Belated Deposit Of PF And ESI Contribution Of Employees Cannot Be Added To Employer's Taxable Income: ITAT Delhi

The Single Bench of Delhi ITAT, consisting of judicial member Kul Bharat, has ruled that belated payment of employees' contribution to the Provident Fund and State Insurance Scheme cannot be added to the employer's taxable income as deemed income, if the said deposits are made before the due date of filing the income tax return under the Income Tax Act, 1961. The Appellant/ Assessee Guardian India Solutions had filed its income tax return which was processed by the Centralized...

Supreme Court Remits Tax Appeal Back To Rajasthan High Court, Says High Court Cannot Dispose Of Appeal With A One Paragraph Order

The Supreme Court has ruled that a High Court is not justified in disposing of a tax appeal with a one paragraph order without discussing the issues arising for consideration. The Bench, consisting of Justices U.U. Lalit and S. Ravindra Bhat, has remitted a matter back to the Rajasthan High Court for fresh consideration of a tax appeal filed by the revenue department against the order of the Jaipur bench of ITAT. The Assessing Officer (AO) had made additions to Assessee Motisons...

No Service Tax Payable On Activity Of Installing And Maintaining Fixed Facility For Supplying Oxygen Gas: CESTAT

The Kolkata Bench of Customs, Excise and Service Tax Appellate (CESTAT) consisting of P.K. Choudhary (Judicial Member) and Raju (Technical Member) has ruled that service tax is not applicable on the activity of installing and maintaining a fixed facility for supplying oxygen gas.The appellant/assessee is in the business of manufacturing oxygen and argon gases for various iron and steel manufacturers across India. The Appellants have entered into an agreement with M/s. Indian Iron &...

No Suppression Of Fact By Adani Enterprise, Extended Period Of Service Tax Demand Not Invokable, says CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT), consisting of Ramesh Nair (Judicial Member) and Raju (Technical Member), has ruled that the extended period of limitation was not invokable as there was no suppression or willful misstatement on the part of the Adani Enterprise.The appellant/assessee is in the business of providing various taxable services and has a centralised service tax registration. DGCEI gathered intelligence that the appellant has...

Rusk Is Different From Bread, VAT Exemption Available To Bread Can't Be Extended To Rusk: Meghalaya High Court

The Meghalaya High Court bench consisting of Chief Justice Sanjib Banerjee and Justice W. Diengdoh has ruled that rusk is not bread and the Value Added Tax (VAT) exemption available to bread in the state of Meghalaya must be extended to rusk.The petitioner/assessee is in the business of manufacturing a product that is generically known as rusk. Rusk is a form of toasted bread that, unlike untoasted bread, which is soft, is crunchy and is consumed more as a biscuit than as bread or even...

Cooking Cream Attracts 18% GST: AAAR

The Haryana Appellate Authority of Advance Ruling (AAAR) bench consisting of Amit Kumar Aggarwal and Anil Kumar Jain has ruled that 18% Goods and Service Tax (GST) is payable on the cooking cream.The appellant is in the business of distributing various dairy and non-dairy products. The goods, namely "Cooking Cream", sold by the appellant under the name 'Cooking Delite", are proprietary foods consisting of water, edible vegetable fat (hydrogenated palm kernel oil), milk solids, sugar, and...

Flight Testing Services Provided To Hindustan Aeronautics Not Taxable As Fees For Technical Services: Bangalore ITAT

The ITAT Bangalore Bench, consisting of members George George K (Judicial Member) and Padmavathy S (Accountant Member), has ruled that flight testing services provided to Hindustan Aeronautics Limited cannot be taxed as fees for technical services and therefore no TDS is required to be collected on it. The Assessee Hindustan Aeronautics Limited (HAL), a public sector undertaking of the Government of India, had filed its income tax return which was selected for scrutiny by the Assessing...

Reassessment Notice Issued Within 5 Hours Of Receiving Information, Bombay High Court Says Nothing Wrong, If There Is Application Of Mind

The Bombay High Court bench of Justice K.R. Shriram and Justice Amit B. Borkar has upheld the validity of the reassessment notice issued within 5 hours of receiving information against Maharashtra Minister, Chhagan Chandrakant. The petitioner/assessee was Maharashtra's Cabinet Minister. He filed the return of income for the assessment year 2012–13, which was accepted without scrutiny, and an assessment order was passed. The Assessing Officer received a letter via email stating that...

Rejection Of GST Refund Application On The Ground Of Delay Not Valid, Extension Of Limitation Applicable: Allahabad High Court

The Allahabad High Court bench consisting of Justice Surya Prakash Kesarwani and Justice Jayant Banerji observed that the refund application under the Goods and Service Tax (GST) cannot be rejected merely on the ground of delay."We find that the refund application of the petitioner could not have been rejected by the respondent merely on the ground of delay, ignoring the order of the Supreme Court," the court said. The petitioner/assessee filed a refund application for the tax period...

Govt. Reduces GST To 5% On Domestic Maintenance, Repair and Overhaul Services In Aviation Industry

The Ministry of Civil Aviation has notified the reduction in Goods and Service Tax (GST) from 18% to 5% on Domestic Maintenance, Repair, and Overhaul Services. The press release stated that the average number of passengers carried in the pre-COVID financial year (2019–20) was around 4 lakh per day. On March 6, 2022, domestic airlines in India carried around 3.7 lakh passengers. The issue of a reduction of Value Added Tax (VAT) on aviation turbine fuel (ATF) has been taken up...

GST ITC Not Allowable to BMW On Demo Car Or Vehicle: AAAR

The Haryana Appellate Authority of Advance Ruling (AAAR) bench consisting of Amit Kumar Aggarwal and Anil Kumar Jain ruled that the Input Tax Credit (ITC) is not allowable on demo cars/vehicles.BMW/Appellant has been registered in GST at Gurugram as a State administered taxpayer for running a training centre for the training of Engineers and Marketing professionals etc. They get BMW-branded vehicles made in the Chennai plant as inter-state stock transfers on which IGST and Compensation...

Refusal To Fill Consent Form To Obtain Information About Swiss Bank Account, Delhi High Court Upholds Penalty

The Delhi High Court has upheld the penalty issued under the Income Tax ActIncome Tax Act, 1961 upon an assessee who had failed to fill the consent-cum-waiver form to enable the tax authorities to obtain information about the alleged Swiss Bank accounts held by it. The Bench, consisting of Justices Manmohan and Sudhir Kumar Jain, has held that even if the Assessee had no connection with the alleged Swiss Bank accounts, no prejudice would have been caused to her if she had complied with ...