Case Title: Commissioner of Service Tax-IV vs Prime Focus Ltd.

Citation : 2023 LiveLaw (SC) 561

Case Title: M/s Sanvira Industries vs Rain CII Carbon (Vizag) Ltd. & Ors

Citation : 2023 LiveLaw (SC) 497

The Supreme Court has upheld the decision of the Delhi High Court which set aside the increased quota allocated for import of raw pet-coke (RPC) based on the “Consent to Operate” (CTO) issued to the importer for an enhanced production capacity, after the top court’s order dated 09.10.2018.

Case Title: The Commissioner, Central Excise and Customs & Anr vs M/s Reliance Industries Ltd.

Citation : 2023 LiveLaw (SC) 512

The Supreme Court has upheld the decision of the Ahmedabad bench of the Customs, Excise & Service Tax Appellate Tribunal (CESTAT) by holding the demand for differential excise duty raised against the assessee, M/s Reliance Industries Ltd, as time barred.

Revenue Dept Can't Recover Refunded Cess Amount Because Refund Was Based On A Judgment Which Was Later Overruled : Supreme Court

Case Title: Commissioner of CGST and Central Excise (J and K) vs M/s Saraswati Agro Chemicals Pvt. Ltd.

Citation : 2023 LiveLaw (SC) 522

The Supreme Court has upheld the decision of the Jammu and Kashmir and Ladakh (J&K&L) High Court where the court had held that the assessee was not liable to return the Education Cess and Secondary & Higher Education Cess in view of the law subsequently laid down by the Supreme Court in M/s Unicorn Industries vs. Union of India, (2020) 3 SCC 492.

Delhi High Court

Knowledge Is A Necessary Element For Committing Abetment : Delhi High Court Quashes Penalty Against Customs Broker

Case Title: Rajeev Khatri Versus Commissioner Of Customs (Export)

The Delhi High Court has quashed the penalty against customs brokers on the grounds that knowledge is a necessary element for committing abetment.

Mere Pendency Of An Appeal Would Not Detract From The Excise Duty Refund Demand: Delhi High Court

Case Title: M/S Goldy Engineering Works Versus Commissioner Of Central Excise

The Delhi High Court has held that the mere pendency of an appeal or an order of stay that may operate would not detract from the obligation of any person claiming a refund to make an application within the period prescribed and computed with reference to the "relevant date".

Bombay High Court

Case Title: Media Net Software Services (India) Pvt. Ltd. Versus Union of India & Ors.

The Bombay High Court has held that CGST/MGST authorities would not have jurisdiction to retain the amount of tax on export transactions.

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

Case Title: Bharat Parihar Vs. State of Maharashtra

The Bombay High Court has held that the GST provisional attachment order is not valid after one year.

Assessee Entitled To Claim Depreciation In Respect Of Assets On The Actual Cost Of Assets: Bombay High Court

Case Title: Pr. Commissioner Of Income Tax Versus Dharmanandan Diamonds Pvt. Ltd.

The Bombay High Court has held that the assessee is entitled to claim depreciation in respect of any assets based on the actual cost of the assets.

Bombay High Court Allows IGST Refund On Zero Rated Supply Along With 7% Interest

Case Title: Sunlight Cable Industries Versus The Commissioner of Customs

The Bombay High Court has allowed the refund of IGST on zero-rated supply along with 7% interest.

Gujarat High Court

Gujarat High Court Directs To Release Seized Gold As Outstanding Demand Against Assessee

Case Title: Praveenbhai Girdharilal Agarwal Versus Principal Commissioner Of Income Tax (Central)

The Gujarat High Court has directed the department to release the 100.350 grams of seized gold as the assessee had no outstanding demand.

Gujarat High Court Grants Assessee Permission to Pay Tax Liability in Installments, Lifts Bank Account Attachment

Case Title: Nirajkumar Nareshkumar Lakhyani (Pro. Of M/S Om Multitrade) Vs. State Of Gujarat

The Gujarat High Court has overturned the decision of the Adjudicating Authority and granted permission to an assessee to fulfill their tax liability through installment payments, consequently lifting the provisional attachment of the assessee’s bank account.

Gujarat High Court Quashes Non-Speaking Cryptic Order Of GST Registration Cancellation

Case Title: Om Trading Vs State Of Gujarat R/Special Civil Application No. 8990 Of 2023

The Gujarat High Court has clarified that an order for the cancellation of registration passed without providing any reasons is a non-speaking order and therefore is liable to be set aside.

Allahabad High Court

Case Title: Ashish Kakkar V/s UOI

The Allahabad High Court has granted bail to the person allegedly involved in the creation of 92 fake GST Forms and the passing of fake Input Tax credits (ITC) to the tune of Rs. 88 crore.

No Notice For GST Recovery Issued Against The Applicant, Was Illegally Arrested: Allahabad High Court Grants Bail

Case Title: Ravinder Nath Sharma vs. UOI [Criminal Misc. Bail Application No. - 26376 Of 2023]

Case Citation: 2023 LiveLaw (AB) 213

The Allahabad High Court has granted bail on the grounds that no notice for GST recovery was issued against the applicant, who was illegally arrested.

Andhra Pradesh High Court

Andhra Pradesh High Court Quashes Suspension Order Of Customs Broker Licensee Passed Without Giving Opportunity Of Hearing

Case Title: M/S. Richmark Shipping And Logistics Pvt. Ltd., Versus The Commissioner Customs

The Andhra Pradesh High Court has quashed the suspension order passed by the Customs Commissioner suspending the customs broker licence without giving the opportunity for a hearing.

Andhra Pradesh High Court

Acceptance GSTR-3B Returns With Late Fee Will Not Condone Delay In Claiming ITC: Andhra Pradesh High Court

Case Title: Thirumalakonda Plywoods Versus The Assistant Commissioner State Tax

The Andhra Pradesh High Court has held that mere acceptance of Form GSTR-3B returns with a late fee will not exonerate the delay in claiming the Input Tax Credit (ITC).

Meghalaya High Court

Excise Act | Meghalaya High Court Upholds Order Granting Interest To Assessee On Refund Of Deposit Made 'Under Protest' During Investigation

Case Title: The Principal Commissioner of Central vs. M/s Green Valliey Goods and Service Tax Industries Pvt Ltd

The Meghalaya High Court on Wednesday upheld the order passed by the Customs Excise and Service Tax Appellate Tribunal (CESTAT) granting interest on the delayed refund of a deposit made by the assessee under protest, during investigation for allegedly claiming excess cenvat credit.

Punjab & Haryana High Court

Once The Export Obligation Is Discharged, Customs Dept. Could Not Initiate Proceedings Against Assessee: Punjab & Haryana High Court

Case Title: Commissioner of Customs, Ludhiana Versus M/s Jindal Drugs Ltd.

The Punjab and Haryana High Court has held that once the export obligation is discharged, the customs department cannot initiate proceedings against the assessee.

Allahabad High Court

No Notice For GST Recovery Issued Against The Applicant, Was Illegally Arrested: Allahabad High Court Grants Bail

Case Title: Ravinder Nath Sharma vs. UOI [Criminal Misc. Bail Application No. - 26376 Of 2023]

Case Citation: 2023 LiveLaw (AB) 213

The Allahabad High Court has granted bail on the grounds that no notice for GST recovery was issued against the applicant, who was illegally arrested.

GST | Show Cause Notice Must Contain Foundation Of Case On Which Action Is Necessitated: Allahabad High Court

Case Title: M/S Abhay Traders v. Commissioner Commercial Tax U.P. Lucknow And Another

The Allahabad High Court has held that show cause notice must contain the foundation of the case based on which action is being necessitated. In case, the show cause notice is sufficient, assessee has remedy of filing reply/objections before the concerned authorities.

Patna High Court

No Penalty Under Section 129(3) Of CGST Act Could Be Imposed Without Providing A Hearing Opportunity U/S 129(4) Of The Act

While observing that a petitioner’s response to the show cause is required to be considered after due opportunity of hearing, in accordance with the statutory provisions, the Patna High Court has overturned the penalty imposed on a petitioner for moving goods without a valid e-way bill.

Gauhati High Court

Output Tax Was Paid Using ITC, Railway Can’t Deny GST Reimbursement On Price Variation: Gauhati High Court

Case Title: HCC-CPL (JV) Versus Union Of India

The Gauhati High Court had held that railways cannot deny GST reimbursement on account of price variation merely on the grounds that the output tax was paid through an electronic credit ledger using the Input Tax Credit (ITC).

Rajasthan High Court

Welding Electrodes Used For Repairing Plant & Machinery Are Capital Goods: Rajasthan High Court Allows CENVAT Credit To Hindustan Zinc

Case Title: Hindustan Zinc Ltd. Versus C.C.E.

The Rajasthan High Court has granted CENVAT Credit to Hindustan Zinc and held that welding electrodes used for repairing plants and machinery are capital goods and inputs.

Jharkhand High Court

Jharkhand High Court Rejects ESL Steel’s ITC Claim Prior To The Approval Of The Resolution Plan By NCLT

Case Title: M/s ESL Steel Limited Versus Principal Commissioner

The Jharkhand High Court rejected ESL Steel’s Input Tax Credit (ITC) claim prior to the approval of the resolution plan by the National Company Law Tribunal (NCLT).

Calcutta High Court

No Evidence Of Supplier Of Tea Involved In Smuggling Poppy Seeds: Calcutta High Court Releases Vehicle And Tea

Case Title: Radha Tea Merchant versus Senior Joint Commissioner

The Calcutta High Court has released the attached vehicle and tea on the grounds that the tea supplier was not involved in smuggling poppy seeds.

CESTAT

Konkan Railway Not Liable To Pay Service Tax On Use Of Mangalore-Roha Line: CESTAT

Case Title: Konkan Railway Corporation Ltd. Versus Commissioner of Service Tax, Mumbai

The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Konkan Railway is not liable to pay service tax on the use of the Mangalore-Roha Line.

Excavation And Raising Of Ore Classifiable Under “Business Auxiliary Service” And Not Under “Mining Service”: CESTAT

Case Title: M/s. Rashleela Enterprises Pvt. Ltd. Versus The Commissioner

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that excavation and raising of ore are classifiable under "business auxiliary service" and not under "mining service".

Purchase And Sale Of Liquor By The Corporation Will Not Fall Within The Ambit Of BAS And Is Not Taxable: CESTAT

Case Title: M/s. Rajasthan State Beverages Versus The Principal Commissioner

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the corporation will not fall within the ambit of Business auxiliary services (BAS) and would, therefore, not be taxable.

Charges Of Clandestine Removal Not Sustainable Merely On The Basis Of Difference In Figures Of Audit Report And ER-1 Return: CESTAT

Case Title: M/s. Micky Metals Limited Versus Commissioner of Central Excise, Bolpur

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that charges of clandestine removal are not sustainable merely on the basis of the difference in figures between the audit report and the ER-1 return.

No Liability Of Knight Riders To Pay Service Tax On Coaching Service Provided In Relation To Sports: CESTAT

Case Title: M/s Knight Riders Sports Pvt Ltd. Versus Pr. Commissioner of Service Tax-IV

The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Knight Riders are not liable to pay service tax on coaching services provided in relation to sports.

Central Excise Commissioner Can Direct The Deputy Commissioner To Appeal Before The Commissioner (Appeals): CESTAT

Case Title: M/s. Gannon Dunkerly & Co.Ltd. Versus Commissioner of CGST & CX, Bhubaneswar-I Commissionerate

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the Central Excise Commissioner can direct the Deputy Commissioner to appeal before the Commissioner (Appeals).

No Excise Duty Payable On Waste Or Rubbish, Which Is Thrown Up In The Course Of Manufacture: CESTAT

Case Title: JSW Steel Ltd. Versus Commissioner of Central Excise

The Mumbai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Waste or rubbish that is thrown up in the course of manufacture cannot be said to be a product of manufacture and cannot be subject to excise duty.

Ranger And Brutus Vehicles Imported By Polaris India Are Not Designed For Transportation Of Persons: CESTAT

Case Title: Polaris India Private Limited Versus Principal Commissioner of Customs

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Ranger and Brutus Vehicles imported by Polaris India are not designed for the transportation of persons.

No Excise Duty Applicable On Residual Fuel Gas Cleared By Haldia Petrochemicals: CESTAT

M/s. Haldia Petrochemicals Limited Versus Commissioner of Central Excise, Haldia

The Kolkata Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no excise duty is applicable on Residual Fuel Gas (RFG) cleared by Haldia Petrochemicals.

Wired Headset Not A Part Of Any Mobile Phone: CESTAT Allows Customs Duty Exemption

Case Title: M/S Sennheiser Electronics India Pvt Ltd Versus Principal Commissioner, Customs (Import)Inland Container Depot

The Delhi Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the customs duty exemption on Earphones.

CESTAT Allows Import Duty Exemption For Repair Of The Vessel Sagar Sampada

Case Title: Centre for Marine Living Resources & Ecology Versus The Commissioner of CustomS

The Banglore Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the vessel Sagar Sampada is an Ocean-Going Vessel that is eligible for import duty exemption in respect of spares, parts, and other specific items for the vessel's repair.

AAR

18% GST Payable On Service of Charging Of Battery Of Electrical Vehicle: AAR

Applicant’s Name: Chamundeshwari Electricity Supply Corporation Limited

The Karnataka Authority of Advance Ruling (AAR) has ruled that 18% GST is applicable on the service of charging the battery of an electrical vehicle.

Chocolate Peanut Chikkies Attracts 18% GST: AAR

Applicant’s Name: Sirimiri Nutrition Food Products Private Limited

The Karnataka Authority of Advance Ruling (AAR) has held that Chocolate Peanut Chikkies attract 18% GST, whereas other chikkies attract 5% GST.

Fair Price Shops Supplying Essential Commodities To Ration Card Holders Are Not Liable To Charge GST To The State Government: West Bengal AAR

Applicant’s Name: Chanchal Saha

The West Bengal Authority of Advance Ruling (AAR) has ruled that Fair Price Shops (FPS) supplying essential commodities, specifically Super Kerosene Oil (SKO), under the Public Distribution System (PDS) to ration card holders are not liable to charge GST to the State Government.

GST Not Payable On Out-Of-Court Settlement: AAR

Applicant’s Name: TPSC (India) Private Limited

The Telangana Authority of Advance Ruling (AAR) has ruled that GST is not payable on the out-of-court settlement.

GST Payable On Services Of Loading And Unloading Of Imported Unprocessed “Toor” And “Whole Pulses” And “Black Matpe”: West Bengal AAR

Applicant’s Name: Sona Ship Management Private Ltd

The West Bengal Authority of Advance Ruling (AAR) has held that GST is payable on services of loading and unloading of imported unprocessed "toor" "whole pulses" and "black matpe".

No Separate GST Registration Required For Each Type Of Business Services Carried From The Same Place Of Business: West Bengal AAR

Applicant’s Name: Aesthetik Engineers Private Limited

The West Bengal Authority of Advance Ruling (AAR) has held that no separate registration is required for each type of business, i.e., manufacturing, reselling, or providing services carried on from the same place of business.

Education Provided By Isha Yoga Center Ineligible For GST Exemption: AAR Karnataka

Applicant’s Name: M/s Isha Founder

In a recent ruling, the Karnataka Authority For Advance Ruling bench has held that the education provided by Isha Yoga Center's residential school, Isha Samskriti, does not qualify for exemption under the Goods and Services Tax (GST) laws. The ruling came in response to an application filed by Isha Yoga Center seeking clarification on the applicability of GST exemption to its educational services.

Veterinary Instruments "AI Crate/Travis" Classified Under TI 7306, GST Applicable At 18%: GAAR

Name of Applicant: Kantaben Rameshbhai Chaudhari, Krishna Entperises

In a significant development, the Gujarat Authority Of Advance Ruling (GAAR) Bench has provided clarity on the classification and tax rate applicable to the veterinary instrument known as "AI Crate" or "Artificial Insemination Crate/Travis."

Gujarat AAR Rules It Lacks Jurisdiction On Supply of Goods And Services Matter in Madhya Pradesh

Name of Applicant: Pooja Construction Co

The Gujarat Authority for Advance Rulings (AAR) has ruled that it does not have jurisdiction to rule on a matter involving a supply of goods and services in Madhya Pradesh.

12% GST Payable On ‘Solar Home Lighting System’: AAR

Applicant’s Name: R2V2 Technologies Private Limited

The Uttar Pradesh Authority of Advance Ruling (AAR) has held that 12% GST is payable on solar home lighting systems.

Rapigro Is A Plant Growth Regulator, Attracts 18% GST: AAR

Applicant’s Name: Jivagro Limited

The Ahmedabad Bench of the Authority of Advance Ruling (AAR) has ruled that Rapigro attracts 18% GST.

Gold In Any Form Fails Pass Test Of Second-Hand Goods, Marginal Scheme Benefit Not Applicable: AAR

Applicant’s Name: M/S. Best Money Gold Jewellery Ltd.

The Kerala Authority of Advance Ruling (AAR) has ruled that the benefit of the marginal scheme is not applicable to gold, as gold in any form fails to pass the test of second-hand goods.

Direct Tax

Case Title: Principal Commissioner of Income Tax vs King Buildcon Pvt. Ltd.

Citation : 2023 LiveLaw (SC) 532

The Supreme Court has reiterated that in view of the judgment of the Supreme court in Principal Commissioner of Income Tax vs. Abhisar Buildwell Pvt. Ltd.,2023 LiveLaw (SC) 346, an Assessing Officer (AO) cannot make additions to assessee’s income in respect of completed/unabated assessments if no incriminating material has been found during the course of search under Section 132 or requisition under Section 132A of the Income Tax Act, 1961. However, the bench comprising Justices C.T. Ravikumar and Manoj Misra said that in terms of the said judgment, the completed/unabated assessments can be re-opened by the AO in exercise of powers under Sections 147/148 of the Act, subject to fulfilment of the conditions mentioned under the said provisions.

Case Title: Santhosh Maize & Industries Limited vs The State of Tamil Nadu & Anr.

Citation : 2023 LiveLaw (SC) 499

The Supreme Court has ruled that if in any statutory rule or statutory notification, two expressions are used - one in general words and the other in special terms – then, as per the rules of interpretation, the special terms are not meant to be included in the general expression. Alternatively, the court said that where a statute contains both a general provision as well as a specific provision, the latter must prevail.

Delhi High Court

MSMED Act Would Not Be Applicable To CA Firms Appointed As ‘Special Auditors’ Under Section 142(2A) Of The Income Tax Act, 1961: Delhi High Court

Case Title: PR. COMMISSIONER OF INCOME TAX v. MSECF and Anr, W.P.(C) 13754 of 2019

Citation: 2023 LiveLaw (Del) 568

The Delhi High Court has held that the provisions of MSMED Act, 2006 would not apply to a CA firm appointed as ‘Special Auditor’ under Section 142(2A) of the Income Tax Act (IT Act), 1961.

Subsidy Received By Nestle India As Incentive To Establish Industrial Unit Is Capital Receipt: Delhi High Court

Case Title: Principal Commissioner Of Income Tax Vs Nestle India Ltd

Citation: 2023 LiveLaw (Del) 572

The Delhi High Court observed that the Subsidy received by Nestle India, the assessee as incentive to establish industrial unit is Capital receipt and cannot be adjusted against block of assets.

Subscription Amount Received From Subscribers Of E-Journals Cannot Be Treated As Royalty: Delhi High Court

Case Title: The Commissioner Of Income Tax Versus Springer Nature Customer Services Centre GMBH

The Delhi High Court has held that the subscription amount received from subscribers of e-journals cannot be treated as royalty.

Delhi High Court Excludes Comparable On Grounds Of Functional Dissimilarity & Amalgamation

Case Title: The Commissioner Of Income Tax -4 Versus GE India Business Services Pvt. Ltd.

The Delhi High Court has held that the Software Development Services offered by TCS International could not be used as a comparable since the assessee was in the business of Indian Information technology-enabled services (ITES) or business process outsourcing (BPO).

Bombay High Court

Case Title: PCIT Versus Indravadan Jain, HUF

The Bombay High Court held that capital gains cannot be added as unexplained cash credit for the sale of penny stock.

Case Title: Mukand Limited Versus The Union of India

Case Title: Mrs. Usha Eswar Versus Rajeshwari Menon

The Bombay High Court has held that reassessment can’t be initiated on the grounds of a subsequent contradictory ruling by the Authority of Advance Ruling (AAR).

Case Title: Maharashtra State Power Generation Company Limited v. Assistant Commissioner of Income Tax

The Bombay High Court has provided relief to the Maharashtra State Power Generation Company Limited by quashing the notice issued by the Assistant Commissioner of Income Tax under Section 148 of the Income Tax Act. The court observed a lack of tangible material to support the conclusion that income had escaped assessment, thereby prohibiting any further steps by the tax authorities regarding the notice.

Cause Title: Dhirendra Bhupendra Sanghvi v. Assistant Commissioner of Income Tax

While emphasizing that if the concerned officers followed the settled law and refrained from issuing null and void notices, it would be beneficial not only for the citizens but also for the already overburdened courts in the country, the Bombay High Court ruled that all notices and consequential proceedings under the Income Tax Act in the name of a deceased assessee were null and void.

Bombay High Court Quashes Reassessment Proceedings Initiated To Tax 'Share Premium' Of Rs. 679.32 Crores

Case Title: SLS Energy Pvt. Ltd. Versus ITO

The Bombay High Court has quashed the reassessment proceedings initiated to recover the tax share premium of Rs. 679 crores.

Income-Tax Dept. Cannot Ignore The Valid TRC Issued By The Govt.: Bombay High Court Allows DTAA-Benefits To Alibaba Singapore

Case Title: The Commissioner of Income International Taxation-1 Versus Alibaba.Com Singapore E-Commerce Private Ltd.

The Bombay High Court has granted the benefit of the India-Singapore Double Tax Avoidance Agreement (DTAA) to the e-commerce platform Alibaba Singapore.

Consideration Received By Colgate Palmolive Malaysia From It’s Indian Entity For Providing Access To SAP System Is Not Royalty, Not Taxable: Bombay High Court

Case Title: Commissioner of Income Tax Versus M/s. Colgate Palmolive Marketing SDN BHD

The Bombay High Court has held that consideration received by assessee Colgate Palmolive's Malaysian arm from its Indian entity for providing access to System Analysis Program Development (SAP) system is not taxable as royalty.

Priority Of The Secured Creditor Over Govt. Dues Under SARFAESI Act, 2002: Bombay High Court

Case Title: Ronak Industries Versus Assistant Commissioner

The Bombay High Court held that priority belongs to the secured creditor in respect of the dues of the Central government, state government, or local authority under Section 26-E of the SARFAESI Act, 2002.

Karnataka High Court

Vodafone Idea Not Liable To Deduct TDS On Inter-Connectivity Usage & Bandwidth Charges: Karnataka High Court

Case Title: M/S. Vodafone Idea Limited Versus Deputy Director Of Income Tax

The Karnataka High Court has held that the assessee, Vodafone Idea, is not liable to deduct TDS on interconnectivity usage and bandwidth charges.

Patna High Court

Revenue Needs To Be Consistent, Can’t Accept Proposition In One Case And Challenge In Another: Patna High Court

Case Title: Income Tax Officer vs. Indian Oil Corporation Ltd.

The Patna High Court has upheld the principle of consistency in taxation matters, asserting that the Revenue cannot challenge a declaration of law accepted in one case while challenging its correctness in another case without just cause.

Gujarat High Court

Case Title: Praveenbhai Girdharilal Agarwal Versus Principal Commissioner Of Income Tax (Central)

The Gujarat High Court has directed the department to release the 100.350 grams of seized gold as the assessee had no outstanding demand.

Case Title: Nirajkumar Nareshkumar Lakhyani (Pro. Of M/S Om Multitrade) Vs. State Of Gujarat

The Gujarat High Court has overturned the decision of the Adjudicating Authority and granted permission to an assessee to fulfill their tax liability through installment payments, consequently lifting the provisional attachment of the assessee’s bank account.

Excess Claim Of Depreciation By Axis Bank, Voluntary Surrendered, No Case For Penalty: Gujarat High Court

Case Title: The Principal Commissioner Of Income Tax 1, Ahmedabad Versus Axis Bank Ltd.

The Gujarat High Court has held that the department has failed to establish that there was concealment of particulars of the income of the assessee, Axis Bank. The department has also failed to establish that the assessee furnished inaccurate particulars of its income.

Case Title: Om Trading Vs State Of Gujarat R/Special Civil Application No. 8990 Of 2023

The Gujarat High Court has clarified that an order for the cancellation of registration passed without providing any reasons is a non-speaking order and therefore is liable to be set aside.

Gujarat High Court Quashes Reopening Of Assessment Order And Notice In Land Acquisition Case, Rules Compensation Not Taxable As Capital Gains

Case Title: Anilaben Rohitbhai Modi Versus Income Tax Officer

The Gujarat High Court while quashing the reopening of an assessment order and notice issued to the petitioner in a land acquisition case, has ruled that compensation received for compulsory acquisition of land is not taxable as capital gains.

Allahabad High Court

Case Title: Shweta Punj vs. Union of India

The Allahabad High Court has held that Sections 116 and 117 of the Income Tax Act, 1961empower the Central Government to appoint Commissioner of Income-Tax (Appeals). Same pay scale would not make provisions of appointment under other statues applicable to the appointment of authorities under the Act of 1961.

Correctness Of Information Available Cannot Be Gone Into Prior To Issuance Of Notice U/S 148 Income Tax Act: Allahabad High Court

Case Title: Deepak Kumar Yadav v. Principal Commissioner of Income Tax and Anr. 2023 LiveLaw (AB) 206

Case Citation: 2023 LiveLaw (AB) 206

The Allahabad High Court has dismissed a writ petition challenging the validity of the order under Section 148A(d) of the Income Tax Act, 1961 and the consequential notice under Section 148 of the Act on the grounds that the correctness of the information based on assessee’s defense can be determined in the assessment proceedings under Section 148 of the Act. The scope of enquiry under Section 148A(d) is only to the extent of (un)availability of information suggesting that income has escaped assessment.

Calcutta High Court

No Case Of Tax Evasion Made Out As Goods Meant For Export Were Taken Back To The Factory For Repairs: Calcutta High Court

Case Title: Usha Martin Limited Vs The Deputy Commissioner Of State Tax

The Calcutta High Court has held that no case of tax evasion was made out as goods meant for export were taken back to the factory for repairs.

Jammu & Kashmir High Court

J&K Roads Development Agency Is Exempted From TDS Deduction On TD Account Interest: Jammu & Kashmir High Court

Case Title: The Commissioner of Income Tax v/s The Jammu and Kashmir Bank Ltd.

The Jammu & Kashmir High Court has held that the J&K State Rural Roads Development Agency (JKSRRDA) is exempt from TDS deduction on interest income accrued on Term Deposit Accounts.

ITAT

ITAT Deletes Disallowance On Ocean Freight Charges Paid To Korean AE

Case Title: Doosan Power Systems India Pvt. Ltd. Versus The JCIT / DCIT

The Chennai Bench of the Income Tax Appellate Tribunal (ITAT) has deleted the disallowance of ocean freight charges paid to Korean-associated enterprises (AE).

No Tax Can Be Levied On The Principle Of Estoppels: ITAT

Case Title: Cornet Hotel Services & Suppliers Pvt. Ltd. Versus DCIT

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has held that no tax can be levied on the principle of estoppel. Just because the Assessee has shown the receipt or income in the wrong head does not make him liable for tax.

Compensation Paid By Builder For Delay In Handing Over Possession Of Flat Is Part Of Work-In-Progress: ITAT Allows Deduction

Case Title: Jayant Hari Mulay vs. DCIT

The Pune bench of the Income Tax Appellate Tribunal (ITAT) has held that compensation paid by a builder for the delay in handing over possession of a flat should be considered part of work-in-progress. As a result, the ITAT allowed the deduction of the compensation.

Capital Gain Exemption Allowable On Construction Of Residential House Completed Within 3 Years: ITAT

Case Title Hemant Shridhar Phatak Vs. The Asst. Commissioner of Income Tax

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT), has held that the claim of capital gain exemption under Section 54 of the Income Tax Act, 1961 on construction of residential house completed within 3 years is allowed and removed the penalty levied under Section 271(1)(c) of the Income Tax Act.

Payment Made For Acquiring Membership In A Social Club Can’t Be Allowed As Business Expenditure: ITAT

Case Title: BalrajsinghJagjitsingh Versus ADIT

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has observed that payments made for acquiring membership in a social club could not be allowed as business expenditure when there was no evidence to prove that membership in the social club was acquired for entertaining customers by the assessee.

Foreign Assignment Allowance Received For The Services Rendered Outside India Can’t Be Taxed In India: ITAT

Case Title: Tadimarri Prasanth Reddy Versus ITO

The Hyderabad Bench of the Income Tax Appellate Tribunal (ITAT) has held that foreign assignment allowance received by the assessee for services rendered outside India could not be taxed in India.

Business Model Explains Mismatch Between Form 26AS And Actual Income: ITAT

Case Title: DCIT Versus M/s Connect Residuary Pvt. Ltd.

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has deleted the addition on the grounds that the business model explains the mismatch between Form 26AS and actual income.

Bank Guarantee Rates Cannot Be Considered For Benchmarking Corporate Guarantee Fee: ITAT

Case Title: Crayon Group AS Versus ACIT

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that bank guarantee rates cannot be considered for benchmarking corporate guarantee fees.

ITAT Disallows Interest Paid On Loan Taken For Paying Compensation To Family Members Pursuant To Arbitral Award On Family Settlement

Case Title: Sanjay Atchut Poy Raiturcar Versus ITO

The Panaji Bench of the Income Tax Appellate Tribunal (ITAT) has disallowed the interest paid on a loan that was taken for paying compensation to the assessee’s family members pursuant to an arbitral award on family settlement.

ITAT Upholds Interest On 'Outstanding Interest Receivable' Against Parle Biscuits

Case Title: Parle Biscuits Private Limited Versus Assessment Unit

The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has upheld the levy of interest on 'outstanding interest receivable' against Parle Biscuits.

Plastic Waste Management Falls Under Preservation Of Environment: ITAT Allows Income Tax Exemption

Case Title: Punjab Plastic Waste Management Society Versus CIT(E)

The Chandigarh Bench of the Income Tax Appellate Tribunal (ITAT) has allowed the Income Tax exemption for the Punjab Plastic Waste Management Society and observed that plastic waste management falls under the preservation of the environment.

Passing Of Project Specific Architectural Drawings And Design With Measurement Doesn’t Amount To ‘Make Available’ Technical Knowledge: ITAT

Case Title: Michael Graves Design Versus DCIT

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has held that the mere passing of project-specific architectural drawings and designs with measurements did not amount to making available technical knowledge, know-how, or processes.

ITAT Upholds Addition On Account Of Unexplained Cash Deposit Made During Demonetisation

Case Title: Shri Karthick Natarajan Versus DCIT

The Chennai Bench of the Income Tax Appellate Tribunal (ITAT), while rejecting the plea of the assessee for cash received in marriage, upheld the addition on account of an unexplained cash deposit made during demonetisation.

No specific ICDS, ITAT Disallows Deduction On Marketing & Sales Expenses To Real Estate Developer

Case Title: Bengal Peerless Housing Development Company Limited Versus Deputy Commissioner of Income Tax

The Kolkata Bench of the Income Tax Appellate Tribunal (ITAT) has disallowed the deduction of marketing and sales expenses accumulated in work-in-progress as per accounting standards and revenue recognition policy.

ITAT Deletes Addition On Security Deposits From Distributors/Retailers Against Coca Cola Bottles

Case Title: Hindustan Coca-Cola Beverages Pvt. Ltd Versus ACIT

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has deleted the addition against Hindustan Coca-Cola Beverages on the Security Deposits made by distributors and retailers against Coca-Cola bottles.

District Mining Officer Liable To Collect TCS On Compounding Fee Received From Illegal Miners: ITAT

Case Title: District Mining Officer Versus The Deputy Commissioner of Income Tax (TDS) Raipur (C.G)

The Raipur Bench of the Income Tax Appellate Tribunal (ITAT) has held that the assessee, the District Mining Officer, is liable to collect tax at source on the compounding fee received from illegal miners even in the absence of a valid lease or licence of mines.

PCIT Can’t Initiate Revision Proceedings When CIT (A) Has Already Disposed Of The Appeal: ITAT

Case Title: Late, Dipankar Mohan Ghosh Versus CIT(IT)

The Delhi Bench of the Income Tax Appellate Tribunal (ITAT) has quashed the revision order passed by the PCIT as the CIT (A) had already disposed of the appeal.