Tata Steel Limited, Is Entitled To A Refund Of Excess CST Collected By IOCL And Remitted To State - Calcutta High court

The Calcutta High Court has held that Tata Steel is entitled to the concessional rate of tax as they have fulfilled the conditions in Section 8 of the Central Sales Tax Act.The division bench of Justice T.S. Sivagnanam and Justice Supratim Bhattacharya has observed that Tata Steel, as a purchasing dealer, has the capacity to maintain the claim for refund of the excess tax collected directly from them, and the writ petition is maintainable.The court ruled that be entitled to the concessional rate...

External Hard Disk Drives Eligible For Concessional Rate Of Additional Customs Duty: CESTAT

The Mumbai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has reiterated that import of external/portable hard disk drives are eligible for concessional rate of additional customs duty, as provided under Notification No. 6/2006-CE, dated 1st March 2006, and Notification No. 12/2012-CE, dated 17th March 2012. Referring to the various judgments passed by the CESTAT, the bench of Ajay Sharma (Judicial Member) and C J Mathew (Technical Member) observed that...

Payment On One-Time Premium/Aalami Can't Be Charged To Service Tax Under Renting Of Immovable Property: CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that the payment of a one-time premium or salami cannot be charged to service tax under the heading "renting of immovable property service."The two-member bench of Ramesh Nair (judicial member) and Raju (technical member) has observed that service tax under Section 65(105)(zzzz) read with Section 65(90a) cannot be charged on the "premium" or "salami" paid by the lessee to the lessor for transfer of an...

No Service Tax Payable On Security Deposit Taken From Customers Towards Trading Of Shares: CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that service tax is not payable on security deposits taken from customers towards the trading of shares.The two-member bench of Ramesh Nair (judicial member) and Raju (technical member) has observed that the amount is refundable and was towards security deposits and was not for the purpose of providing any services, so to levy service tax on it would be inappropriate.The issue involved was whether the...

Cost Of The Diesel For Providing DG Set Rental Service Attracts 18% GST: Uttarakhand AAR

The Uttarakhand Authority of Advance Ruling (AAR) has ruled that 18% GST is applicable on the cost of the diesel incurred for running diesel generators (DG) in the course of providing DG rental service.The two-member bench of Anurag Mishra and Rameshwar Meena has observed that consideration for reimbursement of expenses, such as the cost of the diesel for running the DG set, is nothing but an additional consideration for the renting of the DG set.The applicant is a partnership firm in the...

No Service Tax Payable On Sale Of Ready-Mix-Concrete: CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that the entire exercise is the sale of ready-mixed concrete (RMC) and there is no service element involved so as to create service tax liability against the assessee.The two-member bench of Ramesh Nair (judicial member) and Raju (technical member) has observed that the department has very much accepted the activity of the appellant as manufacturing and collected the excise duty on the entire value of...

Service Tax Under RCM For Works Contract Service Not Applicable on Corporate Assesses: CESTAT

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT), consisting of P.K. Chaudhary (Judicial Member), has held that the notification levying service tax under the reverse charge mechanism (RCM) for works contract service shall be applicable only to individuals, partnership firms, and Hindu Undivided Families (HUF), and not to corporate assessees.The appellant/assessee is in the business of manufacturing soft ferrite parts and components falling under Tariff...

Reassessment Powers Could Not Be used For Reverification Or For A Rowing Inquiry: Gujarat High Court

The Gujarat High Court has held that the reassessment powers could not be exercised either for the purpose of reverification or to have a merry sailing for a rowing inquiry.The division bench of Justice N.V. Anjaria and Justice Bhargav D. Karia has observed that the assessing officer wanted to undertake a fishing inquiry in relation to an issue about which he had already solicited information and examined it.The petitioner filed his return of income, showing total income after claiming rebates...

Supreme Court Dismisses Department's SLP Against HC Decision Holding That Entrance Fees Received By Club From Its Member Is Capital Receipts

The Supreme Court bench of Chief Justice of India, Justice D.Y. Chandrachud, and Justice Hima Kohli has dismissed the special leave petition of the department challenging the decision of the Bombay High Court. The Bombay High Court has held that any sum paid by a member of a club to acquire the rights of a club is a capital receipt and not a revenue receipt.The assessee or respondent runs the race course in Bombay. During the assessment year 2009-10 and in the years prior, the assessee used to...

Notification Granting IGST Exemption To Capital Goods Imported Under EPCG scheme Is Clarificatory, Curative: Bombay High Court

The Bombay High Court has held that notification no. 79/2017-Customs dated October 13, 2017, amending notification no. 16/2015-Customs and granting exemption from the IGST to the capital goods imported under the Export Promotion Capital Goods Scheme (EPCG Scheme) is clarifying and curative.The division bench of Justice K.R. Sriram and Justice Arif S. Doctor has directed the department to refund in cash the IGST paid on imports of capital goods made during the period 01.07.2017 to...

Delhi High Court Quashes Assessment Order Passed Without Issuing Draft Assessment Order

The Delhi High Court has quashed the assessment order passed without issuing a show cause notice or a draft assessment order which has been mandated under Section 144B(1)(xvi)(b) of the Income Tax Act.The division bench of Justice Manmohan and Justice Navin Chawla has directed the department to issue a show-cause notice within four weeks.The petitioner/assessee stated that the assessment order had been passed without issuing a show cause notice and a draft assessment order, which were mandated...

Income Tax Assessment made by a non-jurisdictional officer is void: Kolkata ITAT

The Kolkata Income Tax Appellate Tribunal (ITAT) has held that the income tax assessment made by a non-jurisdictional officer is null and void.The two-member bench of Sonjoy Sarma (Judicial Member) and Rajesh Kumar (Accountant Member) has observed that in the case of a non-corporate assessee in non-metro cities, the ITR filed up to Rs. 15 lacs has to be assessed by ITO. Therefore, the assessment was made in violation of Instruction No. 1 of 2011 by the CBDT.The return of income was filed,...