HSNS Cess | CBIC's Flyer On Health Se National Security Cess, Monthly Cess Payable By Feb 07, Return Due By March 20

The Central Board of Indirect Taxes and Customs (CBIC) has issued informative flyers relating to 'Capacity Based Excise Duty' and Health Se National Security Cess (HSNS) payable by manufacturers of Pan Masala, Tobacco from February 01 2026. With the introduction of the Health & National Security Cess and Additional Excise Duties on Pan Masala, Tobacco and Other Allied Products,...

GST| Tobacco In Small Retail Packs Classifiable As 'Chewing Tobacco': Gujarat High Court

The Gujarat High Court, in a bunch of matters concerning classification of Raw Tobacco Leaves packed and sold in retail pouches, were classifiable as 'Chewing Tobacco' irrespective of whether it was scented, fermented or liquored and re-packed or re-labelled. In a recent judgment delivered by a Division Bench comprising Justice Bhargav D. Karia and Justice Pranav Trivedi,...

GST Registration Cancellation Unsustainable When Hearing & Decision Were Made By Different Authorities: Calcutta High Court

The Calcutta High Court held that a GST registration cancellation order is unsustainable where the personal hearing is granted by one authority, but the final order is passed by another. Justice Om Narayan Rai stated that, interestingly, while the notice for personal hearing was issued by the Assistant Commissioner, CGST & CX, Burrabazar Division, but the order impugned has...

Customs Act | Wrong Classification Alone Cannot Trigger Section 111(o) Without Breach Of Exemption Conditions: CESTAT Delhi

The New Delhi Principal Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that mere denial of a customs exemption due to wrong classification of goods does not, by itself, render the goods liable to confiscation under Section 111(o) of the Customs Act, 1962, unless the exemption was conditional and such condition stood breached. The Tribunal clarified...

Foreign Trade Policy | Natural Honey Exports Capped At USD 1,400 Per Metric Ton Till March 2026, Notifies DGFT

The Directorate General of Foreign Trade (DGFT) has notified that Minimum Export Price (MEP) for Natural Honey will be USD 1,400 per metric ton and exports below this price would not be permitted. In a Notification dated December 31, 2025, DGFT has notified extension by revising the Export Policy condition for Honey falling under tariff heading ITC HS 04090000 till March 31 2026,...

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...

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)...