Clarification with regard to: A. Deemed Export Benefits on supplies against Invalidation Letter / ARO. B. Value Addition requirement on clubbing - regarding;

Global economy is on recovery path; World output to grow by 3.2% in 2010: IMF;

Gandhi's message of non-violent struggle key to handle modern threats: UN Chief ;

India's tele-density grows close to 40 in June quarter;

Govt to table simple Immigration law in Parliament during Winter Session;

SC to challenge Delhi HC decision holding CJI office covered under RTI Act;

Union Cabinet gives nod to alterations in existing Mega Power Policy;

CEC notifies norms for charges to be levied by Natioanl Load Desptach Centre;

Mr S K Goel joins as new CBEC Member; likely to get Service Tax charge;

AP Govt signs MoU to set up petrochemical hub at Vizag ;

Bangalore Enforcement Directorate seizes Rs 1.2 Cr hawala money

TIOL COMMENTARY

editorial.pdf

Transform austerity drive into a national expenditure control policy;

IMF story.pdf

Global economy is on recovery path; World output to grow by 3.2% in 2010: IMF;

potpourri.pdf

A Clarion Call to People of Our Bharat;

mega power story.pdf

Union Cabinet gives nod to alterations in existing Mega Power Policy;

MIXED BUZZ

mbuzz0905.pdf

Gandhi's message of non-violent struggle key to handle modern threats: UN Chief ;

mbuzz0904.pdf

India's tele-density grows close to 40 in June quarter;

mbuzz0903.pdf

CEC notifies norms for charges to be levied by Natioanl Load Desptach Centre;

mbuzz0902.pdf

AP Govt signs MoU to set up petrochemical hub at Vizag;

NOTIFICATION

it09not075.pdf

Jurisdiction of CIT (CPC), Bangalore, notified

it09not074.pdf

CBDT notifies jurisdiction of CCIT (CPC), Bangalore

it09not073.pdf

CIT (CPC) to report to CCIT (CPC), Bangalore

it09not072.pdf

CBDT notifies jurisdiction of CCIT (CPC), Bangalore

CASE LAWS

2009-TIOL-600-ITAT-MUM.pdf

DCIT, Mumbai Vs M/s Citicorp Finance (India) Ltd (Dated: August 12, 2009)

Income Tax - deduction u/s 80M - Assesee, a NBFC, claims deduction u/s 80M of the earned gross dividend income and submits that no expenditure incurred for earning the same - AO  says only the net dividend income is eligible for deduction u/s 80M, and on the fact that the  total of the said expenditure is greater than the gross dividend, restricts the disallowance. Consequently, AO denies the claim of deduction u/s 80M - CIT(A) confirms the stand taken by the AO - Held, the disallowance of administrative expenditure is unwarranted;

On the issue of Venture Capital advisory fee - Held, CIT (A) shall take into account the binding jurisdictional High Courts judgment in the case of GIC while deciding the issue afresh and proceed to adjudicate the issue only after considering the requirement of establishing the direct relationship between the advisory services rendered and the earning of the dividend.:MUMBAI ITAT;

2009-TIOL-599-ITAT-AGRA-TM.pdf

Shri Kulbir Singh Vs CIT, Agra (Dated: January 5, 2009)

Income Tax - Section 263 - Assessee is an individual and derives income from manufacture and export of shoes - the 100% EoU claims relief u/s 80HHC - CIT acting u/s 263 considers the order passed by the AO u/s 143(3) as erroneous and also prejudicial to the interest of the Revenue so far as it relates to certain cash credits appearing in the books of account - As per CIT the cash credits have been accepted by the AO on the basis of certain papers filed by the assessee without making any enquiries about the genuineness of the transaction and creditworthiness of the creditor - JM does not find favour CIT's order and according to her, there is no error in the impugned assessment order, let alone causing prejudice to the interest of the Revenue - AM, on the other hand, supports the order of the CIT - Third Member holds that in view of Apex Court decision in Malabar Industrial Company Ltd and Bombay High Court decision in CIT vs. Gabriel India Ltd  the order of CIT u/s. 263 cannot be sustained - Having regard to the facts and details that were there before AO, he would have left with no other alternative but to definite conclusion that the cash credits deserve to be accepted.: AGRA ITAT (THIRD MEMBER);

SERVICE TAX SECTION

2009-TIOL-1561-CESTAT-DEL.pdf

CCE, Jalandhar Vs M/s N K Jatwani & Co (Dated: July 23, 2009)

ST - Penalty - interest for delayed payment of tax - penalty imposed - Commissioner(A) sets aside penalty imposed under Sec 76 - held, since tax is deposited before issue of SCN and no fraud is alleged for evasion of tax, Revenue has no case:DELHI CESTAT;

2009-TIOL-1556-CESTAT-AHM.pdf

M/s Schott Glass India Pvt Ltd Vs CCE, Vadodara (Dated: August 10, 2009)

ST - export of service - assessee procures orders in India on behalf of foreign manufacturer - held, in view of CBEC recent Circular No 111/2009 what is important is the location of the recipient of the service and not the place of performance of service - since this Circular was not available to the Commissioner, case is remanded:AHMEDABAD CESTAT;

CENTRAL EXCISE SECTION

2009-TIOL-1560-CESTAT-MUM.pdf + anand story.pdf

CCE, Mumbai Vs Anand Arc Electrodes Pvt Ltd (Dated: August 17, 2009)

Buyer has no responsibility in regard to ensuring that duty has been correctly paid by consignor – Once original assessment has not been varied, credit taken cannot be denied-CESTAT:MUMBAI CESTAT;

2009-TIOL-1558-CESTAT-MAD.pdf

Curekraft Chemicals Pvt Ltd Vs CCE, Chennai (Dated: May 29, 2009)

Central Excise – Denial of exemption under notification No.9/2000 CF dt. 1.3.2000 – the grounds on which the exemption was denied by the Commissioner (A) is not a ground in SCN – He traversed beyond SCN which is not permissible in law.:CHENNAI CESTAT;

2009-TIOL-1557-CESTAT-DEL.pdf + dealer story.pdf

M/s V K Enterprises Vs CCE, Panchkula (Dated: September 4, 2009)

Central Excise – Registered Dealers - The dealers were not registered with excise authorities to deal in cenvatable invoices but to deal in duty paid excisable goods and, in the process, to issue cenvatable invoices The dealers are required to buy duty paid goods from the manufacturer along with duty paying documents and take credit. When the registered dealer issues invoices enabling the buyer to take credit, it goes without saying that the goods have to be supplied. The role of the dealers in not supplying the goods and, at the same time, issuing of cenvatable invoices is a fraud committed on the Revenue. There is also a clear obligation on the part of any registered dealers who have purchased the excisable goods and taken credit and passed on the credit to the manufacturer of final products not to act in any way which is prejudicial to utilisation of the input for the intended purpose. There is also a continuing obligation to account for the goods on which the credit was taken and passed on.:DELHI CESTAT;

CUSTOMS SECTION

NOTIFICATION

cnt09_148.pdf

Adjudicating authority appointed for various DRI cases;

cnt09_147.pdf

Adjudicating authority appointed for M/s Associated Aluminium Indus Pvt Ltd;

CIRCULAR

dgft09cir009.pdf

Clarification with regard to: A. Deemed Export Benefits on supplies against Invalidation Letter / ARO. B. Value Addition requirement on clubbing - regarding.

CASE LAWS

2009-TIOL-1559-CESTAT-MUM.pdf

Shri Rajendra S Sanghvi Vs CC, Mumbai (Dated: October 7, 2009)

Customs – Appellants having valid license only to import parts/components of photo copiers – Examination report of parts/components imported along with SKD photo copiers indicate insufficient quantities to assemble complete photo copiers – Insufficient quantities of parts/components does not sustain revenue allegation –Impugned order set aside :MUMBAI CESTAT;