GST ITC Admissible On Bus Hired For Transportation Of Employees Having Capacity Of More Than 13 Passengers: Gujarat AAR

The Gujarat Authority of Advance Ruling (AAR) consisting of Atul Mehta and Arun Richard ruled that the GST ITC is admissible on buses hired for transportation of employees having a capacity of more than 13 passengers.The applicant, M/s. Emcure Pharmaceuticals Limited, submitted that it provides a canteen and bus transportation facility to its employees. The canteen and bus transportation facility are part and parcel of the employment arrangement with the employees. The applicant...

Asian Paints To Furnish A Bank Guarantee For GST Department To Release The Detained Goods: Madras High Court

The Madras High Court bench of Justice M. Dandapani has directed the GST department to release the detained goods on furnishing of the bank guarantee by Asian Paints.The petitioner, Asian Paints, is a leading brand and manufacturer of paints and is a public limited company registered under the Companies Act, 2013 and also registered under GST. The petitioner imported Titanium Dioxide Rutile bearing TN 07 AV 7881 from M/s. Tronox Pigments Private Limited, Australia for their ...

Municipal Corporations Can Levy Advertisement Fee/ Tax Under KMC Act, No Conflict With Levy Of GST: Karnataka High Court

The Karnataka High Court has declared that there is no conflict between the power to levy GST under GST Act and power of Municipal Corporation to levy advertisement fee or advertisement tax under Section 134 of the Karnataka Municipal Corporations Act. A single judge bench of Justice Suraj Govindaraj gave the declaration while rejecting a petition filed by Hubballi Dharwad Advertisers Association and others, which had challenged the demand notice dated 13.06.2018 issued by the...

Can GST Be Imposed On Royalty Paid To Govt? Kerala High Court To Consider

The Kerala High Court has admitted a plea that has raised significant questions of whether royalty paid to the government qualifies as tax and if GST can be imposed on such royalty. The petitioner is engaged in the business of quarrying granite stones as per the quarrying lease granted to them by the Government under Rule 32 of erstwhile Kerala Minor Mineral Concession Rules 1967. As per the lease deed, the anticipated royalty was fixed at Rs.16 per ton for a period of one year. Later,...

Subscription Fee Towards Cloud Services Not Taxable As Royalty: Delhi ITAT

The Delhi Bench of ITAT, consisting of members Anubhav Sharma (Judicial Member) and R.K. Panda (Accountant Member), has ruled that subscription fee received towards Cloud Services is not taxable as royalty. The Microsoft Corporation, USA is the ultimate parent entity of the Assessee MOL Corporation which is incorporated in the United States of America. Due to certain License Agreements entered into between the associated enterprises, the Assessee MOL Corporation was considered the...

Apple And Malt Cola Fizzy Attracts 28% GST And 12% GST Compensation Cess: Gujarat AAR

The Gujarat Authority of Advance Ruling (AAR) consisting of Atul Mehta and Arun Richard has ruled that 28% GST and 12% GST Compensation Cess are payable on Apple and Malt Cola Fizzy. The applicant, Mohammed Hasanbhai Kabalai, submitted that it intends to supply thermally processed ready-to-serve fruit beverages, which shall be ready-to-serve fruit beverages with different flavours. Presently, the applicant is not registered under GST. The applicant intended to supply apple juice based...

Income Tax Act - Loss Suffered Due To Exchange Fluctuation While Repaying Loan Can Be Regarded As Revenue Expenditure : Supreme Court

Allowing the appeal filed by Wipro Finance Ltd., the Supreme Court observed that the loss suffered owing to exchange fluctuation can be regarded as revenue expenditure and thus an allowable deduction.The bench comprising Justices allowed the appeal against High Court judgment which had reversed the above view taken by Income Tax Appellate Tribunal. Wipro entered into a loan agreement with one Commonwealth Development Corporation for borrowing amount to carry on its...

Levy Of GST On Mining Royalty And Allied Charges: Jharkhand High Court Grants Interim Protection

The Jharkhand High Court bench of Justice Aparesh Kumar Singh and Justice Deepak Roshan has granted interim protection on the levy of GST on mining royalty and allied charges.More than 10 writ petitions were filed challenging the show cause notices issued by the department directing them to furnish data relating to the payment of royalty against licencing services for the right to use minerals, including exploration and evaluation, for different periods concerning the levy of GST on...

Delhi High Court Stays Reopening of Income Tax Assessment Keeping In View The Credentials Of BHEL

The Delhi High Court bench of Justice Manmohan and Justice Dinesh Kumar Sharma has stayed the reopening of income tax assessments, keeping in view the credentials of Bharat Heavy Electricals Limited (BHEL).BHEL, the petitioner, has challenged the order issued under Section 148A(d) and the notice issued under Section 148 of the Income Tax Act of 1961 for the Assessment Year 2018–19. Section 148 of the Income Tax Act deals with the issuance of a notice if any income has escaped ...

If Principles Of Natural Justice Are Violated, Writ Remedy Is Available Despite Statutory Appeal: Delhi High Court

The Delhi High Court has quashed an assessment order passed by the revenue department without issuing a prior show cause notice and draft assessment order to the assessee. The High Court has ruled that the assessment order was passed in violation of the principles of natural justice as well as the mandatory procedure prescribed under the "Faceless Assessment Scheme" under the Income Tax Act. The Bench, consisting of Justices Manmohan and Dinesh Kumar Sharma, held that when there is a...

CBIC Issues Revised Guidelines Of NRMC Or LRMC For Effective Implementation Of The Risk Management System In Customs And GST

The Central Board of Indirect Taxes and Customs (CBIC) has issued the revised guidelines for the National Risk Management Committee (NRMC) or Local Risk Management Committee (LRMC) for Customs and GST. The CBIC's Circulars dated 28.06.2007 and 24.11.2005 on the Risk Management System and Charter of Functions for the National Customs Targeting Centre (erstwhile Risk Management Division (2005-2017) and Risk Management Centre for Customs (2017-2020)) and the constitution of the ...

Denial Of Availment Of CENVAT Credit On Performa Invoices, Despite All Information, Is Absolutely Wrong: CESTAT

The Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Rachna Gupta (Judicial Member) held that the denial of availment of Cenvat Credit on performa invoices was absolutely wrong.The appellant/assessee is in the business of manufacturing zinc concentrate, lead concentrate, etc. and is also engaged in providing and receiving goods transport agency service, legal consultancy service, manpower supply service, rent-a-cab service, etc. During the course...