Indirect Tax Cases Weekly Round-Up: 26 May To 01 June 2024

No Embargo On Commercial Tax Dept. From Summoning To Furnish Records Even If Assessment Is Completed: Madras High Court

Case Title: M/s.V.R.Muthu & Bros. Versus State Tax Officer

Citation: 2024 LiveLaw (Mad) 225

The Madras High Court has held that merely because the assessment is deemed to have been completed in both cases, it does not mean that the officers are precluded from exercising the power under Section 25 or Section 27 of the TNVAT Act, 2006.

Allahabad High Court

S.75(4) CGST | Allahabad HC Directs Commissioner To Take Disciplinary Action Against Adjudicating Authorities Violating PONJ Without Justifiable Reasons

Case Title: Ns Agro And Engineering Products v. State of U.P. and Another

While dealing with the non-compliance of mandatory provision for opportunity of hearing under Section 75(4) of the Central Goods and Services Tax Act, 2017, the Allahabad High Court directed the Commissioner, Commercial Tax, Uttar Pradesh to take remedial action, including disciplinary proceedings against erring adjudicating authorities for violating principles of natural justice without justifiable reasons.

Option Once Exercised For A Financial Year May Not Be Withdrawn Midway: Allahabad High Court

Case Title: M/S.Raman Ispat Pvt. Ltd. Versus Cce Meerut

The Allahabad High Court has held that an option, once exercised for a financial year, may not be withdrawn midway.

Franchise Agreement Granted Non-Exclusive Licence Rather Than Transfer Of Right To Use Goods, VAT Not Payable: Allahabad High Court

Case Title: Commissioner Commercial Tax, U.P. At Lucknow V. M/S Pan Parag India Limited

The Allahabad High Court has held that the franchise agreement granted a non-exclusive licence rather than a transfer of the right to use goods and the transaction does not attract Value Added Tax under the Uttar Pradesh Value Added Tax Act (UPVAT Act).

Failure To Cite Judgment Does Not Render Original Judgement Flawed: Allahabad High Court

Case Title: M/S Tata Steel Ltd. versus Commissioner Trade Tax U.P. Lucknow

The Allahabad High Court has held that mere failure to cite a judgement does not, in and of itself, render the original judgement flawed.

Over Dimensional Cargo Can't Be Penalized For Reaching Earlier Than Estimated Time: Allahabad High Court

Case Title: M/S Ace Manufacturing Systems Limited v. State Of U P And 3 Others

The Allahabad High Court has held that Over Dimensional Cargo cannot be penalized by the authorities for reaching its destination in less time than estimated by travelling at a higher speed when there is no intention to evade tax.