Provisional Attachment Of Bank Accounts Adversely Impact Assessee’s Business: Delhi High Court Imposes Rs. 5k Cost On Superintendent Anti-Evasion

The Delhi High Court has imposed a cost of Rs. 5,000 on the department and observed that the provisional attachment of bank accounts adversely impacts the assessee’s business.The bench of Justice Vibhu Bakhru and Justice Amit Mahajan has observed that the communication seeking to place a debit freeze on the petitioner’s account emanated from Superintendent Anti-Evasion and not from the Commissioner exercising jurisdiction in respect of the taxpayer. The communication also does not indicate that...

DPIIT Issues Standard Mark in Electric Ceiling Type Fans, Rolls out Electric Ceiling Type Fans (Quality Control) Order, 2023

The Ministry of Commerce and Industry, through its Department for Promotion of Industry and Internal Tradehas issued mandatory quality norms for electric ceiling fans to ensure quality control for electric ceiling fans for domestic manufacturers including MSMEs.A notification in this regard was issued by the DPIIT on 09.08.2023 in exercise of the powers conferred by sub-sections (1) and (2) of section 16 read with section 17 and sub-section (3) of section 25 of the Bureau of Indian Standards...

DGFT Extends Deadline for Export Quota Application to Bhutan Upto August 21

The Directorate General of Foreign Trade (DGFT) under India’s Ministry of Commerce & Industry has recently issued a circular pertaining to the procedure for allocation of quota for export of Wheat, Wheat Flour (Atta) and Maida/Semolina on humanitarian and food security grounds, based on requests received from Government of Bhutan.The Directorate, has partially amended Trade Notice No. 17/2023 dated 28.07.2023 to extend the last date for submission of application, for obtaining license for...

DGFT Extends Application Deadline For Export of Broken Rice To Senegal, Gambia, And Indonesia

The Directorate General of Foreign Trade (DGFT) under India’s Ministry of Commerce & Industry has recently issued a circular pertaining to the procedure for allocation of quota for export of broken rice on humanitarian and food security grounds, based on requests received from Governments of other Countries.As per the circular, in compliance with the Order dated 10.08.2023 of the High Court of Delhi in W.P.(C) 8625/2023 & CM APPLs. 32737/2023, Trade Notice No. 16 dt. 20.07.2023 read with...

Ministry Of Finance Increases Windfall Tax On Crude Oil, Diesel, and Aviation Turbine Fuel

In a significant move, the Ministry of Finance has issued Notification No. 26/2023-Central Excise and Notification No. 27/2023-Central Excise on August 14, 2023, announcing an upward revision of the windfall tax rates on domestically produced crude oil, diesel, and aviation turbine fuel.According to the notifications, the windfall tax on domestically produced crude oil is set to undergo a substantial increase. Previously pegged at Rs 4,250 per tonne, the tax will now be raised to Rs 7,100 per...

CBDT Issues Circular On Constitution and Functioning Of Dispute Resolution Committee

In response to the enactment of the e-Dispute Resolution Scheme, 2022, under section 245MA of the Income Tax Act, the Central Board of Direct Taxes (CBDT), (Ministry of Finance), has recently issued a significant office order on August 14, 2023, outlining the constitution and operational procedures of the Dispute Resolution Committee (DRC).The circular, bearing the reference of Rule 44DAA of the Income Tax Rules, stipulates that the Central Government has been authorized to establish a DRC for...

Mandatory Electronic Filing Of Non-Preferential Certificate Of Origin (CoO) Deadline Extended by DGFT

The Directorate General of Foreign Trade (DGFT) under India’s Ministry of Commerce & Industry has issued a final notice regarding the mandatory electronic filing of Non-Preferential Certificate of Origin (CoO) through the e-CoO platform.​​This Directorate, vide Trade Notice No. 27/2022-2023 dated 28.03.2023, has extended transition period upto 31st December 2023 for mandatory filing of applications for Non-Preferential Certificate of Origin through the e-CoO Platform. The circular said, “The...

Interest Income Earned On Deposits By Clubs In Banks Which Are Corporate Members Taxable; Principle Of Mutuality Not Applicable: Supreme Court

The Supreme Court has ruled that the interest income earned on fixed deposits (FDs) made by Clubs in the banks which are members of those Clubs has to be treated like any other income from other sources within the meaning of Section 2(24) of Income Tax Act, 1961. The bench of Justices B.V. Nagarathna and Prashant Kumar Mishra said that the principle of mutuality would not apply to interest income earned on FDs made by Clubs in the banks irrespective of whether the banks are corporate members of...

E-Way Bill Expired Due To Vehicle Break Down: Allahabad High Court Quashes Seizure Memo

The Allahabad High Court has set aside an order under Section 129(3) of the UPGST Act 2017 by which a penalty was imposed solely on the ground that no evidence had been adduced regarding the illness of the driver and the breakdown of the vehicle.Petitioner regularly made inward supply from GAIL, Auraiya U.P. Inward supply from GAIL Auraiya U.P. was made for which two invoices dated 6.3.2023 were prepared. E-way Bills were generated having validity up to 12.3.2023, and a GR was also prepared on...

ITAT Allows Capital Gains Exemption To NSE Investor Under India-Mauritius Tax Treaty

The Delhi bench of the Income Tax Appellate Tribunal (ITAT) has allowed the capital gains exemption to NSE investors under the India-Mauritius tax treaty.The bench of G.S. Pannu (President) and Saktijit Dey (Vice President), while condemning the department, observed that when the assessee holds a valid Tax Residency Certificate (TRC) and Category 1 GBL and, moreover, the entire process relating to the acquisition of shares of NSE and its sale went through a process of scrutiny and approval by...

Cenvat Credit Allowable To Nayara Energy On Inputs Used For Railway Lines: CESTAT

The Ahmedabad Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that cenvat credit is allowable on inputs used for railway lines.The bench of Ramesh Nair (Judicial Member) and C.L. Mahar (Technical Member) has observed that railway tracks are used to move inputs, raw materials, and manufactured goods within factory premises. Railway Track cannot be kept out of consideration for availing Cenvat credit as it is being used directly for manufacture. Even though the...

‘Milk Cream’ Can’t Be Classified As ‘Milk’: Himachal Pradesh High Court Upholds Tax Demand

The Himachal Pradesh High Court has held that ‘milk cream’ cannot be classified as ‘milk’.The bench of Chief Justice M.S. Ramachandra Rao and Justice Ajay Mohan Goel, while dismissing the revision petition of Gujarat Co-Operative Milk Marketing Federation Ltd., observed that a scientific or technical meaning of the term ‘milk cream’, as sought to be projected by the assessee, should not be adopted and the popular meaning of milk cream, as is commonly understood, should be taken note of, i.e.,...