Tax
Union Govt Notifies Trade Deals With New Zealand, Switzerland, Norway & Iceland; Eliminates Duty On 100% Of Indian Exports
The Ministry of Finance, Department of Revenue has notified 100% Duty-Free Exports under four major Free Trade Agreements with New Zealand, Switzerland, Norway and Iceland. Indian exports would be partially exempt from various Rates like Basic Customs Duty and fully exempt from Agriculture Infrastructure and Development Cess as well as Health Cess. India also concluded two more...
LiveLawBiz: Business Law Daily Round-Up: January 02, 2026
TAX New RSP Based Valuation Mechanism, 40% GST Rate On Pan Masala, Cigarettes, Cigars, Tobacco Products From February 01No GST On Liquidated Damages For Breach Of Contract: Karnataka High Court Quashes SCNER-1 Returns Don't Require Detailed CENVAT Disclosure; Extended Limitation Not Invocable: CESTAT DelhiIPRDelhi High Court Upholds Order Rejecting Ericsson's Data Security Invention...
Notification Defining Jurisdiction Does Not Automatically Empower All Officers To Invoke S. 122 CGST Act: AP High Court
The Andhra Pradesh High Court held that a notification merely defining or fixing the territorial jurisdiction of officers cannot be construed as conferring the power to initiate penalty proceedings under Section 122 of the CGST Act. Section 122 of the Central Goods and Services Tax (CGST) Act, 2017 is the primary provision defining various GST-related offences and the...
Flavoured Milk Is Not 'Beverage'; Taxable At 5% GST: Karnataka High Court Provides Relief To Dodla Dairy
The Karnataka High Court held that flavoured milk qualifies as a dairy product under Tariff Heading 0402 and not as a 'beverage' under Tariff Heading 2202. Consequently, GST at 5% will be applicable on flavoured milk instead of 12%. Justice S.R. Krishna Kumar examined the classification of the flavoured milk under the GST, considering whether it falls under Tariff...
Tax Monthly Digest: December 2025
SUPREME COURTCentral Excise Exemption For Cotton Fabrics Not Available If Any Interlinked Process Uses Power : Supreme CourtCause Title: COMMISSIONER OF CUSTOMS, CENTRAL EXCISE & SERVICE TAX, RAJKOT VERSUS NARSIBHAI KARAMSIBHAI GAJERA & ORS.The Supreme Court has held that manufacturers cannot claim central excise duty exemption for processed cotton fabrics if power is used at any stage...
ER-1 Returns Don't Require Detailed CENVAT Disclosure; Extended Limitation Not Invocable: CESTAT Delhi
The Principal Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has set aside a central excise demand of ₹96.02 lakh raised against Bridgestone India Private Limited, holding that the extended period of limitation was wrongly invoked by the department. A Bench of the Customs, Excise and Service Tax Appellate Tribunal comprising Justice Dilip Gupta (President)...
'Lame Excuses': Gujarat High Court Refuses To Condone Delay In Filing GST Appeal On Ground Of Illness Of Accountant, Closure Of Business
The Gujarat High Court dismissed a plea challenging order of the appellate authority which had rejected the assessee's GST appeal filed belatedly, observing that it cannot quash the order in wake of the "lame excuse" given by the petitioner for condoning delay such as illness of the Accountant and closure of business.The petitioner had filed an appeal before the Commissioner (Appeals)...
No GST On Liquidated Damages For Breach Of Contract: Karnataka High Court Quashes SCN
The Karnataka High Court held that liquidated damages recovered for breach or delay in contractual obligations are compensatory in nature and do not constitute consideration for any supply under GST. Justice S.R. Krishna Kumar examined whether the amount paid as compensation by the Lending Service Provider (LSP) to the assessee constituted 'liquidated damages' and whether such amount...
S.148A Income Tax Act | Gujarat High Court Quashes Reopening Of Assessment, Says AO Conducted Roving Inquiry Despite Being Given All Details
The Gujarat High Court quashed proceedings reopening the assessment of a man whose income had allegedly escaped assessment, after noting that despite the assessee explaining all banking transaction details, the assessing officer had travelled beyond the law and conducted a roving inquiry. For context, Section 148A of the Income Tax Act pertains to conducting of inquiry by assessing officer...
New RSP Based Valuation Mechanism, 40% GST Rate On Pan Masala, Cigarettes, Cigars, Tobacco Products From February 01
Central Board of Indirect Taxes & Customs (CBIC) has notified upward revision of GST rate on tobacco and related products together with legislative changes to the GST Rules, enforceable from February 01 2026. To phase out Compensation Cess on Pan Masala, Tobacco and Allied Products, CBIC has issued a Notification on Wednesday to prescribe a NIL rate of Compensation Cess on...
Income Tax Act | Gujarat High Court Quashes S.153C Assessment As Time-Barred, Rejects Revenue's Reliance On S.153(6)(i)
The Gujarat High Court quashed assessment order as well as a demand notice issued to an entity under Section 153C Income Tax Act after noting that the assessment order was issued invoking Section 153(6)(i) was beyond the limitation period. The petitioner had moved the high court for quashing Assessment Order dated 30.04.2024 as well as the demand Notice dated 30.04.2024 for the Assessment...
LiveLawBiz: Business Law Daily Round-Up: January 01, 2026
TAX CBI Court Convicts Central Excise Inspector In Disproportionate Assets Case, Awards 5 Yrs Imprisonment & ₹63 Lakh Fine; Wife Jailed For Abetment Gujarat High Court Grants Relief After Transfer Pricing Objections Were Mistakenly Filed Before Wrong Authority, Quashes Final AssessmentTree Plantation & Maintenance In Non-Forest Areas By Charitable Trust Exempt From GST: Gujarat...