Tax Archives | Page 3 of 7

State Tax Officer cannot prosecute if Central Authority has already initiated action in respect of the same subject matter: Madras High Court

Madars High Court said that truth will come out only when the petitioner appears before the respondent pursuant to the summons received by him and not otherwise. Further, held that if it is the same subject matter, the State Authority cannot prosecute the petitioner once again as the Central Authority has already initiated action against the petitioner in respect of the very same subject matter

Case Briefs High Courts

Can Indian revenue authorities go after tax residency certificate issued by other tax jurisdiction and issue a re-assessment notice u/s 147 Income Tax Act? Delhi High Court rules

A clarificatory press release dated 1-03-2013 issued by the Finance Ministry pursuant to the 2013 amendment makes it clear that a Tax Residency Certificate is to be accepted and tax authorities cannot go behind it. Further, based on repeated assurances to foreign investors by way of CBDT Circulars as well as press releases and legislative amendments and decisions of the Courts, the revenue cannot go behind TRC.

Case Briefs High Courts

Allahabad High Court orders interim stay on the GST demand of Rs. 1,081 crores against Paytm’s parent company, One 97 communications

Allahabad High Court adjourned the tax writ of Paytm’s parent company, will decide the issue that whether the supply of mobile recharge coupons and DTH recharge vouchers to recipients, who are in other States, would be interstate supply or intra-state supply.

Case Briefs Supreme Court

Assessee not liable to pay interest tax on the interest component imbedded in the hire-purchase instalment; Supreme Court upholds ITAT order

The Supreme Court observed that taxation depends upon the language of the charging section and what is brought to tax within the four corners of the charging section.

Authority for Advance Ruling (Karnataka)

Advance Rulings Case Briefs

KAAR | Reverse Charge Mechanism not applicable on reimbursement of expenses on actuals to a whole-time director of the company

KAAR ruled that reimbursement of expenses at actual cost which are incurred by the employee on behalf of the company is not liable to tax and reverse charge mechanism is not applicable on reimbursement of expenses on actuals to a whole-time director of the company who is also an employee of the company.

Case Briefs High Courts

Delhi High Court | Tax, interest and penalty collected by Revenue during the investigation, without following due procedure, is involuntary; Assessee entitled to refund

Delhi High Court: In a case filed questioning whether the cumulative sum of Rs. 1,80,10,000/- deposited on behalf of the

Appellate Authority for Advance Ruling (Maharashtra)

Advance Rulings Case Briefs

Providing medical education and health care services through a hospital amount to business; Maharashtra Appellate Authority for Advance Ruling upholds

The service of medical education falls under the category of “educational institution” as defined under the GST law, and accordingly, it was held that the medical education services provided by the appellant to the students will attract nil rate of GST. Further, as the appellant’s hospital is engaged in providing diagnosis and treatment of the patients, hence, their services can be termed as “health care services”, and accordingly held that the said services will be exempt from the payment of GST.

Case Briefs High Courts

Characterising it as ‘sketchy’ and ‘non-speaking’, Rajasthan High Court sets aside the order of the Joint Commissioner, GST

It suffered from non-application of mind and was in violation of mandatory requirement of section 75 (6) of the CGST Act.

Advance Rulings Case Briefs

KAAR| Maintenance and repair services of test bench equipment used for testing air worthiness of an aircraft does not qualify to be an aircraft or its engine or other aircraft components

KAAR ruled that as the applicant is providing maintenance and repair services of test bench equipment used for testing air worthiness of an aircraft that does not qualify to be an aircraft or an aircraft engine. Further, to be termed as other aircraft components it should form a component of aircraft and, hence, not taxable at the rate of 5 percent GST.

Telangana State Authority for Advance Ruling

Advance Rulings Case Briefs

TSAAR| Works executed for the Governmental Entity or Authority will be taxable at 9% CGST and SGST each

The Authority said that as the applicant entered into agreements with TSIICL for execution of contracts of buildings, warehouses, godowns , and TSIICL in turn let out the godowns for its customers on rent which amounts to use of the constructed premises for the purpose of business, thus, tax will be applicable at the rate of 9 percent CGST and SGST each.

Appellate Authority for Advance Ruling (Telangana)

Advance Rulings Case Briefs

AAAR (Telangana) | Sub Contractor not eligible fortaxexemption on pre and post examination services provided to an educational institution

Appellate Authority for Advance Ruling (Telangana): In an appeal against the ruling of the Telangana Authority for Advance Ruling (‘TAAAR’),

Case Briefs Supreme Court

Supreme Court interprets Section 194 H of Income tax Act; Overrules Bombay High Court’s 2009 Qatar Airways judgment

Supreme Court: In an appeal filed by Singapore airlines against the judgment passed by the Delhi High Court holding that

Appellate Authority for Advance Ruling (Gujarat)

Advance Rulings Case Briefs

Gujarat Appellate Authority for Advance Ruling upheld the decision of AAR; classified agricultural hand operated drum under HSN 8436, liable to GST at 12% rate

Appellate Authority for Advance Ruling (Gujarat): In an appeal for determining the Harmonised System of Nomenclature code (HSN) and applicable

Case Briefs Tribunals/Commissions/Regulatory Bodies

CESTAT | Services involving supply of goods/deemed supply of goods to be classified under ‘works contract services’ only

Customs, Excise and Services Tax Appellate Tribunal (CESTAT): The coram of Dilip Gupta (President) and P.V. Subba Rao (Technical Member) allowed the

Case Briefs Supreme Court

Assessee cannot claim deduction by merely stating a bad debt as an irrecoverable write off without appropriate treatment in the accounts and non-compliance with Income Tax Act provisions: SC

Supreme Court: In the case where the Revenue had challenged Bombay High Court’s judgment affirming Income Tax Appellate Tribunal (ITAT)’s order for

Case Briefs High Courts

Calcutta High Court stays any coercive action until final decision in matter of arbitrary action of State for non-payment of GST on contracts executed prior GST regime

Calcutta High Court: Md. Nizamuddin, J. took cognizance of a writ petition which was filed for the relief by way

Legislation Updates Rules & Regulations

New Form 29D introduced for Application by a person under S. 239A of the IT Act, 1961 vide Income-tax (26th Amendment) Rules, 2022

The Central Board of Direct Taxes has notified Income-tax (26th Amendment) Rules, 2022 to amend Income-tax Rules, 1962. The amendment

Case Briefs High Courts

Madras High Court applies doctrine of ‘substantial compliance’ to determine implications of limitation period in the Customs Act, 1962

Madras High Court: In a case where show cause notices were sent by Assistant Commissioner of Customs (Respondent 4) for short collection

Case Briefs High Courts

Allahabad High Court upholds order by Trade Tax Tribunal holding insulated glass as taxable unclassified commodity @ 10%

Allahabad High Court: Saumitra Dayal Singh, J. dismissed a revision which was filed for revenue against the order passed by the Trade

Legislation Updates Notifications

GSTN introduces single click Nil filing of GSTR-1

On 02-08-2022, the Goods and Service Tax Network has introduced a Single click Nil filing of GSTR-1 on the GSTN portal in