Congress decides to go alone in Bihar; to contest 26 LS seats in Maharashtra;

World Bank urges G-20 to take quick steps on economic crisis or there would be social unrest and political crisis;

HP, IIHT join hands to launch 'HP Software University' in Bangalore;

IPL organisers threaten to take part of tournament outside India;

Violence in IIT, Kharagpur, after death of 3rd year student due to alleged negligence of doctors; Director resigns, owning moral responsibility;

Indian Army's Special Forces to counter terror to be in place by month-end with 600 personnel: Chidambaram;

World Water celebrated today by various Govt and Pvt Sector organisations;

TIOL COMMENTARY

R D Shinde story.pdf

‘Disclosability' of information is function which can be performed only by original holder of information and not by others who come to hold that information incidentally: CIC;

2009-TIOL-41-SC-CT.pdf + sc ct story.pdf

State of Haryana Vs M/s Liberty Enterprises (Dated: March 17, 2009)

Haryana Sales Tax- Export Sales not includible in the calculation of "notional tax liability" a unit availing exemption from payment of sales tax under Rule 28A had been disallowed certain deductions which were otherwise available to an assessee if it would have been a case of normal assessment. The assessee was eligible to avail deductions from its `gross turnover' for transactions relating to inter-State branch transfers or consignment sales outside the State and sales made on consignment basis or branch transfers within the State. These deductions stood disallowed to a unit allowing exemption for calculating the "notional sales tax liability" as defined in Rule 28A(2)(n), as a condition for grant of exemption: SUPREME COURT OF INDIA;

MIXED BUZZZ

mbuzz0313.pdf

Jersey keen to forge close business alliance with India

mbuzz0312.pdf

High transmission losses dissuading power sector investors: Plan Panel Member

mbuzz0311.pdf

UN-backed anti-cyber threat coalition launches Hqs in Malaysia

mbuzz0310.pdf

Principles on exchange of tax information: OECD model for bilateral conventions;

mbuzz0309.pdf

Health Sector to suffer because of global crises: UN;

mbuzz0308.pdf

More and more crimes are becoming Trans-National -Ashwini Kumar;

2009-TIOL-177-ITAT-DEL.pdf

ACIT, New Delhi Vs M/s Relaxo Footwears Ltd (Dated: December 15, 2008)

Income Tax - Assessee, based on reasonable assumption, makes provision for bad debts - AO makes additions - CIT(A) deletes them - held, in view of settled laws, CIT(A) has not committed any illegality in deleting the impugned addition made against availment of bad and doubtful debts to the net profit while working out the book profit u/s 115 JB - Revenue Appeal dismissed.: DELHI ITAT;

2009-TIOL-176-ITAT-BANG.pdf

Kammar Udyog Vs ITO, Hubli (Dated: October 3, 2008)

Income tax - assessee manufactures iron safes, lockers and strong room doors - does not maintain proper stock registers and books - AO rejects the books and opts for estimate of gross profits - also disallows certain job work and other charges - held, once gross profit is computed on estimate basis, no further disallowance of expenses can be made as it will amount to double taxation - assessee's appeal allowed: BANGALORE ITAT;

SEZ INSTRUCTION

sez06ins009.pdf

80IA Procedure for Reimbursement of Duty (RoD) in lieu of drawback for supply of goods to SEZ Developers against Indian Rupees;

SERVICE TAX SECTION

2009-TIOL-468-CESTAT-MAD.pdf

CCE, Chennai Vs M/s Showa Engineering Ltd (Dated: January 28, 2009)

Service Tax – CENVAT – Input services – Mobile Phones - With effect from 10.9.2004 credit of service tax paid in respect of mobile telephones is admissible, provided the mobile phones are used for providing output service or in or in relation to manufacture of finished goods. (Para 5): CHENNAI CESTAT;

2009-TIOL-464-CESTAT-AHM.pdf

M/s Kiran Motors Ltd Vs CCEx, Vadodara-II (Dated: January 13, 2009)

ST - Automobile Service Station - Assessee provides three free service during warranty period of new car sales - Revenue alleges dealer's margin is included in the commission paid to the assessee - prima facie, the assessee makes a good case - waiver from pre-deposit granted: AHMEDABAD CESTAT;

2009-TIOL-463-CESTAT-DEL.pdf

M/s Bhatia Money Changer Vs CCE, Jalandhar (Dated: February 6, 2009)

ST - Money changing service - Assessee transfers money on behalf of the employer - argues no service is involved in this exercise - since it is a new service, pre-deposit waiver is granted: DELHI CESTAT;

CENTRAL EXCISE SECTION

2009-TIOL-467-CESTAT-DEL.pdf

CCE, Kanpur Vs M/s Synthetic Silica Products (Dated: November 6, 2008)

Central Excise - quantum of penalty under Section 11 AC is equal to the duty as held by the Apex Court in Dharmendra Textile Processors case - Revenue appeal allowed: DELHI CESTAT;

2009-TIOL-466-CESTAT-MAD.pdf + L G Balakrishnan Story.pdf

L G Balakrishnan & Bros Limited Vs CCE, Coimbatore (Dated: October 3, 2008)

Central Excise – CENVAT Credit – stay/dispensation of pre-deposit – input services relating to the wind mills located at places away from the factory - there is no dispute that the appellants generated power in their windmills and used the same in their manufacturing facility - prima facie case for waiver of pre-deposit: CHENNAI CESTAT;

CUSTOMS SECTION

CASE LAW

2009-TIOL-470-CESTAT-MUM.pdf + rom story.pdf

CC, Mumbai Vs M/s Mahavir Health & Relief Society (Dated: January 27, 2009)

An appeal cannot be clothed as a ROM application – Tribunal dismisses Revenue's ROM application.: MUMBAI CESTAT;

2009-TIOL-469-CESTAT-KOL.pdf

Md Abdullah Vs CC, Kolkata (Dated: December 23, 2008)

Customs – Seizure of bullocks and cows including transport vehicle by BSF – No evidence adduced by Revenue that the cattle were exported or attempted to be exported to foreign country – Findings of original authority and appellate authority on the origin of goods contradictory and do not inspire confidence – Impugned order set aside – Sale proceeds from auction of seized cattle to be paid back to appellants: KOLKATA CESTAT;

2009-TIOL-465-CESTAT-AHM.pdf

M/s Hamilton House Wares Pvt Ltd Vs CC, Ahmedabad (Dated: January 30, 2009)

Customs – Mis-declaration and undervaluation of import of opal ware – Borosilicate glassware containing boric oxide ranging from 9.68% to 12.27% showing no thermal expansion (0 to 300°C), no breakage on heating and indicating low linear coefficient of expansion is opal ware according to ASTMC 162 – Revenue adduced enough evidence to suggest mis-declaration and undervaluation – Prima facie case in favour of Revenue – Bank guarantees for Rs. 62 lakhs allowed to be encashed by Revenue and pre-deposit of balance amount of duty and penalty waived: AHMEDABD CESTAT;