a bail condition imposed by the High Court that a person accused of illegally claiming Input Tax Credit must deposit deposit Rs. 70 lakhs, the alleged amount of improperly claimed ITC.The petitioner contended that there was no final assessment in respect of the wrongful availment of ITC under the GST Act. Hence, it cannot be presumed that the appellant is under...
Specially Distinguished Record Of Service Medal To 29 Officers: CBIC
The Central Board of Indirect Taxes and Customs (CBIC) has notified the names of 29 Officers for appreciation certificates and medals for “Specially Distinguished Record of Service”.Each year, the CBIC’s officers and staff are given consideration for Presidential Award of Appreciation Certificates and Medals for "Exceptionally Meritorious Service rendered at the Risk of Life" and...
DGFT Clarifies On The Implementation Of The Paper Import Monitoring System
The Directorate General of Foreign Trade (DGFT) has issued a clarification on the Implementation of the Paper Import Monitoring System.The DGFT has received various representations from trade & industry seeking clarification on the applicability of the Notification dated May 25, 2022.The matter was examined in consultation with the Department of Commerce (DOC) and the Department for...
Can the Writ Court Condone Delay Beyond Time Limit Under GST Act: Madras High Court Refers Issue To DB
The Madras High Court has referred to the division bench the issue of the power of the high court under Article 226 to condone the delay beyond the maximum time limit stipulated under the GST Act.The single bench of Justice Abdul Quddhose has observed that there were two contradictory views expressed by two judges of the Madras High Court.The petitioners have challenged the cancellation of...
Assessing Officer Not Justified In Rejecting Audited Books Of Accounts For Producing Photocopy Of Bills: ITAT
The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has held that the assessing officer was not justified in taking drastic action and rejecting books of account that are audited solely on the basis of general remarks that photocopies of the bills have been produced instead of original bills.The two-member bench of Anubhav Sharma (Judicial Member) and Pradip Kumar Khedia...