Finance Bill, 2008 gets Presidential assent today; New services to come into effect from May 16 (See 'Common Basket);

Export duty of 15% on pig iron + 10% on bars and rods, angles & wire + 5% on flat rolled + Rs 8000 per tonne on basmati rice to be effective from today;

Cement exceeding MRP of Rs 190 per 50 kg bag to attract 12% excise duty;

Mayawati moves SC to prevent CBI probe into her I-T case;

Patna High Court finally gets Chief Justice; Justice Rajendra Mal Lodha from Rajasthan HC appointed;

DRI seizes 2.2 kg heroin at Hyderabad Airport;

Petro Secretary says tough decisions required to curb inflation;

2008-TIOL-263-HC-P&H-IT.pdf

CIT, Jalandhar Vs Avinash Chander Sharma (Dated : April 10, 2008 )

Income Tax - Search - Notice u/s 158 - returns for block assessement files - AO makes additions for huge cash deposits in the bank accounts of his four daughters who were not earning any income - CIT(A) deletes it and the Tribunal allows it - Since the Revenue failed to controvert the affidavits filed by the assessee's daughters who are adult and also received gifts from relatives as independent parties, no addition can be sustained for the lack of evidence - Revenue's appeal dismissed :P & H HIGH COURT ;

CENTRAL EXCISE SECTION

NOTIFICATION

etariff08_28.pdf

Notification 14/2008-CE rescinded;

etariff08_27.pdf

12% ad valorem excise duty levied on cement bags with MRP not exceedint Rs 190 per 50 kg bag;

CASE LAWS

2008-TIOL-720-CESTAT-MAD.pdf

M/s Ponni Sugars Ltd Vs CCE, Salem (Dated : February 8, 2008)

Container used for inward transportation of inputs, not input – no credit : CHENNAI CESTAT;

2008-TIOL-719-CESTAT-MAD.pdf

M/s Tamin Granites Vs CCE, Chennai (Dated : February 28, 2008)

Excise duty –Clearances to EOU and Export turnover of sister unit not taken into account for SSI computing – prima facie case in favour of appellant – Waiver of predeposit and stay of recovery allowed : CHENNAI CESTAT;

SERVICE TAX SECTION

NOTIFICATION

stnot08_024.pdf

Exporters to get refund of service tax paid on three more services;

stnot08_023.pdf

Notifications 18/2002 + 33/2004 + 34/2004 amended to replace the word 'client' word by 'any person'

stnot08_022.pdf

Notification No 1/2006 amended to replace the words 'client' by 'any person';

stnot08_021.pdf

Taxation of Services (Provided from Outside India and Received in India) Rules, 2006 amended;

stnot08_020.pdf

Rules made to amend Export of Services Rules, 2005;

stnot08_019.pdf

Service Tax Rules amended;

stnot08_018.pdf

May 16 : New provisions to come into effect;

CASE LAWS

2008-TIOL-264-HC-P&H-ST.pdf + travel story.pdf

CCE, Jalandhar Vs Onkar Travels (P) Ltd (Dated : January 17, 2008 )

Service Tax – notice issued under Section 74 instead of Section 73 – issue not raised before lower authorities – cannot be raised for the first time before High Court – no substantial question of law - The notice was given under Section 74 of the Act. The order confirming the demand of Rs. 91,858/- and imposing a penalty of Rs. 1,000/- upon the respondent, was passed under Section 74 of the Act. Before the Appellate Authority as well as the Tribunal, the Department had taken the stand that, the Revenue Authority have rightly passed the order assessing the escaped Service tax by invoking the provision of Section 74 of the Act. Even before the Tribunal, the same stand was taken. For the first time, in this appeal, the appellant has taken the stand that actually, the show cause notice was to be issued under Section 73 of the Act, but inadvertently, the provision was wrongly mentioned as Section 74. Such plea was never taken by the appellant either before the Appellate Authority or before the Tribunal. Rather before the Tribunal, the representative of the Department had categorically taken the stand that the Revenue Authority was within its power to pass the impugned order under Section 74 of the Act. Undisputedly, Section 74 of the Act pertains to rectification of the mistake in the order and a rectification can only be made by the same Authority if the mistake is apparent on the record. In the grounds of appeal, the appellants has taken the stand that provision of Section 74 of the Act is not applicable. Therefore, the only stand that in the notice as well as the orders passed by the Authorities below, Section 74 was inadvertently mentioned instead of Section 73. In our opinion, this question cannot be permitted to be raised for the first time in this appeal. Only those substantial questions of law are to be considered and decided by this Court, which are arising from the order of the Tribunal, in this case. Since no such argument was raised before the Tribunal, in our opinion, no such substantial question of law arises from the order of the Tribunal. :P & H HIGH COURT ;

2008-TIOL-717-CESTAT-DEL.pdf

M/s Pioneer Agencies Vs CCE, Jalandhar (Dated : January 31, 2008)

ST - BAS - Assessee is into the business of selling recharge coupons of mobile phones - takes registration and pays tax with interest - Adjudicating authority takes lenient view u/s 80 - Commissioner enhances penalty under various sections - Since the buying and selling is a disputed subject under consideration, the adjudicating authority rightly execised his discretion u/s 80 - Commissioner's order set aside : DELHI CESTAT;

CUSTOMS SECTION

NOTIFICATION

ctariff08_067.pdf

Notification No 22/2008-Cus rescinded;

ctariff08_066.pdf

Export duty of 15% on pig iron + 10% on bars and rods, angles & wire + 5% on flat rolled + Rs 8000 per tonne on basmati rice to be effective from today;

CASE LAWS

2008-TIOL-718-CESTAT-MAD.pdf

KBS Manian & Brothers Pvt Ltd Vs CC ,Chennai (Dated : January 18, 2008)

A charge of abetment of an offence cannot be held to have been proved against any person unless the person is put on notice to show cause on allegation – There must be proposal in the SCN or finding in the adjudication order as to the offence committed by the party to justifiably describe as ‘abetment' of an offence & for imposition of penalty: CHENNAI CESTAT;

story.pdf

Finance Bill, 2008 stands enacted; seven new services to come under tax net from May 16;

rule 6 article.pdf

Rule 6 of Cenvat Credit Rules: CBEC latest Circular does give relief to IT Sector but fails to answer many questions!

mbuzz597.pdf

Child abuse: Interpol public appeal system produces rich dividends;

mbuzz596.pdf

Tiger Reserve: Sunderban categorised as 'very good' by global experts;