Tax
Letter By Joint Secretary Can't Override Plain And Unambiguous Provision Of Income Tax Act, 1961 And Finance Act: Calcutta High Court
The Calcutta High Court has held that the letter by the joint secretary cannot override the plain and unambiguous provisions of the Income Tax Act, 1961, and the Finance Act.The bench of Justice Surya Prakash Kesarwani and Justice Rajarshi Bharadwaj has observed that the letter of the Joint Secretary merely informs that “the matter has been looked into and the board is of the opinion that the tax rate applicable in the case of ABN AMRO BANK would be the same as for an Indian company at the...
Customs Duty Amount Involved Is Less Than Threshold Limit: CESTAT Dismissed Dept.'s Appeal
The Chandigarh Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has dismissed the dept.'s appeal, in which the customs duty amount involved is less than Rs. 50 lakhs.The bench of S. S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) has observed that the appeals do fall within the instructions as prescribed in the circular dated November 2, 2023. The CESTAT, the High Courts, and the Supreme Court have been consistently dismissing the appeals of the Revenue if they are...
Mere Challenging Tribunal's/High Court's Order Before Supreme Court Not Valid Ground To Ignore Tribunal's Order, Unless Stayed: CESTAT
The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that mere filing of an appeal to challenge the order of the Tribunal or the High Court before the Apex Court is not really a valid ground to ignore or disregard the orders of the Tribunal, unless and until the same are stayed, suspended, or finally set aside.The bench of Binu Tamta (Judicial Member) has observed that the authorities below have seriously erred in upholding the recovery of the refunded amount...
Retraction After A Period Of 3 Years And 9 Months Was Rightly Rejected By Commissioner Of Appeals: Calcutta High Court
The Calcutta High Court has held that the alleged retraction on the grounds of the appeal filed before the Commissioner after a period of three years and nine months was rightly rejected by the Commissioner of Appeals.The bench of Chief Justice T.S. Sivagnanam and Justice Hiranmay Bhattacharyya has observed that the confessional statement of the accused, if found to be voluntary, can form the sole basis for conviction. Thus, in the absence of any valid retraction, the statement recorded by the...
Additional Income Can't Be Treated As Concealed Income: Kerala High Court
The Kerala High Court has held that additional income cannot be treated as concealed income for the purposes of Section 271(1)(c) of the Income Tax Act.The bench of Justice A.K. Jayasankaran Nambiar and Justice Syam Kumar V.M. has observed that a satisfactory explanation has been offered by the assessee, well before the issuance of a notice to him under Section 148 of the Income Tax Act, and the admission of additional income made by the assessee has been accepted by the department that...
Once TPO Passed Order, AO Obliged To Pass An Assessment Order In Accordance With Section 92CA(4): Delhi High Court
The Delhi High Court has held that once the Transfer Pricing Officer (TPO) had proceeded to pass the order of October 17, 2017, all that the AO was obliged to do was pass an assessment order in accordance with the procedure prescribed in Section 92CA(4) of the Income Tax Act.“The prescription of nine months would also be applicable to a fresh order that is liable to be made in accordance with Section 92CA of the Act. This is since Section 153 of the Act speaks not merely of assessments but also...
Assessment Order Passed Without Conducting Search And Seizure Not Sustainable In Law: Punjab & Haryana High Court
The Punjab and Haryana High Court has held that once the search and seizure were conducted and an assessment order was passed by invoking Section 153A of the Income Tax Act for the AY 2006-07 to 2012-13, a fresh order without conducting a search and seizure operation would not be sustainable in law.The bench of Justice Sanjeev Prakash Sharma and Justice Sudeepti Sharma has observed that when there was no search conducted under Sections 132 and 132A of the Income Tax Act as against the petitioner...
Grant Of Section 153D Approval Can't Be Merely Ritualistic Formality, Rather It Must Reflect Appropriate Application Of Mind: Delhi High Court
The Delhi High Court has held that a grant of approval under Section 153D of the Income Tax Act, 1961, cannot be merely a ritualistic formality or rubber stamping by the authority; rather, it must reflect an appropriate application of mind.The bench of Justice Yashwant Varma and Justice Purushaindra Kumar Kaurav has observed that a single approval has been granted for AYs 2011–12 to 2017–18 in the case of the assessee. The order failed to make any mention of the fact that the draft assessment...
Accumulated Cenvat Credit Refund Allowable On Export Of Goods Even If Exempted From Central Excise Duty: CESTAT
The Allahabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that refund of accumulated Cenvat Credit is allowable on export of goods even if they are exempted from payment of Central Excise Duty. The bench of P.K. Choudhary (Judicial Member) has observed that exporting under bond is only a procedure. The claim for refund should not be disallowed when the fact of the export is not in dispute.The appellant/assessee is engaged in the manufacture of menthol crystals,...
Gujarat High Court Grants Bail To Metal Industries Proprietor In Rs. 6.67 Crore GST Evasion Case
The Gujarat High Court has granted bail in a case of GST evasion amounting to Rs. 6.67 Crores to the proprietor of Metal Industries, a business engaged in manufacturing and trading brass products, metal scrap, etc. in Jamnagar after 79 days of costJustice MR Mengdey presiding over the case, held, “In the facts and circumstances of the case and considering the nature of the allegations made against the applicant in the FIR, without discussing the evidence in detail, prima facie, this Court is of...
Gujarat High Court Upholds 12% GST On Mango Pulp Since GST Inception, Rejects Petitioner's Claims For Lower Tax Rate
The Gujarat High Court has upheld the imposition of a 12 percent tax on Mango Pulp since the inception of GST. The court clarified that Circular No. 179/11/2022-GST dated August 3, 2022, and Notification No. 06/2022 dated July 13, 2022, simply reinforce that mango pulp falls under the 12 percent GST bracket, specifically after the inclusion of "Mangoes (other than mangoes, sliced, dried)" following guava.The petitioner, Vimal Agro Products Pvt. Ltd., specializes in supplying mango pulp to a...
Notified Area Authority, Vapi Is Neither A 'Local Authority' Nor 'Governmental Authority: Gujarat High Court
The Gujarat High Court has ruled that the Notified Area Authority, Vapi, does not qualify as a local authority or governmental authority. As a result, the Solid Waste Management and recycling services provided to it are not eligible for exemption under Notification No. 12/2017-State Tax (Rate) dated 30th June 2017.The division bench, comprising Justice Bhargav D. Karia and Justice Niral M. Mehta, held, “considering the conspectus of law laid down by the Hon'ble Apex Court in the case of New...