No Service Tax Exemption Where Overriding Commission Is Received In INR: Madras High Court

The Madras High Court held that travel agents acting as General Sales Agents (GSAs) for foreign airlines cannot claim service tax exemption as an export of services when their overriding commission is received in Indian Rupees rather than convertible foreign exchange, even if the services are provided to foreign principals. A Division Bench of Justice Anita Sumanth and Justice Mummineni Sudheer Kumar held that exemption notifications are to be strictly construed, and the condition requiring...

Delhi High Court Grants Interim Injunction To Novartis Against 'NOVIETS' For Trademark Infringement

The Delhi High Court on 28 February granted an interim injunction in favour of the global healthcare company Novartis, restraining several Bihar-based entities, including Noviets Pharma and Noviets Veterinary Private Limited, from using the marks 'NOVIETS' and its associated logos. Justice Tejas Karia observed that the contested marks were deceptively similar to the well-known 'NOVARTIS' trademark and logo, noting a likelihood of confusion among the public. The Court emphasised that a...

Income Tax Authority Must Record Prima Facie View On Taxability Before Issuing Withholding Certificate: Delhi High Court

The Delhi High Court has held that while issuing a certificate for lower deduction of tax at source under Section 197 of the Income Tax Act, 1961, the competent authority is required to record a prima facie view on the taxability of the receipts, and that such certificates cannot be issued mechanically or without reasons.A division bench of Justices Dinesh Mehta and Vinod Kumar made the observation while disposing of a writ petition filed by Ireland-based Workday Limited, which had challenged a...

GST Payable Separately On Municipal Works Contracts Unless Tender Includes It: Kerala High Court

The Kerala High Court, on 12 February, held that contractors executing works for local self-government institutions are entitled to payment of GST over and above the contract value, and that such tax cannot be treated as included in the quoted rates unless the tender conditions expressly so provide. Harisankar V. Menon stated that once government circulars categorically mandate that tendered rates for public works are to be quoted exclusive of GST, the municipality cannot subsequently treat GST...

Delhi High Court Upholds Rejection Of Crystal Crop's Herbicidal Composition Patent

The Delhi High Court has dismissed an appeal filed by Crystal Crop Protection Ltd., upholding a decision by the Assistant Controller of Patents and Designs to reject a patent application for a herbicidal composition designed for field crops.Justice Tejas Karia upheld the Assistant Controller's finding that the proposed invention lacked an inventive step and fell under the statutory bar of Section 3(e) of the Patents Act, as it constituted a 'mere admixture' of known substances. The Court held...

Delhi High Court Bars Groundless Copyright Threats Against TV9 Over Brief Use Of Third-Party Footage

The Delhi High Court has declared that certain TV9 Network news videos uploaded on its YouTube channels do not infringe the copyright of third parties and restrained four foreign entities from issuing further groundless copyright threats against the broadcaster.The videos covered events such as Hurricane Laura in the United States, heavy snowfall and floods, the Israel–Hamas conflict, and the 2023 Chinese balloon incident. In a judgment dated February 28, 2026, Justice Tejas Karia considered...

Continuing Look Out Circular After Tax Proceedings Conclude Violates Fundamental Rights: Delhi High Court

The Delhi High Court has held that failure of tax authorities to obtain information about an assessee's assets in foreign jurisdictions cannot be used to keep a Look Out Circular (LOC) alive indefinitely, particularly when income tax proceedings have already concluded and no demand is outstanding against the assessee.A Division Bench of Justices Dinesh Mehta and Vinod Kumar thus allowed writ petitions filed by the assessees and observed,“If for one reason or the other, the respondents are not in...

Delhi High Court Directs 2% Withholding Tax Certificate For US Software Firm DocuSign

The Delhi High Court has directed the Income Tax Department to issue a withholding tax certificate at the rate of 2% in favour of a US-based software company, after finding that the transactions prima-facie look to be not exigible to tax.A division bench of Justices Dinesh Mehta and Vinod Kumar passed the order while hearing DocuSign's writ petition challenging a certificate issued under Section 197 of the Income Tax Act, 1961.DocuSign provides electronic signature and digital transaction...

Arbitration Not Available Under WB Premises Requisition Act After Requisition Lapses: Calcutta High Court

The Calcutta High Court has recently refused to appoint an Arbitrator to determine compensation for the period from April 1, 1992 to January 12, 2023, during which the Kolkata Municipal Corporation (KMC) continued to occupy a private property after expiry of requisition, holding that once the requisition ended, the statutory arbitration mechanism under the West Bengal Premises Requisition and Control (Temporary Provision) Act, 1947, could no longer be invoked. Dismissing the writ petition,...

Denial Of Cross-Examination Justified Under Excise Act When Statements Are Corroborated: Delhi High Court

The Delhi High Court has held that the right of cross-examination under Section 9D of the Central Excise Act, 1944 is not absolute, and may be lawfully denied in fact-specific circumstances, particularly where the witnesses are closely connected to the assessee and the allegations are supported by independent corroborative evidence.A Division Bench of Justices Nitin Wasudeo Sambre and Ajay Digpaul thus dismissed the appeal filed by an assessee, holding that neither the adjudicating authority nor...

Delhi High Court Quashes Draft IT Assessment Order Passed Before Upload Of Transfer Pricing Relief Order

The Delhi High Court has recently quashed a draft assessment order passed by the Faceless Assessing Officer (FAO) against Lindstrom Services India, after noting that it was issued without knowledge of the Court's order quashing transfer pricing, due to delay in uploading the High Court direction on its website.The division bench of Justices Dinesh Mehta and Vinod Kumar clarified that while the FAO could not be faulted personally, an assessment order passed in ignorance of a subsisting High Court...

Mere Presence Of Finance Ministry, CBIC In Delhi Doesn't Confer It Jurisdiction To Entertain Petition: Delhi High Court

The Delhi High Court has held that the mere presence of the Ministry of Finance and the Central Board of Indirect Taxes and Customs (CBIC) in Delhi does not, by itself, confer territorial jurisdiction on the High Court, when the cause of action arises from summons and demands issued by authorities located outside Delhi.The Division bench of Justices Nitin Wasudeo Sambre and Ajay Digpaul dismissed a writ petition filed by an exporter challenging summons issued by the Directorate of Revenue...