Tax
Delay In Filing Audit Reports Due To The Hospitalisation Of Accountant: ITAT Deletes Penalty
The Pune Bench of the Income Tax Appellate Tribunal (ITAT) has deleted the penalty for delay in filing audit reports due to the hospitalisation of the assessee's accountant. The two-member bench, led by R. S. Syal (Vice President) and Partha Sarathi Chaudhury (Judicial Member), concluded that the assessee had explained the reasonable cause through documentary evidence.The...
Tuition Fee Is Taxable Only When A Corresponding Service Is Rendered By The Educational Institution: Hyderabad ITAT
The Hyderabad Bench of ITAT has ruled that the tuition fee collected in advance is not taxable in the year of receipt and that the tuition fee is taxable only when a corresponding service is rendered by the educational institution. The Bench, consisting of K. Narasimha Chary (Judicial Member) and Rama Kanta Panda (Accountant Member), held that examination fee collected from students...
Delhi High Court Quashes Reassessment Order Issued Without Considering The Reply Filed By The Assessee
The Delhi High Court, consisting of Justice Manmohan and Justice Manmeet Preetam Singh Arora, has quashed the reassessment order issued without considering the reply filed by the assessee. The petitioner/assessee stated that the reassessment proceedings initiated by the department were void ab initio. The proceedings were initiated in the name of "Damian Estate...
Penalty Can't Be Imposed Without Giving The Opportunity Of Hearing To The Taxpayer: Andhra Pradesh High Court
The Andhra Pradesh High Court has ruled that the GST penalty cannot be imposed without giving the taxpayer an opportunity of hearing.The division bench of Justice C. Praveen Kumar and Justice V. Sujatha has observed that any rectification under Section 161 of the CGST Act, which adversely affects any person, is possible only after following the principles of natural...
Show Cause Notice Mailed To The Wrong Email Address: Delhi High Court Remands The Matter To The Assessing Officer For A Fresh Decision
The Delhi High Court, consisting of Justice Manmohan and Justice Manmeet Preetam Singh Arora, has remanded the matter to the assessing officer for a fresh decision as the department mailed the show cause notice to the wrong email address.The petitioner/assessee submitted that the department alleged that the petitioner's claim for IGST Refund was incorrect and, hence, the amount "is...
Tax Cases Weekly Round-Up: 29 May To 4 June, 2022
Karnataka High CourtJust Because The Ratio For Payment Of Service Tax Not Adhered To, Assessee Not Liable To Pay Double Tax As Penalty: Karnataka High Court Case Title: The Vice Chairman Settlement Commission & Anr. versus M/s Zyeta Interiors Pvt. Ltd & Anr. The Karnataka High Court has ruled that merely because the ratio in which service tax was required to be paid by...
Supply Of Works Contract Services To Nagar Nigam Attracts 12% GST: AAR
The Gujarat Authority of Advance Ruling (AAR) consisting of Arun Richard and Atul Mehta has ruled that 12% GST is payable on the supply of work contract services to Nagar Nigam. The applicant, M/s Amnex Infotechnologies Private Limited, submitted that Request for Proposal (RFP), issued by the Shahjahanpur Nagar Nigam, Uttar Pradesh, for the selection of a Master System Integrator...
Sale Of Car By Company After Using It For Business Purpose Attracts 18% GST: AAR
The Gujarat Authority of Advance Ruling (AAR) consisting of Arun Richard and Atul Mehta has ruled that 18% GST is payable on the sale of a car by a company after using it for business purposes.The applicant, M/s. Dishman Carbogen Amcis Limited, purchased a new car for Rs. 80 lakhs on 16-02-2018 for use in its business. The applicant did not avail GST Input Tax Credit at the time of purchase...
Just Because The Ratio For Payment Of Service Tax Not Adhered To, Assessee Not Liable To Pay Double Tax As Penalty: Karnataka High Court
The Karnataka High Court has ruled that merely because the ratio in which service tax was required to be paid by the service recipient and the service provider was not strictly adhered to, the assessee cannot be made liable to pay double tax by denying him the CENVAT Credit. The Bench, consisting of Justices S. Sujatha and Shivashankar Amarannavar, held that the reverse charge...
Violation of RBI Notification Prohibiting Deposit Of Demonetized Notes Does not attract Addition On Account of Unexplained Cash Credits: ITAT
The Bangalore bench of the Income Tax Appellate Tribunal (ITAT) consisting of B.R. Baskaran (Accountant Member) held that violation of the RBI notification prohibiting deposit of demonetized notes does not attract addition on account of unexplained cash credits. The appellant/assessee is a primary agricultural credit co-operative society providing credit facilities to its members. The...
Notice Imposing Penalty For Concealment Of Income Can't Be Issued Without Specifying The Limb: ITAT
The Ahmedabad Bench of the Income Tax Appellate Tribunal (ITAT) has ruled that the notice imposing a penalty for concealment of income cannot be issued without specifying the relevant limb. The two-member bench of Suchitra Kamble (Judicial Member) and Waseem Ahmed (Accountant Member) has observed that the Assessing Officer and the CIT (A) have simply imposed a penalty on concealment...
Failure Of Assessee To Give Proper Reasons For Not Appearing Before The Tax Authorities: ITAT Imposes Cost
The Banglore Bench of the Income Tax Appellate Tribunal (ITAT) consisting of B.R. Baskaran (Accountant Member) has imposed a cost of Rs.10,000 on the assessee for the failure to give proper reasons for not appearing before the tax authorities.The assessee/appellant is the director of the group company named M/s. Panama Nature Fresh Pvt. Ltd. It was the understanding of the assessee that...