Karnataka High Court Allows Tax Exemption On Voluntary Donation Received By Educational Institution

The Karnataka High Court has allowed a tax exemption on voluntary donations received by educational institutions.The bench of Justice P.S. Dinesh Kumar and Justice T.G. Shivashankare Gowda has observed that the educational institution is carrying out education that is charitable within the meaning of Section 2(15), it has applied or accumulated sums as required by Section 11(1)(a), the explanation thereto, and Section 11(2), it is duly registered under Section 12A, and it has not violated...

CBDT Approves Patanjali Yog Peeth Nyas As University For Social Science Research Centre To Grant Income Tax Benefits

The Central Board of Direct Taxes (CBDT) has approved Patanjali Yog Peeth Nyas as a university for social science research center to grant income tax benefits.The Central Government has approved ‘M/s Patanjali Yog Peeth Nyas, Delhi for its university unit ‘The University of Patanjali’, Haridwar’ under the category of ‘University, College or Other Institution’ for research in ‘Social Science or Statistical Research’ for the purposes of section 35 (1) (iii) of the Income-tax Act, 1961 read with...

Difficult To Submit Complete Reply To The SCN In Less Than 12 Hours: Gujarat High Court Quashes Assessment Order

The Gujarat High Court quashed an assessment order made by the income tax authorities without granting the petitioner an opportunity to be heard. The court found that the show cause notice cum draft assessment order was issued with an extremely short deadline, leaving the petitioner less than 12 hours to respond.The case stems from the petitioner, Dineshkumar Chhaganbhai Nandani's filing of an income tax return for the Assessment Year 2014-2015 in July 2014, declaring a total income of Rs....

Full Credit Available On GST Charge In The Tax Invoice Issued By The Supplier: AAR

The Andhra Pradesh Authority of Advance Ruling (AAR) has ruled that full credit of the GST charge is included in the tax invoice issued by the supplier even if later commercial or financial credit notes are issued.The bench of K. Ravi Sankar and R. V. Pradhamesh Bhanu has observed that there is no requirement for the applicant to reverse the ITC proportionately to the extent of the financial or commercial credit note issued by the supplier.The applicant is in the business of supplying various...

Income From The Sale Of RECs Is Capital In Nature, Is Not Subject To Taxation: ITAT

The Amritsar Bench of the Income Tax Appellate Tribunal (ITAT) has held that the income from the sale of Renewable Energy Certificates (RECs) is classified as capital in nature and is not subject to taxation.The bench of Anikesh Banerjee (Judicial Member) and M. L. Meena (Accountant Member) observed that all the modes of incentives were in the nature of entitlements received to improve the world's atmosphere by reducing carbon and heat, the emissions and entitlements earned can, at best, be...

AO Can Make Reference To TPO Only After Selecting Case For Scrutiny Assessment: Bombay High Court

The Bombay High Court has held that the Assessing Officer (AO) can make reference to the Transfer Pricing Officer (TPO) under Section 92CA of the Income Tax Act only after selecting the case for scrutiny assessment.The bench of Justice K.R. Shriram and Justice M.M. Sathaye has observed that when the reference was made to the TPO by the Assessing Officer for determination of arm’s length price in relation to the international transaction, no assessment proceedings were pending, and hence it was...

Jammu & Kashmir And Ladakh High Court Dismisses Writ Petition Challenging SCN Regarding Export Of Banned Yarn Shawls

The Jammu & Kashmir And Ladakh High Court has dismissed a writ petition challenging a show cause notice regarding the export of banned yarn shawls.The bench of Justice Vinod Chatterji Koul has observed that the act of respondents in seizing consignments or goods took place in Delhi, followed by other events including the issuance of show cause notices, etc., so it is the courts or forums in Delhi where the petitioner can lay his claim or raise his grievances.The petitioner has...

Assessment Order Cannot Be Directed Against Only One Of The Legal Heirs Of Deceased Assessee: Delhi High Court Sets Aside Rs. 10 Crores Demand

The Delhi High Court held that an assessment order cannot be directed against only one of the legal heirs of a deceased assessee.The Bench of Justice Rajiv Shakdher and Justice Girish Kathpalia has set aside an assessment order of Rs. 10 crores passed by the Income Tax Department, solely on the ground that it was passed against only one of the legal heirs of the deceased assessee and not against all legal heirs.The petitioners are the legal heirs of the deceased assessee, Kuldip Kohli. The...

Salary Is Out Of The Purview Of Service Tax: CESTAT Quashes Service Tax Demand Against Kellogg

The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the service tax demand against Kellogg India and held that salary is out of the purview of service tax.The bench of Suvendu Kumar Pati (Judicial Member) and Anil G. Shakkarwar (Technical Member) has observed that the amount that is unpaid to the employee is salary not paid, and the salary not paid is a part of the total compensation of salary that is out of the purview of service tax.The...

PPF Funds Management Service Prior To 10.9.2004 Not Liable To Pay Service Tax: CESTAT

The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that service tax is payable on the operation of PPF accounts after September 10, 2004.The bench of S.K. Mohanty (Judicial Member) and M.M. Parthiban (Technical Member) has observed that the value of services received by a service provider prior to 10.9.2004 in respect of "operation of bank accounts" is not subject to payment of service tax.The appellant/assessee, SBI, received an intimation from the...

Tax Cases Weekly Round-Up: 18 June To 24 June, 2023

Delhi High CourtDelhi High Court Directs AO To Provide Information To Vodafone Mauritius To Drive Out The Validity Of TRCCase Title: VODAFONE MAURITIUS LIMITED Versus ACITThe Delhi High Court has directed the AO to provide information to Vodafone Mauritius to determine the validity of the Tax Residency Certificate (TRC).Bombay High CourtBombay High Court Allows BOCW Cess Refund On Supply Portion Of ContractCase Title: GE T and D India Ltd Versus Union of India & OrsThe Bombay High Court has...

'Provide Specific Reasons': Gujarat High Court Quashes Order Cancelling Firm's GST Registration Based On Cryptic Show Cause Notice

The Gujarat High Court has quashed an order cancelling the Goods and Services Tax (GST) registration of Sona Metals, citing a lack of detailed reasons for the cancellation. The petitioner, registered under the Gujarat Goods & Service Tax Act, challenged the cancellation order on the grounds that the show cause notice issued by the respondent was vague and did not provide sufficient information.The respondent had issued a show cause notice in Form GST REG-17/31, which was uploaded on the...