Service Tax : Application for rectification in pre-deposit order passed by one bench may be heard by another bench; Rule 31A of CESTAT (Procedure) Rules, 1982 mandating hearing by same bench applies only when appeal had been disposed by an order of Tribunal and not when an application has been disposed of
Friday 17 January 2014
No denial of sec. 10B relief if revenue favoured adoption of ‘PCM’ instead of ‘POCM’ chosen by asses
IT : Where assessee engaged in business of construction, adopted project completion method which was one of recognized method of accounting, its claim for deduction under section 80-IB (10) could not be rejected merely on ground that it should have adopted percentage completion method of accounting
No penalty for inappropriate description of goods in builty if assessee had furnished genuine invoic
CST & VAT : When purchase bills and invoices produced by assessee are found genuine, then simply because proper description of goods has not been given in builties is not a good reason for imposing penalty
Manufacturer of crumb rubber is eligible to claim sec. 80-IB relief
IT : Where assessee was engaged in purchasing old and used tyres/rubber scrap, which were cut into small pieces and thereafter grinded with help of machines and then end product was rubber crumb, assessee was engaged in manufacturing of rubber crumb and hence eligible to deduction under section 80-IB
SC deletes remark that ‘petitioner is stool-pigeon of business houses’ from dismissed writ; dismissa
SEBI : Where expunging of remarks made by writ court against petitioner who was seeking removal of Chairman of SEBI would not affect decision in writ , same were to be expunged
Assessee gets abatement if his factory remains closed for required period of 15 days even if it fall
Excise & Customs : In case of excise duty based on annual capacity of production, for availability of abatement benefit, factory must remain closed for a 'continuous' period of 15 days; abatement benefit cannot be denied merely because continuous period may extend across two months (say, 21st Dec. to 4th Jan.)
Manufacturing In India Isn’T Dead
An employee works on the assembly line at the Bajaj Auto plant in Chakan, India. Hero MotoCorp and Bajaj Auto have effectively adopted the strategy of make in India and sell everywhere Recently Apollo Tyres shares perked up when it announced it had called off the acquisition of the much larger Cooper Tire.
Given the strategic nature of the deal for Apollo with access to technology and markets, one might have expected the reverse to happen. But markets, which are often seen as the arbiter of effective strategy voted otherwise. If one considers recent announcements where Tata Steel wrote off a part of the acquisition value of Tata Steel Europe or Tata Chemicals writing off a part of the price it paid for some of its UK acquisitions (Brunner Mond in particular) or Mahindra Systech and Bharat Forge struggling to earn handsome returns on their acquisitions in Europe or JSW Steel struggling to make money on its pipe and plate mill acquisition in the US (the author has in the past been associated with JSW group), then it becomes apparent that even when there has been a strong strategic rationale to acquire firms in developed markets, Indian firms have had a fair share of the winner’s curse.
It’s not that the acquisitions have failed to deliver access to markets/technology/customer relationships. But the quick succession of recessions since 2008 and the aftermath of the banking crisis has meant that the expected returns on the acquisitions have simply failed to materialise. In fact, even acquisitions in emerging markets have been a mixed bag. Take Essar Oil’s strategic stake in Kenya Petroleum Refineries or Tata Power’s acquisition of stake in Bumi group’s coal mines in Indonesia; both have failed to deliver economic returns that would justify even the management attention and time involved in the acquisition.
When investment bankers talked of the model of using the arbitrage between high price to earnings (P/E) ratios of Indian firms to leverage and acquire targets with lower P/E ratios in other geographies, the idea seemed salivating. But slowly corporate India is realising that the Japanese model of ‘build at home and export worldwide’, which has been so successfully adapted by China, is a better return, lower risk gambit even if it entails taking a longer road. In the classic story of the hare versus the tortoise, the ‘build at home and export worldwide’ strategy seems to have delivered better returns for firms both in China and Japan and also for the chosen few that have done this in India.
Take for instance the Indian two-wheeler industry. Bajaj Auto, the country’s second largest motorcycles manufacturer now derives almost a third of its sales by volume and more than that by value from exports. By setting up an extensive marketing network and in some cases near shore assembly operations, India’s leading bike manufacturers Hero MotoCorp and Bajaj Auto have effectively adopted the Indian software industry’s strategy of make in India and sell everywhere. In doing so, they have effectively adapted what was thought possible only in the services industry to manufacturing. A closer look at Bajaj’s exports strategy shows that it’s key to Rajiv Bajaj’s vision to upping the firm’s global market share by 50 per cent. Bajaj three-wheelers, too, have a profitable market in Sri Lanka, while its bike sales are well diversified across continents with its lower end Boxer more popular in Africa and its higher-end Pulsar rules the roost in Latin America. Even within a continent, the firm has effectively diversified beyond Nigeria to other markets and is penetrating new markets in Asia too. All this without any meaningful acquisitions. The same strategy is now being adopted by Hero MotoCorp, the world’s largest bike manufacturer by volumes. Having built a large domestic base of sales, Hero has been following Bajaj to markets such as Africa and Latin America often opening up new geographies and selling to markets where Indian brands may be underrepresented.
The success of these firms only brings home a truth more and more firms across corporate India are realising; manufacturing in India isn’t dead. Building scale at home and then going global the organic way is better than buying overseas assets in the hope that the seller is a fool who is selling the business to you for less than it’s intrinsic worth.
Source:- mydigitalfc.com
Search authorization issued on basis of docs found from other person not relating to assessee held n
IT: Where satisfaction with respect to search and seizure in assessee's case was entirely based on a document which neither bore assessee's name nor was it related to him, issue of warrant and subsequent search and seizure proceedings were liable to be quashed
India Likely To Build 4 Lng Ships For Transporting Gas For Gail
Indian shipbuilders are likely to construct four of the 14 liquefied natural gas (LNG) tankers needed by GAIL (India) Ltd to transport gas from the US beginning September 2017, in a move that would allow local companies to get started in a business that is dominated by South Korea, Japan and China.
The LNG ship hiring tender to be issued by the state-owned natural gas firm by the end of the month is worth $2.8 billion as LNG ships—specifically designed to carry LNG—currently cost about $200 million to build from scratch.
The decision to build four LNG tankers in India was taken at a meeting chaired by oil secretary Vivek Rae in Delhi on Thursday, at least three people who attended the meeting said. Local shipbuilders have welcomed the decision saying it will help them enter the highly specialized, sophisticated and lucrative LNG ship construction business.
“This is a historic opportunity. Once we get the technology to build LNG ships, we are in the game. Then, we can build more such ships for Indian gas importers, take-up export orders and also repairs, maintenance and dry-docking of such carriers,” said an executive at one of India’s private shipyards located in Gujarat who attended the Thursday meeting.
“No final decision has been taken,” said a top GAIL executive requesting anonymity.
“The technology to construct such carriers doesn’t exist in India. It will be an open tender wherein companies who have the wherewithal are open to participate,” a GAIL spokesperson said. “GAIL will comply with the instructions of the ministry.”
GAIL will not order the LNG ships directly at Indian yards.
In order to implement Thursday’s decision, GAIL may incorporate a condition in its tender that four of the 14 ships to be hired from shipowners and operators for 20 years, should be built at Indian yards.The Indian yards that would build the four LNG ships would be finalized, including the cost, through negotiations between the ship owners and operators selected by GAIL through a public tender and shipbuilders such as L&T Shipbuilding Ltd, ABG Shipyard Ltd, Pipavav Defence and Offshore Engineering Co. Ltd and Cochin Shipyard Ltd.
Given the size of the tender, GAIL may split the 14 ship hiring tender among more than one ship owner and operator, the shipyard executive mentioned earlier said.The ship owners/operators would be selected on the basis of the lowest day rates quoted by them for transporting 5.8 million metric tonnes per annum (mmtpa) of LNG from the US beginning September 2017 for 20 years. GAIL would hold a 10% stake in each of the ships. State-run Shipping Corp. of India Ltd, which is helping GAIL with the tender, will be given a step-in right to take at least a 26% stake in each of the tankers, he said.
Of the total LNG ships required, an initial set of six that are to be leased to GAIL by shipowners and operators would be built at overseas shipyards in order to meet the timeline of September 2017. Of the balance eight ships to be leased to GAIL beginning March 2018, four would be built in India.“Nobody wants to jeopardize the shipping tender of GAIL,” said a second executive with one of India’s top private yards who attended the meeting.
“India needs gas. GAIL has a commercial contract with gas suppliers in the United States to start shipments from September 2017. If all the LNG ships are constructed at Indian yards and they are not delivered on time, everybody will face huge financial consequences,” he added, asking not to be named.
To overcome any potential delays by Indian yards in constructing the four ships, the GAIL tender may incorporate a condition that allows the ship owners and operators to hire four LNG ships from the market till the LNG ships are constructed by local yards.
The LNG ships to be deployed by GAIL for hauling gas from the US will use a so-called membrane technology developed by Gaztransport et Technigaz, a French engineering firm.
Membrane technology is suited to large capacities and is easily fitted either through a retrofit of an existing ship or a new-build. It can be installed afloat in parallel to other on-going construction activities, thereby minimizing the building schedule, the second shipyard executive said.
Source:- livemint.com
Egypt's Cotton Exports Hit By Local Price Hikes In Wake Of Import Ban, Production Drop
Foreign importers switch to 'hand-to-mouth' buying in response to high prices of Egyptian cotton after reduction in acreage and lifting of two year-long import ban, say exporters
Egypt's cotton exports have been hit by a local hike in prices this year, following a decline in local production brought about by reduced acreage and the lifting of an import ban.
Exports diminished to 17,028 tonnes since the beginning of the marketing season of the cash crop in September 2013, a drop of 45.3 percent compared with the 31,137 tonnes exported in the same period of the previous season.
Cotton exports for September 2013 to January 2014 were worth some $62.1 million according to Mefreh El-Beltagy, head of Egypt's Alexandria Cotton Exporters' Association (Alcotexa), compared to around $100 million during the same period of the previous year.
Total exports in the 2012/13 season, which runs from September to August, were worth $215 million, accounting for 22.3 percent of local production, which stood at 300,000 tonnes.
They comprised cotton varieties Giza 86, which accounts for 90 percent of current local production, Giza 92, and Giza 88, with average export price of 194 cent/lb.
But a reduction in acreage has caused a production drop this year, as the harvest yielded only 200,000 tonnes of cotton for this marketing year, driving prices up.
The lifting of an import ban last spring which had been in force since Egypt's 2011 revolution has also contributed to the inflation, explained Ahmed El-Bosaty, vice-president of Alcotexa.
"Before the ban 70 percent of Egypt's spinning capacity, held by its public-sector spinning companies, was dependent on cheaper, imported cotton," says El-Bosaty. "The ban forced them to purchase local produce, but this year this is no longer the case, and prices are higher because last year's local stocks have been largely exhausted as a result of the ban."
As local public sector companies refrain from purchasing local cotton, importers abroad are making smaller incremental orders in hopes that prices will drop throughout the season.
"Usually the export market will witness bulk-buying from September to January, which has not been the case this year as [some have] resorted to hand-to mouth pattern buying," explained El-Bosaty.
Egypt's top cotton importing countries this season are India, Switzerland and Germany, with imports of 5,400 tonnes, 2,078 tonnes, and 1,780 tonnes respectively.
Egyptian cotton traders and exporters are buying cotton from farmers at LE1,670 per qintar (quintal) on average, to offer it to the spinning companies at LE1,270 per qintar, which is considered too costly by local companies.
"The total amount of cotton delivered to local spinning mills has declined, reaching only 1,500 tonnes of lint cotton (after ginning) since September 2013 until now," says El-Beltagy.
Spinning companies are only willing to buy the cotton at a price of LE1,070 per qintar -LE200 less than what traders are asking for -- to be able to sell their products at competitive prices locally and internationally, explains El-Beltagy.
But in December 2013, Egypt's Supreme Organizing Committee of Cotton Trade asked the government for a subsidy of LE200 million for spinning companies to purchase one million qintar of Egyptian lint cotton at LE1,270 per qintar, which the cabinet has yet to formally approve.
Soucrce:- english.ahram.org.eg
ITAT sets aside TP adjustment as functionally dissimilar and loss making co. was chosen as a compara
IT/ILT : Where in course of transfer pricing proceedings, certain adjustment was made in respect of amount received by assessee for providing investment advisory services to its AE located abroad, in view of fact that selection of some of comparables was improper on account of functional difference and being a persistent loss making company, impugned adjustment was to be set aside and, matter was to be remanded back for disposal afresh
Regular Power Supply To Enhance Marble Export
The marble export from the country can cross $100 million level annually in two years if the government assures the sector of regular power and gas supply during production hours.The export of all kinds of marble products during July-December 2013 increased by 57 percent to $37.24 million as against $23.66 million during the corresponding period last year on back of better quality products and increase in demand from Middle East and other countries, said All Pakistan Marble Mining Processing Industry and Exporters Association (APMMPIEA) Chairman Sanaullah Khan on Friday.
Export to Dubai and other Middle East countries including Saudi Arab increased manifold as compared to export to USA and European nations.US, Italy and Middle East countries were among the major buyers and our export to Middle Eastern countries, of which Dubai is the major importer, has more than doubled as compared to export to USA and European countries.
This is due to 200 percent increase in demand besides prompt and early shipment of container service to Middle East countries, he added.
USA is eyeing Swat district, Bajaur agencies and North Waziristan areas where we have million tonnes of deposit of marble and chromite.
This is a black-coloured stone and contains around 55 percent steel properties and is used in steel and tank making, he added.
Khan said China is the largest importer of chromite, “It is exported to China at Rs 40 per kilogramme (kg), but due to disturbance in the tribal areas our export has been hit hard.”
We also have deposits of chromite in Balochistan but these are not of the quality we have in Bajaur Agency and Swat area.
He said presently export orders of marble products including tiles and slabs to Middle East, USA, China, Italy, Hong Kong and South Korea are in the pipeline.
Demand from India alone is around more than $1 million every month as India possesses granite but not marble. He said global trade in marble and granite is estimated at $43 billion annually.
We have export orders worth millions of dollars from USA, Italy, China, India, Middle East, South Korea, Hong Kong and EU countries but power outages make it difficult to complete orders in time, he added.
He said the industry growth rate over the last three years has averaged 30 percent, primarily on account of reconstruction activities in Middle East and Afghanistan.
He said mining and quarry sector contributes nearly 0.6 percent to Pakistan’s gross domestic product (GDP) with an estimated value addition of more than Rs 16.5 billion.
Marble and granite are among the major minerals extracted in Pakistan after coal, rock salt, limestone and China clay.
He said Italy, USA and China have shown keen interest in determining Pakistan marble and granite reserves in view of growing world’s consumption.
He said due to quality of marble in the country, president Italy Marble Association Cesare Bellamoli appreciated the quality of Pakistan marble and expressed his desire to work with Pakistani entrepreneurs to fully develop Pakistan’s marble sector.
Source:- dailytimes.com.pk
India's Iron Ore Exports Down 28% To 11.17 Mt In Apr-Dec
India's iron ore exports have gone down by 28.16 percent during April-December of the current fiscal to 11.17 million tonnes (MT) as gloom continues over the sector due to the present regulatory scenario, mineral industries body FIMI said today.
India, once the third largest exporter of iron ore, had exported 15.55 MT of the mineral in the corresponding period of last fiscal, data released by Federation of Indian Mineral Industries (FIMI) showed.
"We expect the situation to continue as long as government policy does not change. There is total gloom in the sector, there is no ray of hope," FIMI Secretary General R K Sharma said.
He added that this year's iron ore exports are expected to come down by 20 percent to about 14-15 MT from the levels of 18.37 MT in 2012-13.
Paradip (4 MT), Vizag (3.84 MT) and Haldia (1.58 MT) are the major ports from where export of the minerals are taking place, the FIMI data showed.
Indian iron ore exports have been hurt badly in last few years due to mining bans in Goa and Karnataka, which led to a drastic fall in domestic production as well. Increase in export duty to 30 percent on both types of iron ore, lumps and fines, in December 2012, had also impacted the sector.
Presently, low grade iron ore (or fine) are being exported from Odisha, Jharkhand, Rajasthan and Madhya Pradesh as mining is still banned in Goa. Export of the mineral is not permitted from Karnataka at present.
Few days back, the Goa government had issued a notification to sell about 15 MT iron ore through exports, as per a Supreme Court order. However, none of it is expected to be exported.Industry is estimating that India's total iron ore production in the present fiscal will be around 140 MT, almost the same as last year.
Source:- india.com
Fuel Imports To Decrease As Wind Power Comes Online In Uruguay
Uruguay's need for imported fuel to run its power plants will decline as more than 132MW of wind power capacity is expected to be installed by mid-2014, reaching 450MW by the end of the year.
If an additional 100MW come online ahead of schedule, the nation's energy and fuel import bill, which is expected to reach US$880mn in 2014, would be lowered by US$24mn, state utility UTE's president Gonzalo Casaravilla said on the UTE website. If 100MW of capacity planned to come online in 2014 were delayed until 2015, imports would increase almost US$30mn, he added.
Development is on schedule to have 930MW installed by mid-2015, 1,120MW by end-2015, 1,400MW in the first half of 2016 and 1,500MW in two years, according to the latest estimates by the state utility.
In comparison, Uruguay's fuel and energy imports are expected to total US$920mn in 2013, US$880mn in 2014, US$790mn in 2015 and US$770mn in 2016, however the tab will also be affected by the nation's LNG terminal which is expected to come online as early as mid-2015.
Construction has begun at the 65MW Artilleros wind project in Uruguay's Colonia department, which is being developed by Rouar - a JV between UTE and Brazilian utility Eletrobras (NYSE: EBR) . Artilleros is expected online in September and will be made up of 31 2.1MW turbines by Indian manufacturer Suzlon Energy.
At Uruguay's most advanced stage wind projects, located in Florida, Lavalleja, Maldonado and Tacuarembó departments, 85 foundations and 79 wind generators have been installed, according to a UTE statement.
Source:- bnamericas.com
No unjust enrichment if rate of duty is specified in contract with buyer and excess duty is paid und
Excise & Customs : Where price remained same as earlier as per contract with buyer and said contract also provided for rate of duty, then, refund of excess duty paid under protest on insistence of department is not barred by unjust enrichment
OL couldn’t challenge auction if it was upheld by Court and proceeds utilized to clear dues of co-in
CL: Where assets belonging to Company-in-liquidation was sold under Revenue Recovery Act to settle labour dues, Official Liquidator had no locus standi to challenge auction which not only stand upheld by Court, but sale proceeds had also been utilised to discharge dues of company-in-liquidation
Mrpl To Switch Half Its Iranian Oil Imports To Heavier Grades
Mangalore Refinery & Petrochemicals Ltd. (MRPL) plans to buy about 40,000 barrels a day of Iran’s heaviest crudes as it starts a new unit that will help process lower-quality grades at its facility in western India.
We will continue to buy about 80,000 barrels per day from Iran in the next fiscal year if the US sanctions remain,” Vijay Joshi, refinery director, said in a telephone interview. “But we plan to replace about half of this with heavier grades Norooz and Soroosh.
“It will begin taking the heavier grades after 1 April,” Joshi said. The company, known as MRPL, has a crude-purchase contract with Iran that runs for 12 months.
Mangalore Refinery, owned by India’s biggest state-run explorer Oil and Natural Gas Corp. Ltd. (ONGC), will start a new delayed coking unit at its 300,000 barrels-a-day refinery within a week. It will allow the company to process cheaper, heavier crudes when it reaches full commercial production in March.
The new 60,000 barrel-a-day unit will increase the company’s margins as the refiner seeks to revive earnings. It reported losses in three of the past four quarters as the rupee’s plunge to a record drove up import costs. Iran is selling the Norooz and Soroosh grades to Asian refiners in December at $6.80 a barrel below the price of its Iranian heavy crude, data compiled by Bloomberg show.
We have processed 37 varieties of crude in our refinery and the coker will give a lot of flexibility on our choice of crude,” Joshi said. “We will look more aggressively for buying Latin American crude grades, which we have not processed.Mangalore Refinery bought 1 million barrels of Argentina’s Escalante crude earlier in the week,” Joshi said, adding the parcel will be delivered in March.
India plans to buy 11 million metric tonnes of Iranian crude this financial year after the European Union (EU) eased its sanctions on insuring cargoes following a six-month accord in November between the Persian Gulf state, the US and five other nations. The parties will implement the agreement on 20 January.
The South Asian country’s imports could fall 14% to 9.5 million tonnes in the year ending March 2015 if the US and EU sanctions remain in place., R.K. Singh, joint secretary for refineries at the oil ministry, said on 14 January in New Delhi
Source:- livemint.com
Rupee Closes Lower Against Dollar Amid Weak Equities
The Indian rupee touched a one-month intra day high of 61.31 Friday, only to surrender the gains and end one paisa lower at 61.54 against the dollar amid weak local equities.
It was the third successive day of consolidation for the rupee around the 61.53 level against the dollar. However, the local currency gained for the second straight week, adding 36 paise since last Friday.
At the interbank foreign exchange market, the rupee opened at 61.50 a dollar from the previous close of 61.53 and climbed to a high of 61.3175 on dollar sales by exporters and an overnight fall in the US currency in the New York market.
Continued foreign fund inflows into local equities also supported the local currency in the initial stages.
However, a steep fall in local stocks on selling in IT shares after the announcement of Q3 results by TCS late on Thursday and a strengthening US currency overseas pulled the rupee down to a low of 61.5775 before settling at 61.54, down by a mere one paisa.
The benchmark 30-share S&P BSE Sensex Friday slumped by 201.56 points or 0.95 per cent. Overseas investors bought local shares worth a net $90.74 million Thursday, as per Sebi data.
The dollar index was up 0.05 per cent ahead of US housing market and industrial output data releases.
"In the morning session, the rupee appreciated over quarter per cent, but in the second half it lost its gains as local equities closed almost 1 per cent down," said Pramit Brahmbhatt, CEO of Alpari Financial Services (India).
"The rupee firmed up against the dollar in late morning today due to selling of the US currency by banks and exporters on the back of its weakness overseas," said Abhishek Goenka, CEO of India Forex Advisors.
"The Indian benchmark indices tripped...on the back of profit booking by investors, which later weighed on the rupee and it ended almost flat," he said.
Forward dollar premiums recovered slightly following fresh payments from banks and some corporates.The benchmark six-month forward dollar premium payable in June edged up to 224-1/2 to 226-1/2 paise from the previous close of 224-226 paise.
Far-forward contracts maturing in December moved up to 459-461 paise from 457-1/2 to 459-1/2 paise.The RBI fixed the reference rate for the dollar at 61.3518 and for the euro at 83.5223.
The rupee fell sharply to 101.22 against the pound from 100.48 previously and turned negative to end at 58.94 per 100 Japanese yen from 58.73.It inched up to 83.71 per euro from 83.72.
Source:- businesstoday.intoday.in
Secs. 93 and 94 of Semiconductor Integrated Circuits Layout-Design Act, 2000 effective from January
CL : OTHERS : Section 1 of The Semiconductor Integrated Circuits Layout-Design Act, 2000 - Act - Enforcement of - Notified Date on Which Provisions of Sections 93 and 94 of Said Act Shall Come Into Force
Exp. incurred on replacement of old machinery won’t be deemed as current repairs under sec. 31, says
IT : Replacement of an old machine with a new one would constitute bringing into existing a new asset in place of old one and, therefore, expenditure incurred on such replacement cannot be allowed under head 'current repairs'
Reimbursement by Indian branch of direct staff expenses incurred by foreign HO are out of scope of s
IT/ILT : Where NRI desk expenses and direct staff cost were incurred by head office outside India and same were reimbursed by Indian branch, direct and exclusive NRI Desk expenses incurred by Head Office were allowed in full as same were not hit by section 44C
Marketing and support services to foreign co. to stimulate Indian sales deemed as export of service
Service Tax : Place of Provision of marketing and support services to foreign companies in relation to their Indian sales is governed by Rule 3 of Place of Provision of Services Rules, 2012 being location of service recipient (outside India) and said provision amounts to 'export of service', if consideration is received in foreign exchange
‘Margin Money’ mandatory and not directive of SEBI; transaction violating it to be struck down
SEBI: Any transaction carried out by a member or a stock exchange without due regard to margin requirement is liable to be interfered with and struck down if found unjustified
HC slams revenue for treating profit on genuine share transaction as unexplained credit
IT: Where assessee proved genuineness of share transactions by contract notes for sale and purchase, bank statement of broker, demat account showing transfer in and out of shares, as also abstract of transactions furnished by stock exchange, Assessing Officer was not justified in treating capital gain arising from sale of shares as unexplained cash credit
HC directs AO to pass consequential order after first disposal of SLP pending on same question of la
IT: Where SLP was pending against assessee's case for another assessment year, having same substantial question of law relating to current assessment year, Assessing Officer was to be directed to pass consequential order only after final disposal of SLP by Supreme Court
Transfer of few assets does not amount to 'transfer of business as going concern' so as to be exempt
CST/VAT : Where some of assets of business are sold orally and nothing is said relating to work in progress, creditors, debtors, employees, subcontractors, or goodwill or ongoing contracts and assessee restarts using name of his business after 1 year of sale, such sale cannot be regarded as transfer of business as going concern so as to be exempt from VAT
Sale below cost to penetrate into market - Valuation mechanism as per Fiat's case (SC) clarified
GST : Section 4 of The Central Excise Act, 1944 - Valuation Under Central Excise - Transaction Value - General - In Case of Sale of Goods Below Cost, Transaction Value Cannot be Rejected Except Where Circumstances are Same as That in Fiat India's Case (SC); Value Will be Manufacturing Cost Plus Manufacturing Profit and Cost to be Determined as Per CAS-4
RBI allows conversion of ECB into equity for Indian cos. at exchange rate prevailing on date of swap
FEMA/ILT : Conversion of External Commercial Borrowing and Lumpsum Fee/Royalty into Equity
Lokpal and Lokayuktas Act effective from January 16, 2014
CL : OTHERS/INDIAN ACTS & RULES : Section 1 of The Lokpal and Lokayuktas Act, 2013 - Act - Enforcement of - Notified Date on Which Provisions of Said Act Shall Come into Force
SC : Forex dealings amongst authorized Money Changers via pay orders don't violate RBI and FERA norm
CL : Where a sale and purchase transaction in foreign exchange had taken place between two licensed Full Fledged Money Changers (FFMCs) and said transaction was carried on by exchange of foreign currency by way of payment in form of pay orders, there was no violation of paragraph 3 of Memorandum of FLM, read with section 6 of FERA Act, 1973
Pure finding of facts by appellate authorities on alleged addition won’t give arise to question of l
IT : Where addition of alleged undisclosed income was deleted on basis of pure findings of facts by Commissioner (Appeals) and Tribunal, which were borne out from material available on record, same will not give rise to any substantial question of law
Composite contract was subjected to service tax even prior to introduction of 'works contract servic
Service Tax : In view of Article 366(29A) of Constitution, composite contracts can be bifurcated to compute value of goods sold/supplied in contracts for construction of buildings with labour and material; and service portion of composite contracts can be made subject matter of service tax
AO could not impose sec. 50C when assessee disputed the value adopted by registrar for stamp valuati
IT: Where assessee sold a property and he had challenged market value adopted by Registrar for stamp duty purposes, provisions of section 50C(1) would not apply for purpose of computing capital gain on sale of property
Renting of premises along with wedding oriented services deemed as bundle of services and not just r
Service Tax : Renting of premises along with catering, accommodation, bar, music, staff, manager, chef and other facilities amounts to a 'bundle of services' commonly described as 'wedding services' and it cannot be classified merely as 'renting of premises'
Director-in-charge liable for every offence committed by co. under sec. 138; liability not restricte
CL: Section 141 makes directors in charge and responsible to company 'for conduct of business of company' within mischief of section 138 and not particular business for which cheque was issued
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