HIV Test Kits Qualify As Life-Saving Diagnostic Kits; Eligible For Customs Duty Exemption: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that HIV-VL test kits qualify as life-saving diagnostic kits and is eligible for customs duty exemption. The Bench of Justice Dilip Gupta (President) and P.V. Subba Rao (Technical Member) has observed that the HIV-VL test kits are “life-saving diagnostic kits” used for detection...

Battery Packs Imported To Manufacture Phones Fall Under 12% GST Category: CESTAT Allows Samsung's Appeal

The Customs, Excise & Service Tax Appellate Tribunal at Delhi has held that lithium-ion batteries used for the manufacture of mobile phones up to March 31, 2020 would attract 12% GST.A Bench of Justice Dilip Gupta (President) and Hemambika R. Priya (Technical Member) added that if lithium-ion batteries were not used in the manufacture of mobile phones, they would attract 28% GST up to...

Profit Earned In GTA Service Through Sub-Contractor Not Taxable As Business Auxiliary Service: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that profit earned in GTA service (Goods Transport Agency Service) through sub-contractor not taxable as business auxiliary service.The Bench of Dr. Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member) has observed that “revenue's attempt to charge service tax on the profit calling...

Service Tax Not Leviable On License Fee Or Spectrum Charges Payable For Period Before 1st April 2016: CESTAT

The Chandigarh Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that service tax not leviable on license fee/spectrum charges payable for period prior to 01.04.2016. The Bench consists of S.S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) has stated that “as per the principle of ejusdem generis, the phrase “any other document issued...

Service Tax Payable On Service Charges Collected From Client For Printing: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that service tax payable on service charges collected from client for printing. The Bench of Dr. Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member) has observed that the assessee engaged someone else to do the job of printing after preparing content using its...

Statement Recorded U/S 108 Of Customs Act Is Not Valid Evidence U/S 138B Of Customs Act: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that statement recorded under section 108 of the Customs Act not valid evidence under section 138B of the Customs Act. The Bench of Justice Dilip Gupta (President) and P.V. Subba Rao (Technical Member) was addressing the issue of whether the statement recorded under section 108 of the...

Proceedings Against Assessee Unsustainable Once Discharge Certificate Is Issued Under SVLDRS Scheme: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that proceedings against assessee unsustainable once discharge certificate is issued under SVLDRS [Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019] Scheme. The Bench of Ashok Jindal (Judicial Member) and P. Anjani Kumar (Technical Member) was addressing the issue that in case where...

Packing/Re-Packing Of Parts Of Device Is Not Manufacture U/S 2(f)(iii) Of Central Excise Act; No Excise Duty: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that packing/re-packing of parts of vibrator compactor is not manufacture under Section 2(f)(iii) Of Central Excise Act and hence no excise duty is leviable. The Bench of Justice Dilip Gupta (President) and P.V. Subba Rao (Technical Member) was addressing the issue of whether the...

Assessee Liable To Pay Redemption Fine For Seized Goods Missing From Their Custody: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that assessee liable to pay redemption fine for seized goods missing from their custody. The Bench of Dr. Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member) was addressing the issue of whether when the goods were seized handed over the assessee for safe custody and they...

Re-Determining Value Of CDs Imported By HP India Is Invalid Without Rejection Of Transaction Value Under Customs Valuation Rules: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that re-determination value of CDs imported by HP India invalid without rejection of transaction value under Rule 12 Customs Valuation Rules 2007. The bench stated that unless the proper officer rejects the transaction value under Rule 12, the valuation has to be based on transaction value...

Royalty Paid For Exclusive Trademark License Is Not Taxable As A Service: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that royalty paid for exclusive trademark license is not taxable as service. The Bench of Dr. Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member) has observed that “the assessee was restrained to use the said trademark during the said period in any territory of the world...

Bank Charges Paid To Foreign Banks Are Not Liable To Service Tax Under Reverse Charge Mechanism: CESTAT

The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that bank charges paid to foreign banks are not liable to service tax under the reverse charge mechanism. The Bench of Dr. Rachna Gupta (Judicial Member) and Hemambika R. Priya (Technical Member) has stated that “there is direct nexus of the buyer with the Foreign Bank, and it is held...