Tax
Initiation Of Malicious Prosecution By Income Tax Dept. Abusing Power: Madras High Court
The Madras High Court bench of Justice G. Jayachandran has held that the suppression of material facts, the intentional suggestion of falsehood and the non-application of mind go to show that there was a malicious prosecution initiated by the Income Tax department by abusing its power. The petitioners need not be forced to undergo the ordeal of a trial, which has no legs to stand...
GSTN Enables Functionality Of AATO For The FY 2021-22 On Taxpayers' Dashboards
The Goods and Service Tax Network (GSTN) has enabled the functionality of Annual Aggregate Turnover (AATO) for the FY 2021-22 on taxpayers' dashboards.Taxpayers may now check the precise Annual Aggregate Turnover (AATO) for the previous fiscal year (FY). The taxpayers can also view the Aggregate Turnover of the current FY based on the returns filed till date. The taxpayers have...
Assessing Officer Cannot Apply Wrong Method In Absence Of Audited Financials Of AE: Delhi ITAT
The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) consisting of Yogesh Kumar (Judicial Member) and Dr. B.R.R. Kumar (Accountant Member) has held that the AO cannot give benefit to the assessee for non-cooperation in providing audited financials of associated enterprises (AE). The appellant/assessee company, Olympus India, incorporated on October 20, 2009, is a wholly...
Non Filing Of Response Due To Technical Glitch In E-Filing Portal: Delhi High Court Quashes The Order And Directs Fresh Hearing
The Delhi High Court bench of Justice Manmohan and Justice Subramonium Prasad has held that the taxpayer could not file a response under the Faceless Scheme due to a technical glitch in the e-filing portal. The petitioner/assessee has challenged the ex-parte order passed under Section 147 read with Section 144 of the Income Tax Act, 1961. The department passed the order under Section...
Additions Cannot Be Made To Assessee's Income On Basis Of Document Declared By The CESTAT As 'Dumb Document': Ahmedabad ITAT
The Ahmedabad Bench of ITAT has ruled that additions cannot be made to assessee's taxable income under the Income Tax Act, 1961 on the basis of documents that are declared as 'dumb documents' by the CESTAT in the service tax proceedings before it. The Bench, consisting of members Madhumita Roy (Judicial Member) and Waseem Ahmed (Accountant Member), held that though the proceedings...
No GST Leviable In The Hands Of Employer On Amount Representing Employees Portion of canteen charges: Gujarat AAR
The Gujarat Authority of Advance Ruling (AAR) consisting of members Atul Mehta and Arun Richard ruled that no GST is leviable in the hands of the employer on an amount representing the employee portion of canteen charges. The applicant, M/s. Cadila Healthcare Limited, is in the business of manufacturing, supplying, and distributing various pharmaceutical products. M/s. Cadila...
Assessee Deprived Of Refund Due To Wrongful Withholding Of Amount By Income Tax Dept.: Bombay High Court Imposes 6% Interest
The Bombay High Court bench of Justice S.G. Mehare and Justice R.D. Dhanuka has allowed 6% interest to the assessee on wrongful withholding of the amount by the income tax department.A search was conducted at the residence of the petitioner/assessee under Section 132 of the Income Tax Act, 1961 and an amount of Rs. 48,00,000 along with gold jewellery was seized by the department....
Computer Software Supplied To Public Funded Research Institutions Attracts 5% GST: Karnataka AAR
The Karnataka Authority of Advance Ruling (AAR), consisting of members Dr. M.P.Ravi Prasad and T.Kiran Reddy, has ruled that 5% GST is payable on computer software supplied to public-funded research institutions. The Applicant, Keysight Technologies India Pvt. Ltd., is in the business of supplying scientific and technical equipment and time-based and perpetual software...
Wrongful Availment Of ITC: Chhattisgarh High Court Refuses Bail
The Chhattisgarh High Court bench headed by Chief Justice Arup Kumar Goswami and Justice Gautam Chourdiya has refused to grant bail to a person allegedly involved in availment of fraudulent Input Tax Credit (ITC).The appellants created several fictitious and physically non-existent trading company firms in Chhattisgarh, Jharkhand, Madhya Pradesh, West Bengal and Maharashtra,...
Monthly Digest Of Tax Cases- April 2022
Indirect Taxes Supreme Court1.Plea In Supreme Court Challenges The Constitutional Validity Of Levy Of GST On Lease/ Rent Payments Case Title: Myrayash Hotels Pvt. Ltd. v. Union of India & Ors. The Supreme Court of India has asked the petitioner(s) to serve an advance copy to the Additional Solicitor General to seek instructions in a plea challenging constitutional validity...
Weekly Round-Up Of Tax Cases: 24 April To 30 April, 2022
Supreme CourtIncome Tax Act - Loss Suffered Due To Exchange Fluctuation While Repaying Loan Can Be Regarded As Revenue Expenditure : Supreme CourtCase Title: Wipro Finance Ltd. vs Commissioner of Income Tax Citation: 2022 LiveLaw (SC) 418 Allowing the appeal filed by Wipro Finance Ltd., the Supreme Court observed that the loss suffered owing to exchange fluctuation can be regarded...
Spot Memos Issued By Audit Department Unenforceable, Since Earlier Proceedings On Same Issue Not Completed: Calcutta High Court
The Calcutta High Court has quashed the spot memos issued to the assessee by the audit department and ruled them unenforceable since earlier proceedings initiated by the revenue department on the same issue were not completed. The Bench, consisting of Justices T. S. Sivagnanam and Hiranmay Bhattacharyya, observed that different wings of the same department had been issuing notices...