AAR
Rejected Paddy Seeds Not Fit For Human Consumption, 5% GST Leviable: Chhattisgarh AAR
The Chhattisgarh Authority for Advance Ruling (AAR) has held that 5% GST is payable on rejected or damaged paddy seeds.The two-member bench of Sonal K. Mishra and Abhinav Aggarwal has observed that rejected paddy seed that is not fit for human consumption would merit classification under chapter heading 100610.The applicant is engaged in the business of running a rice mill, and the...
Tax Cases Weekly Round-Up: 27 November To 3 December 2022
Supreme Court Section 45(4) Of Income Tax Act Applicable To Cases Of Subsisting Partners Of A Partnership Transferring The Assets In Favour Of A Retiring Partner: Supreme Court CASE TITLE: The Commissioner of Income Tax v. M/s. Mansukh Dyeing and Printing Mills Citation : 2022 LiveLaw (SC) 991 A Supreme Court bench comprising Justices M.R. Shah and M.M. Sundresh held that...
GST ITC Is Not Admissible On Amount Paid To Canteen Service Providers, Amount Recovered From The Employees: Uttarakhand AAR
The Uttarakhand Authority of Advance Ruling (AAR) has ruled that the Input Tax Credit (ITC) is not admissible on the amount paid to the canteen service providers and on the amount recovered from the employees.The two-member bench of Rameshwar Meena and Anurag Mishra has observed that the nominal amount of recoveries made by the applicant from the employees who are provided food in the...
Tax Cases Weekly Round-Up: 20 November to 26 November 2022
Supreme CourtSupreme Court Declines To Grant Relief In Department's SLP Against Judgement On Countervailing Duty Case Title: Union of India versus Real Strips Ltd. The Supreme Court adjourned without issuing notice, the department's appeal against the Gujarat High Court's judgement in the case of countervailing duty (CVD). The bench of Justice Sanjeev Khanna, and Justice J...
Cost Of The Diesel For Providing DG Set Rental Service Attracts 18% GST: Uttarakhand AAR
The Uttarakhand Authority of Advance Ruling (AAR) has ruled that 18% GST is applicable on the cost of the diesel incurred for running diesel generators (DG) in the course of providing DG rental service.The two-member bench of Anurag Mishra and Rameshwar Meena has observed that consideration for reimbursement of expenses, such as the cost of the diesel for running the DG set, is nothing but...
Tax Cases Weekly Round-Up: 13 November To 19 November 2022
Supreme CourtSec.194H Income Tax Act Attracted For 'Supplementary Commission' Earned By Travel Agents ; Airlines Liable To Deduct TDS : Supreme CourtCase Title: Singapore Airlines Ltd. vs C.I.T., Delhi Citation: 2022 LiveLaw (SC) 959 The Supreme Court held that Section 194H of the Income Tax Act is attracted in the case of Supplementary Commission amounts earned by the travel agent...
Tax Cases Weekly Round-Up: 6 November to 12 November 2022
Delhi High CourtExpenses Towards Advertisement, Brokerage And Commission, Incurred By A Real Estate Developer; Deductible As Revenue Expenditure: Delhi High Court Case Title: Commissioner of Income Tax versus Somnath Buildtech Pvt. Ltd. Citation: 2022 LiveLaw (Del) 1048 The Delhi High Court has ruled that advertisement expenses, Software Developing Charges, and expenses...
Tax Paid On Purchases To Meet The CSR Obligations Is Eligible For ITC: Telangana AAR
The Telangana Authority of Advance Ruling (AAR) has ruled that the tax paid on purchases made to meet the obligations under corporate social responsibility (CSR) will be eligible for input tax credit (ITC) under the CGST and SGST Acts.The two-member bench of S.V. Kasi Visweswara Rao and Sahil Inamdar has observed that the expenditure made towards corporate responsibility under Section 135 of...
GST Not Payable On Notice Pay Recovery From Outgoing Employee: Punjab AAR
The Punjab Authority of Advance Ruling (AAR) has held that the GST is not payable on notice pay recovered from outgoing employees.The member bench of Sunder Lal and Kumud Singh has observed that the amount received as notice pay recovery by the applicant from the employees who leave the applicant company without serving the mandatory notice period mentioned in the employment contract is not...
Activities Carried Out by Sub-Contractor For Shifting Electrical Utilities Can't be Regarded as Composite Supply of Works Contract: AAR
The West Bengal Authority for Advance Ruling (AAR) has held that activities carried out by subcontractors for the shifting of electrical utilities for the construction of roads cannot be regarded as a composite supply of works contracts.The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that providing services of shifting electrical utilities alone cannot be regarded...
ITC Can Be Claimed Under Marginal Scheme On Rent, Advertisement expenses, commission, Professional expenses: AAR
The Karnataka Authority of Advance Ruling (AAR) has held that the input tax credit (ITC) under the marginal scheme on expenses like rent, advertisement expenses, commission, professional expenses, and other like expenses is subject to sections 16 to 21 and rules 36-45 of the CGST Act and Rules 2017.The two-member bench of M.P. Ravi Prasad and Kiran Reddy T. has observed that ITC can be claimed...
Tax Cases Weekly Round-Up: 30 October To 5 November 2022
Supreme CourtIndustrial Townships Are "Local Areas" For Entry Tax Levy By States Though They Are Excluded From Municipalities : Supreme Court Case Title: OCL India Limited vs State of Orissa Citation: 2022 LiveLaw (SC) 911 The Supreme Court upheld States' power to impose entry tax from Industrial Township/Areas. The bench of CJI UU Lalit, Justices S. Ravindra Bhat and J...