Cenvat Credit Rules 2004 needs a re-look! (See 'Budget Run-Up')

Vision 2015: Petro Ministry to provide CNG in 200 Cities; targets direct cash transfer of subsidy;

Budget Planners - Simplify tax administration and give a roadmap for GST implementation (See 'Budget Run-Up')

Doctor, innovate the budget-making process;

Swine Flu: Four more add to tally exceeding 90 in India;

RBI going to print Rs 10 note on polymer; Police, bankers to be trained to detect fake notes;

CII urges FM to make TDS assessee-friendly;

PC for review of VIP security;

TIOL COMMENTARY

budgetrunup17.pdf

Cenvat Credit Rules 2004 needs a re-look!

oil story.pdf

Vision 2015: Petro Ministry to provide CNG in 200 Cities; targets direct cash transfer of subsidy;

ice cube.pdf

Doctor, innovate the budget-making process;

budgetrunup16.pdf

Budget Planners – Simplify tax administration and give a roadmap for GST implementation;

trade story.pdf

Free trade can help combat global warming: UN Report;

MIXED BUZZ

mbuzz0609.pdf

UNESCO adds four new sites to World Heritage List but drops one from Germany;

mbuzz0607.pdf

CII welcomes Nilekani's appointment as head of UIDAI;

mbuzz0606.pdf

CII urges FM to make TDS assessee-friendly;

2009-TIOL-411-ITAT-BANG.pdf + mcdowell story.pdf

Mcdowell & Co Ltd Vs ACIT, Bangalore (Dated: April 03, 2009)

Income Tax – Reopening of assessment - It is no responsibility of the assessee to advise the AO with regard to the inference which he should draw from the primary facts – mere change of opinion, no justification – It is for the AO to draw the correct inference from the primary facts. If an AO draws an inference which appears subsequently to be erroneous, mere change of opinion with regard to that inference would not justify initiation of action for reopening assessment. The Assessing Officer in the reasons recorded has clearly referred to the assessment for the asst. year 2004-05 and the entire facts, which were disclosed by the assessee, were before him. There is no inkling in the reasons recorded that the assessee's case is not covered by CBDT Circular and therefore it cannot be said that there were reasons to believe that income has escaped assessment.

Sales tax collected is to be deemed to have been paid once such sales tax deferred is converted into a loan liability- From the Circular of the Board as well as from the provisions of Bombay Sales Tax Act, it is clear that the sales tax collected is to be deemed to have been paid once such sales tax deferred is converted into a loan liability.

Reasonable Opportunity to the Assessee: The AO has not afforded reasonable opportunity to the appellant. After rejection of objections, the AO should have given a reasonable opportunity to the assessee for putting his case. On this ground, the assessment order is to be set aside. Since it is already held that reopening is bad in law, therefore, such setting aside is only academic in character:BANGALORE ITAT;

2009-TIOL-410-ITAT-MAD.pdf

ITO, Coimbatore Vs M/s Amutham Enterprises (Dated: February 27, 2009)

Income tax - Sec 271(1)(c) - penalty – Cash credits added in assessment – On enquiry AO proved that creditors does not have creditworthiness – Though firm's books of accounts show such credits received by way of cheques from the creditors, on enquiry it was proved that such cheques were in fact issued from the bank account of the managing partner of assessee firm – CIT(A) deleted penalty - On further appeal, tribunal found that it was a case of gross falsification of records and levy of penalty u/s 271(1)(c) upheld, but reduced to minimum penalty.:CHENNAI ITAT;

2009-TIOL-409-ITAT-MUM.pdf

DCIT, Mumbai Vs M/s Akasaka Electronics Ltd (Dated: February 3, 2009)

Income Tax - Section 145A - AO makes additions for adjustment of closing stock on account of unutilized Modvat credit by invoking provisions of Sec 145A - CIT(A)  deletes  the addition by holding that there is no impact on the profits by following the inclusive method - Held, issue remanded for giving an opportunity to the assessee to prepare trading account as per the decision of the Tribunal in the case of M/s. Cyanamid Agro Ltd. and to see if any addition is warranted. Revenue Appeal allowed.:MUMBAI ITAT;

SERVICE TAX SECTION

2009-TIOL-981-CESTAT-MUM.pdf

Taradevi Bafna Vs CCE (Dated: May 12, 2009)

Service tax in respect of renting of immovable property paid with interest prior to issuance of show cause notice – Delhi High Court in Home Retail Solution India Ltd. [ 2009-TIOL-196-HC-Del-ST ] has held that renting of immovable property for use in furtherance of business or commerce, by itself, did not entail any value additional and hence could not be regarded as service – Waiver of pre-deposit and stay of recovery in respect of penalty amount granted. :MUMBAI CESTAT;

2009-TIOL-979-CESTAT-AHM.pdf

CST, Ahmedabad Vs M/s Ingersoll- Rand (India) Ltd (Dated: June 10, 2009)

ST - Service recipient - assessee receives certain services from abroad - demand is raised - held, in view of the Tribunal's Larger Bench decision in the case of Hindustan Zinc and the Revenue appeal being dismissed by the Apex Court, the Revenue has no merit in the case - Revenue's appeal dismissed :AHMEDABAD CESTAT;

2009-TIOL-978-CESTAT-DEL.pdf

M/s Bharti Telenet Ltd Vs CCE, Chandigarh (Dated: June 2, 2009)

ST - telecom service - Assessee argues as such sale of SIM cards is not taxable - only activation service is taxable - since tax is already paid, no need for pre-deposit :DELHI CESTAT;

CENTRAL EXCISE SECTION

2009-TIOL-983-CESTAT-MUM.pdf

CCE, Mumbai-V Vs Shri Shyamsunder Hegde (Dated: April 29, 2009)

Respondents have paid the entire duty and twenty five percent of duty as penalty with interest within 30 days of communication of Order-in-Original – condition in proviso (1) and (2) of section 11AC fulfilled – no further penalty payable u/s 11AC of the Central Excise Act, 1944. :MUMBAI CESTAT;

2009-TIOL-980-CESTAT-BANG.pdf

M/s Srivari Metcast Pvt Ltd Vs CC & CCE , Hyderabad (Dated: February 25, 2009)

Central Excise – Private records furnished by assessee themselves serves as evidence for clandestine removal of duty paid raw materials – Demand of duty by invoking extended period upheld :BANGALORE CESTAT;

CUSTOMS SECTION

2009-TIOL-982-CESTAT-BANG.pdf

Terminal Manager Vs CC, Cochin (Dated: February 18, 2009)

Customs – Valuation of SKO imported for distribution through PDS and inclusion of actual freight therein – When original authority was directed to consider issue de novo in the light of evidence produced, it means that all issues are kept open for consideration – Matter once again remanded to consider issue of arriving assessable value afresh including freight element :BANGALORE CESTAT;

2009-TIOL-80-SC-NDPS.pdf + nsps story.pdf

UoI Vs Shah Alam (Dated: June 11, 2009)

NDPS - recovery of heroin made without observing the conditions laid down in Section 50 of the Act; seizure witnesses not examined – sentence quashed: The High Court set-aside the Trial Court judgment mainly on two grounds; one, recovery of heroin was made from the respondents without observing the conditions laid down in Section 50 of the Act in regard to search and the other, the non- examination of the two independent witnesses in whose presence the recovery and seizures were made.: SUPREME COURT;