Tax
Order U/S 75(6) Of GST Act Must Be Self-Contained, Mere References To SCNs Is Not Sufficient: Allahabad High Court
The Allahabad High Court has held that order under Section 75(6) of the Goods and Service Tax Act, 2017 must be self-contained and mere reference to previous show cause notices is not sufficient. Section 75 of the GST Act is a general provision relating to determination of tax. Section 75(6) of the GST Act provides that “the proper officer, in his order, shall set out the...
Income Escapement | Value Determined At S.148A(d) Stage Relevant To Determine Threshold U/S 149 Of Income Tax Act: Delhi HC
The Delhi High Court has held that when determining whether a reassessment action meets the ₹50 lakh threshold prescribed under Section 149 of the Income Tax Act 1961, the value of income that allegedly escaped assessment as determined by the Assessing Officer at Section 148A(d) stage is relevant.A division bench of Justices Vibhu Bakhru and Tejas Karia clarified that the value alleged by...
Suppression Or Wilful Concealment Not Attributable To Assessee When Departmental Authorities Differ On Taxability Of Services: CESTAT
The New Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has stated that suppression or wilful concealment not attributable when the departmental authorities have differed themselves on the taxability of the services. The Bench of Binu Tamta (Judicial) and P.V. Subba Rao (Technical) has observed that, “When the two departmental authorities have...
Provisions Of Section 26E SARFAESI Act & Section 34 RDB Act Prevails Over Section 24 Of TNGST Act: Madras High Court
The Madras High Court stated that provisions of Section 26E of the SARFAESI Act and Section 34 of the Recovery of Debts and Bankruptcy Act would prevail over the provisions of Section 24 of the Tamil Nadu General Sales Tax Act. The Division Bench of Justices Anita Sumanth and G. Arul Murugan observed that “in the juxtaposition of Section 26E of the SARFAESI Act with Section 34 of...
Mandatory To Fill Part B Of E-Way Bill In Transactions After April 2018: Allahabad High Court
Recently, the Allahabad High Court has held that it is mandatory for the assesee to download the complete E-way Bill including Part-B of the E-way Bill for transactions after April 2018. Distinguishing the earlier judgment of the High Court in M/s. Varun Beverages Limited vs. State of U.P. and 2 others, M/s. Falguni Steels vs. State of U.P. and others, and others, Justice Rohit...
Delhi HC Flags Rampant Misuse Of Duty Drawback Scheme By Exporters, Says No Limitation For Proceeding Against Availment Of Excess Duty
The Delhi High Court has flagged the rampant misuse of the Central government's Duty Drawback Scheme by various exporters.It is a unique scheme to encourage exports and allows refund of customs and excise duties that are paid by the exporters on specified products.The said duty drawbacks are claimed under Sections 74 and 75 of the Customs Act, 1962.This scheme however, a division bench...
Claims Of GST Department Are Barred Once Resolution Plan Is Approved: Allahabad High Court
Relying on the judgments of the Supreme Court in Vaibhav Goyal & Another Vs. Deputy Commissioner of Income Tax & Another, the Allahabad High Court has held that the claims of Goods and Service Tax Department are barred after the aproval of resolution plan by the National Company Law Tribunal. In Vaibhav Goyal & Another Vs. Deputy Commissioner of Income Tax & Another, ...
CGST Act | Right To Cross-Examine Is Not An Unfettered Right At SCN Stage, Party Must Specify Reasons: Delhi High Court
While dealing with a case under the Central Goods & Services Tax Act 2017, the Delhi High Court has held that though cross-examination can be granted in certain proceedings if it is deemed appropriate, the right to cross-examine cannot be an unfettered right.A division bench of Justices Prathiba M. Singh and Rajneesh Kumar Gupta observed,“The rationale behind setting aside an...
Income Alleged To Have Escaped Assessment In Different Years Can't Be Consolidated To Meet ₹50 Lakh Threshold U/S 149 Of Income Tax Act: Delhi HC
The Delhi High Court has held that an Assessing Officer cannot add income that allegedly escaped assessment in different previous years, to meet the threshold of ₹50 lakh prescribed under Section 149(1)(b) of the Income Tax Act 1961 for initiating reassessment action after lapse of three years.The provision bars issuance of reassessment notice under section 148 if three years have elapsed...
Delhi HC Expresses Concern Over “Harrowing Experience” Of Widow Seeking Refund Of Balance In Electronic Cash Ledger Of Deceased Husband's Firm
The Delhi High Court recently recorded the “harrowing experience” that a widow had to go through for obtaining a refund from the GST Department.The GST registration of the firm owned by her now deceased husband was cancelled in view of his death. However, his widow sought a refund of ₹10,45,793/- balance in the electronic cash ledger of the firm.The said application was rejected by...
Customs' Decision To Prefer Revision Plea Against Order To Release Goods Not Grounds To Withhold Them: Delhi High Court
The Delhi High Court has held that the Customs Department cannot sit over an appellate body's order directing it to release the goods of an assessee, merely on the ground that the Department seeks to prefer a revision against such order.A division bench of Justices Prathiba M. Singh and Rajneesh Kumar Gupta held, “once the Commissioner of Customs (Appeals) has also allowed redemption,...
Delhi HC Sets Aside Reassessment Over Cash Deposits During Demonetisation, Says Order U/S 148A(d) Income Tax Act Transgressed Notice U/S 148A(b)
The Delhi High Court has set aside the reassessment action initiated against a partnership firm under Section 148A(d) of the Income Tax Act, 1961 over cash deposits made by it during demonetisation, stating that this ground was not mentioned in the notice issued to the firm under Section 148A(b).Section 148A(b) contemplates issuance of a notice asking assessee to show cause why...