Tax
ITR-Filing Date Is Relevant For Calculating Section 143(2) Limitation And Not Defect-Removal Date: Delhi High Court
The Delhi High Court has held that once the return has been found to be valid and only a defect within the meaning of Section 139(9) of the Income Tax Act has been found, interest cannot be levied.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that if the date of the ROI originally filed on October 14, 2016 is taken into account, then the notices served on the petitioner or assessee would be time-barred, as the first proviso appended to Section 143(2) of the Income...
Shree Sai Baba Sansthan Trust Eligible For Income Tax Exemption On Anonymous Donations: ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that Shree Sai Baba Sansthan Trust is eligible for income tax exemption on anonymous donations.The bench of Aby T. Varkey (Judicial Member) and Om Prakash Kant (Accountant Member) has observed that there may be instances where a trust, which exists both for charitable and religious purposes, has incurred religious expenditure that is less than 5% of the total expenses of the trust. In such a case, the trust may be eligible for...
Delhi High Court Quashes Suspension Of License, Issued To Customs House Agent, Finding Order Illegal
The Delhi High Court has held that there was proper verification on the part of the Customs House Agent (CHA) with regard to the genuineness of the Importer-Exporter Code (IEC) as well as GSTIN.The bench of Justice Yashwant Varma and Justice Dharmesh Sharma observed that mere allegations that some other person was importing goods in the name of the importers, whose names were mentioned in the Bills of Entry, did not render the identity of the importer doubtful, especially when there was...
Delhi High Court Upholds ITAT’s Decision On Selection Of Comparables For Determination Of Arm’s Length Price Of An International Transaction
The Delhi High Court had upheld the decision of the Income Tax Appellate Tribunal (ITAT) on the selection of comparables for the determination of the arm’s length price of an international transaction.The Bench of Justice Rajiv Shakdher and Justice Girish Kathpalia observed that the Tribunal not only followed the previous orders mentioned above to maintain consistency but also examined the entire material on record to ascertain the comparability of each of the comparables with the case of the...
CBIC Lays Down Conditions For Filing GST Appeal After Limitation Period Is Over
The Central Board of Indirect Taxes and Customs (CBIC) has laid down the conditions for filing an appeal against the order in FORM GST APL-01.An appeal to the Appellate Authority under sub-section (1) of section 107 shall be filed in FORM GST APL-01, along with the relevant documents, either electronically or otherwise as may be notified by the Commissioner, and a provisional acknowledgement shall be issued to the appellant immediately.Special procedures under the Goods and Services Tax (GST)...
Game Of Skill Brought At Par With Game Of Chance: Writ Challenging CGST Amendment Act 2023 And Vires Of S.15(5) CGST Act Filed In Allahabad HC
On Thursday, Allahabad High Court issued notice in writ petition challenging the validity of the Central Goods and Service Tax (Amendment) Act, 2023 notified on 18th August, 2023 which sought to tax all online money games in toto.Prior to the amendment, only the platform fee charged for services provided was taxable. However, the entire amount, including the amount won by the users based on their skills is sought to be taxed by way of the impugned amendment. The petitioner has also challenged...
Petitioner Cannot Be Deprived Of The Benefit, Due To Non- Constitution Of The Appellate Tribunal By The Respondents Themselves: Patna High Court
In a recent ruling, the Patna High Court has granted relief to M/s Cohesive Infrastructure Developers Pvt. Ltd, the petitioner, in a Goods and Services Tax (GST) dispute.The division bench comprising Chief Justice K. Vinod Chandran and Justice Rajiv Roy allowed a writ petition filed under Article 226 of the Constitution of India, seeking various reliefs.The petitioner essentially was desirous of availing statutory remedy of appeal against the impugned order before the Appellate Tribunal...
Supreme Court Affirms Penalty On 'Zarda' Manufacturers For Misclassifying Product As 'Chewing Tobacco' For Central Excise Duty
The Supreme Court while adjudicating a matter wherein the Assesssee deliberately misclassified the ‘Zarda’ produced by it as ‘Chewing Tobacco’ for evading payment of a high duty as applicable to ‘Zarda’, has affirmed the imposition of penalty and demand for payment of differential duty raised by the Central Excise Department from the Assessee.The Bench comprising Justice S. Ravindra Bhat and Justice Aravind Kumar, has held that, “The assessee being aware that there being no change in the nature...
GST | No Inherent Lack Of Jurisdiction, Adjudication Proceedings May Not Be Interjected In Extraordinary Writ Jurisdiction: Allahabad High Court
The Allahabad High Court has held the allegations of violations of law cannot be dealt with in extraordinary jurisdiction of the Court under Article 226 of the Constitution of India unless inherent lack of jurisdiction is claimed.The bench comprising of Justices Saumitra Dayal Singh and Surendra Singh-I held “Once allegations of infraction of law arise, adjudication proceedings may not be interjected in exercise of extra ordinary jurisdiction of the writ court. Limited scope of challenge may be...
Service Tax Not Leviable On Freight Brokerage: CESTAT
The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that service tax is not leviable on freight brokerage.The bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) observed that the demand is raised on the markup made, which is the profit out of the difference in the value of ocean freight collected by the shipping line and paid by the exporter or client.The appellant/assessee is a partnership firm and holds a certificate...
Tax Cases Monthly Round Up: October 2023
Direct Taxes Supreme Court U.P. Trade Tax Act | ‘Tinted Glass’ To Be Taxed As “Goods Or Wares Made Of Glass”, As it is Different from ‘Plain Glass’: Supreme Court Case Title: M/S Triveni Glass Limited v COMMISSIONER OF TRADE TAX, U.P. Case No.: 2023 LiveLaw (SC) 896 The Supreme Court has held that ‘Tinted Glass Sheet’ is different from ‘Plain Glass sheet’ and is thus liable to be taxed as “goods or wares made of glass” under Entry 4 of Notification No.5784 dated ...
Electricity Charges Received By Malls, Airport Operators Etc. From Lessees Bundled With Renting, Forms Composite Supply: CBIC
The Central Board of Indirect Taxes and Customs (CBIC) has clarified that whenever electricity is being supplied bundled with renting of immovable property and/or maintenance of premises it forms a part of the composite supply and shall be taxed accordingly.The Board has issued the clarification in respect of the recommendations of the GST Council in its 52nd meeting held on October 7, 2023, in New Delhi with reference to the GST levy.The issue was with respect of the applicability of GST on...