Fate of additional question while hearing appeal was to be decided as per ratio laid down by SC in M

IT : Where during pendency of appellate proceedings before High Court, assessee sought admission of two additional questions of law, High Court was to be directed to keep in view order passed in case of CIT v. Mastek Ltd. [2013] 32 taxmann.com 380 (SC) while considering whether or not question of law which assessee intended to press for consideration need to be framed at time of hearing of appeal

SEBI puts 20% price band on scrips forming part of index derivative not having individual derivative

SEBI : Individual Scrip Wise Price Bands on Non-F&O Eligible Scrip's in Index Derivatives

Fate of additional question while hearing appeal was to be decided as per laid down by SC in Mastek'

IT : Where during pendency of appellate proceedings before High Court, assessee sought admission of two additional questions of law, High Court was to be directed to keep in view order passed in case of CIT v. Mastek Ltd. [2013] 32 taxmann.com 380 (SC) while considering whether or not question of law which assessee intended to press for consideration need to be framed at time of hearing of appeal

Advance refunded on cancellation of sale deal can’t be taxed under sec. 68 if revenue couldn’t prove

IT: Where due to cancellation of sale agreement of property, assessee returned amount of advance and in support of same he furnished copy of sale agreement, copy of cancellation of agreement, copy of PAN of intending purchaser and copy of acknowledgement of return of income of proposed purchaser, amount so returned could not be added to assessee's taxable income under section 68

Assessee is liable to pay interest on additional tax liability admitted by him

CST & VAT : Where assessee has himself admitted higher liability of tax for relevant period and paid additional tax belatedly, his act of admission would amount to revised return and would be liable to interest for delayed payment

Reassessment notice is valid when it is prima-facie apparent from record that it’s issued within pre

IT: Where it was apparent from records that escaped assessment was more than Rs. One lakh and notice under section 148 had been issued within a period of six years from end of relevant assessment years, in view of provisions of clause (b) of section 149(1), notice so issued could not be quashed on ground of limitation

Rehabilitation center earning income from hostels and guest houses is hit by proviso to sec. 2(15);

IT : Where assessee, a charitable trust, running orphanages, old age homes, centres for rehabilitation of mentally ill women etc., earned business income from running a women's hostel and guest house, said activity being in nature of 'carrying on an object of general public utility' was hit by proviso to section 2(15)

Additions in assessment of another year deleted as similar additions were deleted by ITAT from block

IT: Where relying upon addition made in case of assessee in block assessment proceedings in respect of undisclosed investment in agricultural land in village 'K', Assessing Officer made similar addition in regular assessment in respect of agricultural land purchased in village 'A', in view of fact that addition made in block assessment was deleted subsequently in appellate proceedings, impugned addition made in regular assessment was also not sustainable

Wheat Prices Caught In A Web Of Abundance

India is the second largest producer of wheat in the world after China, contributing to about 13.02 per cent of the world’s production. According to the 4th advance estimate, wheat production for 2012-13 is estimated at 92.46 million tonnes (mt).

Over the last three years, production has increased due to good yields, supported by good monsoon and increase in the minimum support price. Over 94.54 per cent of the total production of the country comes from six States. The top wheat producing States of the country are Uttar Pradesh (31.93 per cent), Punjab (18.21 per cent), Haryana (13.37 per cent), Madhya Pradesh (12.16 per cent), Rajasthan (9.82 per cent) and Bihar (4.98 per cent).

Domestic consumption is estimated at 85-90 mt. India is the third major wheat consumer globally after China and European Union.World wheat production is projected at a record 708.9 mt, up 3.5 mt. Higher production in Canada, the European Union (EU), and the FSU-12 (former Soviet Union states) more than offset a drop in Iran and Paraguay. Black Sea production is expected to rebound to 108 mt due to favourable weather, compared with 77.2 mt in 2012-13. Consumption is expected to reach a record 707 mt, up 4 per cent from 2012-13 and the global feed use is expected to rise three per cent to 141 mt.

The wheat spot market price variation study indicates that the price volatility remains steady for most of the year and a spurt is witnessed in the period between June and August. Reports of Black Sea exporters re-entering the market at competitive prices is likely to keep the global price volatility under check. There are reports that Black Sea production is likely to rebound by 40 per cent to 108 mt on improved weather and higher yields. Russian production is expected to increase by 16.3 mt from 2012-13 to 54 mt and Black Sea exports are expected to reach 37.1 mt and represent 24 per cent of world market, compared with 19 per cent in 2012-13. In the domestic market, the spurt in the volatility was noticed during July-August 2013 (from an average of around 20 per cent to over 40 per cent) and since then prices have been consolidating in a tight range.

The major development which has supported the global market is the demand from China, which is expected to import 9.5 mt, compared with the 5-year average of 1.74 mt with its production remaining unchanged at 121 mt. Spot prices in Delhi sharply declined from March onwards due to higher wheat production. The Indian market is marginally stable at the higher level amidst expectation that 5.5 mt of wheat will be exported in the current marketing year.

Wheat being a Rabi crop, sown during October to December, is highly dependent on good monsoon. This year, good rainfall in major producing regions has provided the required soil moisture during the sowing period. The upcoming harvest season is likely to see production of around 90-95 mt. The Indian market is currently pegged around ?1,650 a quintal, which is likely to hold on for the coming season without much fluctuation. I expect the 2014 prices to be range-bound with an upper cap of ?1,780 and lower firm support at ?1,420 a quintal.

Source:- thehindubusinessline.com

Air Bubbled Film rolls aren’t packing materials; classifiable as ‘polymers of ethylene sheets of pol

CST & VAT : Air Bubbled Film Rolls are not packing material in general and are classifiable as 'polymers of ethylene sheets of poly ethylene' under HSN 3920 10 92 and not under HSN Code 3923 90 90

SC's Jurisdiction under article 129 is unrestricted and independent of the Contempt of Court Act, 19

Constitution of India: Jurisdiction of Supreme Court under article 129 of Constitution is independent of Contempt of Courts Act and powers conferred under article 129 of Constitution cannot be denuded, restricted or limited by Contempt of Courts Act, 1971

FinMin opens doors to insurance co’s admission for membership of stock exchange

SEBI/INDIAN ACTS & RULES : Securities Contracts (Regulation) (Amendment) Rules, 2014 - Amendment in Rule 8

Going abroad for purpose of ‘employment’ includes self-employment to determine residential status un

IT/ILT : For the purpose of determining the residential status in India under Sec. 6, the term 'Going abroad for the purpose of employment' means going abroad to take up any employment or for any business carried outside India. It is not necessary to establish employer-employee relationship to prove travelling abroad; for employment it may be for other avocation including self-employment

Dicalcium Phosphate of animal feed exempted; Duty on rail track construction material reduced to 12%

GST : CENTRAL EXCISE : Section 5A of The Central Excise Act, 1944 - Exemptions - Central Excise - Mega/General Exemption - Dicalcium Phosphate of Animal Feed Exempted from Excise Duty and Duty on Railway or Tramway Track Construction Material of Iron and Steel Reduced to 12%, If Same is Manufactured Out of Duty-Paid and Non-Cenvatted Rails

Registration not enough to claim exemption; trust needs to comply with section 11, 12 and 13 to clai

IT : Where assessee, an engineering college, was granted registration under section 12AA and it claimed exemption under section 11, mere grant of registration would not automatically exempt entire income of assessee and income had to be exempted by examining entire receipts and expenditure in light of provisions of sections 11,12 and 13

Construction of roads for power companies not liable to ST under Commercial or Industrial Constructi

Service Tax : Construction of road, by itself, is not liable to service tax under Commercial or Industrial Construction Services; liability may arise only where construction of road is a part of composite contract

Employer’s contribution to PF deposited within grace period allowed under PF Act is eligible for ded

IT: Where assessee deposited employer's contribution of provident fund within extended grace period under PF Act, he will be eligible for deduction for same under section 43B

On compromise arrangement with creditors, status quo order on shareholding binds parties before Cour

CL : Shareholding does play an important role in taking control of companies; a status quo order with regard to shareholding binds parties before Court

Value of building disclosed by buyer in books to be preferred over value determined by DVO which is

IT : Valuation report of DVO per se have an element of discretion and are matter of opinion; valuation of land in books of account of builder that was accepted by Tribunal, may be treated as sale consideration

CBEC circulars are binding on revenue, except when they are contrary to law or judgments

Cenvat Credit : In absence of any provisions providing of lapse of credit not utilized as per erstwhile rule 6(3)(c) of CENVAT Credit Rules, 2004, such accumulated and unutilized under CENVAT Credit Rules, 2004 amended from 1-4-2008

There is no need to own property to claim deduction under section 80-IB(10)

IT: To claim deduction under section 80-IB(10), open terrace area cannot form part of built up area

Receipt of amount before or after beginning of business is insignificant to make addition for unexpl

IT : Statutory requirement for treating any amount as income of assessee under section 68 is where assessee fails to justify and establish genuineness of entry in its books of account and, therefore, question as to whether said amount is introduced prior to commencement of business of company or afterwards is of no significance

Spare parts used in servicing of motor vehicle not liable to service tax if VAT was paid thereon

Service Tax : If bill/invoices issued clearly show payment of sales tax/VAT on spare parts used in motor vehicle servicing, then value of such spare parts would not be includable in gross consideration received for rendering of service

Subvention from shareholder to cover losses would be revenue receipt if co. couldn’t prove it as gra

IT : Where assessee-company received subvention receipts from its principal shareholder 'S' and claimed same as capital receipt, since it was not case of assessee that financial assistance was extended by 'S' either for setting up any unit or expansion of existing business or for acquiring any assets, money received by assessee was revenue receipt in nature

Termination of an agreement is a contractual dispute; no remedy available under Competition Act

Competition Law: Where though informant entered into agreements with opposite parties for manufacture of oral healthcare products, it was free to take up manufacturing orders from any other company/brand(s) at mutually agreed terms, there could be no issue of abuse of dominant position by opposite parties; remedy for termination or non-renewal of agreement is not available under Competition Act