Tax
No Promissory Estoppel Involved In Grant Of Temporary Reprieve From Service Tax On Works Contract; Madras High Court
The Madras High Court has dismissed a batch of writ petitions challenging Notification No.6/2015-Service Tax, dated 01.03.2015, which withdrew service tax exemption on services in nature of works contract, as granted under the Mega Exemption Notification No.25/2012-Service Tax, dated 20.06.2012. The bench of Justices S. Vaidyanathan and C. Saravanan observed that “works...
Sabka Vishwas Scheme : Supreme Court Grants Relief To Company Which Missed Deadline Due To IBC Moratorium
No one can be expected to do the impossible, the Supreme Court remarked while granting relief to a company which could not avail the benefit of settlement of tax dues under “Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, due to moratorium imposed on it.Shekhar Resorts Limited was required to pay Rs.1,24,28,500/-. on or before 30.06.2020 for availing the benefit of “Sabka...
18% GST Payable On The Composite Supply Of Welding Services On Railway Tracks Along With Labour Services: West Bengal AAR
The West Bengal Authority of Advance Ruling (AAR) has ruled that the conversion of short weld rails (SWR) to long weld rails (LWR) by flash butt welding on the railway tracks along with the supply of labour services shall be treated as composite supplies.The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that 18% GST shall be payable on the composite supply of...
Supply Of Services For Right To Use Car Parking Space Attracts 18% GST: West Bengal AAR
The West Bengal Authority for Advance Ruling (AAR) has held that the supply of services for the right-to-use car parking spaces attracts 18% GST.The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that the supply of services for the right to use a car parking space is a separate supply and not to be construed as a composite supply of construction of residential...
Medical Monitoring Services To Senior Citizens At Door Step Attract 18% GST: West Bengal AAR
The West Bengal Authority for Advance Ruling (AAR) has ruled that services of regular medical monitoring, along with other logistical support, provided by the applicant to senior citizens at their doorsteps, attract 18% GST.The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that supply by way of health care services qualifies for exemption if it is provided by a...
When AO Has Taken One Of The Possible Views The PCIT Is Prohibited From Adopting Different View: ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT), while quashing the revision order, held that when the Assessing Officer (AO) has taken one of several possible views, the Principal Commissioner of Income Tax (PCIT) is prohibited from adopting a different view.The two-member bench of Aby V. Varkey (Judicial Member) and B.R. Baskaran (Accountant Member) relied on the decision of...
GST Dept. Can’t Retain Disputed Amount Paid Due To Inadvertent Error: Andhra Pradesh High Court
The Andhra Pradesh High Court has held that the GST department cannot retain the disputed amount that is paid to them due to an inadvertent error.The division bench of Justice C. Praveen Kumar and Justice A.V. Ravindra Babu has observed that the amounts that were paid by the assessee or petitioner who furnished the incorrect details cannot be taken as a tax due from the department or...
Customs Broker Is Not Liable For Undervaluation Of Exported Goods: CESTAT
The Chennai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that customs brokers cannot be held liable for the undervaluation of exported goods.The bench of P. Dinesha (a judicial member) has observed that the valuation of any goods could never be the domain of a customs broker as it depends upon the contract between the exporter and the importer, in which...
Income From Domain Name Registration Not Taxable As “Royalty”; Registrar Merely An Intermediary: Mumbai ITAT
The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has ruled that a domain name registrar does not have any right in the domain name, which is registered by it merely as a facilitator. Thus, the income received by it from domain name registration is not taxable as “Royalty”, the ITAT ruled. The bench of G.S. Pannu (President) and Sandeep Singh Karhail (Judicial...
Non-Banking Finance & Leasing Companies Not Liable To Pay Interest Tax On Instalments Paid Under Hire Purchase Agreement : Supreme Court
The Supreme Court has held that non-banking finance and leasing companies are not liable to pay tax on the interest component included in the hire-purchase instalment paid under the hire purchase agreement.Issue for Consideration in the Civil AppealA bench of Justices Sanjiv Khanna and M M Sundresh were considering the issue as to whether the appellants/assessees are liable to pay tax under...
All India Annual Digest of Tax Cases 2022-Supreme Court, High Courts And Tribunals
Indirect Tax Supreme Court Small Tax Effect: Monetary Limit To Prefer An Appeal Before The Supreme Court Is Rs. 2 crores: Supreme Court Case Title: CIT Versus Swapnil Finance Pvt. Ltd. The Supreme Court disposed of the appeal on the ground of low tax effects. The division bench of Justice M.R. Shah and Justice Sudhanshu Dhulia observed that the monetary limit to file an...
ITAT Sustains Disallowance As Cash Payment Exceeds Rs. 20,000 To Single Party In Single Day
The Chennai Bench of the Income Tax Appellate Tribunal (ITAT) has sustained the disallowance under section 40A(3) of the Income Tax Act as a cash payment exceeds INR 20,000 to a single party in a single day.The two-member bench headed by Mahavir Singh (Vice President) and G. Manjunatha (Accountant Member) has observed that Section 40A(3), which has been amended w.e.f. 01.04.2009 by the...