Delhi High Court Upholds Reassessment, Says Defect In 7-Day Notice Under Income Tax Act Stood Cured By Corrigendum

The Delhi High Court has upheld reassessment proceedings against an taxpayer for Assessment Year 2018–19, holding that the defect of granting less than seven days to respond to a notice under Section 148A(b) of the Income Tax Act stood cured by a corrigendum issued within the limitation period. A Division Bench of Justices V. Kameswar Rao and Vinod Kumar rejected the petitioner's challenge that the notice was invalid for providing only six days to respond, contrary to the statutory requirement...

CESTAT Delhi Denies Nikon ₹7.32 Crore Refund, Holds Claim Pre-Exemption Decision Is Not Maintainable

The New Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT), New Delhi on 6 April, held that a refund claim filed before final adjudication of the underlying exemption dispute is not maintainable, even where duty has been paid under protest. A Bench comprising President Justice Dilip Gupta and Technical Member P.V. Subba Rao dismissed the appeal filed by Nikon India Private Limited and upheld rejection of its refund claim. The Tribunal held: “The facts of the...

Separate GST Liability Orders Must Be Issued To Enable Appeals By Company And MD: Telangana High Court

The Telangana High Court on 8 April, held that a single, composite GST liability order against a company and its Managing Director cannot be used to deny them independent appellate remedies. The Division Bench of Chief Justice Aparesh Kumar Singh and Justice G.M. Mohiuddin allowed writ petitions filed by Sugna Metal Limited and its Managing Director, and directed tax authorities to issue separate orders. The judges held: “...,the Managing Director (petitioner in W.P.No.9166 of 2026), after...

LiveLawBiz Indirect Tax Weekly Round-Up: April 06 - April 12, 2026

HIGH COURTSAndhra Pradesh HCAndhra Pradesh High Court Holds State GST Cannot Assess IGST On Imports, Quashes Notice Against Avanti FeedsCase Title : Avanti Feeds Ltd. v. Deputy Commissioner of State Tax Case Number : WRIT PETITION NO: 11760/2023 CITATION : 2026 LLBiz HC(APH) 27The Andhra Pradesh High Court on 1 April set aside a show-cause notice issued to Avanti Feeds Limited, holding that State GST authorities have no jurisdiction to assess or recover Integrated GST (IGST) on imported...

Department Cannot Allege Excess Imports Without Explaining IGCR Clearance Irregularly: CESTAT New Delhi

On 10 April, the New Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) held that where imported goods are cleared under the IGCR procedure, the Department cannot allege excess imports without explaining how customs officers permitted such clearance. A Bench of President Justice Dilip Gupta and Technical Member P.V. Subba Rao set aside a customs duty demand of Rs. 31.40 lakh against K.A. Enterprises. They observed: “In the absence of any recording as to which of...

CESTAT New Delhi Sets Aside Penalty On Time Avenue, Finds No Link To Importer's RSP Misdeclaration

The New Delhi Bench of the Customs, Excise & Service Tax Appellate Tribunal (CESTAT) on 10 April set aside a penalty of Rs. 20,000 imposed on Time Avenue Pvt. Ltd. under Section 112(b) of the Customs Act. A Bench comprising President Justice Dilip Gupta and Technical Member Hemambika R. Priya held that the penalty under Section 112(b) could not be sustained in the absence of proof that the appellant knew the goods were liable to confiscation. The Tribunal observed: “There is no...

CESTAT Ahmedabad Upholds Fabric Reclassification Based On CRCL Test, Remands Valuation, SEZ Exemption

The Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Ahmedabad Bench, has upheld the reclassification of imported synthetic fabrics, holding that laboratory test results clearly disproved the importer's declaration and rejecting a retesting plea raised after 11 years, while remanding valuation and SEZ exemption issues for fresh adjudication.A bench of Judicial Member Somesh Arora and Technical Member Satendra Vikram Singh allowed the Revenue's appeal against relief granted to Om...

LiveLawBiz Direct Tax Weekly Round-Up: April 06 - April 12, 2026

HIGH COURTSAndhra Pradesh HCTEP-Based Income Tax Summons Can't Be Quashed Without Proof Of Mala Fide: Andhra Pradesh High CourtCase Title : Koduru Picheswara Rao v. Union of India Case Number : WRIT PETITION No. 841 of 2026 CITATION : 2026 LLBiz HC(APH) 28The Andhra Pradesh High Court has held that summons issued under Section 131(1A) of the Income Tax Act on the basis of a Tax Evasion Petition (TEP) cannot be quashed in writ jurisdiction in the absence of clear and convincing proof of mala...

Excise Act | Statements Recorded During Probe Not Admissible Without Following Mandatory Procedure: CESTAT Delhi

The Customs, Excise & Service Tax Appellate Tribunal, Principal Bench, New Delhi, has held that statements recorded during investigation (Section 14) under the Central Excise Act cannot be relied upon unless the mandatory procedure governing their admissibility (Section 9D) is followed, and any penalty based solely on such statements is unsustainableSection 14 of the Central Excise Act, 1944, empowers authorized Central Excise Officers to summon any person to give evidence or produce...

CESTAT Chennai Upholds Tax On 0.5% Deductions From Sub-Contractors' Bills By CCCL As Business Support Services

The Customs, Excise & Service Tax Appellate Tribunal, Chennai Bench, has upheld the service tax demand against Consolidated Construction Consortium Ltd. (appellant), holding that the deduction of 0.5% from sub-contractors' bills constitutes taxable consideration for “Business Support Service” and not a mere reimbursement or CSR-related recovery.The matter came up before the bench consisting of Technical Member M. Ajit Kumar and Judicial Member Ajayan T.V., which proceeded to...

CESTAT Allahabad Sets Aside Service Tax Demand Based Solely On ITR Data In Ganpati Transport Case

The Allahabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that a service tax demand raised solely on the basis of Income Tax return data, without independent verification of the taxpayer's books of accounts, was unsustainable in the facts of the case. It further ruled that transportation of goods by road through own trucks without issuance of consignment notes does not qualify as a taxable Goods Transport Agency (GTA) service. The bench comprising...

Calcutta HC Questions GST Officer's Demand For Personal Appearance When Law Allows Representation Through Counsel

The Calcutta High Court said GST authorities had no basis to insist that a Kanpur-based proprietor appear in person in proceedings over the detention of goods supplied to Maa Kali Traders, especially when the law allows representation through an authorised representative. In an order dated April 7, 2026, Justice Kausik Chanda disposed of a writ petition arising from the detention of a consignment of pan masala and the vehicle carrying it, which had been intercepted while in transit. The Court...