Even availment of credit on minor inputs would lead to denial of 'Nil' rate of duty

Central Excise : Where NIL rate of duty is based upon condition that no credit of inputs had been taken, assessee cannot claim said benefit if he had taken credit even on minor inputs/consumables

CIT(A) gets flak from HC for deleting estimated additions only on basis of gross profit rate of prec

IT: Where Commissioner (Appeals) merely on basis of gross profit rate applied in preceding year granted relief to assessee to that extent, matter was to be remanded back for fresh examination of books of account

Case restored to AO as assessee didn't get chance to cross-examine parties whose statement was relie

IT: Where assessee was not given an opportunity to cross-examine representatives of two companies whose statement was relied upon by revenue in disallowing amount paid by assessee to said companies to carry out promotional and advertisement activities, same was breach of principles of natural justice and accordingly issue was to be restored for fresh disposal

Payer not liable for TDS default due to amendments made in definition of royalty at later stage with

IT : Where Assessing Officer on basis of amendments introduced in section 9(1)(vi) with retrospective effect held that assessee was liable to deduct tax at source from licence fee paid for use of softwares and disallowed payments by invoking provisions of section 40(a)(ia), assessee could not be held responsible for violation of TDS provisions on basis of subsequent amendments introduced in section 9(1)(vi)

Excise dealers aren't liable to pay excess sum collected in name of duty as it is applicable only fo

Central Excise : Liability to pay 'excess collection in name of duty' lies only on manufacturer of goods and not on registered dealers

Reassessment order rightly set aside as AO didn't came across any material relating suggesting escap

IT: Since during course of proceedings under section 147, Assessing Officer did not come across any material relating to payment of commission suggesting escapement of income under any heads, Assessing Officer was not justified in reopening assessment in respect of commission

Dist. Magistrate rightly ordered recovery as neither bank dues were paid nor notice was challenged b

SARFAESI: Where petitioner failed to pay outstanding dues of respondent bank, order passed by District Magistrate under section 14 directing bank to recover possession of mortgaged property of petitioner was legal

Service tax will not be considered in gross receipts while determining income under sec. 44BB

IT/ILT: Service tax was to be excluded from gross receipts while determining income under section 44BB

Delayed sanction of refund beyond three months from date of application attracts interest

Excise & Customs : If refund is sanctioned belatedly beyond three months from date of application, interest will be payable to assessee

Proportionate interest disallowable u/s 14A even if bank's current deposits exceed tax-free investme

IT : Interest liable to be disallowed u/s 14A on proportionate basis even if assessee-bank's current deposits exceed its investments yielding tax-free returns. Assessee-bank cannot escape disallowance of interest u/s 14A by taking the plea that its interest-free funds (own funds or current account deposits) exceeded the amount of its tax-free income yielding investments in shares and mutual funds

Interest debited in personal books of proprietor due to borrowing used for business purposes was all

IT : Where assessee's personal books of account as well as books of account of his proprietary concern were interlinked and connected with business activity of assessee, interest paid from personal books of account on funds borrowed for business purpose was allowable under section 36(1)(iii)

Bombay HC irked by delay in passing adjudication orders

Service Tax/Excise/Customs : High Court irked by delay in passing adjudication order after conclusion of hearing and huge pendency of cases in adjudication; asks Commissioner/Chief Commissioner to file affidavit listing pending cases along with time requisite to dispose them of

Gains arising on sale of shares out of investment portfolio are capital gains and not business profi

IT: Where assessee-company had maintained accounts with applicable accounting standards and revenue was unable to find fault with assessee's claim, capital gains arising out of investments portfolio was to be taxable under head 'Capital gain' and not as business income

Norms of Compromise/arrangements are applicable even in case of slump sale which is subjected to app

CL : Provisions of sections 391 to 394 attracted even in case of slump sale, which is subject to approval of court