Tax
Rajasthan High Court Refuses Bail To Director Of A Company Allegedly Involved In GST Evasion Worth Rs.869 Crores
The Rajasthan High Court bench of Justice Narendra Singh Dhaddha has refused to grant bail to the director of a company who was allegedly involved in goods and service tax (GST) evasion worth Rs. 869 crores.Counsel for Sohan Singh Rao/petitioner submitted that the petitioner was falsely implicated in the case of GST evasion. The petitioner is a director of M/s Miraj Products Private...
Income Disclosed Under Voluntary Disclosure Scheme Cannot Be Included With Regular Income ;Madhya Pradesh High Court
The Madya Pradesh High Court has ruled that income disclosed under Voluntary Disclosure Scheme cannot be included with the regular income declared under Income Tax Act as the tax paid under the Scheme cannot be refunded at any cost. The Bench, consisting of Justices Vivek Rusia and Amar Nath Kesharwani, has held that tax paid under Voluntary Disclosure Scheme and tax paid under Income...
State Can't Legislate On Entry Tax After Deletion Of Entry 52 Of List II: West Bengal Taxation Tribunal
The West Bengal Taxation Tribunal, headed by Malay Marut Banerjee (Chairman), Suranjan Kundu (Judicial Member), and Chanchalmal Bachhawat (Technical Member), observed that the state legislature cannot make any law in the field of entry of goods into the local area for consumption, use, and sale as Entry 52 of List II of the 7th Schedule of the Constitution of India was dropped...
Claim Of Refund And Interest Shall Be Dealt Under The Existing Law On Central Excise And Not As Per CGST Act. Punjab & Haryana High Court Rejects The Plea Of Revenue
The Punjab and Haryana High Court has held that the revenue department cannot take the plea of transfer of jurisdiction due to GST regime against assessee's claim for refund of central excise duty and interest. The Bench, consisting of Justices Ajay Tewari and Pankaj Jain, ruled that the Income Tax Act, 1961 and Central Excise Act, 1944 are pari materia and an assessee was entitled...
S. 194-I Income Tax Act | TDS Can't Be Deducted In Absence Of Payment Of Rent: Orissa High Court
The Orissa High Court has held that in absence of payment of rent, the obligation to deduct tax at source ('TDS') under Section 194-I of the Income Tax Act, 1961 ('the Act') does not arise at all. Notably, the said provision deals with 'TDS on rent'. While dismissing an Income Tax Appeal, a Division Bench of Chief Justice Dr. S. Muralidhar and Justice R.K. Pattanaik...
Rent Free Accomodation Provided By Partner To Partnership Firm Is Exigible To GST: Tamil Nadu AAR
The Tamil Nadu Bench of the Authority for Advance Ruling, consisting of members T.G. Venkatesh and K. Latha, has ruled that GST is liable to be paid in respect of properties of a Partner rented to a partnership firm, even if it is free of rent, to carry out the business of the firm, since the activity is in furtherance of business and amounts to supply under Section 7 read with Schedule 1...
Remuneration From Partnership Not 'Gross Receipt' For Purpose Of Audit Under Section 44AB Of Income Tax Act: Bombay High Court
The Bombay High Court has ruled that remuneration received from partnership firm cannot be treated as gross receipt in profession for the purpose of compulsory audit under Section 44AB of the Income Tax Act, 1961. The Bench, consisting of Justices K.R. Shriram and N.J. Jamadar, ruled that none of the clauses under Section 44AB envisage the situation where an assessee is carrying on...
Assessee's Recourse To Constitutional Provisions Not A 'Proceeding Under Income Tax Act' : Kerala High Court
The Kerala High Court on Thursday ruled that a Special Leave Petition filed by an assessee under Article 136 of the Constitution of India cannot be regarded as a proceeding under the Income Tax Act. Justice Bechu Kurian Thomas held that while an assessment, appellate, and even revisional proceeding qualify as "proceedings under this Act', one instituted under the Constitution did not. "As...
GST Appeal Filed Physically On Failure Of Digital Filing - Department Wrongly Rejected Appeal: Andhra High Court
The Andhra Pradesh High Court bench of Justice U. Durga Prasad Rao and Justice J. Uma Devi has quashed the order rejecting the GST appeal which was not filed electronically.The petitioner/assessee preferred a statutory appeal against the assessment orders passed by the department. As Rule 108 of the Andhra Pradesh Goods and Service Tax Rules (APGST Rules) permits filing of...
Department Cannot Block GST ITC Without Assigning Any Reason: Gujarat High Court
The Gujarat High Court bench of Justice J.B. Pardiwala and Justice Nisha M. Thakore has held that the department cannot block the Input Tax Credit (ITC) without assigning any reason to the assessee.The writ petitioner/assessee, a proprietary concern, is in the business of trading in M.S. scrap for the past 13 years. The proprietary firm purchases the scraps from different suppliers and...
State Authorities, Regulatory Bodies Including Direct & Indirect Tax Departments Cannot Question Resolution Plan: ITAT Dismisses Revenue Department's Appeal
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has dismissed the appeal filed by the revenue department on the grounds that the state authorities and regulatory bodies, including direct and indirect tax departments, cannot question the resolution plan.The two member bench of Sandeep Singh Karhail (Judicial Member) and Prashant Maharishi (Accountant Member) observed that as...
States Have Legislative Competence To Levy Tax On Lotteries Run By Other States : Supreme Court Allows Appeals Of Kerala & Karnataka
In a significant judgment, the Supreme Court has held that State legislatures have the competence to levy tax on the lotteries organized by other states. Holding so, a bench comprising Justices MR Shah and BV Nagarathna allowed the appeals filed by the States of Karnataka and Kerala challenging the judgments of Karnataka and Kerala High Courts which held that they lacked the...