Centre-State relations continue to slow national development;

Tax complexity is good if it fattens companies!

Tax controversies affecting financial sector in India;

Budget should consider Advance Ruling for Service Tax;

Keep up promise of complete exemption of SEZ from service tax;

Export of goods - Refund of Taxable services;

PF Board defers decision on investing 15% of corpus in stock markets;

Interpol, Austria join hands to set up international anti-corruption academy;

EPFO recommends 8.5% interest rate for PF in fiscal 2009-10;

Sahar Airport Customs seizes Hessanite Garnets, semi-precious stone, worth Rs 4 lakh from Lankan pax;

Swine Flu: Bangalore tops tally of infected persons;

TIOL COMMENTARY

editorial.pdf

Centre-State relations continue to slow national development;

icecubes.pdf

Tax complexity is good if it fattens companies!

tax story.pdf

Tax controversies affecting the financial sector in India;

budgetrunup28.pdf

Advance Ruling for Service Tax;

budgetrunup27.pdf

Keep up promise of complete exemption of SEZ from service tax;

budgetrunup26.pdf

Export of goods - Refund of Taxable services;

budgetrunup25.pdf

Simplify customs duty structure;

MIXED BUZZ

mbuzz0629.pdf

PF Board defers decision on investing 15% of corpus in stock markets;

mbuzz0628.pdf

Interpol, Austria join hands to set up international anti-corruption academy;

mbuzz0627.pdf

Swine Flu: Bangalore tops tally of infected persons;

mbuzz0626.pdf

Govt gives nod for publication of foreign magazine in India ;

Forms for furnishing Form 15CA.pdf

STEPS for furnishing information under sub-section (6) of section 195 of the Income-tax Act, 1961 read with rule 37BB of the Income-tax Rules, 1962;

CASE LAWS

2009-TIOL-430-ITAT-MUM.pdf

M/s Kishorekumar B Zaveri Pvt Ltd Vs CIT, Mumbai (Dated: March 19, 2009)

Income Tax - Section 263 - Assessee is a manufacturer and dealer of gold and silver jewellery - owns certain properties which had been let out on rent to banks and other establishments - In earlier years AO has assessed the income as business income. But in assessment year 1991-92, the assessment had been reopened following the judgment of Apex Court in case of S.G. Mercantile and the rental income assessed as house property income. The said assessment are disputed and finally the Tribunal held that income from property had to be assessed as income under the head "house property" - CIT after taking note of the decision of the Tribunal in assessee's own case for A.Y 1991-92 sets aside the assessment order to be made afresh.

The assessee in this appeal has challenged the decision of CIT u/s. 263 - Held, The decision of Tribunal in assessee's own case is binding on the lower authorities and in absence of any contrary judgment of the jurisdictional High Court or the Apex Court on the same issue not following the decision of the Tribunal could constitute and error which had definitely caused prejudice to the interest of revenue - no infirmity in the order of CIT(A) - Assessee Appeal dismissed .:MUMBAI ITAT;

2009-TIOL-429-ITAT-MUM.pdf

ITO , Mumbai Vs M/s Gold Rock World Trade Ltd (Dated: February 2, 2009)

Income tax - Sec 28(iv) - Assessee is an exporter - shows certain payment as 'advance rice account' - AO for taxing the same - Assessee argues since their contract has a provision by which any dispute can be referred for arbitration within 15 years, they cannot write off the entry - held, since an arbitration clause exists in the contract and the liability has not ceased and the issue was scrutinised in the past by the Revenue, no addition can be made and income be treated as business income u/s 28(iv) - Revenue's appeal dismissed:MUMBAI ITAT;

SERVICE TAX SECTION

2009-TIOL-1015-CESTAT-MUM.pdf + riya story.pdf

CCE, Mumbai Vs Riya Travels & Tours (I) Pvt Ltd (Dated: April 17, 2009)

Service Tax - Penalty - If Section 80 is invoked, no penalty would be liable on the assessee. If, on the other hand, Section 78 is invoked, the quantum of penalty can not go below less than the amount of service tax not levied or paid - Impostion of pentlay under Section 78 upheld. :MUMBAI CESTAT;

2009-TIOL-1014-CESTAT-DEL.pdf

CCE, Kanpur Vs M/s J R Singh (Dated: March 19, 2009)

ST - Manpower Recruitment Service - Assessee is a proprietorship firm - supplies labour - fails to pay tax - show caused - tax deposited - penalty - Commissioner(A) invokes Sec 80 - held, since the assessee was not aware of the tax provisions and had also not collected tax from service recipient but maintained all the records of services provided, it is a fit case for invoking Sec 80 - Revenue appeal dismissed :DELHI CESTAT;

2009-TIOL-1009-CESTAT-DEL.pdf

M/s Laxmi Electricals Vs CCE, Jaipur (Dated: May 4, 2009)

ST - Joint Commissioner drops proceedings as he finds aseessee is an electrical contractor - Commissioner reviews and raises demand for providing pandal and shamiyanan contract services - held, since these contrary facts are clear from the order of adjudicating authority and no additional evidence brought on record by the Commissioner, waiver from pre-deposit granted :DELHI CESTAT;

CENTRAL EXCISE SECTION

2009-TIOL-1011-CESTAT-MUM.pdf

CCE, Mumbai-V Vs M/s Perfect Dies Works (Dated: April 27, 2009)

Opting out of SSI exemption – reversal of Cenvat credit – assessee declared stocks of inputs and finished goods as Rs.54,781/- whereas in the work sheets prepared by the Chartered Accountant, after exclusion of non-modvatable stock, show the value of modvatable stock lying on 31.03.2004 as Rs.11,22,618/- - charge of suppression sustainable – matter remanded to Commissioner(A) – Revenue appeal allowed. :MUMBAI CESTAT;

2009-TIOL-1010-CESTAT-MUM.pdf

Amol Paper Mills Pvt Ltd Vs CCE, Raigad (Dated: June 1, 2009)

Duty with interest paid prior to issuance of show cause notice – whether covered under section 11A(2B) of the CEA, 1944 and whether imposition of penalty u/s 11AC can be resisted – matter remanded to original authority to examine issue in light of P&H High Court decision in CCE, Rohtak vs. J.R.Fabrics (P) Ltd. – [ 2009-TIOL-259-HC-P&H-CX ] :MUMBAI CESTAT;

CUSTOMS SECTION

NOTIFICATION

dgft08not116.pdf

Limited export of Maida/Rava allowed;

dgft08not115.pdf

Ban on export of wheat eased for export of certain quantity by MMTC;

CASE LAWS

2009-TIOL-1013-CESTAT-MUM.pdf

Precision Cars India Pvt Ltd Vs CC, Nhava Sheva (Dated: May 29, 2009)

As per Import Licensing note 2(II)(c)(i) of Chapter 87 even an importer of new motor vehicles has to produce a valid certificate of compliance as per the provisions of rule 126 of Central Motor Vehicle Rules, 1989 – Appellant has contravened the law as they have failed to produce the certificate – however, redemption fine reduced as vehicles are not for sale but only for display in the show room for brand promotion.:MUMBAI CESTAT;

2009-TIOL-1012-CESTAT-MUM.pdf

M/s Transweigh (India) Ltd Vs CC, ACC, Mumbai (Dated: May 4, 2009)

Element of mens rea is not required to be proved for imposition of penalty - Company or a firm is a person and hence penalty is imposable u/s 112(a) of the Customs Act, 1962.:MUMBAI CESTAT;