High Court
No CST If State Tax Already Paid On Inter-State Movement Of Goods: Andhra Pradesh High Court
The Andhra Pradesh High Court on 9 February held that once tax is levied and collected on goods under the Andhra Pradesh General Sales Tax Act (APGST Act), no Central Sales Tax (CST) can be imposed on their inter-State movement, even if statutory declaration forms such as C-Forms or F-Forms are not furnished or are defective. A Division Bench of Justice R Raghunandan Rao and Justice T.C.D. Sekhar allowed a petition challenging the CST assessment for the assessment year 2004–05, filed by Gourav...
RBI 2016 MSME Framework Not Absolute Bar To SARFAESI Action Against MSME Borrower: Calcutta High Court
The Calcutta High Court has recently observed that banks are required to examine and keep SARFAESI proceedings in abeyance only if an MSME borrower raises a specific objection with supporting materials and an affidavit asserting its MSME status.The court clarified that the 2016 RBI 'Framework for Revival and Rehabilitation of Micro, Small and Medium Enterprises' does not create an absolute bar on classifying an MSME loan account as NPA or initiating action under the SARFAESI Act.Justice...
Delhi High Court Restrains Indian Firm From Using 'SHRM' Trademark Of US HR Organisation
Finding a prima facie case of trademark infringement, the Delhi High Court has barred Strategic HRM from using the “SHRM” mark, observing that failure to grant an ex-parte injunction would cause “irreparable loss and injury” to the US-based Society for Human Resource Management.A single-bench of Justice Tushar Rao Gedela passed the order on February 11.The Society for Human Resource Management (SHRM) was established in the United States as the American Society for Personnel...
Delhi High Court Directs Nil TDS For GoDaddy, Says Domain Registration Fees Not Taxable Under India-US DTAA
The Delhi High Court has held that domain name registration fees received by GoDaddy is not chargeable to income tax in India, in terms of the India-USA Double Taxation Avoidance Agreement.A division bench of Justices Dinesh Mehta and Vinod Kumar also criticised the Income Tax Department for refusing to grant a nil withholding tax certificate under Section 197 of the Income Tax Act, 1961, despite binding judicial precedent.“We record our displeasure about the casual rather callous manner, in...
Karnataka High Court Quashes Rs 85.51 Crore IGST Demand On Salaries Paid To Foreign Nationals By Huawei India
The Karnataka High Court has recently quashed a show cause notice issued to Huawei Technologies India Private Limited demanding Rs. 85.51 crore in Integrated Goods and Services Tax (IGST), along with interest and penalty, on salaries paid to foreign national employees. Justice S R Krishna Kumar held that this was not a case of secondment at all, but one where Huawei India had a direct employer-employee relationship with the foreign nationals working for it. The Court made it clear that once...
Calcutta High Court Sets Aside Rejection Of UPL's Herbicide Patent For Denying Mandatory Hearing
The Calcutta High Court has recently set aside an order of the Controller of Patents rejecting UPL Limited's patent application for a herbicidal combination, holding that the authority committed a “serious procedural infirmity” by denying the company a mandatory hearing under Section 14 of the Patents Act and improperly issuing a composite order in examination and pre-grant opposition proceedings. Allowing the appeal, Justice Ravi Krishan Kapur ruled that examination proceedings under Sections...
Bombay High Court Issues Bailable Warrants Against 4 Effingut Directors In Copyright Contempt Case By PPL
The Bombay High Court recently issued bailable warrants against four directors of the Pune-based Effingut Breweries, a popular largest craft beer brand and owners of pubs and lounges operating in major cities like Pune, Delhi, Mumbai, Gurugram etc for failing to appear before the court as ordered in a previous hearing. Single-judge Justice Sharmila Deshmukh was hearing a contempt petition against Effingut Breweries and its directors - Vishal Makar, Manish Tandon, Upesh Gulati and Monika Gulati...
Andhra Pradesh High Courts Rejects Sales Tax Exemption Claim Over Defective Form A-5
The Andhra Pradesh High Court on 9 February, refused to interfere with orders withdrawing sales tax exemption on commission sales, holding that Form A-5 declarations not bearing the official seal of the assessing authority cannot be treated as valid under the Andhra Pradesh General Sales Tax Rules, 1957. A dealer files Form A-5 to claim sales tax exemption on commission sales. A Division Bench of Justice R. Raghunandan Rao and Justice T.C.D. Sekhar was hearing a tax revision case filed by ...
Karnataka High Court Invokes Writ Jurisdiction In RERA Matter To Enable Consideration Of Developer's Objections
The Karnataka High Court has recently held that the existence of an appellate remedy does not prevent it from exercising writ jurisdiction in a real estate dispute where due opportunity has not been afforded to one of the parties. The court set aside a Karnataka Real Estate Regulatory Authority order directing Embassy One Developers Pvt Ltd to pay over Rs. 4.24 crore as delay interest without considering its objections. Justice B. M. Shyam Prasad said, “An alternative remedy need not always...
Bank Can Exercise Lien On Guarantor's Salary, Section 60 CPC Not Applicable: Kerala High Court
The Kerala High Court on 9 February held that a bank is entitled to exercise its right of lien over a guarantor's salary account. It clarified that protection under Section 60(1)(i) CPC does not restrict the bank's substantive right. A Division Bench of Justice Anil K. Narendran and Justice Muralee Krishna S, while deciding cross appeals filed by Canara Bank and the guarantor, Agi Kumar, allowed the bank's appeal and set aside the single judge's direction limiting the lien. The judges...
Delhi High Court Dismisses Revenue Appeals Against ITAT Order In Mahagun TDS Dispute Over NOIDA Lease Rent
The Delhi High Court has dismissed three appeals filed by the Income Tax Department challenging orders of the Income Tax Appellate Tribunal (ITAT) that had granted relief to Mahagun developers in a long-running dispute over deduction of tax at source (TDS) on lease rent payments made to the NOIDA Authority.A Division Bench of Justices Dinesh Mehta and Justice Vinod Kumar rejected the appeals after noting that the controversy was squarely covered by its earlier ruling in Rajesh Projects (India)...
Delhi High Court Dismisses Cross-Petitions In FHEL-GAPL Arbitration, Confirms Damages & Rental Awards
The Delhi High Court on 11 February upheld an arbitral award directing Fresh and Healthy Enterprises Ltd (FHEL) to pay over Rs. 80 lakh in damages to Global AgriSystem Pvt Ltd (GAPL) for failure to maintain agreed storage conditions, while also confirming FHEL's entitlement to over Rs. 87 lakh towards rental and handling charges. A Single Bench of Justice Jasmeet Singh dismissed cross-petitions filed by both companies, while reiterated that courts exercising jurisdiction under Section 34 of...