5% GST Payable On Pre-Packaged And Labelled Jaggery: Karnataka AAR

The Karnataka Authority of Advance Ruling (AAR) has held 5% GST on pre-packaged and labeled jaggery.The two-judge bench of M.P. Ravi Prasad and Kiran Reddy T. found that all types of jaggery, pre-packaged and labeled, are covered by S. No. 91A of Notification No. 1/2017 Central Tax (Rate) dated June 28, 2017.The applicant is a partnership firm and is engaged in the sale of jaggery.The applicant stated that jaggery is exempt from GST as per SI No. 94 of Notification No. 2/2017-Central Tax (Rate),...

GST ITC Available On Trading Of Meat Products, Packed Cold Cuts Spices, Masala Powder: Karnataka AAR

The Karnataka Authority for Advance Ruling (AAR) has ruled that the GST Input Tax Credit (ITC) is available for the trading of meat products, packed cold cuts, spices, and masala powder.The two-member bench of M.P. Ravi Prasad and Kiran Reddy T. has observed that input tax credit has to be availed of in terms of sections 16 and 17 of the CGST Act 2017 read with Rule 42 of the CGST Rules 2017.The applicant is in the business of trading in fresh and semi-processed meat products like chicken,...

S.153A Income Tax Act| Can Assessments Be Reopened If No Incriminating Material Is Found During Search? Supreme Court Reserves Judgment

The Supreme Court on Thursday reserved its judgment on whether in an assessment under section 153A of the Income Tax Act, besides the incriminating material found during search, such materials which the Assessing Officer has on hand and the third party records available can be relied on to assess total income, or whether the assessment has to confined only to the incriminating material seized during the search. The Court also discussed the issue whether there is no incriminating material seized...

Madras High Court Dismisses Plea By AR Rahman, GV Prakash and Santhosh Narayan Challenging GST Department’s Order Claiming Service Tax

The Madras High Court has recently dismissed the pleas filed by music composers AR Rahman, GV Prakash and Santhosh Narayan challenging the proceedings initiated by the Commissioner of the GST Department levying service tax on transfer of copyright in musical work for the period between 2013 and 2017. The department had asserted that the music composers were not the owner of the musical work composed and hence no copyright as contemplated under Section 13(1)(a) under the Copyright Act...

Tax Cases Monthly Round-Up: January 2023

Indirect Taxes Supreme Court Sabka Vishwas Scheme : Supreme Court Grants Relief To Company Which Missed Deadline Due To IBC Moratorium Case Title: Shekhar Resorts Limited vs Union of India Citation : 2023 LiveLaw (SC) 15 No one can be expected to do the impossible, the Supreme Court remarked while granting relief to a company which could not avail the benefit of settlement of tax dues under “Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, due to moratorium imposed...

Budget 2023 | Outlay Of ₹7,000 Crores For Phase-III Of E-Courts Project

In her speech while presenting the Budget for 2023-2024, the Finance Minister, Nirmala Sitharaman, has announced an outlay of Rs. 7,000 Crores for launching Phase-3 of the E-Courts project. “For efficient administration of justice, Phase-3 of the E-Courts project will be launched with an outlay of 7,000 crore,” the Finance Minister said in her speech. The eCourts Project was conceptualized on the basis of the “National Policy and Action Plan for Implementation of Information and...

Rebate Rate Hike, Slab Changes Applicable Only In New Tax Regime: Know The Difference

In her Budget 2023-24 speech, Union Finance Minister Nirmala Sitharaman has announced that the increase in the income tax rebate limit from Rs. 5 Lakhs To Rs. 7 Lakhs in the new tax regime. For the middle class person, the proposal under the new income tax regime has been a huge relief. This would mean that an individual with an annual income of up to Rs 7 lakh will not be required to pay income tax. Zero-Tax Benefit Is A Rebate And Not An Exemption The proposal will only be...

Sales Tax or VAT Dues Payable Can't Be Claimed As Priority Over Dues Of Secured Creditor: Gujarat High Court

The Gujarat High Court has held that Sales tax or VAT dues payable cannot be claimed as priority over dues of the secured creditor.The division bench of Justice N.V. Anjaria and Justice Bhargav D. Karia has observed that the charge in respect of the property in question created for sales tax dues is of no avail and has no efficacy in law.The petitioner has challenged the order dated passed by respondent, the Sub Registrar, Jamnagar. The order was in nature of communication addressed to the...

Key Aspects And Analysis Of Union Budget 2023

The Union Finance Minister Ms.Nirmala Sitharaman has presented the budget for the year 2023-24, the last full budget before the 2024 polls. Various amendments have been proposed for the taxpayers specifically the middle and the salaried class such as altering the tax slabs and increase of rebate for taxpayers paying tax under the new tax regime.Major direct-tax amendments as proposed in Finance Bill, 2023 are as follows:1. Rates of...

Aircraft Imported For Private Purposes, No Customs Duty Exemption Allowed: Delhi High Court

The Delhi High Court has held that the aircraft was imported for private purposes and not for providing non-scheduled passenger or charter services. Therefore, the condition for customs duty exemption was not available to the assessee. The division bench of Justice Vibhu Bhakhru and Justice Amit Mahajan has observed that the appellant has not used the aircraft for providing air transport service for remuneration of any kind. The provision of non-scheduled (passenger) services, as...

Know 9 Legislative GST Changes In Budget 2023-24

The Finance Minister Nirmala Sitharaman has presented the Budget 2023-24.Here are 9 Legislative GST Changes that budget 2023-24 brings:1. DecriminalisationSection 132 and section 138 of CGST Act are being amended, inter alia, to raise the minimum threshold of tax amount for launching prosecution under GST from one crore to two crore, except for the offence of issuance of invoices without supply of goods or services or both. Reduce the compounding amount from the present range of 50 per...

Finance Minister Proposes To Ease Deduction Claim On Amortisation Of Preliminary Expenditure

In her Budget 2023-24 speech, Finance Minister Nirmala Sitharaman has proposed to ease claiming of deduction on amortisation of preliminary expenditure.At present for claiming amortisation of certain preliminary expenses, the activity is to be carried out either by the assessee or by a concern approved by the Board. In order to ease the process of claiming amortisation of these expenses it is proposed to remove the condition of activity in connection with these expenses to be carried out...