Supreme Court

Supreme Court Dismisses UP Govt.'s Appeal Against Allahabad HC Order Quashing Demand Of Rs. 235.52 Crores Against VIVO

Case Title: State of Uttar Pradesh and Anr. v. M/s Vivo Mobile India Private Ltd. & Ors.

On Thursday(January 4), the Supreme Court dismissed a Special Leave Petition filed by the State of Uttar Pradesh against the order of the Allahabad High Court quashing the demand of Rs. 235.52 Crores raised against Vivo Mobile India Private Limited raised by GST Authorities vide order under Section 74(9) of the Goods and Service Tax Act 2017.

Delhi High Court

Actual Interest Expenditure Had To Be Adjusted Against Income Earned By Way Of Interest: Delhi High Court

The Delhi High Court has held that actual interest expenditure had to be adjusted against the income earned by way of interest.

Use Of Trademark Incidental To Advertisement Or Publicity Is A Business Income, Not Royalty And FTS: Delhi High Court

Case Title: Hyatt International-Southwest Asia Ltd. Versus Additional Director Of Income Tax

The Delhi High Court has held that the use of trademarks incidental to advertisement or publicity was held as neither royalty nor fees for technical services (FTS) but as business income.

Order Cancelling GST Registration With Retrospective Effect Bereft Of Reasons, Liable To Be Quashed: Delhi High Court

Case Title: RS Wires Industries Versus Sales Tax Officer Class

The Delhi High Court has quashed the order cancelling GST registration with retrospective effect, bereft of reasons.

Employee Accepted Salary After TDS Deduction, Employer Responsible For Non-Deposit: Delhi High Court

Case Title: Harshdip Singh Dhillon Versus Union Of India

The Delhi High Court has held that the employee accepted salary after TDS deduction and the employer is responsible for non-deposit of TDS.

GST ITC Refund Can't Be Rejected Merely On Ground Of Non-Supply Of Authenticated Document: Delhi High Court

Case Title: M/S Mittal Footcare Versus The Commissioner Of Central Goods And Services Tax

Kerala High Court

Assessee Can't Indefinitely Seek Time In Response To SCN: Kerala High Court

The Kerala High Court has held that the assessee cannot indefinitely seek time in response to a show cause notice.

Karnataka High Court

CA Firm Paid Service Tax With Accrued Interest Before Show Cause Notice: Karnataka High Court Reduces Penalty From 100% To 25%

The Karnataka High Court has held that the service tax has been paid with accrued interest even before the show cause notice has reached the review petitioner.

Madras High Court

Madras High Court permits Compounding Of Prosecution In Tax Evasion Case By MRF Chairman & Managing Director

The bench of Justice R. Mahdevan and Justice Mohammed Shaffiq, while upholding the order passed by the single judge, held that since the penalty was reduced from 300% to 100% of the tax sought to be evaded, the assessee is entitled to the benefit of Section 279(1A) of Income Tax. The section deals with non-prosecution for tax offences where the penalty is reduced.

Areca Nuts Have Limited Shelf-Life, Risk Of Contamination: Madras High Court Directs Verification Of Certificate Of Origin

Case Title: M/s.Radha Industries Versus Commissioner of Customs

The Madras High Court has directed the verification of certificate of origin within 30 days and in case of failure of verification within time release the seized areca nut is subject to providing a bond for 100% of the value of goods but without insisting on a bank guarantee.

Gujarat High Court

Income Tax Act | Gujarat High Court Invalidates Income Tax Assessment Order Due To Violations Of Section 144B

In a significant legal development, the Gujarat High Court has invalidated an Income Tax Assessment Order, citing violations of Section 144B of the Income Tax Act.

Income Tax Act | Section 119(2)(B) Application Cannot Be Rejected Citing Vague & Arbitrary Reasons

In a recent ruling, the Gujarat High Court has emphasized that applications under Section 119(2)(b) of the Income Tax Act, 1961 must not be dismissed arbitrarily, especially when citing the absence of genuine hardship to the petitioner.

Allahabad High Court

UP GST | No Interference Under Article 226 Unless Inherent Lack Of Jurisdiction Or Absence Of Relevant Material Established: Allahabad High Court

Case Title: M/S Mgs Palace v. State Of U.P. And 4 Others

Rajasthan High Court

Once Deduction Claim Of Education Cess Is Withdrawn, Assessee Immuned From Imposition Of Section 270A Penalty: Rajasthan High Court

Case Title: G R Infraprojects Limited Versus Assistant Commissioner Of Income-Tax

The Rajasthan High Court has held that once the deduction claim for education cess is withdrawn, the assessee is immune from the imposition of a penalty under Section 270A of the Income Tax Act.

Dept.'s Action Denying Immunity Benefit Merely Because Section 270A Penalty Was Initiated Is Erroneous: Rajasthan High Court

Case Title: Chambal Fertilizers and Chemicals Limited Versus Office of the Principal Commissioner of Income Tax

The Rajasthan High Court has held that the department's action of denying the benefit of immunity on the ground that the penalty was initiated under Section 270A of the Income Tax Act for misreporting of income is not only erroneous but also arbitrary and bereft of any reason, as in the penalty notice, the respondents have failed to specify the limb, "under-reporting" or "misreporting" of income, under which the penalty proceedings had been initiated.

Patna High Court

Pre-deposit For CGST/SGST Act Appeal Allowed Exclusively From Electronic Cash Ledger, Not Electronic Credit Ledger: Patna High Court

Case Title: M/s Flipkart Internet Pvt vs The State of Bihar and Ors

The Patna High Court has recently ruled that pre-deposit for maintaining an appeal under Section 107(6)(b) of the CGST/SGST Act is permissible solely by utilizing amounts from the Electronic Cash Ledger and not the Electronic Credit Ledger.

Andhra Pradesh High Court

Income Tax Not Leviable On Interest-Free Refundable Security Deposit For Due Completion Of Project By Developer: Andhra Pradesh High Court

The Andhra Pradesh High Court at Amaravati has held that income tax is not leviable on an interest-free refundable security deposit for the due completion of a project by the developer.

Himachal Pradesh High Court

Delay In Filing Return Bonafide: Himachal Pradesh High Court Allows Deduction To H.P. Housing & Urban Development Authority

Case Title: PCIT Versus M/s H.P. Housing & Urban Development Authority

The Himachal Pradesh High Court has allowed the deduction under Section 80IB(10) of the Income Tax Act to the H.P. Housing & Urban Development Authority as the delay in filing the return was bona fide.

ITAT

ITAT Deletes Additions Against Unsuspecting Investor In A 'Penny Stock' To Make Quick Profit

Case Title: Farzad Sheriar Jehani Versus ITO

The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has held that the assessee was an unsuspecting investor who transacted in a 'penny stock' with a view to earning a quick profit, and since his involvement in any dubious transaction relating to price rigging or connection with exit providers could not be shown, the transaction could not be treated as a 'pre-arranged' one even if there were no underlying fundamentals in or financial performance by the company whose shares were sold.

There Cannot Be Sale Without Purchase: ITAT Deletes Addition

Case Title: Bhartiya International Ltd. Versus DCIT

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has deleted the addition made by the AO as there cannot be a sale without a purchase.

CESTAT

Goods Used In Fabrication Of Structures Embedded To Earth To Be Treated As 'Inputs': CESTAT Allows Cenvat Credit To SAIL

Case Title: M/s Steel Authority of India Limited Versus Commissioner of CGST & Central Excise, Bolpur

The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the cenvat credit to the Steel Authority of India Limited (SAIL).

Mere Mentioning Of Wrong Address Of Service Provider Is Procedural Defect, Cenvat Credit Can't Be Denied: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the mere mention of the wrong address is a procedural defect and CENVAT credit cannot be denied.

No Service Tax Chargeable Under Security Agency Services: CESTAT

Case Title: Superintendent of Police Versus Commissioner of Central Goods and Service Tax, Excise and Customs - Indore

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is chargeable under security agency services.

Service Tax Not Payable On Demat Or Depository Charges: CESTAT

Case Title: V S E Stock Services Ltd. Versus C.C.E. & S.T.-Vadodara-ii

The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT)has held that service tax is not payable on demat or depository charges collected from sub-brokers.

AAR

18% GST Applicable On F-18 Drugs Used For Cancer Diagnosis: AAR

Applicant's Name: IBA Molecular Imaging (India) P. Ltd.

The Uttar Pradesh Authority of Advance Ruling (AAR) has held that 18% GST is applicable on F-18 drugs used for cancer diagnosis.