18% GST Payable On Supply Of Functional Cattle Feed Plant, Inclusive Of Erection, Installation, Commissioning: AAR

The Gujarat Authority of Advance Ruling (AAR) has ruled that the 18% GST is applicable on supply of a functional Cattle Feed Plant, inclusive of its Erection, Installation and Commissioning and related works.The two-member bench of Atul Mehta and Arun Richard observed that the Cattle Feed Plant once installed and commissioned in the premises is transferred to the customer, it involves transfer of property. The Plant installation comprises cabling and fastening to earth/ foundation and all...

Serious Allegations Of Availing Fraudulent GST ITC In Electronic Credit Ledger: Madras High Court Refuses Refund Of Amount

The Madras High Court bench of Justice C. Saravanan refused to grant a refund of the amount lying in the assessee's electronic cash ledger on the grounds that there were serious allegations against the assessee for having an availed fraudulent input tax credit (ITC) in the electronic credit ledger on the strength of a bogus and fictitious input tax invoice for discharging GST liability with no supply. The writ petitioner/assessee has sought the direction to refund Rs.88,17,754 lying in...

Rajasthan High Court Refuses Bail To Director Of A Company Allegedly Involved In GST Evasion Worth Rs.869 Crores

The Rajasthan High Court bench of Justice Narendra Singh Dhaddha has refused to grant bail to the director of a company who was allegedly involved in goods and service tax (GST) evasion worth Rs. 869 crores.Counsel for Sohan Singh Rao/petitioner submitted that the petitioner was falsely implicated in the case of GST evasion. The petitioner is a director of M/s Miraj Products Private Limited. He has been behind bars since January 13, 2022. In the first complaint, there was not a single word...

Income Disclosed Under Voluntary Disclosure Scheme Cannot Be Included With Regular Income ;Madhya Pradesh High Court

The Madya Pradesh High Court has ruled that income disclosed under Voluntary Disclosure Scheme cannot be included with the regular income declared under Income Tax Act as the tax paid under the Scheme cannot be refunded at any cost. The Bench, consisting of Justices Vivek Rusia and Amar Nath Kesharwani, has held that tax paid under Voluntary Disclosure Scheme and tax paid under Income Tax Act are different and there cannot be any adjustment between them. The Bench added that an assessee...

State Can't Legislate On Entry Tax After Deletion Of Entry 52 Of List II: West Bengal Taxation Tribunal

The West Bengal Taxation Tribunal, headed by Malay Marut Banerjee (Chairman), Suranjan Kundu (Judicial Member), and Chanchalmal Bachhawat (Technical Member), observed that the state legislature cannot make any law in the field of entry of goods into the local area for consumption, use, and sale as Entry 52 of List II of the 7th Schedule of the Constitution of India was dropped permanently.The West Bengal Tax on Entry of Goods into Local Area Act, 2012 was introduced w.e.f. 01.04.2012 in a...

Claim Of Refund And Interest Shall Be Dealt Under The Existing Law On Central Excise And Not As Per CGST Act. Punjab & Haryana High Court Rejects The Plea Of Revenue

The Punjab and Haryana High Court has held that the revenue department cannot take the plea of transfer of jurisdiction due to GST regime against assessee's claim for refund of central excise duty and interest. The Bench, consisting of Justices Ajay Tewari and Pankaj Jain, ruled that the Income Tax Act, 1961 and Central Excise Act, 1944 are pari materia and an assessee was entitled to interest on delayed refund of central excise duty in light of the Supreme Court ruling in Sandvik Asia...

S. 194-I Income Tax Act | TDS Can't Be Deducted In Absence Of Payment Of Rent: Orissa High Court

The Orissa High Court has held that in absence of payment of rent, the obligation to deduct tax at source ('TDS') under Section 194-I of the Income Tax Act, 1961 ('the Act') does not arise at all. Notably, the said provision deals with 'TDS on rent'. While dismissing an Income Tax Appeal, a Division Bench of Chief Justice Dr. S. Muralidhar and Justice R.K. Pattanaik observed, "In absence of there being any payment of rent or even deemed rent by the Respondents to OPTCL there was...

Rent Free Accomodation Provided By Partner To Partnership Firm Is Exigible To GST: Tamil Nadu AAR

The Tamil Nadu Bench of the Authority for Advance Ruling, consisting of members T.G. Venkatesh and K. Latha, has ruled that GST is liable to be paid in respect of properties of a Partner rented to a partnership firm, even if it is free of rent, to carry out the business of the firm, since the activity is in furtherance of business and amounts to supply under Section 7 read with Schedule 1 of the CGST Act, 2017. The Applicant Shanmuga Durai filed an application before the Authority for...

Remuneration From Partnership Not 'Gross Receipt' For Purpose Of Audit Under Section 44AB Of Income Tax Act: Bombay High Court

The Bombay High Court has ruled that remuneration received from partnership firm cannot be treated as gross receipt in profession for the purpose of compulsory audit under Section 44AB of the Income Tax Act, 1961. The Bench, consisting of Justices K.R. Shriram and N.J. Jamadar, ruled that none of the clauses under Section 44AB envisage the situation where an assessee is carrying on both profession as well as business. The Petitioner/Assessee Perizad Zorabian Irani filed her income...

Assessee's Recourse To Constitutional Provisions Not A 'Proceeding Under Income Tax Act' : Kerala High Court

The Kerala High Court on Thursday ruled that a Special Leave Petition filed by an assessee under Article 136 of the Constitution of India cannot be regarded as a proceeding under the Income Tax Act. Justice Bechu Kurian Thomas held that while an assessment, appellate, and even revisional proceeding qualify as "proceedings under this Act', one instituted under the Constitution did not. "As a taxing statute, strict interpretation is to be adopted and that being so, recourse by the...

GST Appeal Filed Physically On Failure Of Digital Filing - Department Wrongly Rejected Appeal: Andhra High Court

The Andhra Pradesh High Court bench of Justice U. Durga Prasad Rao and Justice J. Uma Devi has quashed the order rejecting the GST appeal which was not filed electronically.The petitioner/assessee preferred a statutory appeal against the assessment orders passed by the department. As Rule 108 of the Andhra Pradesh Goods and Service Tax Rules (APGST Rules) permits filing of an appeal electronically, the petitioner had attempted to file the appeal electronically, but it was not received by...

Department Cannot Block GST ITC Without Assigning Any Reason: Gujarat High Court

The Gujarat High Court bench of Justice J.B. Pardiwala and Justice Nisha M. Thakore has held that the department cannot block the Input Tax Credit (ITC) without assigning any reason to the assessee.The writ petitioner/assessee, a proprietary concern, is in the business of trading in M.S. scrap for the past 13 years. The proprietary firm purchases the scraps from different suppliers and sells them to different entities. The assessee had purchased M.S. Scrap from one of its suppliers,...