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,...

State Authorities, Regulatory Bodies Including Direct & Indirect Tax Departments Cannot Question Resolution Plan: ITAT Dismisses Revenue Department's Appeal

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has dismissed the appeal filed by the revenue department on the grounds that the state authorities and regulatory bodies, including direct and indirect tax departments, cannot question the resolution plan.The two member bench of Sandeep Singh Karhail (Judicial Member) and Prashant Maharishi (Accountant Member) observed that as per section 31 of the Insolvency and Bankruptcy Code, 2016, the resolution plan as approved by the ...

States Have Legislative Competence To Levy Tax On Lotteries Run By Other States : Supreme Court Allows Appeals Of Kerala & Karnataka

In a significant judgment, the Supreme Court has held that State legislatures have the competence to levy tax on the lotteries organized by other states. Holding so, a bench comprising Justices MR Shah and BV Nagarathna allowed the appeals filed by the States of Karnataka and Kerala challenging the judgments of Karnataka and Kerala High Courts which held that they lacked the legislative competence to levy tax on the lotteries organized by other states like Nagaland, Meghalaya and Sikkim.In 2010,...

CBIC Issues SOP For Scrutiny Of Returns For FY 2017-18 And 2018-19

The Central Board of Indirect Taxes and Customs (CBIC) has issued the Standard Operating Procedure (SOP) for Scrutiny of returns for Financial Year 2017-18 and 2018-19. Section 61 of the Central Goods and Services Tax Act,2017 read with rule 99 of Central Goods and Services Tax Rules, 2017 provides for scrutiny of returns and related particulars furnished by the registered person. As a temporary solution, the CBIC has released a SOP to maintain uniformity in the...

GST Department's Failure To Follow Procedure Amounts Violation Of Natural Justice: Jharkhand High Court Quashes Summary Order In Form GST DRC-07

The Jharkhand High Court bench of Justice Aparesh Kumar Singh and Justice Deepak Roshan has quashed the summary order contained in Form GST DRC-07 as the department failed to follow the procedure prescribed in law before issuing a summary of the order on Form GST DRC-07, amounting to a violation of the principle of natural justice. The petitioner/assessee challenged the circular dated 10.02.2020 issued by the Central Board of Indirect Taxes and Customs (CBIC) which prescribed that...

GST Provisional Attachment Order Not Valid After Expiry Of 1 Year: Delhi High Court

The Delhi High Court bench of Justice Manmohan and Justice Sudhir Kumar Jain has held that every provisional attachment order ceases to have effect after the expiry of a period of one year from the date the order was passed under Section 83(1) of the CGST Act.The petitioner/assessee challenged the letter issued under Section 83 of the CGST Act, 2017 by which the respondent/department had directed the bankers of the petitioner to provisionally attach immovable property in the name of the...

Kerala GST Department Extends Due Date For Filing Annual Kerala Flood Cess Return Till April 30, 2022

The Kerala Goods and Service Tax (GST) Department has extended the due date for filing the annual Kerala Flood Cess return till April 30, 2022. In the exercise of the powers confined by the second proviso to rule 6 of the Kerala Flood Cess Rules, 2019, the Commissioner of State Tax, vide Notification No. 02/2022—State Tax, dated March 17, 2022, has issued an amendment in order to further extend the due date for filing the return from March 15, 2022 to April 30, 2022. Earlier, the...

Non-Deduction of TDS At The Year End As The Amount Payable Was Not Identifiable: Penalty not justifiable- ITAT

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT), consisting of Kul Bharat (Judicial Member) and R.K. Panda (Accountant Member), upheld the CIT(A) order, holding that the mere fact that taxes were not deducted on the year end provision but were deducted and deposited upon crystallisation of liability to pay the expenses does not automatically justify the imposition of a penalty under section 271C of the Income Tax Act.The respondent/assessee is in the business of providing ...

Income Tax Authority Did Not Consider The Reply Filed By Assessee; Delhi High Court Sets Aside Penalty Imposed And Directs Fresh Consideration

The Delhi High Court has ruled that a penalty order passed by the income tax authority under Section 271(1)(c) of the Income Tax Act, 1961 without granting a hearing to the assessee is violative of the principles of natural justice. The Bench, consisting of Justices Manmohan and Dinesh Kumar Sharma, quashed the penalty order and remanded the matter back to the income tax authority for fresh adjudication. The Petitioner/Assessee Mayur Batra filed a writ petition before the Delhi...

Income Tax Deduction Available On Distribution Of Gifts For Sales Promotion Even If Assessee Refuses To Share List Of Recipients: ITAT

The Ahmedabad Bench of the Income Tax Appellate Tribunal (ITAT) headed by Rajpal Yadav (Vice President) and Waseem Ahmed (Accountant Member) has held that the assessee was eligible for an income tax deduction on the distribution of gifts for sales promotion even if the assessee refused to share the list of recipients.The assessee/respondent is in the business of installing computers and providing after-sale services, including the sale of computers and peripherals, and collecting from...

Whether Product `Nimbooz' Can Be Classified Under Item `Lemonade' Or `Fruit Pulp Or Fruit Juice Based Drinks': Supreme Court To Consider

The Supreme Court recently agreed to consider whether the product `Nimbooz' can be classified under item `Lemonade' and/or as `fruit pulp or fruit juice based drinks' for the purpose of Central Excise levy.The bench of Justices MR Shah and BV Nagarathna agreed to consider the question while issuing notice in the civil appeal assailing the order dated October 1, 2021 passed by the Customs,Excise And Service Tax Appellate Tribunal Regional Bench At Hyderabad. Case Before CESTAT, HyderabadAn appeal...