Tax
Education Cess Lawfully Refunded To The Assessee, Can't Recover Later Based On Change Of View Of The Supreme Court: J&K and Ladakh High Court
The High Court of Jammu & Kashmir and Ladakh has ruled that the revenue department cannot seek the return of the amounts lawfully refunded to the assessee in consonance with an earlier decision of the Supreme Court, on the ground that the Supreme Court has changed its opinion on the said matter in a decision rendered subsequently. The Bench, consisting of Chief Justice Pankaj...
Improper Documentation By Wheat Exporters For Registration Certificates: DGFT Tightens The Norms
Due to improper paperwork by wheat exporters seeking registration certificates, the Director General of Foreign Trade (DGFT) has issued a trade alert about the physical verification of Letters of Credit (LCs) by Regional Authorities (RAs) that have already been granted or are in the process of being so. The DGFT (HQ) issued rules to all RAs in a circular dated May 19,2022,...
Onus To Prove Identity, Creditworthiness And Genuineness Of Transaction Lies On Assessee: Pune ITAT
The Pune Bench of the Income Tax Appellate Tribunal (ITAT), consisting of Partha Artha Sarathi Chaudhury (Judicial Member) and Inturi Rama Rao (Accountant Member), has ruled that the onus to prove identity, creditworthiness, and genuineness of a transaction lies with the assessee. The assessing officer found that during the year under consideration, the share capital of the company...
High-Pitched, Unreasonable Reassessment Orders, Allahabad High Court Directs The Authorities To Take Action
The Allahabad High Court has directed the centre and the tax department to take action against officials for issuing high-pitched and unreasonable reassessment orders.The division bench of Justice Surya Prakash Kesarwani and Justice Jayant Banerji has observed that the centre should ensure to establish a monitoring cell at the level of government or CBDT within a month if it has not...
Tax Cases Weekly Round-Up: 22 May To 28 May 2022
Supreme Court Case Name: Union of India And Anr. v. M/s. Mohit Minerals Through Director Citation: 2022 LiveLaw (SC) 500 Separate IGST On Indian Importers For Ocean Freight Against Concept Of "Composite Supply", Violates Section 8 CGST Act : Supreme Court The Supreme Court has held when the Indian importer is liable to pay Integrated Goods and Services Tax (GST) on...
Loss Arising Out Of Sale Of Government Securities Is A Trading Loss: ITAT
The Visakhapatnam Bench of the Income Tax Appellate Tribunal (ITAT) held that the loss arising out of the sale of government securities is a trading loss. The two-member bench of Duvvuru Rl Reddy (Judicial Member) and S. Balakrishnan (Accountant Member) observed that the treatment of securities of the AFS (available for sale) categories has to be seen in contradiction and contrast...
CBIC Issues SOP for NCLT Cases In Respect Of The IBC
The Central Board of Indirect Taxes and Customs (CBIC) has issued the Standard Operating Procedure (SOP) for National Company Law Tribunal (NCLT) cases in respect of the Insolvency and Bankruptcy Code (IBC).The Board has instructed that the Insolvency and Bankruptcy Board of India establish the role of the GST and Customs authorities in certain crucial matters under the Insolvency...
Madras High Court Upholds Validity Of Section 6 Of The Tamil Nadu Value Added Tax Act 2006
The Madras High Court recently upheld the validity of amendments made to Section 6 of The Tamil Nadu Value Added Tax Act, 2006. The court observed that in matters relating to tax, the interest of the State must be considered as against the interest of certain individuals. The court also discussed the power of the legislature in taking decisions with respect to tax "The hardship that...
Income Tax Penalty Can't Be Imposed For Committing Unintentional Error In Form-16: ITAT
The Pune bench of the Income Tax Appellate Tribunal (ITAT) consisting of S.S. Viswanethra Ravi (Judicial Member) and Inturi Rama Rao (Accountant Member) has ruled that the income tax penalty cannot be imposed for committing an unintentional error on Form-16. The appellant/assessee is an individual who filed a return declaring a total income of Rs. 5,39,360. A notice under section 143(2)...
No Service Tax Leviable On Toll Collection, Toll Collector Not A Commission Agent: CESTAT Mumbai
The Mumbai Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has ruled that any amount retained by a toll collector while undertaking toll-collection activity does not attract service tax since the said activity does not constitute a service rendered by a commission agent and thus it does not fall within the purview of a 'business auxiliary service' under the...
CBIC Waives Late Fees For Delayed Filing Of GSTR-4 Till 30 June, 2022
The Central Board of Indirect Taxes and Customs (CBIC) has waived the late fees for delayed filing of GSTR-4 from May 1, 2022 till June 30, 2022. The CBIC, empowered under section 128 of the Central Goods and Services Tax Act, 2017 on the recommendations of the Council, amended notification No. 73/2017–Central Tax, dated the 29th of December, 2017. "Provided also that the late...
ITC Transfer From One State To Another Is Not An Inward Supply: Orissa High Court
The Orissa High Court bench of Justice Jaswant Singh and Justice M.S. Raman has ruled that an input service distributor (ISD) can claim ITC only in the case of an inward supply, and an ITC transfer from one state to another is not an inward supply. The petitioner/assessee, JSW Steel, is a public limited company. The assessee is in the business of manufacturing and selling hot...