/ INCOME TAX

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 21, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 21, 2016

www.caindelhiindia.com; CORPORATE UPDATES
www.caindelhiindia.com; CORPORATE UPDATES

DIRECT TAX

  • Income Tax: Where assessee-NBFC provided security in form of cash collateral for loans purchased by purchaser-bank but did not book said amount as its income, levy of concealment penalty was justified – [2016] 67 163 (Chennai – Trib.)
  • Income Tax: Where assessee received gifts from two persons on behalf of his daughters on occasion of their marriage, since said gifts were made by demand drafts and genuineness of same was confirmed by bank in which person making gifts had their accounts, impugned addition made under section 69A was to be set aside – [2016] 67 168 (Punjab & Haryana)
  • Income Tax: Substitution of ‘full value of consideration received’ with ‘stamp value’ in terms of section 50C, is applicable in hands of seller of property who has to compute capital gains under section 48 pursuant to transfer of a capital asset in nature of land or building or both; same cannot be extended in case of purchaser to estimate undisclosed investment – [2016] 67  166 (Kolkata – Trib.)
  • Income Tax: Where assessee, a joint venture, executing civil contract works, having received contract by Irrigation Department of State Government, assigned same to one of its constituents on back to back basis, since income from contract entered into with State Government was assessable only in hands of assessee and not in hands of sub-contractor, credit for tax deducted at source from bills of assessee was required to be given to assessee alone and same could not be denied by invoking Rule 37BA(2)(i) of Income-tax Rules, 1962, on ground that no real work was carried on by assessee – [2016] 67  224 (Andhra Pradesh)

INDIRECT TAX

  • Service Tax: Where assessee-bank was utilizing services rendered by SWIFT essentially to transmit financial messages internationally, such services amounted to a taxable service classifiable under category of banking and other financial services and were liable to service tax – [2016] 67 162 (Mumbai – CESTAT)
  • Service Tax: Helping vehicle-buyers to avail registration with RTO under Motor Vehicle Act does not amount to Business Auxiliary or Business Support Services; hence, differential amount earned over and above actual RTO registration fees cannot be charged to service tax – [2016] 67 174 (Mumbai – CESTAT)
  • Service Tax: For appeal filed prior to 6-8-2014, if assessee’s appeal is dismissed for pre-deposit default, Tribunal may restore such appeal, if sufficient compliance is shown later; more so, when, on merits, case is prima facie in favour of assessee – [2016] 67  173 (Madras)
  • Excise Duty: Where certain percentage of expenses incurred on advertisement by dealers was reimbursed by assessee manufacturer because these advertisements indirectly helped assessee, reimbursed amount would not form part of trading transaction value
  • Excise Duty; EXPORT – WITHOUT PAYMENT OF DUTY : Having filed export applications with department, assessee cannot later claim that ‘applications were filed in anticipation of export order and goods in question were never manufactured’; assessee must show proof of export within 6 months or else, bear duty with interest and penalty – [2016] 67 171 (Kerala)

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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/ INCOME TAX

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 18, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 18, 2016

14

DIRECT TAX

  • INCOME TAX : CBDT directs reopening assessments in claim of bogus capital gains / loss in penny investment scam by taxpayersvide letter dated 16.03.2016
  • INCOME TAX : TDS-Credit of TDS won’t be denied to a contractor even if entire work has been sub-contracted to others [2016] 67 224 (Andhra Pradesh)
  • INCOME TAX ; CHARITABLE PURPOSE : Where assessee-trust conducted courses and seminars to help its members in preparation of a foreign certification course, assessee’s activity was not of education but of advancement of any other object of general public utility and involved trade, commerce or business, hence, not entitled for exemption under section 11 – [2016] 67 140 (Chennai – Trib.)
  • INCOME TAX ; CAPITAL GAIN-TRANSFER : Where under Joint Development Agreement, builder would get 47 per cent and landowner 53 per cent of built up area and during current year landowner handed over entire land to developer, though sale deed was executed in next year, in current year itself there was transfer of capital assets for consideration being cost of 53 per cent of built up area – [2016] 67 147 (Bangalore – Trib.)

 INDIRECT TAX          

  • SERVICE TAX : Helping vehicle-buyers to avail registration with RTO under Motor Vehicle Act does not amount to Business Auxiliary or Business Support Services; hence, differential amount earned over and above actual RTO registration fees cannot be charged to service tax
  • SERVICE TAX : Where assessee entered into system delivery agreement with a customer to provide for a system comprising of a complete set of various machines/ equipments which were required to be installed and commissioned at site of customer and overall operation and maintenance processes shall be responsibility of customer, transaction qualified as a transfer of right to use goods and, consequently, be outside definition of service – [2016] 67  142 (AAR – New Delhi)
  • CENTRAL EXCISE : As per rule 7(4) of Central Excise Rules, 2002, interest is payable only when any amount is payable consequent to order of finalization of provisional assessment; hence, where duty is paid prior to finalization of assessment and no amount is payable consequent to finalization, interest under rule 7(4) ibid would not be attracted – [2016] 67  150 (Chennai – CESTAT).

OTHER UPDATES

  • COMPETITION ACT : Identical price quoted by respondent manufacturers for supply of AMDBS, a critical safety item required for railway coaches, did not constitute sufficient evidence of cartel formation and in absence of other plus-factors, it was not possible to record a finding that respondents had acted in violation of section 3(3)(d), read with section 3(1) – [2016] 67  146 (CAT – New Delhi)

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 17, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 17, 2016

www.caindelhiindia.com; Corporate updates
www.caindelhiindia.com; Corporate updates

DIRECT TAX

  • Income Tax: Income-tax (5th Amendment) Rules, 2016) – Rules in respect of fund manager regime under section 9A of the Income-tax Act, 1961 – Notification
  • Income Tax: Addition u/s 68 – merely because the bank statement an ITR of the lender were not submitted, in spite of submitting balance sheet and profit and loss account of the company, confirmation stating its PAN and also transactions are through account payee cheques and in absence of any inquiry, we are of the view that no addition can be made in the hands of the assessee – Tri
  • Income Tax: Penalty u/s 271C – non deduction of tds u/s 194LA – there was no mala fide intention on the part of the assessee for non-deduction of TDS since it had recovered the TDS from the concerned as soon as the violation of law was brought into assessee’s notice – Tri
  • Income Tax: Agricultural lands in terms of Sec 2(14) – Though the circumstance that the land is classified as Agricultural in the revenue records and the Village Panchayats President, Navallur, has certified that the land is away from municipality, other circumstances proves otherwise – Held as not an agriculture land – Tri
  • Income Tax: The assessee had a dividend income (income from other sources). Thus the assessee fell within the purview of the exception carved out in the explanation to Section 73 and that consequently the assessee would not be deemed to be carrying on a speculation business for the purpose of Sec. 73(1). – Tri
  • Income Tax: Addition made on inflation of purchases of raw material u/s. 69 – CIT(A) has wrongly relied on the input output consumption ratio – addition deleted – Tri

INDIRECT TAX

  • Service Tax: Validity of Tribunal’s order waiving the penalty – the question of applicability of section 80 w.e.f. 14-5-2015 has not been examined by the Tribunal at all. There is rather no reference to Section 80 of the Finance Act, 1994. As the Tribunal’s order is cryptic and the reasons are wholly unsatisfactory, needs to be quashed and set aside – HC
  • Central Excise: Differential duty demand – demand arose on account of the fact that the appellant cleared the goods from its depot at a price higher than the price at which the duty was paid at the time of clearance from the factory – demand confirmed – Tri
  • Central Excise: SSI Exemption – The notification as amended was very clear and unambiguous. In the era of self assessment, it is the responsibility of the assessee to correctly determine the duty as per law. It is seen that the appellant failed to do so in this case – Tri
  • Central Excise: Denial of Cenvat credit on capital goods – stock taking was done by way of eye estimation – the allegation of shortage of raw materials, does not stand. – demand set aside – Tri
  • Central Excise: Refund claim – duty liability subsequent to clearance of their products – unjust enrichment – when duty is paid after clearance of goods, on insistence of anti-evasion branch, burden of duty is not passed on to the customers – refund allowed – Tri
  • Central Excise: Differential duty – as the appellant was clearing the goods on payment of duty and subsequently on their own revised the price and discharged the differential duty there seems to be no violation of any provisions – Demand on interest confirmed – But, no penalty be levied – Tri
  • Central Excise: MRP based valuation – removal of goods without packing – It is not the packaging that determines the applicability of mandate of affixing the ‘retail sale price’ but the product itself. Consequences of non-conforming packaging are not escapement from the mandate but the enforcement of penal detriment – appellant is eligible for the abatement – Tri
  • Central Excise: The duty can be demanded from a manufacturer of the goods as it is a factum record that the impugned goods have been fabricated on job work basis by the contractors, therefore, as per the Central Excise provision, the appellant cannot be the manufacturer of the said goods. – Tri
  • Customs: Rejection of refund claim – Period of limitation – Once the appellant has been given acknowledgement unless until this held to be fake or forged, the said acknowledgement has to be accepted as proof of filing the refund claim. – Tri

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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/ GST

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 16, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 16, 2016

www.caindelhiindia.com; Corporate updates
www.caindelhiindia.com; Corporate updates

DIRECT TAX

  • Income Tax: Disallowance of Privilege fee paid u/s 40(a)(ii) or (iii) – sharing of revenue with the state – The privilege fee payable by the petitioner to the State Government would be taxable with effect from 1.4.2014 and not prior thereto – HC
  • Income Tax: Adoption of Profit Level Indicator (PLI) of OP/TC to determine ALP – , in the absence of identification or segregation of capital employed with regard to AE’s transaction and those with others, the RoCE method would not indicate the appropriate margin for determining the ALP. – HC
  • Income Tax: Disallowance of interest u/s 36(1)(iii) – it can be said that amount invested in the subsidiaries company was arising out of commercial expediency and was thus for the purpose of business of the assessee. – Tri
  • Income Tax: Sale of factory land at Guindy, Chennai – Capital Gain OR business profit – without bringing any material on record merely based on some remote circumstances, an inference cannot be drawn that the Assessees indulged in an adventure in the nature of business or trade. – Tri
  • Income Tax: Penalty u/s 271(1)(c ) – after taking into consideration the human conduct and preponderance of probability clearly indicate that the assessee became a willing party to nefarious black money racket for obtaining bogus gifts. Such acts cannot be taken lightly as they lead to scourge of black money in the country. – Tri

INDIRECT TAX

  • Service Tax: Cenvat Credit – input service – Outdoor catering services – a notification issued in Notification No.3/2011 dated 1.3.2011 excluding the outdoor catering services came into effect on 1.4.2011 but here the period relates to a period prior to 1.4.2011. – credit allowed – HC
  • Central Excise: Reversal of CENVAT credit – whether the appellant while clearing the imported inputs which were found to be defective and unusable and later re-exported from their premises, is required to pay an amount equal to the credit availed on such inputs as per Rule 3(5) of the Cenvat Credit Rules, 2004 – Held No – Tri
  • Central Excise: Claim of exemption on Air conditioning unit, condensing unit, chillers, walk in cold rooms – the institution is not engaged in commercial activity and the goods are required for research purposes – respondent has complied with the Notification 10/97 dated 01.03.1997 – benefit of exemption allowed – Tri
  • Central Excise: New case cannot be made out after issuance of show cause notice and after passing the adjudication order. Both the lower authority have wrongly denied the Cenvat credit on the Capital goods – Tri
  • Customs: Clim of refund – Excess payment of CVD at the time of import – there was indeed no assessment order as such passed by the customs authorities – The order of the Assistant Commissioner (Refund) rejecting the refund claim of the Petitioner on the ground of maintainability was, for the aforementioned reasons, plainly erroneous. – HC
  • Customs: Import of goods – Change in standards under the FSS Act – The legitimate expectation of the importer would always subject to the policy change of the State. If the law is changed as on the date of release, the importer is bound by the law on the date of release. – HC
  • Customs: Release of property – seizure of gold and Indian currency – violation of provision of Customs Act. – the petitioner has to establish his ownership over the property before the Adjudicating Authority. Whether the adjudication proceedings are initiated legally or not, is not a question at the time of invoking the power under Section 110A of the Customs Act but what is contemplated under Section 110A is that the said person making the claim should be the owner of the goods to be released – HC

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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/ Company Law Compliances

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 15, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 15, 2016

www.caindelhiindia.com; Corporate updates
www.caindelhiindia.com; Corporate updates

DIRECT TAX

EXPENDITURE INCURRED IN RELATION TO INCOME NOT INCLUDIBLE IN TOTAL INCOME:

Tribunal faced strong criticism for not following the judgment of jurisdictional High Court given in the case of the petitioner itself for an earlier Assessment Year on identical issue of applicability of Section 14A of the Act to partially disallow interest expenditure when interest free funds available with the Petitioner are in excess of investments made in tax free securities – [2016] 67 taxmann 42 (Bombay)

INVESTMENT IN MUTUAL FUND : Where Assessing Officer disallowed part of interest expenses under section 14A for earning exempt income which was a plausible view, Commissioner could not exercise revisionary power under section 263 to disallow whole of interest expenses – [2016] 67 taxmann 6 (Gujarat)

INTEREST ON BORROWED CAPITAL : Expansion of business : Where assessee paid interest on borrowed capital which was used for acquisition of windmill for extension of existing business of generation of electricity through windmill, interest could not be allowed till capital asset acquired by assessee was put to use – [2016] 66 taxmann 277 (Chennai – Trib.)

DEEMED DIVIDEND LOANS : Where assessee, having beneficial ownership of more than 10 per cent shares in a closely held company, claimed to have received certain amount from company for purchase of land for company but failed to prove same by furnishing relevant details, such amount would come within ambit of section 2(22)(e)-[2016] 15 (Visakapatn  Zam – Trib.)

INDIRECT TAX

WORKS CONTRACT SERVICES : Where assessee has paid service tax on full contract price of a works contract and availed credit of inputs and services and there is no revenue loss to department, department cannot seek to deny credit relying upon valuation rule 2A – [2016]

TAX REFUND : Excise duty refund received by assessee in terms of new industrial policy and concessions formulated by Central Government for State of Jammu and Kashmir vide Office Memorandum of 14-6-2002, whereby Central Government intended to eradicate social problem of unemployment in State by accelerated industries development, would be treated as capital receipt – [2016] 14 (Amritsar – Trib.)

MCA UPDATES

INCORPORATION OF COMPANY: Section 35 debars raising of any objection relating to the incorporation of the company after issuance of a certificate of incorporation by ROC – [2016]

OTHER UPDATES

Govt. approves guidelines to promote electronic payments

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 14, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 14, 2016

www.caindelhiindia.com; CORPORATE UPDATES
www.caindelhiindia.com; CORPORATE UPDATES

INCOME TAX ACT

SECTION 2(47)

CAPITAL GAINS – TRANSFER

Sale of partnership business as going concern to company : Sale of business of assessee-firm as a going concern to company for consideration of paid up share capital does not amount to transfer liable to tax as capital gains – [2016] 249 (Gujarat)

SECTION 10(10C)

VOLUNTARY RETIREMENT PAYMENTS

Where assessee’s appeal before Tribunal against denial of exemption under section 10(10C) was filed after delay of 1737 days, keeping in view fact that assessee would be otherwise entitled to benefit of deduction under section 10(10C) as per CBDT Instruction and keeping in mind circumstances in which appeal of assessee was filed belatedly, delay in filing appeal was to be condoned – [2016] 248 (Kolkata – Trib.)

SECTION 28(i)

BUSINESS INCOME – CHARGEABLE AS

Business income v. Capital gains – Dealing in Land : Where an individual engaged in manufacture and sale of pharmaceutical products and, also earned income from sale of undivided share of land and construction of flats on said land, income would be treated as business income – [2016]250 (Madras)

SECTION 69C

UNEXPLAINED EXPENDITURE

Construction of flats : Where Assessing Officer had no case that assessee had received any excess consideration from flat buyers, nor was it case of any flat buyers that something more was realized from them, no addition on account of unexplained expenditure could be made – [2016]  250 (Madras)

SECTION 80-IA

DEDUCTIONS – PROFITS AND GAINS FROM INFRASTRUCTURE UNDERTAKINGS

Condition precedent/Setting off losses : Where loss of eligible business undertaking was already absorbed against other income of business enterprises, assessee was entitled to claim deduction under section 80-IA –[2016] 251 (Madras)

SECTION 92C

TRANSFER PRICING – COMPUTATION OF ARM’S LENGTH PRICE

Comparables and adjustments/Adjustment – General : When audited financial statements were available in public domain, computation of ALP based on interim and unaudited financial statements could not be accepted – [2016] 265 (Delhi – Trib.)

CENTRAL EXCISE ACT

SECTION 11A

RECOVERY – OF DUTY OR TAX NOT LEVIED/PAID OR SHORT-LEVIED/PAID OR ERRONEOUSLY REFUNDED – CLANDESTINE REMOVAL OF EXCISABLE GOODS

Charge of clandestine removal without payment of duty cannot be sustained merely based on stock shortages/excesses found on test-check basis by statutory auditors. – [2016]  270 (Kolkata – CESTAT)

CUSTOMS TARIFF ACT

SECTION 3

CHARGE/LEVY – ADDITIONAL DUTY OF CUSTOMS/SPECIAL CVD

Even if special CVD on imports was paid using balance lying in DEPB scrips, same is refundable “in cash” on resale of goods; Circulars denying/restricting refund of Special CVD in such cases are ultra vires Notification No. 102/2007-Cus. and are void. – [2016] 253 (Delhi)

CENVAT CREDIT RULES

RULE 2(l)

CENVAT CREDIT – INPUT SERVICE – GENERAL

Works contract services availed for minor repairs of premises as well as equipments, etc., are eligible for input service credit to exporter of ‘software services’ – [2016]  255 (Bangalore – CESTAT)

STATUTES

DIRECT TAX LAWS

Section 139A of the Income-tax Act, 1961 – Permanent Account Number – Processing of core field updation requests – Identification of duplicate Pans allotted to A Person and Resolution by RCC – ITBA-PAN INSTRUCTION NO.3 [F.NO.PDGIT(S)/ADG(S)-1/ITBA-PAN INSTRUCTIONS/0001/2016], DATED 24-2-2016

Section 190 of the Income-tax Act, 1961 – Administration of TDS – Redressal of taxpayer grievances raised due to TDS mismatches – LETTER, DATED 15-2-2016

Economic Survey 2015-16 – PRESS RELEASE, DATED 26-2-2016

CORPORATE LAWS

Circular on Mutual Funds – CIRCULAR NO.SEBI/HO/IMD/DF2/CIR/P/ 2016/37, DATED 25-2-2016

Know Your Customer (KYC) Direction, 2016 – CIRCULAR DBR.AML.BC. NO.81/14.01.001/2015-16, DATED 25-2-2016

Alteration in name of Bank Internasional Indonesia to PT Bank may Bank Indonesia TBK in Second Schedule of RBI Act, 1934 – CIRCULAR DBR.NO.RET.BC.80/12.07.104A/2015-16, DATED 25-2-2016

Inclusion of National Bank of Abu Dhabi PJSC in Second Schedule of RBI Act, 1934 – CIRCULAR DBR.NO.RET.BC.79/12.07.138A/2015-16, DATED 25-2-2016

Review of Prudential Guidelines – Revitalizing Stressed Assets in Economy – CIRCULAR DBR.BP.BC.NO.82/21.04.132/2015-16, DATED 25-2-2016

INDIRECT TAX LAWS (ST./EX./CUS. & (CST & VAT))

Extension of date for filing return in GE-II for first three quarters of 2015-16 – NOTIFICATION NO.F.3(619)/POLICY/VAT/2016/1496-1506, DATED 25-2-2016

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 11, 2016

CORPORATE AND PROFESSIONAL UPDATE DATED MARCH 11, 2016

www.caindelhiindia.com; CORPORATE UPDATES
www.caindelhiindia.com; CORPORATE UPDATES

DIRECT TAX

  • Income Tax: Qualification for exemption u/s 10(5) – LTC paid to the employees involving foreign travel – TDS on the payment of LTC to the employees – Revenue has rightly held the assessee to be in default, as the assessee has not deducted TDS intentionally on the reimbursement of expenditure incurred on LTC/LFC.
  • Income Tax: TDS u/s 195 – the assessee can not be said to have paid the consideration for use of or the right to use copyright but has simply purchased the copyrighted work embedded in the CD- ROM which can be said to be sale of ‘good’ by the owner. The consideration paid by the assessee thus as per the clauses of DTAA can not be said to be royalty
  • Income Tax: Non service of notice u/s 143(2) – Apparently, the notice was sent on the wrong address as the assessee has categorically given his address in the relevant return of income – Presumption can only be raised against the assessee for service of notice u/s 143(2) when the notice was sent on the correct address.
  • Income Tax: Rejection of books of accounts – denial of natural justice – Assessing Officer has not provided sufficient opportunity of being heard to the assessee rather rejected the books of accounts arbitrarily and declared the bills filed by the assessee as bogus unilaterally. – Matter remanded back –
  • Income Tax: Revision u/s 263 – AO has to consider the provisions applicable under Rule 8D effective from assessment year 2008-09. But the AO made disallowance by following Co-ordinate Bench decision for earlier assessment year. It is apparent from facts and circumstances the order of the Assessing Officer is erroneous and prejudicial to the interest of Revenue – Revision proceedings are correct
  • Income Tax: Penalty u/s 271(1)(c) – the money has been appropriated by ICICI Bank after collection and the assessee has claimed the deficiency in realization as Bad debts. The income of 2% was not considered in profit and loss account by assessee. – The explanations given by the assessee cannot be considered as bonafide and assessee tried to conceal the income by misrepresenting the case – penalty confirmed
  • Income Tax: Eligibility of deduction u/s 80IC on freezing charges – freezing charges earned by the assessee is an integral part of the processing of vegetables and therefore is eligible for deduction u/s 80IC of the Act
  • Income Tax: Capital gains – calculation of number of trees – The evidence filed by the assessee in terms of certificate of Tehsildar or that of a retired IAS officer is of no evidentiary value, specially in the presence of Jamabandi, which is an actual proof of land holding and cultivation thereon.

INDIRECT TAX

  • Service Tax: ST-3 return form amended to insert the columns related to Swachh Bharat Cess – Service Tax (Second Amendment) Rules, 2016 – Notification
  • Central Excise: Extended period of limitation – When the material facts are disclosed, a particular classification followed by the appellant will not make a case for suppression – the appeal in so far as it relates to extended period is allowed.
  • Central Excise: SSI Exemption – Manufacture and clearing dutiable goods with the brand name or trade name of another person – for denial of exemption the brand name or trade name has a wider connotation, registration being not mandatory
  • Central Excise: Demand of duty for clearance of waste and scrap – the transparency in the appellant’s dispatch of waste and scrap and receiving the granules back cannot be questioned only on the ground that the Notification 214/86-CE is not applicable to waste and scrap.
  • Central Excise: Liability to pay the excise duty – consignee does not sent the certificate of re-warehousing within the period of 90 days – department cannot ask the appellant to pay the duty as the department cannot recover the duty twice for the same consignment and moreover as per the sub-clause (3) of Rule 20 it is the responsibility of the buyer to pay the duty
  • Customs: Valuation – as the Supply Agreement is consistent with the Technology Transfer Agreement, and the supplier had the right to terminate the supplies in case of non-payment of royalties, the payment of royalty is a condition of sale and includible in the assessable value
  • Customs: Invokation of Rule 9(1)(c) – Royalty and Technical know-how fee paid on domestic sale – Whether includible or not in the value of goods imported – Held that: Not to be included
  • Customs: Contravention of provisions of Regulation 13(e) and 13(o) of CHA Licensing Regulation, 2004. – CHA has not even claimed that it had ever verified the existence of the importer at the given address which means the appellant has failed to fulfil the requirement of Regulation 13(o) ibid. – Action against CHA sustained
  • Customs: Entitlement – Benefit of Notification No. 12/2012-Cus, – beyond doubt that ‘bulk drugs’ are also ‘drugs’ – benefit of exemption allowed

OTHER UPDATES

  • EPS: The Union Govt. after exempting EPF, considering a proposal to make it mandatory for Employer to route most of its saving to Employee Pension Scheme (EPS) a move for creating pensioned society.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances;Hope the information will assist you in your Professional   endeavors. For query or help, contact:  info@caindelhiindia.com or call at  011-233-43-333 (more…)

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