Tax
DGFT Notifies Additional Provisions For Allocation Of TRQ For Crude Soya Bean Oil And Crude Sunflower Oil
The Directorate General of Foreign Trade (DGFT) has notified the additional provisions for the allocation of Tariff Rate Quota (TRQ) for 20 lakh MT of crude soya bean oil and 20 lakh MT of crude sunflower oil for the financial years 2022–23 and 2023–24.The DGFT informed applicants that for each processing unit, they must present a self-certified copy of documentation proof...
Definition Of 'Resident' Under Income Tax Act Designed For Including Persons In Tax Net, Not For Determining Citizenship: Rajasthan High Court
The Rajasthan High Court has observed that the condition imposed by the Income Tax Act that a person residing in India for a continuous period of 180 days would be considered to be a resident of India, is for the purpose of bringing such person within the purview of the Income Tax Act. The court added that the definition is simply designed for the purpose of including the persons who are...
18% GST payable On PV DC Cables: Maharashtra AAR
The Maharashtra Authority of Advance Ruling (AAR), consisting of Rajiv Magoo and T.R. Ramnani, has ruled that 18% GST is payable on PV DC cables. The applicant is in the business of manufacturing and supplying solar cables, commonly known as photo-voltaic DC cables (PVDC cables) under various brand names. The cables are made from copper conductors with cross-linked polyolefin...
Notice For Reopening Of Assessment Against Dead Person Is Invalid: ITAT Quashes Re-Assessment Order
The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has ruled that the notice for reopening of the assessment against the dead person is invalid. The two-member bench of Kul Bharat (Judicial Member) and Pradeep Kumar (Accountant Member) has observed that the Assessing Officer has accentuated the legal fallacy by continuing to proceed against the dead person by issuing notice...
Order Passed On The Same Day When Notice Was Issued Led To The Violation Of Principle Of Natural Justice: Gujarat High Court
The Gujarat High Court bench of Justice A.J. Desai and Justice Bhargav D. Karia has quashed the order under GST on the grounds that the notice as well as the order were passed on the same date, denying the opportunity of hearing to the assessee. The petitioner/assessee is a private limited company engaged in the business of flexible packaging materials. The petitioner received...
No Cess Applicable On Coal Used As An Input For Manufacturing Finished Goods Used For Domestic Supply: Calcutta High Court
The Calcutta High Court has ruled that cess is not applicable on the coal used as an input for manufacturing finished goods for the domestic supply. The single bench of Justice Md. Nizamuddin has observed that goods which are subject to a nil rate of cess would be construed as exempt supplies for purposes of the formula prescribed in Rule 89 (4) of the CGST Rules. Therefore, it...
Underreporting Of Income Due To Re-Computation Of Disallowance By The AO, Does Not Amount To Misreporting Of Income: Delhi High Court
The Delhi High Court has ruled that where the underreporting of income allegedly done by the assessee is due to the re-computation of the disallowance under Section 14A of the Income Tax Act, 1961 by the Assessing Officer, it would not amount to misreporting of income. The Bench, consisting of Justices Manmohan and Manmeet Pritam Singh Arora, observed that the underreporting of income...
Subsidy Received From The Government In The Form Of Refund Of VAT And CST, To Encourage Industrial Growth, Is A Capital Receipt: Pune ITAT
The Pune Bench of ITAT has ruled that a subsidy granted by the State of Maharashtra, with the objective of encouraging industrial growth in less developed areas of the State, is a capital receipt even though the said subsidy is disbursed in the form of refund of Value Added Tax (VAT) and Central Sales Tax (CST). The Bench, consisting of S. S. Viswanethra Ravi (Judicial Member) and...
AO Failed To Consider Genuine Purchases And Sales Entered In The Books Of Account: Himachal Pradesh High Court Deletes Addition
The Himachal Pradesh High Court bench of Justice Sabina and Justice Satyen Vaidya has deleted the addition on the grounds that the Assessing Officer (AO) has failed to consider genuine purchases and sales entered in the books of account. The respondent/assessee company followed a direct marketing business model and derived income from retail trading of various consumer goods. The...
Tax Cases Weekly Round-Up: 5 June To 11 June, 2022
Delhi High Court Show Cause Notice Mailed To The Wrong Email Address: Delhi High Court Remands The Matter To The Assessing Officer For A Fresh Decision Case Title: M/s Schneider Electric India Pvt. Ltd. Versus ACIT Citation: 2022 LiveLaw (Del) 545 The Delhi High Court, consisting of Justice Manmohan and Justice Manmeet Preetam Singh Arora, has remanded the matter to the...
Service Tax Not Payable On Liquidated Damages Collected From Contractor: CESTAT
The Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Anil Choudhary (Judicial Member) ruled that service tax is not payable on liquidated damages collected from the contractor. The appellant/assessee is in the business of providing taxable services under the head renting of immovable properties, legal consultation, manpower supply service,...
No Limitation Applicable For Refund Amount Lying With Dept. Having The Nature Of Revenue Deposit: CESTAT
The Delhi bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Anil Choudhary (Judicial Member) has ruled that the limitation applicable for refund amount lies with the department having the nature of revenue deposit. The appellant/assessee is in the business of providing services under the category of "Construction...