Once Actual Movement Of Goods Proved By Assessee Remains Unrebutted, Proceedings U/S 74 GST Act Are Unjustified: Allahabad High Court

The Allahabad High Court has recently held that when the actual movement of goods has been proved by the assesee and the same remains unrebutted by the authority, proceedings under Section 74 of Goods and Service Tax Act, 2017 are unjustified. Proceedings under Section 74 of GST Act can be initiated if an assesee has not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized by fraud or any willful- misstatement or suppression of facts. Justice...

[CGST Act] Tax Officers Expected To Know Law Laid Down By Higher Courts: Allahabad High Court

While calling for personal affidavit from Principal Secretary, Institutional Finance, Government of U.P., Lucknow explaining the conduct of the tax officers in the State in not following the orders of the High Court, the Allahabad High Court observed that the Officers must know the law. Justice Piyush Agrawal observed that “While it is expected from the citizen to know law, the duty of the Officers increases that they should also know the law laid down by the higher courts.” ...

Writ Petition Can Be Converted To Appeal U/S 37 Of Arbitration Act If It Does Not Prejudice Respondents: Allahabad High Court

The Allahabad High Court Bench of Justice Manish Kumar Nigam allowed the conversion of a writ petition under Article 227, Constitution of India (“COI”) into an appeal under Section 37, Arbitration and Conciliation Act (“ACA”) noting that where a particular kind of proceeding is not maintainable and a different kind of proceeding lies in respect thereof before the Court, the Court has jurisdiction to convert one into other subject to law relating to limitation and court fees. Facts ...

Executing Court Empowered To Grant Statutory Interest Not Mentioned In Award U/S 36 Of Arbitration Act: Allahabad High Court

Following the judgment of the Delhi High Court in Union of India and Anr. v. Sudhir Tyagi, the Allahabad High Court has held that under Section 36 of the Arbitration and Conciliation Act, 1996, the Executing Court is empowered to grant statutory interest which may not have been mentioned in the arbitral award.In Union of India and Anr. v. Sudhir Tyagi, it was held that “..the interpretation of Clause (b) of Section 31(7) of the Act is no more res-integra. The grant of post-award interest under...

Officer Appointed Under State GST Act Is Authorised To Discharge Duties As Proper Officer For IGST & CGST: Allahabad High Court

The Allahabad High Court has held that an officer appointed under the State Goods & Service Tax Act will be Proper Officer under the Integrated Goods & Service Tax Act as well as the Central Goods & Service Tax Act. Perusing Section 4 of the IGST Act read with rule 20 of the CGST Act, Justice Piyush Agrawal held that “The provision provides that the Officer appointed under the State Goods & Service Tax is authorized to discharge their duties as Proper Officer for the...

[S.169 CGST Act] Service On Registered Email Is Sufficient For Calculating Limitation Period: Allahabad High Court

The Allahabad High Court has held that under Section 169 of the Central Goods and Service Tax Act, 2017 service on registered email is sufficient service for the purpose of limitation. It held that holding that service was to be made by more than one modes would be absurd and defeat the purpose of the provision. The bench of Justice Shekhar B. Saraf and Justice Praveen Kumar Giri held “Upon perusal of Section 169 of the Act, we are of the view that in the event the service is made by...

Burden To Prove That Best Assessment By Income Tax Authorities Is Perverse Is On Assesee: Allahabad High Court

The Allahabad High Court has held that the burden to prove that the findings of best assessment done by the authorities is perverse is on the assesee. The bench of Justice Shekhar B. Saraf and Justice Praveen Kumar Giri held that “when a best assessment is done, it is for the assessee to bring on record the facts that may reveal that the findings are perverse in nature.” Appellant filed the Income Tax Appeal against the order of the Income Tax Appellate Tribunal who upheld the...

Venue Is Construed As Seat In Absence Of Contrary Indicia, If Arbitration Agreement Only Mentions 'Venue': Allahabad HC

The Allahabad High Court has held that when only one place is mentioned in the arbitration agreement and is termed as “venue”, the same is to be treated as the “seat” also, unless something contrary is mentioned in the agreement.“If the arbitration agreement mentions only one place and even if it is termed as the 'venue', then unless there is a contrary indicia the 'venue' is construed as the 'seat',” held Justice Jaspreet Singh. Applicant filed an application for appointment of arbitrator under...

[Income Tax] Filing Of Form 10-IC Prior To Filing Of Return Not Mandatory, Delay May Be Condoned In “Genuine Hardship”: Allahabad High Court

The Allahabad High Court has held that filing of Form 10-IC prior to filing of income tax return is not mandatory and the delay in filing the Form may be condoned in cases where “genuine hardship” is shown to exist. Form 10-IC, under the Income Tax Act, is required to filed only if a Domestic Company chooses to pay tax at concessional rate of 22% under Section 115BAA of the Income Tax Act,1961. Section 115BAA provides that subject to the provisions of Chapter XII of the Income Tax Act,...

Mere Absence Of Activity At Principal Place Of Business Doesn't Mean Invoices Issued To Assessee Are Fake: Allahabad High Court

The Allahabad High Court has held that merely because there was no activity at the principal place of business of the assessee, it cannot be presumed that the invoices issued in favour of such assessee are fake. Petitioner approached the High Court seeking quashing of the penalty order under Section 129(3) of the CGST Act and seeking release of the goods confiscated under Section 129(1)(a) by the Assistant Commissioner Commercial Tax Mobile Unit Khataul, Muzaffarnagar. Petitioner...

Allahabad High Court Rejects Patanjali's Plea Against ₹273.5 Crore GST Penalty

The Allahabad High Court has directed continuation of proceedings under Section 122 of the Central Goods and Services Tax Act, 2017 against M/s Patanjali Ayurved limited's 3 plants even though proceedings under Section 74 of the Act have been dropped against them.The bench of Justice Shekhar B. Saraf and Justice Vipin Chandra Dixit held “Under the present GST regime, persons who are not liable to pay tax under Sections 73/74 of the CGST Act may very well be liable for penalties as described in...

Court Must See If Company Is A Threat To Commercial World For Winding Up U/S 433(f) Of Companies Act: Allahabad High Court

The Allahabad High Court has held that for winding up of a company under Section 433(f) of the the Companies Act, the Court must opine that the company is a threat to the commercial world if it remains in existence.Rejecting the application for winding up of a company, Justice Pankaj Bhatia held “To appreciate a case for winding up of a company on the ground that it is just and equitable, it is essential for the Court to form a view that in view of the status of the company, if the company is...