No Order On Merits Can Be Passed If Appeal Is Defective For Non-Production Of Certified Copy: Bombay High Court

The Bombay High Court has held that if the appeal is defective for non-production of a certified copy, failure to deposit, or incorrect signatures, no order on merits can be passed. The appellate authority erred in law in passing an order on the merits.The bench of Justice G. S. Kulkarni and Justice Jitendra Jain has observed that the Commissioner (Appeal), having not given an opportunity to the Petitioner to cure the procedural defect, was not justified in rejecting the appeal. It would be...

ITC Can’t Be Availed On Test Drive Vehicle When Retained In Workshop As Replacement Vehicle: AAR

The Telangana Authority of Advance Ruling (AAR) has held that Input Tax Credit (ITC) cannot be availed on test-drive vehicles when retained in a workshop as a replacement vehicle.The bench of S.V. Kasi Visweswara Rao and Sahil Inamdar have observed that the availability of ITC depends on the occurrence of a future event, i.e., whether he retains the vehicle in his workshop as a replacement vehicle or sells vehicles. If the vehicle is further supplied, then ITC can be claimed.The applicant is in...

No TDS Deductible On Commission Payment To Non-Resident Agent Overseas: Delhi High Court

The Delhi High Court has held that commission payments to non-resident agents overseas are not chargeable to tax and there is no TDS required to be deducted under Section 195 of the Income Tax Act.The bench of Justice Vibhu Bakhru and Justice Amit Mahajan has observed that there is no material on record to even remotely suggest that the non-resident, who had been paid the export commission, had any permanent establishment in India, carried on any business within the taxable territory in India,...

Patna High Court Deprecates State Tax Authority's Conduct; Orders Restoration Of Refund Application

In a significant ruling, the Patna High Court criticized the State Tax Authority for its handling of a refund application filed by Progressive Constructions Limited and set aside the impugned order. The court, in its judgment, expressed strong disapproval of the Officer's conduct and restored the refund application before the appropriate authority. The case revolved around the refund application filed by Progressive Constructions Limited, which was dismissed by the Officer entrusted...

CGST Rules | Remedy Under Rule 159(5) Against Provisional Attachment Must Be Availed Before Approaching Court: Allahabad High Court

The Allahabad High Court has held that Rule 159(5) of the Central Goods and Service Tax Rules, 2017 which provides remedy to file objections against the attachment of property must be availed before approaching the Court.CGST Department carried out an investigation against 3 persons including the petitioner and her husband for availing and passing on wrong Input Tax Credit by creating various firms without supply of goods. Petitioner’s current bank account has been provisionally attached...

Subway Charging Royalty And Advertising Expenses Does Not Amounts To Profiteering: CCI

The Competition Commission of India (CCI), while providing relief to Subway, held that charging royalty and advertising expenses does not amount to profiteering.The bench of Ravneet Kaur (Chairperson), Sangeeta Verma (Member), and Bhagwant Singh Bishnoi (Member) observed that the rate of GST in respect of Royalty Services was 12% and the rate of GST on Advertisement Charges was 5% in the case of Print media and 18% (other than Print media) since the implementation of GST, and there had been no...

Assessee Ought To Have Waited For Relevant Form To Go Live On GST Portal Instead Of Making Illegal Adjustment: Allahabad High Court

The Allahabad High Court has held that the assessee ought to have waited for the relevant form to go live on the GST portal instead of making an illegal adjustment.The bench of Chief Justice Pritinker Diwaker and Justice Ashutosh Srivastava has observed that it was incumbent upon the petitioner to have raised a proper grievance on the GST portal help-desk and ought to have waited for the relevant Form to go live on the GST portal instead of making illegal adjustments by use of the Form GSTR-3B...

CBDT Exempts IFSC’s Unit From TDS Deduction On Ships Leasing Income

The Central Board of Direct Taxes (CBIC) has exempted the unit of the International Financial Services Centre (IFSC) from TDS Deduction on ship leasing income."Central Government hereby specifies that no deduction of tax shall be made under Section 194-I of the Income-tax Act on payment in the nature of lease rent or supplemental lease rent, as the case may be, made by a person (lessee) to a person being a Unit of an International Financial Services Centre (lessor) for the lease of a ship," the...

CBIC Notifies “Account Aggregator” For Sharing Information Under CGST Act, 2017

The Central Board of Indirect Taxes and Customs (CBIC) has notified the “Account Aggregator” as the systems with which information may be shared by the common portal under section 158A of the CGST Act, 2017.“The Central Government, on the recommendations of the Council, hereby notifies “Account Aggregator” as the systems with which information may be shared by the common portal based on consent under Section 158A of the Central Goods and Services Tax Act, 2017,” the notification read.“Account...

DGFT Circular Providing 4% of SAD Refund Published On The Official Website Amounts To Public Notice: Kerala High Court

The Kerala High Court has held that a circular issued by the Directorate General Of Foreign Trade (DGFT) providing 4% of the Special Additional Duty (SAD) refund published on the official website amounts to public notice.The bench of Justice Dinesh Kumar Singh noted that when the Circular itself provides that if any exporter claims a refund of 4% SAD, the amount should have been paid in cash. The petitioner did not pay the amount in cash but in scrips. Therefore, under the provisions of the...

Buyer Not Liable For Seller's Default: Calcutta High Court Set Aside ITC Reversal Demand Against Buyer

The Calcutta High Court has held that before directing the recipient of service or buyer to reverse the input tax credit and remit it to the government, the department ought to have taken action against the selling dealer.The bench of Chief Justice T.S. Sivagnanam and Justice Hiranmay Bhattacharyya has observed that the issuance of a demand notice on the recipient of service on account of a mismatch in GSTR 2A and GSTR 3B ITC cannot be sustained without any investigation being done at the end of...

If Refund Is Legitimately Due, Mere Delay Should Not Defeat The Claim For Income Tax Refund: Bombay High Court

The Bombay High Court has quashed the CBDT’s order rejecting the assessee’s application for condonation of the 43-day delay in filing the return of income (ITR)."Refusing to condone the delay can result in a meritorious matter being thrown out at the very threshold and the cause of justice being defeated. The authorities fail to understand that when the delay is condoned, the highest that can happen is that the cause will be decided on merits after hearing the parties. In our view, the approach...