Registration Of The Premises Is Not A Precondition For Availment Of Cenvat Credit: CESTAT

The Chandigarh bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the registration of the premises is not a precondition for availing of cenvat credit.The bench of S. S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) observed that under Sections 68 and 69 of the Finance Act, the requirement for registration arises when a person is liable to pay service tax. However, during the relevant period of dispute, the entire turnover of the...

Damage On Account Of Right To Sue Is A Capital Receipt Not Chargeable To Tax: ITAT

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that the damage on account of the right to sue is a capital receipt not chargeable to tax.The bench of Amit Shukla (Judicial Member) and Amarjit Singh (Accountant Member) has observed that Section 6 of the Transfer of Property Act clearly provides that "a mere right to sue cannot be transferred", even if it is to be treated as "property" under Section 5 of the Transfer Property Act. Transfer of property means the act by which...

Shore Tank Receipt Quantity Of IOCL, BPCL, HPCL As Per Ex-Bond Bills Of Entry Are Basis For Calculation Of Customs Duty: CESTAT

The Ahmedabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the shore tank receipt quantity of Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL) as shown in ex-bond bills of entry is to be taken for calculation of the customs duty.The bench of Ramesh Nair (Judicial Member) and C.L. Mahar (Technical Member) has observed that there are various reasons for the bill of...

Businesses With Turnover Of Rs. 100 Crore And Above To Upload Invoices Within 30 Days: National Informatics Centre

The National Informatics Centre has issued an advisory on a new time limit for reporting invoices on the Invoice Registration Portal (IRP). The new timeline will come into effect from 1st November 2023.The GST Authority has decided to impose a time limit of 30 days for reporting of invoices from the date of invoice, on e-invoice portals. This time limit is applicable for taxpayers with an Average Annual Turnover (AATO) greater than or equal to 100 crores. Hence, the taxpayers in this category...

Appellate Authority Or Article 226 Of The Constitution Cannot Extend Delay Condonation Period With A Specified Timeframe: Patna High Court

The Patna High Court has issued a significant ruling clarifying the limitations of Article 226 of the Indian Constitution in cases involving the Bihar Goods and Services Tax Act, 2017 (BGST). The court has held that when a statute prescribes a specific time frame for condoning delays, the Appellate Authority under Article 226 does not have the authority to extend this stipulated period.The case in question involved M/s Narayani Industry, a Partnership firm, which was an assessee under the BGST...

Brand Names Are Specie Of The Trademark: Delhi High Court Allows Depreciation

The Delhi High Court has allowed the depreciation and held that the expression "trademark" under Section 32(1)(ii) of the Income Tax Act, 1961, and in the appended Explanation 3(b) would clearly include brand names.The bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has observed that the definition of assets, as explained in the explanation, includes commercial rights of similar nature. Brand names certainly invest in the owner's commercial rights and, therefore, will fall within...

Delhi High Court Directs AWS India To Withhold 8% Payment Of The AWS USA And Deposit It With The Dept.

The Delhi High Court has directed that AWS India withhold 8% of payments payable or paid to AWS USA and deposit the same with the income tax department.The division bench of Justice Vibhu Bakhru and Justice Amit Mahajan has observed that the nature of the proceedings is confined to the withholding of tax and that the financial year 2022–23 is already over.The Court suggested to the parties that, without prejudice to their rights and contentions regarding the chargeability of AWS USA’s income...

Patna High Court Rejects Bail Plea Of Accused In Money Laundering Case Due to Lack Of Satisfactory Explanation Of Assets And Cash Holdings

The Patna High Court has rejected the bail application of the petitioner in connection with a Special (Trial) PMLA (Prevention of Money Laundering Act) Case arising from ECIR (Enforcement Case Information Report) proceedings. The petitioner faced charges under Sections 3, 4, 44, and 45 of the Prevention of Money Laundering Act, 2002.The prosecution case stemmed from a complaint filed under Sections 44 and 45 of the Act, alleging that the petitioner was accused in eight criminal cases registered...

Amendment In CGST Rule 89(4) To Have Prospective Effect: Jharkhand High Court

Jharkhand High Court has ruled that the explanation inserted in Rule 89(4) of the CGST Rules, 2017, through Notification No. 14/2022-Central Tax dated 05.07.2022, is not of a clarificatory nature and thus will be applied prospectively.The above decision was reached in response to a petition where the refund claim of the petitioner was rejected due to the contention that, in processing refund claims related to exports, the lower of values indicated in the tax invoice and the shipping bill should...

Ishant Sharma's Engagement With The Kolkata Knight Riders Should Be Regarded As A Contract Of Employment Rather Than A Taxable Service: CESTAT

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Ishant Sharma's engagement with the Kolkata Knight Riders should be regarded as a contract of employment rather than a taxable service.The bench of Justice Dilip Gupta (President) and P. Anjani Kumar (Technical Member) has observed that the appellant, Ishant Sharma, has been employed by the Knight Riders to play cricket in the IPL tournaments. The appellant is under the control of the Knight Riders...

Penalty Order Set Aside Leads To Automatic Quashing Of Prosecution Under Section 276C(1) Of Income Tax Act: Jharkhand High Court

In a significant ruling, the Jharkhand High Court has held that once a penalty order is set aside, it will be presumed that there is no concealment of income, automatically leading to the quashing of prosecution under Section 276C(1) of the Income Tax Act.Justice Sanjay Kumar Dwivedi, while delivering the judgment, emphasized, “In view of the above judgments, the Court comes to the conclusion that once penalty order is set aside, it will be presumed that there is no concealment and quashing of...

GST | Allow Assesee To Upload ITC-01 To Claim Input Tax Credit: Allahabad High Court

The Allahabad High Court has allowed the assessee-petitioner to upload ITC-01 to enable him to avail of Input Tax Credit for shifting from the Composite Scheme to the Normal Scheme.The Petitioner was initially registered under the Composition Scheme for the Financial Year 2022-23. However, with an increase in its turnover of the Financial Year, it converted into a normal scheme after submitting a withdrawal from the Composition Scheme. Petitioner contended that on account of the shifting from...