No GST Payable For Movement Of Goods Between Two Units Working Under Same GSTIN: Rajasthan AAR

The Rajasthan Bench of Authority of Advance Ruling, consisting of Vikas Kumar Jeph and M.S. Kavia has ruled that GST is not payable on the movement of goods between two units working under the same GSTIN.The applicant is in the business of manufacturing Thermocol, PET Bottles, Tableware, Kitchenware & Tiffin, Toilet ware, Plastic Casseroles, Steel Household, Plastic Chairs, and Flasks. The applicant has been availing input tax credit on capital goods, inputs as well as input services ...

Tax Cases Weekly Round-Up: 12 June To 18 June, 2022

Delhi High CourtDelhi High Court Quashes Assessment Order For Not Giving Opportunity To File Objection To SCN Case Title: Jindal Exports and Imports Private Limited Vs DCIT The Delhi High Court bench of Justice Manmohan and Justice Dinesh Kumar Sharma has quashed the assessment order as the assessee was not given an opportunity to file an objection to the show cause notice. Underreporting Of Income Due To Re-Computation Of Disallowance By The AO, Does Not Amount To Misreporting Of...

Period Of Limitation Under S.153 Of Income Tax Act Applies To Remand Proceedings : Madras HC

The Madras High Court recently observed that the period of limitation under the Sections 153 (2A) or 153 (3) was applicable even for remad proceedings before the Assessing Officer, Transfer Pricing Officer or the Dispute Resolution Panel. The entire proceedings had to be conducted within a period of 9 months as contemplated under Section 144C (12) of the Income Tax Act. The bench of Justice R Mahadevan and Justice Sathya Narayana Prasad further observed that in matters of transfer...

Nowhere It Appears That Petitioners' Request For A Personal Hearing Was Considered Or Rejected: Calcutta High Court Sets Aside GST Adjudication Order

The Calcutta High Court bench of Justice Md. Nizamuddin has held that the GST order passed without giving an opportunity of personal hearing is against the principles of natural justice. The petitioner has challenged the adjudication order passed by the Adjudicating Authority. The primary ground of challenge was that the order was passed in violation of the principle of natural justice by not affording an opportunity of personal hearing to the petitioners in spite of a specific request....

Delhi High Court Quashes Assessment Order For Not Giving Opportunity To File Objection To SCN

The Delhi High Court bench of Justice Manmohan and Justice Dinesh Kumar Sharma has quashed the assessment order as the assessee was not given an opportunity to file an objection to the show cause notice. The petitioner/assessee has challenged the reassessment notices for the assessment years 2014-15 and 2015-16 as well as the assessment orders passed under Section 147 read with Section 143(3) of the Income Tax Act. The petitioner contended that the notices and the orders were void...

Failure Of Proper Officer Detaining Vehicle To Issue Notice: Madras High Court Directs Release Of Vehicle And Goods

The Madras High Court bench of Justice Anitha Sumanth has held that Section 129 of the CGST Act provides for the detention and seizure of the vehicle upon condition that an order of detention/seizure shall be passed at the time of detention/seizure and duly served upon the person transporting the goods.The petitioner claimed to have obtained iron scrap from multiple merchants and to be shipping it from Guwahati to Coimbatore. The truck transporting the package experienced technical...

Cryptic Reasons For Denying Refund Claim Does Not Render The Order Non-Speaking: Madhya Pradesh High Court

The Madhya Pradesh High Court has held that the claim for refund has been declined by assigning reasons which may be cryptic on bare perusal but are sufficient to enable the assessee to know the exact cause for the rejection of the claim for refund.The division bench of Justice Sheel Nagu and Justice Maninder S. Bhatti has observed that the reasons assigned for declining the refund claim cannot categorise the orders as being non-speaking. The order does not dissuade the assessee from...

Availment Of Credit On The Strength Of Photocopies Of Invoices Is Just A Procedural Lapse: CESTAT Allows Cenvat credit

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Ramesh Nair (Judicial Member) has held that the availment of credit on the strength of photocopies of the invoices is just a procedural lapse and cannot be made the basis to disallow the cenvat credit.The petitioner/assessee has challenged the denial of Cenvat credit availed on the strength of Xerox copies of the purchase invoices. The department has contended that the appellant was...

Notice Issued Under Section 148 Of The Income Tax Act Against A Deceased Assessee Is Invalid : Reiterates Delhi High Court

The Delhi High Court has reiterated that a notice issued under Section 148 of the Income Tax Act, 1961, on the ground of escapement of income from assessment, against a deceased assessee is invalid in law. The Division Bench of Justices Jyoti Singh and Anoop Kumar Mendirattaobserved that though the notices were issued by the revenue authorities pursuant to an order of the Supreme Court, however, the said order did not deal with the issue of whether the notices could be issued against the...

No GST Payable On Reimbursement Of Stipend Paid To Trainees: AAR

The Maharashtra Authority of Advance ruling (AAR) has ruled that GST is not payable on the reimbursement of stipend paid to trainees by industry partners.This Applicant, M/s Patle Eduskills Foundation is in the business of Human Resource & Skill Development and is a facilitator under the National Employability Enhancement Mission (NEEM Scheme) of the Government of India. The primary objective of the NEEM Scheme, notified through the All India Council of Technical Education (AICTE),...

Appeal Filed By A Struck Off Company Against The Revenue Department Is Maintainable: ITAT Delhi

The Delhi Bench of ITAT has ruled that an appeal filed by a Company against the order passed by the revenue department does not become infructuous if, thereafter, the Company has been struck off from the Register of Companies. The Bench, consisting of Yogesh Kumar U.S. (Judicial Member) and B. R. R. Kumar (Accountant Member), held that a Certificate of Incorporation issued to a Company cannot be treated as cancelled for the purpose of realizing the amount due to the Company and for the...

Royalty Income Should Be Excluded From Business Profits For Calculating Deductions U/S 80HHC Of Income Tax Act: Madras High Court

The Madras High Court recently upheld the decision of the Income Tax Appellate Tribunal directing the assessing officer to exclude the royalty income from the business profits for the purpose of calculation of deductions under Section 80HHC of the Income Tax Act. Justice R Mahadevan and Justice Sathya Narayana Prasad observed that the appellant could not produce concrete evidence to assert that the royalty income received from a subsidiary company was related to export business. Thus,...