Tax
LiveLawBiz: Business Law Daily Round-Up: December 10, 2025
TAXSubway Franchisee Hiked Base Prices To Neutralise ITC Loss, Amounted To Profiteering; 18% Interest Can't Apply Retrospectively: GSTATSupplying AI-Powered IT Infra Services, Content To USA Corp By Indian Counterpart Is 'Export' Not 'Intermediary' : Gujarat High Court"₹41664 Crores ITC Fraud Via Non-Existing Entities, Fake Invoices": Centre Flags Rising GST Evasion In Rajya...
Centre Defends Onion Export Ban, Says MEP Was 'Temporary' & Needed To Protect Consumers Amid Price Spikes
The Centre has clarified on Onion export ban and imposition of Minimum Export Price (MEP), were 'temporary' and 'necessary' to protect consumers, especially low-income households, during years when adverse weather conditions and lower arrivals led to sharp spikes in retail prices. On fair-farmer remuneration, the Centre explained that it balanced consumer price stability and...
Municipality Must Accept Only Tax Component, Penal Charges Not Required For Filing Appeal Under Municipal Act: Kerala High Court
The Kerala High Court held that under Section 509(11) of the Municipality Act, only the tax component shown in the demand notice is required to be paid for filing an appeal. The bench clarified that the Municipality cannot insist on payment of penal interest or any other additional charges for entertaining the appeal. Section 509(11) of the Municipality Act, 1994, provides that...
Refund Cannot Be Denied When CA Certificate & Ledger Confirms Excess Excise Duty: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) held that the assessee is entitled to a refund of excess excise duty since both the Chartered Accountant's certificate and the ledger clearly established that the duty was paid in excess and was never passed on to any third party. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical...
Income Tax Act | No Addition U/S 153A Without Incriminating Material Found During Search: Bombay High Court
The Bombay High Court has held that no income addition can be made under Section 153A of the Income Tax Act, 1961 unless incriminating material is found during a search, even if the Revenue relies on information received from foreign authorities. A Division Bench of Justice G.S. Kulkarni and Justice Aarti Sathe dismissed an income tax appeal filed by the Revenue and upheld the order...
Customs Brokers Regulations | Broker Cannot Be Penalised Solely For Exporter's Misdeclaration: CESTAT Principal Bench
The Customs, Excise & Service Tax Appellate Tribunal (CESTAT), Principal Bench, New Delhi, has set aside the revocation of a Customs Broker licence, holding that mis-declaration of goods by the exporter, by itself, does not establish violation of obligations under the Customs Broker Licensing Regulations (CBLR), 2018. A Bench comprising Justice Dilip Gupta (President) and P.V....
CGST Act | Gauhati High Court Reads Down S.16(2)(aa); Says ITC Can't Be Denied To Bona Fide Buyer For Supplier's Default
The Gauhati High Court has held that Input Tax Credit (ITC) cannot be denied to a bona fide purchaser merely because the supplier failed to upload invoice details in Form GSTR-1, and has read down Section 16(2)(aa) of the CGST Act and AGST Act to protect genuine taxpayers. A Division Bench comprising Chief Justice Ashutosh Kumar and Justice Arun Dev Choudhury disposed of a writ...
Income Tax Return Must Be Accepted For Assessing Victim's Income In Motor Accident Claims: Calcutta High Court Grants ₹39 Lakh Compensation
The Calcutta High Court held that when a victim's income tax return is filed, it is a reliable and authentic basis for assessing income in motor accident claims. The bench granted compensation of Rs. 39 Lakh to the claimants (mother and father) of the victim. Justice Biswaroop Chowdhury stated that once an Income Tax Return is accepted by the Income Tax Authority, it becomes an...
CST Act | After 20 Yrs, Gujarat High Court Permits PSU To Claim Branch Transfer Exemption Denied For Non-Production Of Original 'Form-F'
After almost 20 year litigation, the Gujarat High Court permitted a public sector energy enterprise to claim branch transfer exemption of over Rs 6 crore under the Central Sales Tax Act, which was denied earlier on non-production of the original Form-F. Form F is a document used for branch transfer of goods in the course of inter-state trade, which permits claiming of exemption from Central...
PVC Raincoats Classified As Plastic Articles And Not Textile Apparel, Attract 18% GST: Gujarat AAR
The Gujarat Authority for Advance Ruling (AAR) has ruled that PVC raincoats are to be treated as plastic articles and not textile apparel, and therefore attract 18% GST. The ruling came on an application filed by a Gujarat-based manufacturer of PVC and plastic raincoats. The applicant had sought clarity on whether PVC raincoats should be taxed at 5% as apparel or at 18% as articles...
Customs | Direct Reliance On NIDB Data For Re-Assessment Of Import Value Not Permissible: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that Customs cannot directly rely on NIDB (National Import Database) data to enhance import value. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) noted that the adjudicating authority straightaway has re-determined the value on the basis of NIDB data retrieved,...
Separate Proceedings Under Customs Act Not Permissible Once CBLR Proceedings Are Initiated: CESTAT Kolkata
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that separate proceedings under the Customs Act are not permissible once CBLR (Customs Brokers Licensing Regulations, 2018) proceedings are initiated. R. Muralidhar (Judicial Member) and K. Anpazhakan (Technical Member) opined that once separate proceedings have been initiated against...