Samsung India Entitled To Customs Duty Exemption On Imported IC-Codecs: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Samsung India is entitled to customs duty exemption on imported IC-Codecs.The bench of Justice Dilip Gupta (President) and P. V. Subba Rao (Technical Member) has observed that HSN Explanatory Notes to CTH 8542 provide that monolithic ICs may be in the form of un-diced wafers. The IC-Codecs, as imported by the appellant, are in the form of rolls, i.e., un-diced wafers. It, therefore, clearly follows that...

Kerala High Court Dismisses Indian Medical Association's Petition Challenging GST Levy On Supply Of Goods And Services To Its Members

The Kerala High Court has dismissed the writ petition filed by the Indian Medical Association challenging the levy of GST on supply of goods and services to its members.The bench of Justice Dinesh Kumar Singh has observed that the Parliament/State Legislature has amended Section 7(a) by inserting Section 7(aa) by the Finance Act, 2021. The amendment is neither beyond legislative competence nor offends any of the fundamental rights guaranteed under Part III of the Constitution of India nor is...

Gain From Selling Of Property Kept For Investment To Be Taxed Under 'Capital Gains': Kerala High Court

The Kerala High Court has held that when a property kept not for trade but for investment purposes is sold, the gain has to fall under the head 'capital gains' and such a transaction is only taxable under capital gain and not under adventure of trade. The bench of Justice A.K. Jayasankaran Nambiar and Justice Syam Kumar V.M. has observed that the burden is upon the Department to show that a transaction effected by the assessee is an adventure in the nature of trade. Merely because the assessee...

'Built Up Area' Definition Can't Have Retrospective Application, Bombay High Court Dismisses Dept. Appeal

The Bombay High Court has held that the expression 'built up area' introduced with effect from April 1, 2005, could not be applied retrospectively, and the Tribunal was justified in holding that up to April 1, 2005, the expression 'built up area' would exclude the balcony area. The bench of Justice G. S. Kulkarni and Somasekhar Sundaresan has observed that for the first time, the Legislature has defined the expression 'built up area' in Section 80IB(10) by introducing clause (a) to Section...

Customs Act | Owner Of Goods Liable To Pay Customs Duty Even After Confiscated Goods Are Redeemed Paying Fine : Supreme Court

In a notable ruling relating to the Customs Act of 1962, the Supreme Court on Tuesday (July 23) held that the importer would be liable to pay customs duty in addition to fines and other charges upon redeeming the confiscated goods.The Court considered the following questions :i) Whether there is a liability to pay customs duty when the confiscated goods are redeemed after payment of fine under Section 125 of the Customs Act, 19621?ii) Whether, the liability to pay such duty will include the...

FM Incentivises IFSCs – Sec 68 Will Not Apply Once Source Of Funds Stood Explained In Hands Of Creditor: Budget 2024-25

International Financial Services Centre (IFSC) is a jurisdiction that provides financial services to non-residents and residents, to the extent permissible under the current regulations, in any currency except Indian Rupee. In order to promote the development of world-class financial infrastructure in India, several tax concessions have been provided to units located in IFSC, under the Act, over the past few years. Hence, to further incentivize operations from IFSC, the finance...

Rationalisation Of Charitable Trusts Provisions: Budget 2024-25

The Finance-Minister under the Union Budget 2024-25 proposes to merge two tax exemption regimes for charitable trusts into one, by stating that the first regime for trusts, funds, or institutions to be merged and transited to the second regime in a gradual manner. The two main exemption regimes for trusts or funds or institutions are contained in Section 10 (23C) and under sections 11 to 13 of the Income tax Act that provide procedure for filing approval applications / registrations,...

Denial Of Credit For Non-Registration Thiruvabhranam Commissioner Of Under KVAT Act Is Unjust: Kerala High Court

The Kerala High Court has held that the petitioner/assessee has paid tax at the prescribed rate on the materials procured by him from the Travancore Devaswom Board, and since this amount has already been paid over to the State Exchequer, any denial of credit to the assessee solely on the ground that the Travancore Devaswom Board/Truvabharanam Commissioner was not registered under the KVAT Act would be unjust.The bench of Justice Gopinath P. has observed that the definition of 'casual trader'...

Budget 2024-25: Rationalisation Of Provisions On Limitation Period For Imposing Penalties

The Union Finance Minister Nirmala Sitharaman presented the Union Budget in Parliament. The finance minister has proposed the rationalisation of provisions relating to period of limitation for imposing penalties.Section 275 of the Income Tax Act provides for the period of limitation for imposing penalties. Section 275(1) (a) provides that no order imposing penalty shall be passed after the expiry of six months from the end of the month in which the quantum order of the CIT (A) or Tribunal is...

Finance Minister Proposes Amendment In Income Tax Act To Include Reference Of Black Money Act, 2015 For Obtaining Tax Clearance Certificate

The Finance Minister Nirmala Sitharaman has proposed the amendment in the Income Tax Act to include the reference of Black Money Act, 2015 for the purposes of obtaining a tax clearance certificate.The existing provisions of sub-section (1A) of section 230 of Income Tax Act specify that no person who is domiciled in India, shall leave India, unless he obtains a certificate from the income-tax authorities stating that he has no liabilities under Income-tax Act, 1961, or the Wealth-tax Act, 1957,...

Budget 2024-25: Income From Letting Out Of House Property Taxable Under “Income From House Property”

The Union Finance Minister Nirmala Sitharaman presented the Union Budget in Parliament. The provisions of Finance Bill, 2024 relating to direct taxes seek to amend the Income-tax Act, 1961 to continue reforms in the direct tax system through tax reliefs, removing difficulties faced by taxpayers and rationalisation of various provisions. Section 28 of the Act specifies kinds of income that shall be chargeable to income-tax under the head 'Profits and gains of business or profession'.It has been...

Budget 2024-25: Major Announcements For MSME

On July 23, the Union Budget for 2024-25 was presented in the Lok Sabha by Finance Minister Nirmala Sitharaman.Here are major announcements for the MSMEsSupport for promotion of MSMEsThis budget provides special attention to MSMEs and manufacturing, particularly labour-intensive manufacturing. The Finance Minster has formulated a package covering financing, regulatory changes and technology support for MSMEs to help them grow and also compete globally, as per interim budget. New assessment model...