Fire Incidence Beyond Control Of ONGC Petro, CESTAT Allows Customs Duty Remission

The Ahmedabad bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the customs duty remission on the goods that were destroyed as a result of the fire incident beyond the control of the assessee, ONGC Petro.The bench of Ramesh Nair (Judicial Member) and Raju (Technical Member) observed that the fire incident had taken place in the appellant's factory located...

Payment Under IPL Playing Contract, CESTAT Quashes Service Tax Demand Against Cricketer R. Ashwin

The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the service tax demand against cricketer R. Ashwin.The bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that payment received under the IPL playing contract is remuneration for work, not consideration for brand promotion.The appellant/assessee,...

CESTAT Affirms Seizure Of Unaccounted Gutka Stored In Godowns Without Any Documentation And Declaration

The Delhi bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has affirmed the seizure of unaccounted gutka and stock of raw material stored in these godowns without any documentation or declaration.The bench of Binu Tamta (Judicial Member) has observed that it is not necessary to establish mens rea in tax matters as non-compliance with statutory provisions is...

Tax Cases Monthly Round Up: November 2023

Supreme Court Supreme Court Affirms Penalty On 'Zarda' Manufacturers For Misclassifying Product As 'Chewing Tobacco' For Central Excise Duty Case Title: Commr. Of Cen. Exc. Ahmedabad v M/S Urmin Products P. Ltd. And Others Citation: 2023 LiveLaw (SC) 949 The Supreme Court while adjudicating a matter wherein the Assesssee deliberately misclassified the ‘Zarda’ produced by it...

Value Of Scrap Need Not Be Included In The Assessable Value: CESTAT

The Mumbai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the value of scrap need not be included in the assessable value.The bench of Suvendu Kumar Pati (Judicial Member) and Anil G. Shakkarwar (Technical Member) has observed that for two other periods, pre- and post-2007, demand against the appellant has been set aside for the reason that the value of...

Supply Of Software Amounts To Sale Of Goods, Service Tax Demand Not Sustainable: CESTAT

The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the supply of software amounts to the sale of goods, and the service tax demand is not sustainable.The bench of Ramesh Nair (Judicial Member) and Raju (Technical Member) has observed that the appellant has developed smart terminal software (STM) for comprehensive terminal automation, which they...

L.G. Electronics Not Entitled To Claim Concessional Rate Of Basic Customs Duty On Import Of G-Watch: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the assessee, L.G. Electronics, is not entitled to claim the concessional rate of basic customs duty on the import of G-Watch.The bench of Rachna Gupta (Judicial Member) and Hemambika R. Priya (Technical Member) has observed that once the G-Watch works on the internet, it is not acceptable that...

Canned Pineapple Slices Classifiable Under Customs Tariff Heading No. 0804, Exemption Not Applicable: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that canned pineapple slices’ are classifiable under Customs Tariff Heading No. 0804.The bench of Rachna Gupta (Judicial Member) and Hemambika R. Priya (Technical Member) has observed that there was confusion in the department itself regarding the classification of canned sliced pineapples. It has...

MRF Entitled To Re-Credit Of CENVAT Credit If Capital Goods Are Put To Use In Manufacture Of Final Products: CESTAT

The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the assessee, MRF is entitled to a re-credit of cenvat credit if capital goods are put to use in the manufacture of final products.The bench of Vasa Seshagiri Rao (Technical Member) has observed that the assessee has provided sufficient documentary evidence pertaining to the utilization of inputs...

Services Of Procuring Export Orders From Foreign Buyers For Garment Manufacturers, Not ‘Intermediary’ Service: CESTAT

The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the services of procuring export orders from foreign buyers for manufacturers who supplied garments are not ‘intermediary’ services.The bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that since all these services are rendered by the appellant...

Income From Sale Of Tender Forms, Xeroxing, Printing, Digital Software, Certificates Not Covered Under Business Auxiliary Services: CESTAT

The Hyderabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that income such as the sale of tender forms, xeroxing and printing, and digital software and certificates are not covered under business auxiliary services.The bench of Anil Choudhary (Judicial Member) and A.K. Jyotishi (Technical Member) has observed that the appellant would only assist the...

“Badam Milk Drink-Ready To Drink” Classifiable Under CTH 2202 9030: CESTAT

The Bangalore Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that “badam milk drink-ready to drink” is classifiable under CTH 2202 9030.The bench of D.M. Misra (Judicial Member) and Pullela Nageswara Rao (Technical Member) observed that Badam Milk Drink—Ready to Drink contains flavourings, namely badam powder, cardamom, saffron, and maltodextrin, and...