Himachal Pradesh High Court Quashes Electricity Duty On Self-Generated Electricity Used For Captive Consumption

The Himachal Pradesh High Court has quashed Section 3(1)(xi) of the Himachal Pradesh Electricity (Duty) Act, 2009, to the extent that it prescribed electricity duty on electricity generated by consumers through diesel generating sets or any other mode for captive or standby use.The court held that the charging provision under Section 3 of the 2009 Act does not cover electricity generated by a consumer from its own source for its own consumption.The Division Bench of Justice Vivek Singh Thakur...

Punjab and Haryana High Court Quashes ₹59.77 Lakh Stamp Duty Demand Initiated Beyond Limitation

The Punjab and Haryana High Court on 15 July held that proceedings for recovery of deficient stamp duty cannot be initiated after the expiry of the statutory limitation period, and that stamp duty liability must be determined based on the market value and nature of the property as they existed on the date of execution and registration of the sale deed. Justice Kuldeep Tiwari allowed a writ petition filed by Sandeep Singh and another and set aside the orders passed by the Collector and the...

After 20 Years, Delhi High Court Reserves Verdict In Railways' Plea Against Sales Tax Demands On IRFC Transactions

The Delhi High Court has recently reserved judgment in a batch of writ petitions filed by the Ministry of Railways challenging sales tax demands in relation to transactions involving the Indian Railway Finance Corporation (IRFC), nearly 20 years after the petitions were instituted in 2006.The division bench of Justices Anil Khetrapal and Shail Jain reserved judgment and asked the parties to file synopses, not exceeding five pages each, within three working days.The writ petitions were filed in...

Delhi High Court Dismisses 19-Year-Old Sales Tax Reference On Video Cassettes For Non-Prosecution

The Delhi High Court has dismissed a 19-year-old sales tax reference concerning the tax classification of video cassettes for non-prosecution.A division bench of Justices Anil Khetrapal and Shail Jain had earlier observed that with the advancement of technology, the issue may have become purely academic.On Friday, the court dismissed the reference after observing that no one had appeared on behalf of the Petitioner-Casette Shoppe for several hearings."A perusal of the record reflects that the...

Retrospective Property Tax Demands Invalid Under GPMC Act: Gujarat High Court

The Gujarat High Court has held that the Ahmedabad Municipal Corporation (AMC) could not retrospectively revise the rateable value of a property and demand property tax years after the relevant assessment period had ended, ruling that such demands were contrary to the Gujarat Provincial Municipal Corporations Act, 1949, and the Taxation Rules framed under it."Having regard to the statutory provisions and rules thereunder, demand of taxes on the basis of revised rateable value with retrospective...

Stamp Duty On Loan Assignment To ARC Must Be Based On Debt Assigned, Not Property Value: MP High Court

The Madhya Pradesh High Court has recently ruled that stamp duty on the assignment of loans to an Asset Reconstruction Company (ARC) under the state government's March 7, 2005 Notification must be calculated at 0.1% of the loan securitised or debt assigned and not on the market value of the mortgaged property.Holding that the notification links stamp duty to the loan securitised or debt assigned rather than the value of the secured property, Justice Maninder S. Bhatti observed,"A perusal of the...

HSNS Cess Act | Allahabad High Court Sets Aside Arrest After Finding Authorisation Was Issued A Day Later

The Allahabad High Court has set aside the arrest, remand and detention of a man taken into custody under the Health Security Se National Security Cess Act, 2025, holding that the arrest could not be sustained when the written authorisation to arrest him was issued by the Commissioner only a day after he had been picked up.The HSNS Cess Act imposes a monthly cess on manufacturers of specified goods to fund national security and public health The court also held that the arrest memo did...

Gujarat High Court Upholds Rule Requiring Agricultural Science Degree For Agricultural Land Valuers

The Gujarat High Court has recently upheld the constitutional validity of the requirement that applicants seeking registration as valuers of agricultural land must possess a degree in Agricultural Science. It held that the qualification bears a rational nexus with the object sought to be achieved under Rule 8A of the Wealth Tax Rules, 1957, and does not violate Articles 14 or 19 of the Constitution. "We find neither any ambiguity in the impugned provision nor any inconsistency between the...

Kerala High Court Quashes Stamp Duty Demand On Bank For ATM Installation In 2016

The court held that the authority lacked statutory power to recover the alleged deficit before amendment made in 2019

Madras High Court Upholds Sales Tax Demand Against Ford India Over Breach of Exemption Conditions

The Madras High Court has upheld the levy of Tamil Nadu sales tax on Ford India, holding that the company breached the conditions of a state government notification granting a sales tax exemption on purchases of goods used for manufacturing passenger cars after availing the benefit by furnishing declarations.The dispute relates to the 2001-02 assessment yearThe exemption under G.O. Ms. No. 381 covered purchases of goods used in the manufacture, assembling, packing and labelling of passenger cars...

Madras High Court Holds Lease Area Reduction Cannot Attract Fresh Stamp Duty, Orders ₹1.15 Cr Refund

The Madras High Court on 13 July held that an amendment agreement executed only to reduce the leased area of a property does not create a fresh lease and cannot be subjected to a fresh levy of stamp duty. A Division Bench comprising Chief Justice Sushrut Arvind Dharmadhikari and Justice G. Arul Murugan dismissed the State's appeal and upheld the order directing refund of over Rs. 1.15 crore collected as stamp duty from Tata Communications Data Centers Pvt. Ltd. (now STT Global Data Centres...

MODVAT Credit On Furnace Oil Cannot Be Denied For Exempt Intermediate Goods: Madras High Court

The Madras High Court has held that MODVAT credit availed on furnace oil used to manufacture exempt intermediate goods need not be reversed where such goods are captively consumed or transferred within the same company for manufacturing dutiable final products. A Division Bench of Justices Dr. G. Jayachandran and R. Sakthivel upheld Tata Refractories Ltd.'s claim for MODVAT credit on furnace oil used in manufacturing Dead Burnt Magnesite (DBM), holding that the credit could not be denied merely...