Refund Claim Has To Be Examined Based On Documents Pertaining To Availing Of ITC And Export Of Products On Zero Rated Basis: Madras High Court

The Madras High Court, while remanding the matter, held that the refund claim has to be examined and determined based on documents pertaining to the availing of ITC as well as the export of products on a zero-rated basis.The bench of Justice Senthilkumar Ramamoorthy has observed that the petitioner/assessee has made the refund claims on time and cannot be faulted for the delayed processing of claims by the department.The petitioner/assessee is a manufacturer and exporter of steel casting and...

Exporters Not Traceable, Customs Broker Can't Be Held Liable After Issuance Of 'Let Export Orders': Delhi High Court

The Delhi High Court has held that as a customs broker, the petitioner cannot be held liable because exporters were not traceable after the issuance of 'Let Export Orders' and the export of the goods out of the country.The bench of Justice Yashwant Varma and Justice Ravinder Dudeja has observed that once the Importer Exporter Code (IEC) particulars as mentioned are verified from the system as maintained by the Customs, there is no requirement statutorily placed upon the Custom House Agent (CHA)...

Electricity Qualifies As Input For Grant Of CENVAT Credit: Madras High Court

The Madras High Court has held that electricity qualifies as an input for the grant of CENVAT credit under the CENVAT Credit Rules, 2002 (CCR).The Bench of Justice Anita Sumanth and Justice R. Vijayakumar have observed that the captive power plant has been set up at substantial cost by the appellant at one of the company locations. The electricity generated has been used as 'input' only within the appellant group of companies, though at different locations. The consumption is in pari materia...

Commission Shared By Head Office With Branch Office Of Same Entity Is Not Taxable: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that commission shared by the head office with a branch office of the same entity is not taxable.The bench of Binu Tamta (Judicial Member) and Hemambika R. Priya (Technical Member) has observed that in the absence of any provider-receiver of service relationship, the commission amount shared by the branch office with the head office cannot be subjected to tax under the category of service.The...

Interim Budget 2024: Know Key Announcements & Developments

On Thursday, February 1, one day after the Budget Session began, Finance Minister Nirmala Sitharaman gave her budget speech and introduced the Interim Budget 2024–25 before Parliament.Here are the key announcements:Retention of the same tax ratesThere will be no changes to taxation and will retain the same tax rate for direct and indirect taxes including import duty. There will be no changes in the tax rates for direct and indirect taxes, including import duties or Corporate Taxes which is 22%...

Budget 2024 | Income Tax Slabs To Remain Unchanged: Union Finance Minister Nirmala Sitharaman

Union Finance Minister Nirmala Sitharaman today announced that the taxation rates for both direct and indirect taxes will remain unchanged."I do not propose to make any changes related to taxation. Tax rates to be retained for direct and indirect taxes including import duties," she said while presenting the interim budget in Parliament, ahead of 2024 General Elections.Direct Tax Rates as they stand are as follows:0-3L: nil3-6L: 5%6-9L: 10%9-12L: 15%12-15L: 20%above 15L: 30%The FM however...

Interim Budget 2024: How is the interim Budget different from the Annual Budget?

Today, Finance Minister Nirmala Sitharaman will introduce the Interim Budget 2024. As the finance minister, this will be her sixth budget presentation. Since this is the final budget of the current Lok Sabha, all eyes are on the finance minister. For those who are unaware, this is really an interim budget; the final union budget will be unveiled following the general elections in 2024, which will elect a new administration.An interim budget is a short-term financial plan that is presented prior...

Tamil Nadu State Transport Corporation Is State Transport Corporation, Do Not Fall Under Definition Of Rent-A-Cab Scheme Operator: CESTAT

The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Tamil Nadu State Transport Corporation is a state transport corporation and does not fall under the definition of a rent-a-cab scheme operator.The bench of S.S. Garg (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that the business undertaken by the assessee is to provide bus facilities and transport facilities to the citizens, and the main activity is running the buses in the...

Sales Tax Subsidy/Incentive Is Capital Receipt: Delhi High Court

The Delhi High Court has held that the sales tax subsidy or incentive received by the assessee under the Dispersal of Industries Package of Incentives, 1993, was a capital receipt.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that the common thread running through various incentives provided under the scheme was the setting up of a new unit or large-scale investment in fixed capital. The fact that the eligibility certificate was to be issued by the agency...

Dredger Accessories Rules, Vessel Still In Use, No Case Of Unjust Enrichment, Duty Not Leviable: Calcutta High Court

The Calcutta High Court has held that when the goods are still in use, the question of passing the burden of customs duty does not arise, and the question of unjust enrichment will not be applicable.The bench of Chief Justice T.S. Sivagnanam and Justice Hiranmay Bhattacharyya has observed that the appellate authority took note of the certificate issued by the Chartered Accountant in which the Chartered Accountant again certified that all the goods brought under the cover of the three bills of...

CBDT Notifies ITR-6 For AY 2024-25

The Central Board of Direct Taxes (CBDT) notified the Income Tax Return (ITR) Form ITR-6 for the Assessment Year (A.Y.) 2024-25 with effect from April 01, 2024.The has notified the Income-tax (First Amendment) Rules, 2024 to further amend Income-tax Rules, 1962.The companies which are registered under the Companies Act 2013 or the previous Companies Act 1956 should file ITR 6 Form. Having said that, in case the source of income of the company comes from the property used for charitable or any...

GST | Technical Error Without Any Financial Implications Do Not Attract Penalties: Allahabad High Court

The Allahabad High Court has held that mere technical errors under tax laws without any financial implications should not be grounds for imposition of penalties.While dealing with the case of goods not accompanying e-way bill, Justice Shekhar B. Saraf held,“Mere technical errors, without having any potential financial implications, should not be the grounds for imposition of penalties. The underlying philosophy is to maintain a fair and just tax system, where penalties are proportionate to the...