Tax Liability Under JDA Arises Only Upon Conveyance Of Property, Not On Execution Of Agreement: Bombay High Court

The Bombay High Court held that tax liability under JDA (joint development agreement) arises only upon conveyance of property, not on execution of agreement. The bench consists of Justices Bharati Dangre and Nivedita P. Mehta stated that no liability actually fell upon the assessee at the time when JDA was entered into, as the liability arises only upon the conveyance of...

Right To Travel Abroad Can't Be Curtailed Solely On Grounds Of Pending Tax Prosecution: Bombay High Court

The Bombay High Court has stated that facing tax prosecution does not automatically bar an accused from foreign travel. Justice S.M. Modak stated that, "It is true right to travel abroad is recognized as a fundamental right. Merely because a person is facing with prosecution, it does not mean that he cannot travel abroad till the time the investigation is under progress or criminal...

Clause 18 Of Vivad Se Vishwas-II Scheme Is Mandatory If Claim Satisfies Twin Test: Orissa High Court

The Orissa High Court, while hearing an appeal u/s 37 of the A&C Act, a Writ Petition filed by the Respondent for directions to the Appellant to consider the offer made under appeal, observed Vivad se Vishwas II (contractual disputes) scheme (“the scheme”), observed that Clause 18 of the scheme is mandatory in nature. The bench of Justice Sanjeeb K. Panigrahi observed that...

Employees' Contributions Must Be Paid By Due Date Under ESI/EPF Act, Not Income Tax Act: Delhi High Court

The Delhi High Court has held that an employer can claim deduction of employees' contributions towards Provident Fund or Employer's State Insurance Fund, held by it in trust, only if it deposits these amounts on or before the statutory due date prescribed under the relevant labour law.Section 36(1)(va) of the Income Tax Act, 196 pertains to employees' contribution. It stipulates that...

Absence Of Word 'Seat' Does Not Oust Court's Jurisdiction Conferred By Arbitration Agreement: Delhi High Court

The Delhi High Court bench of Justice Jasmeet Singh has held that absence of the word 'seat' does not strip the court of its exclusive jurisdiction to decide disputes arising out of an arbitration agreement. This is a petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 (“1996 Act”) seeking appointment of an Arbitrator for adjudication of disputes...

[CGST Act] Tax Officers Expected To Know Law Laid Down By Higher Courts: Allahabad High Court

While calling for personal affidavit from Principal Secretary, Institutional Finance, Government of U.P., Lucknow explaining the conduct of the tax officers in the State in not following the orders of the High Court, the Allahabad High Court observed that the Officers must know the law. Justice Piyush Agrawal observed that “While it is expected from the citizen to know law, the...

CESTAT Can't Admit Appeal Without Pre-Deposit But High Court Can Waive It In 'Rare' Circumstances: Delhi High Court

The Delhi High Court has held that the provision of pre-deposit for preferring an appeal before the Central Excise and Service Tax Appellate Tribunal is mandatory and the forum has no power to admit any appeal without the same.However, a division bench of Justices Prathiba M. Singh and Shail Jain further added that the High Court may, in rare circumstances, waive off the said deposit....

Customs Broker's Failure To Oversee Warehousing Of Re-Export Goods Leading To Sale In Local Market Is 'A Clear Infraction': Delhi HC

The Delhi High Court has held that a Customs Broker must diligently perform its responsibilities under the 2018 Licensing Regulations however, any failure thereof must be met with a proportionate punishment.While dealing with a case where the broker's license was suspended due to alleged failure to oversee warehousing of goods meant for re-export, leading to their sale in the domestic market,...

No Refund Of Unutilised ITC On Closure Of Business U/S 54 CGST Act, Must Be Reversed U/S 29(5): Sikkim High Court

The Sikkim High Court stated that no refund of unutilised ITC (Input Tax Credit) on closure of business under section 54 CGST Act (Central Goods and Services Tax), must be reversed under section 29(5). Section 54 of the CGST Act, 2017 deals with refund of tax, intertest, or any other amount paid under GST. The refund can be claimed in case of excess tax payment, zero-rated...

Delhi High Court Orders Customs To Release Padma Bhushan Awardee's Imported Artwork Amidst Dispute Over Valuation

The Delhi High Court has ordered the Customs Department to release the artwork of Padma Bhushan awardee Late BC Sanyal, seized amid a dispute surrounding its valuation.A division bench of Justices Prathiba M. Singh and Shail Jain observed there is no conclusive proof that the artwork was made in Pakistan, as claimed by the Department.“The bill of entry itself reveals that the import is...

[CGST Act] Absence Of Document Identification Number Doesn't Render Assessment Orders Void: Andhra Pradesh High Court

The Andhra Pradesh High Court held that absence of document identification number doesn't render assessment orders void.The bench consists of Justices R Raghunandan Rao and Sumathi Jagadam were addressing the issue where the assessee/petitioner has challenged the assessment orders passed against him. The main ground for challenge is the lack of a Document Identification Number on the...

Counterclaim In Arbitration Cannot Be Allowed After Commencement Of Claimant's Evidence: Calcutta High Court

The Calcutta High Court bench of Justice Hiranmay Bhattacharyya has held that a counterclaim in arbitration proceedings cannot be allowed after the commencement of the claimant's evidence, as doing so would cause serious injustice to the other party. The present petition has been filed under Article 227 of the Indian Constitution against an order passed by Arbitrator by which...