News Update

I-T - Anything made taxable by rule-making authority u/s 17(2)(viii) should be 'perquisite' in form of 'fringe benefits or amenity': SCCus - Drawback - Revenue contends that appeal of exporter ought to have been dismissed by Tribunal as not maintainable since correct remedy was filing a revision application with Central government - Appeal disposed of: HCCus - CHA - AA has clearly brought out the modus adopted by the appellant and how he was a party to the entire under valuation exercise - Factual finding affirmed by Tribunal - No question of law arises for consideration: HCGST - Proper officer has not applied his mind while passing the order; confirmed demand by opining that reply is not satisfactory - Proper Officer is directed to withdraw all punitive actions taken against petitioner pursuant to impugned order: HCGST - Proper Officer had to at least consider the reply on merits and then form an opinion - Non-application of mind - Order set aside and matter remitted for re-adjudication: HCGST - Cancellation of registration for non-filing of returns - Suspension/revocation of license would be counterproductive and works against the interest of revenue - Pragmatic view needs to be taken to permit petitioner to carry on his business: HC86 flights of AI Express cancelled as crew goes on mass sick leaveTax Refund Conundrum - Odyssey of Legal MisstepsI-T- AO not barred from issuing more than one SCN; Fresh SCN seeking information is not without jurisdiction, more so where HC itself directed re-doing of assessment: HCMurthy launches Capacity Building on Design and Entrepreneurship programCash, liquor & drugs worth Rs 110 Cr seized from Jharkhand ahead of pollsI-T- Appeal before CIT(A) (NFAC) is rightly dismissed where it has been delayed by over one year without just & reasonable cause: ITATPoll-induced stress: 2 Bihar officials die of heart attack at polling boothsSixth Edition of Commandants' Conclave held in PuneSome Gujarat villages keep away from polls over unfulfilled demands from governmentI-T- Re-assessment unsustainable, where based on third party statements & not corroborated by incriminating evidence: ITATRoof-hugging inflation nudges Argentina to print first lot of 10,000 notes of pesoI-T- Re-assessment invalidated where triggerred by change of opinion, on account of being based on material already available during original assessment: ITATInvestigation finds presence of ‘boys club’ strands of culture at American bank regulatorST - Civil work for construction of tower in port area, is exempt from tax as per Notfn No 25/2007-ST; constructing draining pipes for municipal corporation is not commercial activity & so no Service Tax is payable thereon: CESTATUS alleges Russia shipping oil to North Korea more than UN-fixed quotaCus - That appellants were aware of dutiable nature of Gold found from baggage & of procedure for declaration at Customs, reveals intent to smuggle said Gold without payment of tax - conditions for valid import of Gold not satisfied either; absolute confiscation upheld: CESTATUS cancels licence to some firms found exporting materials to HuaweiCX - Excise duty is determines based on how goods are cleared - What happens to goods post their removal, is not manufacturer's lookout, unless manufacturer is involved in fraud or wilful mis-declaration: CESTATRenewables accounted for 30% of global power supply in 2023: StudyCX - Manufacturer of Single Sugar Phosphate (SSP) meant for agricultural use, cannot be held liable for use of SSP for industrial purposes, by a tertiary purchaser of SSP: CESTATCLAT 2024 exams to be held on Dec 1ST - Since the demand itself is not sustainable, question of demanding interest and imposing penalty does not arise: CESTAT
 
Cus - Sale of revolver by Department - Sec 48 is clearly applicable as imported item, i.e. revolver, is an 'Arm' defined under Arms Act, 1959 - petitioner had failed to furnish proof that revolver purchased by him was of Indian origin - no merit in petition, hence dismissed: High Court

By TIOL News Service

NEW DELHI, SEPT 08, 2013: IN December, 1984, the petitioner visited Singapore and purchased a Smith & Wesson revolver and a double barrel gun. He obtained a letter dated 24th December, 1984 from the High Commission of India at Singapore that arms could be imported into India under the Baggage Rules, if they were covered by a valid arm possession licence.

On the petitioner's return to India the revolver and the double barrel gun were detained under detention certificate dated 8th January, 1985. The double barrel gun was subsequently released to the petitioner on 30th July, 1985. However, the revolver was not released and it transpires that the same was sold by the department on 18th August, 1986.

The present Writ Petition was filed before the Delhi High Court on 20th April, 1995 i.e. after more than 10 years of the said import and nearly 9 years after sale of the revolver by the Custom authorities and praying for restoration and restitution of the said revolver.

The High Court viewed that the WP cannot be allowed in view of the extraordinary delay and latches in approaching the Court.

On merits too, the High Court after narrating the facts, observed –

++ The detention certificate dated 8th January, 1985 records that the petitioner as per his arm's licence had acquired another revolver on 4th April, 1979, which was sold on 14th December, 1984. As per the Baggage Rules applicable a non-tourist passenger was allowed to import as a part of his baggage without import licence but on payment of customs duty, a fire-arm, subject to the condition that the passenger should not have imported or otherwise acquired a foreign made arm of the same category during the last 10 years. Explanation thereto stipulated that revolver and pistol were considered to be of one category of fire arm and gun and rifle fire-arm of another category. A reading of the said explanation elucidates the reason why the double barrel gun was released and why the revolver could not be released after the import and detention vide detention receipt dated 8th January, 1985.

++ The petitioner was aware and conscious of the problem as to reason why the revolver had not been released. The petitioner was informed vide letter dated 4th February, 1994, that they had looked into the records and the revolver in question was detained by the detention certificate as there was violation of the Baggage Rules. The petitioner had failed to furnish proof that the earlier revolver purchased by him was of Indian origin. The petitioner should have produced the same while seeking clearance of the gun or even subsequently. In these circumstances, the revolver was sold after more than one year of detention, on 18th August, 1986.

++ The petitioner has submitted that no show cause notice was issued before sale of the revolver. Our attention has been drawn to Section 150 of the Customs Act, 1962. In this regard, we would like to state that the revolver in question was sold under Section 48 of the Customs Act, 1962 and the Custom authorities in their letter dated 4th February, 1994 had rightly drawn attention of the petitioner to Instruction No.6 of the detention receipt to the effect that "if the goods are not cleared within two months of the detention or any period extended by the competent authority, action to dispose of goods under relevant provisions of the Customs Act, 1962 would be initiated". Section 48 of the Customs Act is clearly applicable as the imported item, i.e. the revolver, is an arm defined under the Arms Act, 1959. Even with the writ petition we note that the petitioner has not filed any document or proof to show that the earlier revolver held/owned by him was of Indian make and origin.

Holding that there is no merit in the Writ Petition, the same was dismissed.

(See 2013-TIOL-668-HC-DEL-CUS)


POST YOUR COMMENTS
   

TIOL Tube Latest

Shri N K Singh, recipient of TIOL FISCAL HERITAGE AWARD 2023, delivering his acceptance speech at Fiscal Awards event held on April 6, 2024 at Taj Mahal Hotel, New Delhi.


Shri Ram Nath Kovind, Hon'ble 14th President of India, addressing the gathering at TIOL Special Awards event.