TRAI reduces rates for set top boxes in CAS areas; hikes cable TV rate by 7% in non-CAS areas;

SC judgements in Hindi: It's not feasible, says Law Commission;

Total energy availability grew by 4% in year 2008;

Karunanidhi re-elected DMK President, Stalin elected Treasurer;

India's forex kitty swells by USD four billion to USD 254 bn last week;

PM meets Service Chiefs, discusses security scenario + pay commission;

law commission story.pdf

Administrative Tribunal: Law Commission wants SC to revisit Chandra Kumar case for proper amendment;

rbi08cir044.pdf

Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between Government of India and erstwhile USSR;

mbuzz1309.pdf

TRAI reduces rates for set top boxes in CAS areas; hikes cable TV rate by 7% in non-CAS areas;

mbuzz1308.pdf

SC judgements in Hindi: It's not feasible, says Law Commission;

mbuzz1307.pdf

Total energy availability grew by 4% in year 2008;

NOTIFICATION

it08not111.pdf

CBDT issues 11th Amendment Rules to substitute CIT (CIB) as DIT (CIB);

it08not110.pdf

CBDT notifies competent authority under Chapter XX-A;

CASE LAWS

2008-TIOL-658-HC-P&H-IT.pdf + coke story.pdf

Coca Cola India Inc Vs ACIT, Gurgaon (Dated: December 17, 2008)

Income tax - Transfer Pricing u/s 92 - related parties - both are tax residents of India - assessee gets Sec 148 notice based on TPO order for period prior to 1.4.2001 - assessee objects and goes in writ - held,

++ Section 147: The TPO order can certainly have a nexus and may enable the AO to conclude that income has escaped assessment. Since the TPO order came to the notice of the AO after the assessment was done in this case, the AO's action cannot be said to be vitiated merely because he relies on such order. As long as the requirement of Sec 147 is fulfilled, and the AO legitimately forms an opinion that an income has been incorrectly assessed, there is no stopping to him to invoke Sec 147.

++ Transfer Pricing: For invoking TP provisions in a case, is it a pre-condition for the Revenue to first establish that there is transfer of profits outside India or that there is evasion of tax? The only condition precedent for invoking Chapter X is that there should be income arising from international transaction and such income is to be computed having regard to arm's length price. There is no statutory requirement to prove that profits have been transferred outside India. There is no ambiguity for application of TP provisions to persons who are subject to jurisdiction of tax authorities in India.

++ Denial of hearing opportunity: At the stage of making reference under Section 92CA of the Act, the grievance that a hearing was not granted, has no merit. The decision to make a reference does not in any manner visit the assessee with any civil consequence. The decision is to be taken by the Assessing Officer having regard to the question whether it will be proper for the Assessing Officer himself to determine the arm's length price or it will be expedient to have it determined from the Transfer Pricing Officer. There is safeguard of seeking prior approval of the Commissioner. Whether computation of arm's length price is made by one officer or by the other, does not in any manner affect the assessee.: PUNJAB AND HARYANA HIGH COURT;

2008-TIOL-657-HC-MUM-IT.pdf

Mr Jaipal Jain Vs Appropriate Authority Constituted Of Members (Dated: December 1, 2008)

Income Tax - Purchase of residential house - assessee seeks NOC from Appropriate Authority - Allegation of undervaluation - held, it was earlier decided by this court that the provisions of Chapter XX-A would apply to the transactions entered into prior to 1-10-1986 relating to transfer of immovable property, the order passed under Chapter XX-C of the Act cannot be sustained. Even the question of valuation cannot be sustained, if the fair market value of the property in question is not determined before deciding to purchase the property compulsorily. Impugned order u/S 269UD(1) quashed and set aside. The Appropriate Authority  directed to grant requisite certificate to the petitioner in accordance with law.: BOMBAY HIGH COURT;

CENTRAL EXCISE SECTION

2008-TIOL-2125-CESTAT-MAD.pdf

CCE, Chennai Vs M/s Garg Steel And Alloys (P) Ltd (Dated: September 19, 2008)

Central Excise – CENVAT Credit on capital goods – simultaneous availment of depreciation under Section 32 of the Income Tax Act – assessee filed a revised Income Tax return without claiming depreciation - matter remanded to verify if the revised return is assessed by the Income Tax authorities.: CHENNAI CESTAT;

SERVICE TAX SECTION

2008-TIOL-2128-CESTAT-DEL.pdf

M/s Raghuveer Metal Inds Ltd Vs CCE, Jaipur (Dated: October 23, 2008)

ST - C & F Service - assessee claims to be commission agent - Revenue argues that it has been decided by the Tribunal in the Medpro Pharma case that both the clearing or forwarding services are covered under the scope of C & F Service - Case remanded: DELHI CESTAT;

2008-TIOL-2127-CESTAT-MAD.pdf

Vijay Television (P) Limited Vs CST, Chennai (Dated: July 30, 2008)

Service Tax – Broadcasting Service – selling of time slots to various sponsors, selecting, producing and scheduling programmes for telecast by the Broadcasting Company and obtaining sponsorship from clients is taxable under Broadcasting Service – Section 65(14) and 65(15) of the Finance Act, 1994.

Limitation – the fact that the appellant was providing the taxable service was within the knowledge of the department – extended period is not invokable – demand has to be re-quantified for the normal period and penalties imposed under Section 76, 77 and 78 set aside as the issue involved predominantly a question of interpretation.: CHENNAI CESTAT;

CUSTOMS SECTION

2008-TIOL-2126-CESTAT-MAD.pdf

CCE, Coimbatore Vs Sree Narasimha Textiles Ltd (Dated: September 25, 2008)

Customs – Goods cleared for export – stolen – No duty or penalty - CESTAT: DELHI CESTAT;