HC can interfere with adjudication order even if time-limit to file appeal against impugned order ha

Excise & Customs : High Court has extraordinary powers in appropriate case to interfere with adjudication order even if time-limit for preferring appeal thereagainst has expired

HC remanded case to ensure whether sum paid was either discount or commission to attract sec. 194H T

IT: Where Tribunal assuming that advertising agents with whom assessee was dealing were registered with INS, concluded that payments made to them for procuring advertisements was a trade discount and not a commission, and, thus, provisions of section 194H did not apply, in view of fact that assessee itself admitted that some of those agencies were not registered with INS, matter was to be remanded back for disposal afresh

Commissioner (Appeals) is empowered to remanded proceedings under service tax laws

Service Tax: Section 85(4) empowers Commissioner (Appeals) to pass such orders as he thinks fit, which includes inherent power to remand proceedings for proper reasons to adjudicating authority; however, in view of apparent difference in language, position under central excise and customs was not gone into.

CCI approves of combination of group cos. as it would not change their controlling power

CL : Where a company was holding 100 per cent and 98 per cent shares of two companies, combination of three companies was to be approved bringing no change of controlling power

HC sets aside penalty when impugned TP adjustment forming basis for imposition of penalty was delete

IT/ILT : Where in course of appellate proceedings, revenue authorities admitted that quantum addition on account of transfer pricing difference which was basis for imposition of penalty had already been deleted, impugned penalty order based on said addition also deserved to be set aside

SC asks CBI to probe 'Saradha' fraud due to alleged involvement of influential persons

SEBI : Where financial scam nicknamed chit fund scam which had hit States of West Bengal, Tripura, Assam and Odisha involved illegal collection of nearly 10,000 crores from general public and investigation revealed involvement of several influential personalities and role of regulators like SEBI, authorities under Companies Act and Reserve Bank of India was also under investigation by State Police Agency, SC held that ongoing investigation was to be transferred from State Police to an independen

Ieefa Says Coal Import Into India Has Financial Risks

A new report of Institute for Energy Economics and Financial Analysis (IEEFA) said that international coal projects relying on new import markets such as India were facing financial risks.



IEEFA said that Chinese coal demand growth continued to slow down and the focus was increasingly turning to India.



The study which used in-depth financial modelling to evaluate the prospect of India as the next big coal import market said that the results demonstrated the fundamental financial problems facing the coal and coal-fired generation sector in India.



Mr Tim Buckley, Director of Energy Finance Studies, Australasia for EEF said that "This report is a wake up call to global investors and industry, establishing the uneconomic basis of international coal projects which rely on India as a potential growth market."



The report said that a key difference between coal fired power generation and renewable energy was the issue of inflation - fossil fuels are inflationary while renewables are deflationary The cost of electricity generation from solar in India had fallen 65% in the last three years alone and double-digit declines were forecasted to continue.



It said that the financial modeling demonstrates that renewables not only start out cheaper than building new imported coal power capacity, but also get cheaper overtime.



In contrast, the average price escalation for imported coal in India equated to four per cent annually in rupee terms because it requires purchasing this US dollar denominated fuel.



Mr Buckley said that "India's perilous economic and financial situation creates further uncertainty for companies relying on its ability and willingness to import coal, with its associated implications for inflation, current account deficits, economic instability and energy security."



He said that "The good news is that renewables are increasingly affordable and effective: wind, solar and hydro can be built faster and cheaper, in addition to acting as a deflationary driver in the economy."



He added that "A greater reliance on imported coal undermines India's national energy security position and weakens its push for greater energy sector diversity."

Souce:- coalguru.com

China To Build Railway Linking East Africa

China has signed a deal to build a $3.8bn railway link between Kenya's Indian Ocean port of Mombasa and Nairobi, the first stage of a line that will eventually link neighbouring Uganda, Rwanda, Burundi and South Sudan.

The agreement was signed in Nairobi on Sunday by visiting Chinese premier Li Keqiang and witnessed by the presidents of Kenya, Uganda, Rwanda and South Sudan,

Under the terms of the deal, Exim Bank of China will provide 90 percent of the cost to replace the crumbling British colonial-era line with a 609km standard-gauge link, and Kenya the remaining 10 percent.

Construction is due to start in October and will take three-and-a-half years to complete, with China Communications Construction as the main contractor, the AFP news agency reported.

Once the Mombasa-Nairobi line is completed, construction would begin to link east Africa's largest economy with Kampala, Kigali, Bujumbura and Juba - capitals of Uganda, Rwanda, Burundi and South Sudan.

"This project demonstrates that there is equal cooperation and mutual benefit between China and the East African countries, and the railway is a very important part of transport infrastructure development," Li, who is on a four-nation tour of African countries, said.

Li's visit, his first to the continent since taking office last year, has taken him to Ethiopia, Nigeria and Angola.In March 2013, Chinese President Xi Jinping signed a string of deals during a visit to the Republic of Congo. Xi also visited Tanzania and South Africa.

China, the world's second-biggest economy, is keen to boost its presence on the continent to find new markets and opportunities.

Uhuru Kenyatta, the Kenyan president, hailed the booming relationship with China, calling it one "based on mutual trust" and saying Kenya "has found an honourable partner in China".

At the same event, Ugandan president Yoweri Museveni took an apparent swipe at Western donors who have been critical of his leadership - including government corruption and his recent signing of anti-gay legislation."We are happy to see that China is concentrating on the real issues of development," Museveni said."They don't give lectures on how to run local governments and other issues I don't want to mention."

Source:- aljazeera.com

Onus is on assessee to prove that it is entitled to recover input tax under UK VAT Act

CST & VAT : Burden is on assessee to show that it is entitled to ascertainable credit

Marcellus Can Help Boost Pa. Steel

Pennsylvania is home to the highest-producing natural-gas shale play in the United States, and Marcellus Shale wells continue to break records. During the last six months of 2013, the commonwealth produced 1.7 trillion cubic feet of gas, or an average of 9.2 billion cubic feet per day - enough to satisfy about an eighth of the nation's daily natural-gas demand.

The continued safe and responsible development of Marcellus Shale natural gas presents a great opportunity to create new jobs and provide economic prosperity in the commonwealth.

With this prosperity, Pennsylvania is taking center stage in helping the United States achieve energy independence and reduce our need to rely on foreign energy sources. In addition to capital investments and job creation in energy, the development of the Marcellus Shale has the potential to greatly benefit Pennsylvania's manufacturing sector, in particular the steel industry. Perhaps the single most important product used to ensure the safe development of this abundant natural resource is high-quality steel pipe.

Pennsylvania steel mills manufacture different types of pipe used by the energy industry, including a product known as oil country tubular goods (OCTG). These safe, high-quality steel products are critical for natural-gas exploration and development infrastructure, and have been in high demand with the acceleration of natural-gas development in the United States, including from the Marcellus Shale play.

Although the demand for OCTG products has risen dramatically over the last several years, U.S. steel mills have been unable to fully capitalize on this opportunity. The problem is an oversupply of OCTG products caused by a surge of what appears to be illegal imports from a number of foreign countries, chiefly South Korea.

The illegal dumping of manufactured products occurs when a product is brought into the United States and sold at a price below its cost of production. The Pennsylvania Public Utility Commission's concern about this issue is the main reason we pushed to have included in the Pennsylvania Gas and Hazardous Liquids Pipeline Act (Act 127) the requirement that companies report to the PUC the country of manufacture of the steel pipe used to transport natural gas from unconventional wells in the commonwealth. The PUC believes this requirement would create an awareness of the issue and encourage companies to use domestically produced steel.

Although laws like Act 127 are beneficial, the primary means of preventing the illegal dumping of steel is through the federal government's enforcement of U.S. trade laws. Unfortunately, many foreign competitors do not adhere to those laws, and, in fact, some go to great lengths to circumvent them.

In an effort to stop illegal "dumping" practices, in July, several domestic OCTG steel producers filed a critical trade case against nine countries (India, the Philippines, Saudi Arabia, Taiwan, Thailand, Turkey, Ukraine, Vietnam, and South Korea). In February, the U.S. Department of Commerce announced preliminary findings on this case. Unfortunately, the preliminary findings resulted in no duties being imposed against South Korea - by far the largest exporter of OCTG products. In fact, South Korea exports 98 percent of its OCTG steel pipe into the United States.

The U.S. Department of Commerce is now undertaking investigative work in the final phase of the case. It is important that all of the facts are uncovered so steelworkers in Pennsylvania and across the country can compete on a level international playing field. Enforcing our trade laws forces foreign producers to compete fairly, import their products legally, and create true market competition. I am confident that given a level playing field, Pennsylvania steel companies and steelworkers will thrive, sharing in the benefits of our energy revolution.

On July 8, the Department of Commerce will make its final determination on the OCTG case. The outcome is critical for the future of Pennsylvania's steel industry and for steel manufacturing in the United States. It is of grave importance that our elected leaders in Washington ensure that the Commerce Department uses all of the tools at its disposal to expose the truth about this dumping and render a fair, well-reasoned decision.

Source;- philly.com

Asian Stocks Dropped With Gold, Wheat As Nickel Extends Advance

Asian stocks dropped, pushing the regional index down for the first time in three days, while US index futures gained after the Dow Jones Industrial Average climbed to a record. Gold led precious metals lower and wheat fell, while nickel advanced a fifth day.

The MSCI Asia Pacific Index fell 0.2 per cent by 10.11am in Tokyo after swinging between gains and losses. Standard & Poor’s 500 Index futures added 0.2 per cent after the gauge rose with the Dow May 9. Gold slipped 0.3 per cent in a fifth falling day, while nickel rose more than 2 per cent, headed for its highest close since 2012. Wheat futures slumped 2.2 per cent.

Two Ukrainian regions held referendums on autonomy yesterday as European leaders threatened more sanctions against Russia. Chinese President Xi Jinping said Asia’s largest economy needs to adapt to a “new normal” on growth, according to a state news report before the nation issues retail sales and industrial output data tomorrow. Malaysia releases March factory production today along with India, where voting in the national elections ends today. Australian business confidence is due.

“China is currently on course for its slowest growth period since 1990,” Evan Lucas, a markets strategist at IG Ltd in Melbourne, wrote in a client note today. “What is most interesting about the ‘new normal’ is the line on forward guidance. This is the clearest sign I have seen that a broad- base monetary stimulus to elevate the current slowdown will not eventuate.”

Counter measures

Xi said that China needs to remain “cool-minded” amid a slowdown in the economy, according to a Xinhua News Agency report posted on the central government’s website May 10. The government must prevent risks and take “timely counter-measures to reduce potential negative effects” of faltering growth, Xi said.

Japan’s Topix index was little changed after fluctuating between gains and losses.

Australia’s S&P/ASX 200 Index fell 0.3 per cent as New Zealand’s NZX 50 Index added 0.1 per cent, after dropping 1.5 per cent last week. The Kospi gauge in South Korea dropped 0.2 per cent. Lee Kun Hee, chairman of Samsung Electronics Co, the biggest stock in the gauge, is in a stable condition after surgery following a heart attack. Samsung Electronics shares gained 1.1 per cent today.

Futures on the Dow and Nasdaq 100 Index rose 0.2 per cent today. The Bloomberg China-US Equity Index of the most-traded Chinese stocks in New York rose 0.3 per cent May 9, reducing its weekly decline to 1.4 per cent. Internet stocks led the drop last week as investors sold off companies which have been among the biggest winners in the US bull market. The Dow Jones Internet Composite Index retreated 3.6 per cent last week, exceeding the 0.1 per cent decline in the S&P 500.

Twitter Inc. and Groupon Inc. tumbled more than 15 per cent last week. Apple Inc. fell 0.4 per cent May 9. The iPhone maker is in advanced talks to buy headphone maker and music-streaming service Beats Electronics LLC for US$3.2 billion (RM10.3 billion), according to people with the knowledge of the discussions who didn’t want to be identified.

Gold slipped to US$1,285.48 an ounce on the spot market today, after sliding 0.8 per cent last week. Silver dropped to US$19.13 an ounce, while platinum and palladium retreated at least 0.2 per cent.

Nickel for three-month delivery on the London Metal Exchange climbed 2.2 per cent to US$20,350 a metric ton, set for the highest close since February 13, 2012.

Supply concerns

Nickel outperformed other industrial metals last week, surging 9 per cent for its steepest weekly advance in four years. Prices of the metal used in stainless steel climbed to a two- year high May 9 after the closure of Vale SA’s New Caledonia plant stoked concerns over supply already inflamed by Indonesia’s export ban from January.

Brent crude futures added 0.3 per cent today, to US$108.26 a barrel. Russia is the world’s biggest energy exporter. West Texas Intermediate crude oil rose 0.1 per cent to US$100.12 a barrel after last week’s 0.2 per cent climb.

Ukraine’s Donetsk region, in the country’s east, voted 89.7 per cent in favour of independence in a referendum, Russian newswire RIA Novosti reported, citing preliminary data from separatists. Turnout in the plebiscite was 74.87 per cent and final results are expected today, Roman Liagin, head of the Donetsk People’s Republic election committee, was cited as saying.

Tougher measures

The Donetsk and Luhansk regions held referendums on autonomy that were viewed as illegal by the government in Kiev, the European Union and the US Russian President Vladimir Putin publicly called for a delay in the votes. French President Francois Hollande said tougher measures should be imposed if Russian interference prevents an election scheduled for May 25.

Wheat futures slid to US$7.0750 a bushel in a fourth day of losses. Russia is the world’s fifth-largest producer of the grain, followed by Ukraine.

Ten-year Treasury yields rose one basis point, or 0.01 percentage point, to 2.64 per cent today, after gaining the same amount May 9.

Dennis Lockhart, president of the Atlanta Fed, said he expects the central bank to use a reverse-repurchase programme when it eventually begins to tighten monetary policy. Lockhart, who doesn’t vote on policy this year, said reverse repos may well play a role in influencing short-term rates in comments to reporters yesterday after a speech in Dubai.

Federal Reserve Chair Janet Yellen declined to provide a timeframe for raising interest rates in the world’s biggest economy last week, and also told US lawmakers that she believes the economy still requires a strong dose of stimulus.

Source:- themalaymailonline.com

Onion Exports Up 25 P.C. On Higher Unit Value

Backed by spurt in unit value realisation, India’s onion exports surged in value terms by over 25 per cent to Rs. 2,877 crore in the 2013-14 fiscal, even as volumes registered tepid growth.

The country’s total onion exports had stood at Rs. 2,294 crore in the 2012-13 fiscal.However, in volume terms, exports fell by 25.46 per cent to 13.58 lakh tonnes during the financial year 2013-14 as against 18.22 lakh tonnes in the previous year.

“Exports in value terms rose in 2013-14 primarily on account of increase in unit value realisation,” said a senior official of the cooperative firm Nafed.

According to Nafed data, the unit value realisation improved by 68 per cent to Rs. 21,183 per tonne from Rs. 12,590 per tonne in the review period.

Onion shipments picked up since December 2013 after the government lowered the minimum export price (MEP) to $150 a tonne from $350 a tonne.

The government had imposed MEP on onion in September 2013 after which it was raised several times to curb exports and boost domestic supplies as retail prices had shot up as high as Rs 100 per kg in many parts of the country. The government had to even import onion to control price rise.

With improved domestic supplies and crash in wholesale rates, the Centre had later done away with the MEP to boost exports.

India’s onion production is estimated to be higher by 13 per cent at 189.8 lakh tonnes in the 2013-14 crop year (July-June), from Rs 168 lakh tonnes a year ago.

Source:- thehindu.com

Project Exports To Get A Boost Exim Bank

Here is some good news for Indian companies, especially the MSMEs in the logistics and shipping segments.The African continent's need for investment for development is being targeted by leading export finance organisation, Exim Bank, which of late, has initiated a slew of programmes to promote project exports.

The developmental financial organisation that has been especially set up to promote exports through various support mechanisms, has seen its loan portfolio growing 16 per cent to Rs 75,873 crore in 2013-14 . Its line of credit extended to support export of projects, goods and services from India stands at $ 1,771.75 million for the same period.

Project export contracts supported by the bank in 2013-14 amounted to Rs 34.131 crore which were secured by 40 companies in 35 countries. As on March 31, 319 project export contracts valued at Rs 1,40,326 crore supported by the bank were under execution in 74 countries across Asia, Africa and CIS by 99 Indian companies.

What is of special significance is that while its loan portfolio has grown 16 per cent during the period, its loan to the MSME sector has shown a growth of 40 per cent.

It perhaps underlines the organisation's thrust to promote the fledging MSME sector.

The bank plans to set up a Project Development Company (PDC) in Africa which will essentially look to bring infrastructure projects in Africa to a bankable stage and facilitate exports from India to Africa.

This is the first time the bank is looking to set up a PDC and it is also the first time in Africa.

Increasing globalisation of the economies in Africa, its global trade has witnessed significant upward trend in recent years. According to rough estimates, the 55 African countries require $90 billion in investments every year.

Africa's total trade have risen five-fold from $225 billion to $1129 billion during 2001-2011 .

During that decade, the region has emerged as an important partner for India, both as an export market and as an import source. India's total trade with Africa has risen 12-fold , from US$ 5.2 billion in 2001 to touch US$ 63 billion in 2011.

While India's total exports to Africa has risen 8-fold during the period, the country's total import from Africa has shown a 17-fold increase.

However, India has achieved a respectable share in only a few commodities out of the major import categories of African countries.

The bank believes that India's current global capacity could be matched with Africa's import demand, leading to enhanced exports from India. Strategy to promote bilateral trade relations could also encompass the case of enhancing domestic production in India.

India's expertise in several manufactured products and technology, capability in high value added production and manufacturing, with an increasing import demand could prove to be a win-win situation for both India and Africa, it said.

In March, Exim Bank signed an MoU with the International Trade Centre ( ITC) to promote trade and investment between India and East Africa through the support of SMEs in their access to finance.

According to Yaduvendra Mathur, CMD, there is tremendous value in engaging SMEs and supporting Indian investments in East Africa.

"There is a huge appetite in leveraging the global value chain for the commodities and services sector for the export market. There are already Indian firms with a presence in East Africa and Exim Bank is ready to support trade development through South-South cooperation ," he said.

Source:- economictimes.indiatimes.com

Onus is on to prove that it is entitled to recover input tax under UK VAT Act

CST & VAT : Burden is on assessee to show that it is entitled to ascertainable credit

Lessor obliged to execute lease-cum sale deed in favour of liquidating-co. as latter had fulfilled a

CL: Where lease deed required lessee Company-in-liquidation to execute sale deed, if all other obligations on part of lessee had been completed and there was no indication that there was any default in payment of lease rent by lessee, only obligation that was outstanding on part of lessor was execution of sale deed

Tobacco Exports Hit $1 Billion Mark, Thanks To Strong Dollar, Global Demand Help

Indian tobacco exports have crossed the $1-billion (Rs 6,000-crore) mark during the year ended March 2014, largely due to a strong dollar and global demand for certain varieties . During the year , India reported exports of Rs 6,059 crore ($1.001 billion), a 22% growth over the previous year's Rs 4,979 crore ($914.43 million).

The record for the highest exports so far in value terms was in 2009-10 at $928 million . India , the third-largest producer and the second-largest exporter of tobacco , saw significant growth in exports of Flue-cured Virginia (FCV) tobacco at 1.8 lakh tonne (Rs 4,085 crore), up from 1.73 lakh tonne a year ago . However , the country saw only a marginal growth in the overall volume of exports , including unmanufactured tobacco and tobacco products such as cigarettes , at 2.64 lakh tonne , up from 2.63 lakh tonne the previous year .

The dollar appreciated 11% against the domestic currency during the period under review . Andhra Pradesh and Karnataka are the two major producers of tobacco in the country , together accounting for more than half of India's tobacco production . The Tobacco Board is optimistic about tobacco exports from the country during the current fiscal as well, said its chairman K Gopal . "Despite several challenges across the world , we could achieve the $1-billion mark in exports . While the dollar appreciation helped exports grow significantly in value terms , the uptick in global demand also played a key role ," he told ET.

Gopal said the tobacco board has set a target of Rs 7,000 crore of exports during the current fiscal , a growth of over 15% in value and a marginal growth in volume , he said . Bellam Kotaiah , founder chairman of one of the largest exporters BVL Group and former president of Indian Tobacco Association , said , "Smaller global players are also getting access to Indian tobacco since the Indian tobacco was cheaper compared to Brazil and Zimbabwe ."

Kotaiah further said that while the average global tobacco price stood at $4 per kg , Indian tobacco was available at around $2.7 a kg . The key markets that helped the exports growth last year were western and eastern Europe , which together account for about half of unmanufactured tobacco.

Source:- economictimes.indiatimes.com

Sharp Rise In Malta's Trade Deficit As Exports, Imports Decline

Malta registered a trade deficit of €122.2 million in March, compared to €76.3 million in the corresponding month last year, official figures issued today show.

There were decreases in both imports and exports of €14.1 million and €60.0 million respectively. The decrease in imports was primarily due to machinery and transport equipment, with other declines registered in food, miscellaneous manufactured articles, miscellaneous transactions and commodities, chemicals, and animal and vegetable oils and fats.

Machinery and transport equipment accounted also for the main decrease in

the value of exports when compared to the corresponding month last year. Other notable drops were registered for mineral fuels, lubricants and related materials, chemicals, miscellaneous manufactured articles, semi-manufactured goods.

In the first quarter this year, the trade deficit widened by €63.1 million, to €347.6 million.

Both imports and exports registered decreases when compared to the period January-March 2013. The decrease in imports of €12.4 million was mainly due to machinery and transport equipment, with other decreases registered for miscellaneous manufactured articles, food, miscellaneous transactions and commodities, chemicals, beverages and tobacco, and crude materials. The decline in the value of exports of €75.6 million was primarily due to machinery and transport equipment. Other decreases were noted for all

sectors except beverages and tobacco, and crude materials.Malta’s trade imports from the European Union reached €680.1 million, or 53.5 per cent of the total. There was a drop of €58.0 million in imports from euro area countries.

Increases were registered from the United States of America, Spain, Saudi Arabia, Belgium and the United Kingdom. However, imports from Libya, Italy, France, the Netherlands, Germany, the Republic of Korea, China, Turkey, Japan, Switzerland and India showed a decrease.

Exports to the euro area decreased by €26.4 million, mainly to France, the Netherlands, Spain and Belgium, while increases in exports were recorded for Libya, the United States of America and Italy.

Source:- timesofmalta.com

Rupee Rises To 10-Month High Of 59.50 Per Dollar As Stock Markets Rally

The Indian rupee strengthened to a 10-month high on Monday, following cues from record high domestic stocks, ahead of the exit poll predictions due after market hours.

Dodging the depreciating trend in other Asian currencies, the rupee opened at 60.01 per dollar against its Friday’s close of 60.03, but soon rose 0.85% to 59.50 per dollar, its highest level since 29 July.

At 2.13pm, the rupee was trading at 59.73, up 0.49%, while most of the Asian currencies were trading lower. The Malaysian ringgit fell 0.32%, Philippines peso was down 0.17%, Singapore dollar was down 0.15%, Japanese yen was down 0.15%.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 79.815, down 0.11% from its previous close of 79.903.

The 30-share Sensex was trading higher by 2.01%, or 462.88 points, at 23,457.11 points, the National Stock Exchange’s 50-share Nifty rose 1.92% to 6,990.8 points.

The S&P BSE Oil and Gas, S&P BSE Bankex, S&P BSE Capital Goods, S&P BSE FMCG, and S&P BSE Auto and Power indices were the top sectoral gainers, up about 2.5% each, followed by S&P BSE Realty, S&P BSE Metal and S&P BSE Consumer Durables indices which were up 1.74% each. The S&P BSE Healthcare index was the top sectoral loser, down 0.68%.

Currency dealers say the rupee is tracking the equity markets. “Rupee is tracking equity markets, but the dollar buying that you see from public sector banks when the rupee strengthens to 59.95 level is absent today (Monday). So exporters are selling, but PSU banks are not buying,” said Harihar Krishnamurthy, head of treasury at FirstRand Bank Ltd.

Currency traders said the expectation that the Bharatiya Janata Party (BJP) is forming the next government is boosting local equities and the currency.

According to Satyajit Kanjilal, managing director at ForexServe, a currency consultant, if the BJP and its allies secure 300 seats, the rupee may appreciate as much as 58.50 a dollar. But the Reserve Bank of India (RBI) may not want to let the currency appreciate much as that would hurt India’s export competitiveness. However, the present rally may reverse if the poll results show even a small amount of uncertainty, he said. Rupee in that case may weaken to the 61.50 a dollar level. For now, most of the positive news expectations have factored in the exchange rate, he said.

“The exuberance seen now in the stock and rupee is because people are expecting a new government with a large mandate will sort out policy paralysis. Already key sectors like power and infrastructure is rallying but RBI will unlikely let the rupee strengthen too much and they are actively buying dollars from the market and building up the country’s reserves. Much of the rally in rupee is largely behind us,” Kanjilal said.

Trade deficit in April narrowed to $10.1 billion against $10.5 billion in March. Exports rose 5.3% year-over year to $25.6 billion, while imports fell 15% to $35.7 billion in the same period.

Since the beginning of this year, the rupee has gained 3.46%, while foreign institutional investors have bought $5.55 billion during the period from local equity markets.

The yield on India’s 10-year benchmark bond was trading at 8.737%, compared with its Friday’s close of 8.749%. Bond yields and prices move in opposite directions.

The government will issue numbers for the Index of Industrial Production (IIP) for March and Consumer Price Index (CPI) inflation data for April at 5.30 pm on Monday.

A Bloomberg poll showed that the industrial output for march will fall 1.5% as against a decline of 1.9% in February, while CPI Inflation will be 8.5% for April as against 8.31% in March.

Source:- livemint.com

No denial of sec. 80-IB relief if land wasn't owned by assessee and development approval was in name

IT : Section 80-IB deduction admissible to assessee developer though development permissions were obtained by landowner

VAT payments are governed by statutory provisions and not by law of contract; says Menchester Tribun

CST & VAT : Payment of VAT is not governed by Law of Contract alone but by express and specific statutory provision and in case of delay owing to late deposit of cheque with bank, assessee is liable to penalty

Receipt of cash loans in garb of share application money calls for penalty due to violation of sec.

IT: Where assessee received cash as share application money from an individual but only meagre amount of shares were allotted to said individual, penalty under section 271D was to be imposed

Depart. to pay value of goods at time of seizure even when illegally seized goods were sold at low p

Excise & Customs : In case seizure is declared illegal and seized goods are to be returned but cannot be returned as they stand sold at very low price and without following specified procedure, department is bound to pay value of goods at time of seizure

TP additions deleted as domestic transactions and functionally dissimilar comparables were included

IT/ILT: Where TPO included domestic transaction while computing TP adjustment and one of comparables was found to be functionally dissimilar from assessee, TP adjustment to that extent be deleted

SC: Lease of liquidating-co. could be revoked without approval of CLB as lease cancellation wasn’t a

CL: Serving of notice of cancellation of lease would not come within mischief of section 537 as that by itself does not amount to attachment, distress or execution etc. and, therefore, no prior permission would be required for cancelling lease of company-in-liquidation