Section 132 of Income Tax Act: CBDT vests powers in all ADITs / JCITs to issue search authorisation;

All Treaties, including Double Taxation Avoidance Agreements, are subject to Constitutional limitation: Delhi HC;

Two-day Meet of SAARC Cabinet Secretaries concluded in Delhi;

Central Excise: Disturbing departure from established precedents ;

Anti-money laundering Act: RBI tightens kYC norms for politically Exposed Person;

Govt all set to re-launch disinvestment process in a big way;

DGFT clarifies on FE earnings to be counted for redemption of EPCG authorisations to service provider;

Embossing of lockers' keys: RBI once again reiterates CEIB recommendation;

TIOL RUN UP TO GST

gst story.pdf

How does GST work?

TIOL COMMENTARY

disinvestment.pdf

Govt all set to re-launch disinvestment process in a big way;

spl down.pdf

Disturbing departure from established precedents;

RBI NOTIFICATION

RBI Notifi for Safe Deposit Lockers.pdf

Safe Deposit Lockers;

6th Pay Commission

office_memorandum.pdf

Grant of the revised pay structure of grade pay of Rs. 4600 in the pay band PB-2 to posts that existed in the pre-revised scale of Rs. 6500-10500 as on 1.1.2006 and which were granted the normal replacement pay structure of grade pay of Rs. 4200 in the pay band PB-2.;

MIXED BUZZ

mbuzz1029.pdf

Two-day Meet of SAARC Cabinet Secretaries concluded in Delhi;

mbuzz1028.pdf

Protecting traditional knowledge: WIPO Chief lauds India;

mbuzz1027.pdf

Anti-money laundering Act: RBI tightens kYC norms for politically Exposed Person;

mbuzz1026.pdf

Embossing of lockers' keys: RBI once again reiterates CEIB recommendation;

NOTIFICATION

it09not082.pdf

Sec 132 of Income Tax Act: CBDT vests powers in all ADITs / JCITs to issue search authorisation;

CASE LAWS

2009-TIOL-705-ITAT-DEL.pdf

ACIT, New Delhi Vs Shri Hidechito Shiga (Dated: September 25, 2009)

Income tax - Sec 10(10CC) - Employer pays tax on behalf of employee - AO includes the same in the employee's income by treating the same as monetary perk - held, issue is no longer res integra as it is decided by the Special Bench in the case RBF Rig. Corpn. LIC in favour of the assessee - Revenue's appeal dismissed:DELHI ITAT;

2009-TIOL-704-ITAT-MUM.pdf

M/s Fundtech India Ltd Vs DCIT, Mumbai (Dated: April 24, 2009)

Income tax - Sec 10B - Assessee is engaged in the business of computer software - registered with STPI as 100 % EOU - claims exemption u/s 10B but the same denied by AO as the assessee fails to produce any evidence that it had commercial business in STPI - CIT(A) goes with the AO – held, the issue has been mechanically decided by the Revenue, without examining the issue on merits - Matter remanded:MUMBAI ITAT;

SERVICE TAX SECTION

2009-TIOL-1859-CESTAT-AHM.pdf

M/s Prithvi Associates Vs CST, Ahmedabad (Dated : August 4, 2009)

Service tax – Facts within knowledge of department since similar issue was already decided by Tribunal for earlier period – Subsequent show cause notices attributing suppression not justified – Prima facie case in favour of assessee in view of Apex Court decision in Nizam Sugar Factory case 2006-TIOL-56-SC-CX – Pre-deposit waived and stay granted: AHMEDABAD CESTAT;

2009-TIOL-1856-CESTAT-DEL.pdf

CCE, Raipur Vs M/s Raipur Rotocast Ltd (Dated : July 24, 2009)

ST - Cenvat credit - Assessee is a manufacturer of steel products - pays service tax on insurance premium for capital goods in transit - Revenue denies it on the ground that insurance is not in the list of 'input services' provided by Rule 2(1) of CCR, 2004 - held, since Input Service Rules allows credit on 'Acitivities related to business' and the examples given in this case are not exhaustive, insurance is very much an input service and credit cannot be denied - Commissioner(A) order upheld and Revenue's appeal dismissed: DELHI CESTAT;

CENTRAL EXCISE SECTION

2009-TIOL-1860-CESTAT-MAD.pdf

M/s Sree Nithyakalyani Textiles Ltd Vs CCE, Madurai (Dated : September 7, 2009)

Central Excise – CENVAT Credit – Payment of duty from CENVAT account during the period of forfeiture – issue stands settled by the Larger Bench reported in 2007-TIOL-1097-CESTAT-MUM-LB for the disputed period – appeal allowed. :CHENNAI CESTAT;

2009-TIOL-1857-CESTAT-MAD.pdf

M/s Paramount Mills Ltd Vs CCE, Madurai (Dated : July 23, 2009)

Central Excise – clearance of denim fabrics without payment of duty - scrutiny of records and the statements recorded establish that the appellants removed denim fabrics without payment of duty - the contention of the assessee that the goods were not marketable as Denim fabrics for the reason that the processes of singeing and finishing had not been carried out, cannot be accepted – the appellants neither disclosed that the fabrics were unprocessed denim fabrics nor disclosed that the fabrics were sold – invoking extended period upheld – demand of duty and imposing penalties upheld.:CHENNAI CESTAT;

CUSTOMS SECTION

CIRCULAR

dgft09cir016.pdf

Clarification regarding Foreign Exchange earnings to be counted for redemption of EPCG Authorizations issued to Service Provider;

CASE LAWS

2009-TIOL-1858-CESTAT-BANG.pdf + eou story.pdf

M/s Tirumala Impex Vs CCE, Visakhapatnam (Dated : August 5, 2009)

Customs – EOU – segregation of scrap to be treated as manufacture - eligible for exemption u/notification No. 52/2003: The Tribunal found that DGFT had issued following amendments to the Exim Policy 2004-2009 vice Public Notice No 45 (RE-2005/2004-2009 dated 31.08.2005. Segregation Activities are not covered under the definition of “Manufacture” w.e.f. 1.4.2002. This activity will however be allowed to continue in respect of units set up prior to 1.4.2002 for a period of 5 years from the date of commencement of commercial production. The necessary inputs would also be allowed with exemption benefits as per the existing policy. However, the facility of DTA sale under para 6.8 or 6.9 of Foreign Trade Policy shall not be allowed.” :BANGALORE CESTAT;