TRO had to unfreeze assessee’s property as it had no tax due pursuant to orders of appellate authori

IT : Where entire tax liability of assessee had become nil pursuant to order of Tribunal and said order had been given effect to by Assistant Commissioner, TRO has to release assessee's property from attachment

Comparables in respect of which partial data is available to be excluded for ALP determination

IT/ILT : Companies having high profit/loss cannot be comparables

Outward transportation from factory to customer's premises isn't eligible for credit

Cenvat Credit : Services used for purpose of delivering goods at destination of customer were neither covered by definition of input service prior to 1-4-2008, nor is same covered on or after 1-4-2008; expenses incurred after place of removal are not eligible for credit

HC dismissed winding up petition as claim of petitioner was already settled in company petition

CL: Winding up petition against respondent-company would not be maintainable when amount due to respondent was already settled in another company petition

SEBI permits utilization of sum disgorged from wrongful gain to restitute eligible investors

SEBI/INDIAN ACTS & RULES : SEBI (Investor Protection and Education Fund) (Amendment) Regulations, 2014 – Amendment in Regulations 4 & 5

SEBI amends CIS norms; deemed CIS entitles one for registration, bar on cash payments for subscripti

SEBI/INDIAN ACTS & RULES : SEBI (Collective Investment Schemes) (Amendment) Regulations, 2014 – Amendment in Regulations 2 & 11; Insertion of Regulations 4A and 74A & Substitution of A Specified Term

RBI devises pricing norms for FDI instruments with optionality clause

FEMA/ILT : FDI - Pricing Guidelines For Fdi Instruments With Optionality Clauses

Revenue couldn't cast doubt on legality of freight charges merely due to unreliable statements of tr

IT : Where assessee engaged in transportation of goods, through trucks owned by other truck owners, claimed deduction of freight charges payable, in absence of any material on record throwing doubt on genuineness of amount claimed, Assessing Officer was not justified in rejecting said claim merely on basis of statements of some truck owners which were subsequently not found creditworthy

No need for obtaining NOC from Entertainment Tax Office prior to holding of entertainment event

CST/VAT : In absence of any provision requiring NOC/prior approval from Entertainment tax office prior to holding of entertainment event by way of fashion shows, etc., such a requirement cannot be insisted upon; if department is dissatisfied or in case of dispute, assessment mechanism can be put into motion

Deemed transfer under income-tax on handing over of possession of property in part performance of ag

IT : Under Income-tax Act, when possession of property is handed over to purchaser towards part performance of sale agreement, there is a transfer

Order rejecting application for ST amnesty scheme is appealable; circular holding contrary is invali

Service Tax : After incorporation of Service Tax Voluntary Compliance Encouragement Scheme into Finance Act, all other provisions of Act apply to proceedings under scheme; accordingly, an order rejecting assessee's application under section 106(2) of Finance Act, 2013 is an appealable order and CBCE circular holding to contrary was incorrect

No tax on receipt of booking amount by builder as in his case profit would arise only on transfer of

IT : Assessee being a developer of project, profit in its case would arise only on transfer of title of property and, therefore, receipt of any advance or booking amount could not be treated as trading receipt of year under consideration

HC admits writ against order even after dismissal of appeal by Commissioner (Appeal) due to time con

Service Tax : Even after assessee's appeal against adjudication order had been dismissed by Commissioner (Appeals) as time-barred, High Court exercised its writ jurisdiction under Article 226 of Constitution and granted ad interim stay

Filing of sec. 264 revision petition doesn't deprive assessee from filing an appeal before CIT(A)

IT : Filing of a revision petition under section 264 can not be a bar for filing of an appeal before appropriate authority

Assessee's defence focusing on cause of dispute to be considered first before ordering pre-deposit :

Cenvat Credit : Where assessee strongly relies upon a judgment in his favour, which is his basic defence going to root of dispute, Tribunal must consider applicability of such judgment prior to making order of pre-deposit under Excise section 35F

CIT can't make sec. 263 revision merely due to his dissatisfaction with manner of assessment

IT: Where Assessing Officer had made necessary enquiry about bank transactions and after being satisfied from assessee's explanation that such transactions were genuine, he passed order under section 143(3), a mere disagreement or dissatisfaction of Commissioner over manner of assessment could not be a basis for revision of order under section 263

Assessee's request to cross-examine the witness was to be disposed off first prior to adjudication

Service Tax : Where assessee seeks cross-examination of witnesses, adjudicating authority must first dispose of such request by way of separate order and then, proceed with adjudication

Sale proceeds of carbon credit to be deemed as capital receipt

IT : Receipt on account of sale of carbon credits is to be considered as capital receipt

Cotton Prices Up On Short Phutti Supply

Cotton prices bounced back to overnight level on Wednesday because of short phutti (seed cotton) supply and ginners demanding higher rates.However, trading activity failed to pick up as spinners are not ready to pay higher prices.



Floor brokers said that in the absence of buying and selling activity cotton market continues to be dull and listless.A large participation of Pakistani textile sector in Heimtexil fair being held from Jan 8 to 11 in Frankfurt, Germany, is another reason which has pushed cotton prices up, brokers added.



They added that the expectations that 226 companies from Pakistan displaying their textile products in the fair could get large export orders are presently inducing sentiment.



The world cotton markets also remained firm where New York cotton market closed higher for all future contracts. Cotton prices in India also rose and during last couple of days gained around 10 cents per lb from 81-82 cent per lb to 90-91 cent per lb.



The Karachi Cotton Association (KCA) revised its spot rates upward by Rs50 to overnight level of Rs7,000 per maund. However, trading activity on ready counter continues to be slow and restricted.



The following deals were reported to have changed hands on ready counter: 200 bales from station Rahimyar Khan at Rs7,000, 1000 bales from Fort Abbas at Rs7,000, 200 bales from Dharanwala at Rs7,040, 200 bales from Faqirwali at Rs7,040, 3,000 bales from Khanewal at Rs7,100, 800 bales from Obaro at Rs7,300 and 1,000 bales from Mianwali at Rs7,350.

Source:- dawn.com

Sindh Sets 1.3M Tons Wheat Procurement Target

The Sindh Government has fixed the wheat procurement target of 1.3 million tons during the upcoming harvesting of the wheat crop and decided to start procurement from the end of March 2014.

This was decided in the meeting regarding wheat procurement plan for crop-2013-14 held at CM House Karachi on Thursday.

The Sindh Minister for Food Jam Mehtab Dahar, Sindh Minister for Local Government, Shajreel Enam Memon, Advisor to Chief Minister for Finance Syed Murad Ali Shah, Chief Secretary Sindh Saleem Sajjad Hotiyana, Additional Chief Secretary Food Naseer Ahmed Jamali, Secretary Finance Sohail Rajput, Additional Secretary CM House Captain Anwar Ahmed and other officers attended the meeting.

Addressing the meeting, the Chief Minister Sindh Syed Qaim Ali Shah directed the officers of Food Department to ensure that each grower should be provided Bardana. He directed that Bardana must be made available at the places accessible to each grower and to ensure that target of wheat procurement is achieved.

The Chief Minister Sindh also directed to all Commissioners, Deputy Commissioners in Sindh to take strict action against hoarders, blackmailers who by creating artificial shortage of wheat, charging high prices from the people. He directed for strictly implementation on the crpc-144 to maintain the demand and supply of the wheat.

The Chief Minister Sindh while lauding the role of the provincial Food Department said that due to the farmers friendly policies of the present Government good production of wheat was harvested, procured and channelised in a systemic way and required wheat quota was regularly supplied to flour mills and to Atta Chakki owners. It was Sindh province where flour is available to each common man at the rate of Rs 42/Kg as compared to Rs 48 in Punjab province and Rs 52 at Islamabad, he added and said that Sindh Government is spending billions of Rupees on subsidy and support price not only to benefit the growers community but consumers interest as well.

Chief Minister Sindh said that with grace of God, the upcoming wheat- crop would be a bumper one. He directed the officers to increase the wheat storage capacity so that we can get benefit by exporting the surplus production in future.

Sindh Minister for Food Jam Mehtab Dahar while briefing the meeting said that in addition to 2 million available jute bags, 11 million more bags to be required for the wheat procurement. He said that he himself to visit each district to get feedback from the growers to ensure judicious supply of Bardana to them. He said that his department has planned to establish control room to get complaints. He assured that Bardana be made available at the place, easily accessible to each individual. While discussing on the subject for the fixation of Government support price of the wheat, the meeting decided that wheat support price would be fixed in the end of February 2014. The Chief Minister Sindh Syed Qaim Ali Shah constituted two-member committee with Additional Chief Secretary Food Naseer Jamali and Secretary Finance Sohail Rajput to discuss and decide about the financial assistance needed to the food department in the head of subsidy and cost of jute bags, transportation and other activities.

Source:-nation.com.pk

Fresh Vegetable Market Opened In Al Khor

Qatar expects to meet 40 to 50 percent of its requirements for livestock and agricultural products through local produce in the next three to five years, the Minister of Environment H E Ahmed Amer Mohamed Al Humaidi said yesterday.



The Minister yesterday opened the Al Khor-Al Dhakira yard, the second market after the Mazrouh yard in Umm Salal, that offers fresh vegetables from local farms for sale at highly competitive prices.



Speaking to the media after opening the new market, the Minister said Qatar was keen to support local farmers to meet the growing demand for livestock and agricultural products in the country.



Currently, locally produced livestock can meet 20 to 30 per cent of the country’s requirements while vegetables from local farms meet 10 to 15 percent of the requirements.“This will be increased to 40 to 50 percent in the next three to five years,” said the Minister.



He said the government is giving lands to the farmers, besides technical and financial support as parts of efforts to achieve food security. “ I met with the farmers and listened to their suggestions to increase local produce,” said the minister.



He said opening of the new market was inspired by the success of Al Mazrouah yard set up last year. More such markets will be opened in the country including one in Al Wakrah, he added.



“There is no middlemen in these markets and the farmers don’t have to pay any fee (for the stalls). This will reduce their cost and the market is beneficial for citizens and expatriates, where they can buy fresh and best quality products at best prices,” said the Minister. The Al Khor-Al Dhakira yard located near Al Khor roundabout has 22 outlets selling vegetables from different local farms. Only two farms that have stalls in Mazrouah yards are participating in the new market while all others are new, according to Yousuf Khalid Al Khulaifi, Director of Agricultural Affairs Department at the Ministry.“ We will include stalls for fresh fish, poultry and livestock in the new market if there is a need,” said Khulaifi.



Farhoud Al Hajiri, director of animal resources department at the Ministry said there is a plan to set up a slaughter house- fixed or mobile- at the new market.

Source:- thepeninsulaqatar.com

Pre-deposit requirement to dispensed with if ST demand is tax neutral, rules HC

Service Tax : Where service tax demanded under reverse charge on foreign commission agent's services would be available as Cenvat credit to assessee, such demand was revenue neutral and, therefore requirement of pre-deposit was to be dispensed with

Passenger Service Fee paid by Jet Airways on behalf of its customers won't attract TDS under sec. 19

IT : PSF passenger service fee paid by assessee, airport operator to airport authority on behalf of its customers did not attract provisions of section 194-I

No service tax leviable on distributors engaged in selling and purchasing of lottery tickets

Service Tax : Where transaction between assessee-distributor and State Government involved only sale and purchase including 'on sale or return' of lottery tickets, which are actionable claims, and assessee was not acting as agent of Government, there was no service involved in transaction and no service tax could therefore be levied

Govt Believes In Economic Diplomacy For Prosperity

Minister of State for Commerce and Textile Industry Engr Khurram Dastagir said that the government believed in trade and economic diplomacy and had evolved a multi-pronged strategy to enhance economic and trade relations with the whole world, especially the regional countries.

While addressing the members of Faisalabad Chamber of Commerce and Industry here on Thursday, the state minister said that grant of GSP Plus Status to Pakistan by the European Union (EU) was a landmark achievement of the government and people deserved congratulation for this unprecedented success. He said that concessions were allowed time and again by the western countries but for grant of GSP Plus Status, Pakistan had fulfilled all requirement and qualified for the status which was for ten year period - from January 2014 to January 2023.

He said that it was a greater success of Pakistan on the international diplomatic level wherein we got inculcated to the European countries that Pakistan had smooth record of democratic transition of government, economic strength and stability was integral to overcome the terrorism in the country. “It is for the first time in the country’s history that a government has raised the slogan of ‘Trade not Aid’ which reflects the government priorities,” Dastagir pointed out.

He asserted that the government had been working hard to enhance economic and trade relations particularly with the regional countries, adding that the government wanted to go beyond India to Far-East countries. The state elaborated that the government was firm to enhance exports of Pakistan through its policy of economic diplomacy and tangible steps were being taken to remove difficulties and hurdles to enhance exports as much as possible.

Eng Khurram Dastagir claimed that a new horizon of economic prosperity had ushered in where people were being taken along as partners in the road to progress of the country. He argued that real democracy laid in empowering the masses and honouring their will and opinions in the decision-making. On the occasion, he announced giving representation to FCCI in various Boards and Standing Committees of the Ministry of Commerce and Textile Industry. He informed that briefings and seminars were being organised to sensitise and create awareness among exporters on GSP Plus procedures and monitoring mechanism.

The state minister emphasised that export of value added textile was being encouraged as it was more cost-benefitting in terms of electricity usage and fetching foreign exchange and a package was in hand for this sector. Khurram Dastagir assured that he was endeavouring hard for the release of refund claims of exporters in the context of R&D, Sales Tax and Duty Draw Back.

He said that successful completion of projects under public-private partnership had set a glowing example and both the public and private sectors could take the nation economy to new heights through this example. He said that import of LNG would be launched from November, 2014 to resolve the problem of gas shortage to industries. He said that he would personally talk to the Punjab Chief Minister for allocation of land for Faisalabad Expo centre with necessary funds from the export development fund.

Earlier in his welcome address, FCCI President Engr Suhail Bin Rashid congratulated the Ministry of Commerce, the PML-N Government for the milestone achievement of GSP Plus Status. He emphasized on the export diversification, enhancing trade with regional countries, economic and trade diplomacy , sustained economic policies and urged for the release of refund claims of exporters stuck up with various government departments to improve liquidity position of industries to produce trade surplus in the context of GSP Plus.

He emphasized on setting up of Faisalabad Expo centre, representation to FCCI in the export development fund and the TDAP Boards, participation of FCCI in foreign trade delegations, signing of more PTAs and FTAs with North America, European and Far East countries. MNAs Mian Abdul Manan and Haji Akram Ansari, former FCCI presidents - Sh Muhammad Khalid Habib, Mian Aftab Ahmed, Mian Javed Iqbal and Muhammad Ayub Sabir, FCCI Senior Vice President Riazul Haq, Vice President Ch Muhammad Asghar, Sh Muhammad Bashir, Seth Mehmood Akbar, Engr Rizwan Ashraf and Rana Sikandar Azam also shared their views on the occasion.

Illegal sand mining from Jhang branch canal continues: Illegal sand mining from Jhang branch canal closed for de-sitting, continued unchecked. Addressing a press conference at Gojra here on Tuesday, Irrigation Employees Power Union leader Allah Bakhsh Sial demanded the Irrigation Department and Toba District Administration, Faisalabad and Chiniot officials to take action against alleged thieves.

He said that canal had been closed under rotation schedule for a month and during the period it was continued unabated despite laws prohibiting the practice. Excessive in-stream sand mining has now begun to threaten some of the banks and shoulders of the canal. He claimed that whenever lower grade staffers of the Irrigation Department stopped the thieves from digging sand from the canal, they attacked and tortured them.

Source:- nation.com.pk

World's Largest Gold Coin Worth More Than Hk$300 Million Goes On Display In Hong Kong

The world’s largest gold coin, on its first visit outside Australia, was unveiled on Thursday at the Hang Seng Bank headquarters in Central as part of a showcase tour for the historic Perth Mint.



The enormous coin weighs 1,012 kilograms and is made from 99.99 per cent pure gold. It is 31 inches wide, more than 4.7 inches thick, and took some 18 months to manufacture.



The coin carries the image of Queen Elizabeth II, the head of state, on one side and a leaping kangaroo on the other.



The 2012 Australian Kangaroo One Tonne Gold Coin is worth HK$305 million, far more than the AU$1 million (HK$6.9 million) legal tender.



Since the coin was released, its worth has dropped to HK$305 million from HK$431.66 million, as the value of gold has tumbled.



Unveiling the golden disc, Andrew Fung Hau-chung, head of global banking and markets at Hang Seng Bank, said it was with luck that Perth Mint, a long-term customer of the bank, chose Hong Kong as a “strategically important” first visit.



“We distribute Perth Mint’s gold coins, and is very popular in Hong Kong and with Chinese everywhere…it demonstrates Chinese as a whole like to accumulate gold and gold bars.”



Despite the Chinese people’s huge appetite for gold, the huge coin will not be put on public display. Only ‘selected’ retail and commercial customers at Hang Seng Bank will be invited to view the coin at the bank’s headquarters. It will be on show there until January 11 before it heads to Berlin, Germany, for a world exhibition.



On its release two years ago, Perth Mint chief executive Ed Harbuz said it was “the pinnacle of ingenuity and innovation”.



“To cast and handcraft a coin of this size and weight was an incredible challenge - one which few other mints would even consider,” said Harbuz, at the time.



Fung said a number of considerations, from a lack of space to host an exhibition to a range of security and safety concerns, ultimately prevented a full public display.

Source:- scmp.com

No sec. 69B addition merely on basis of inflated stock statements given to banks for credit facility

IT: Where Assessing Officer made addition to income of assessee under section 69B on plea that there was difference in quantity and value of stock shown in books of account vis-à-vis as shown to bank, since assessee for purpose of fulfilling margin requirements of bank in stock statement furnished to banking authorities had reflected inflated value of stock, impugned addition was not justified

India Ups Refined Palm Oil Import Tax To Shield Local Producers

India increased import duties on refined edible oils, including palm oil, to 10 percent from 7.5 percent to protect local oilseed growers and refiners against cheaper supplies from major exporters.



The decision could shift demand in India, the world's leading importer of vegetable oils, to crude palm oil (CPO), benefiting Malaysian exporters as the country charges a lower duty on overseas CPO sales than rival producer Indonesia.



The duty on imports of crude edible oil was left unchanged at 2.5 percent, Food Minister K.V. Thomas said."The duty difference between crude and refined edible oils has been raised," Thomas told Reuters after a cabinet meeting.India mainly buys palm oil from the world' top two exporters of the tropical oil, Indonesia and Malaysia, and a small quantity of soyoil from Brazil and Argentina.



India's refined palm oil imports surged 40.5 percent to 2.2 million tonnes in the year to October 2013 as Indonesia structured taxes to favour exports of refined products over crude to support its refining industry.



The Indian government had long resisted local refiners' demands to raise duty on refined palm oil imports because of fears that such a move would stoke inflation.These fears have diminished following last year's good monsoon season which has limited food price increases.The lobby group representing Indian refiners said the measure was modest and would not affect inflation.



"This is an inflation neutral meagre support to the domestic refining industry as the duty gap with crude variant should have been more," said B.V. Mehta, executive director of Mumbai-based trade body the Solvent Extractors' Association.Fadhil Hasan, executive director of Indonesian Palm Oil Association, said the measure would hinder the country's exports to India.



"It will be more difficult for Indonesian refined palm oil producers to enter the Indian market," he said.A Kuala Lumpur-based trader said the hike would shift demand to CPO, forcing Malaysian refiners to seek new markets."Any displacement of import of processed palm oil means we have to find other export outlets," said Mohammad Jaaffar Ahmad, chief executive of Palm Oil Refiners Association of Malaysia.

Source:- in.reuters.com

Import Duty On Refined Oil Raised To 10 Per Cent

The government, on Thursday, increased the import duty on refined edible oil to 10 per cent from 7.5 per cent at present to protect the domestic processing industry and farmers.



The increased duty was approved by the Cabinet Committee on Economic Affairs (CCEA).



The move is expected to fetch the government Rs.600 crore in revenue, while retail prices of refined oil may increase marginally.



“The CCEA has approved increasing import duty on refined edible oil to 10 per cent,” Food Minister K. V. Thomas told PTI after the meeting.



The agriculture, finance and commerce ministries supported the decision to maintain a 7.5 per cent import duty difference between refined and crude edible oils, he added.



The import duty on crude edible oil is now 2.5 per cent. India imports more than 10 million tonnes of vegetable oils every year, which is almost 50 per cent of the domestic need.



Local refiners are now operating below capacity, which affects farmers as well, because importing refined edible oil has become more viable than buying crude edible oil from overseas.

Source:-thehindu.com

Rupee Ends Flat At 62.07 After Erasing Initial Losses

The rupee recovered from initial losses and settled at the overnight closing level of 62.07 against the dollar on Thursday after a late bout of sales by exporters as the US currency weakened overseas.



Fresh capital inflows after three days of outflows and a late recovery in local equities also helped the rupee.



At the interbank foreign exchange market, the local currency resumed lower at 62.22 a dollar from the previous close of 62.07 and declined to a low of 62.24 as domestic equities declined.



It rebounded to a high of 61.9650 on late dollar selling by exporters before ending at 62.07. Yesterday, it had gained 23 paise to a one—week high.



The benchmark 30—share S&P BSE Sensex fell 16.01 points today. Overseas investors bought a net 27.07 million of shares yesterday, as per Sebi data.



“The rupee recovered and closed flat as the dollar index, which measures the greenback against a basket of six major rivals, traded weak after strengthening for two consecutive days,” said Pramit Brahmbhatt, CEO of Alpari Financial Services (India). “Now the local investors are eyeing the release of key inflation data next week.

Source:- thehindu.com

No credit on free supply of goods under sales promotion scheme

Cenvat Credit/ECJ : Goods supplied free under sales promotion scheme are ineligible for credit except where said goods were used for providing free warranty for final product

HC dismissed winding up petition as petitioner failed to prove unpaid claim of respondent

CL : Where petitioner failed to produce any document to establish that goods were sold by petitioner to respondent company and bills had remained unpaid, winding up petition against respondent was to be dismissed

HC rules out applicability of sec. 43B to employees’ contribution to PF; no deduction if paid after

IT : Due date under section 43B (i.e. due date of filing ITR) not applicable under section 36(1)(va) to employees' contributions to PF/ESI etc.

FDI policy reviewed: Ministry retains 100% FDI in Pharma Sector, restricts use of ‘non-compete’ clau

FDI/FEMA/ILT : Consolidated FDI Policy Circular 1 of 2013 - Review of Existing Policy on FDI in Pharmaceuticals Sector - Amendment in Paragraph 6.2.18 of Consolidated FDI Policy Circular 1 of 2013

Setcom has discretionary powers to order further enquiry in order to fix the fate of settlement appl

IT : Jurisdiction to determine as to whether a further enquiry or investigation is necessary under section 245D is vested with Settlement Commission

Sum actually received by assessee from sale of goods can only be subjected to VAT

ST/VAT : In case of sale of vouchers/coupons at discount to distributors/prospective buyers for being adjusted at face value against subsequent purchases, sale value of subsequent purchase of goods by buyers would be price paid by them and sum received on sale of vouchers

Remission of duty - Reverse pro rata input service credit as well; CCR amended

GST : Rule 3 of The Cenvat Credit Rules, 2004 - Cenvat Credit - Reversal of, In Case Duty Remitted on Final Product - Manufacturers Required to Reverse Pro Rata Credit of Input Services Also Pertaining to Final Product on Which Duty Has Been Remitted; Reversal to be Made on Monthly Basis

Interest paid by assessee on its failure to export as per export promotion scheme is not illegal; no

IT: Interest paid by assessee to DGFT on account of its failure to fulfil export obligation under EPCG scheme was not penal in nature and, thus, assessee's claim for deduction in respect of said payment was to be allowed

On acceptance of demand, consequential interest thereto can’t be avoided

Cenvat Credit : Where assessee had, voluntarily, reversed pro rata Cenvat credit pertaining to exempted goods, assessee could not contend that it was not liable to reverse any credit and since assessee had itself accepted requirement of reversal of credit, interest liability would follow as a consequence

Admission of substantial question of law by HC saves assessee from clutches of concealment penalty

IT: Where High Court admitted substantial question of law on addition in respect of which penalty was levied, impugned order of penalty was to be deleted

SEBI issues operational norms for depository participants to facilitate execution of foreign portfol

SEBI : SEBI (Foreign Portfolio Investors) Regulations, 2014 - Operational Guidelines for Designated Depository Participants

RBI eases gold loans norms; lending cap raised to 75% of gold value, devises new way to verify owner

NBFCs : Lending Against Security of Single Product – Gold Jewellery

Deemed capital gain on sale of shares if shares were held for investment and not for trading purpose

IT: Gains from sale of shares, held as investments and not for trading, by assessee who was a salaried employee, is assessable as capital gains and not business income

Writ against pre-deposit order of Tribunal isn’t maintainable, as such order is appealable before HC

Excise & Customs : Interim/Pre-deposit orders passed by Tribunal are appealable before High Court under section 35G of Central Excise Act, 1944; therefore, High Court cannot entertain any writ petition against judgment of Appellate Tribunal except where there is : (1) lack of jurisdiction; or (2) violation of natural justice; or (3) Tribunal order based on ultra vires law

Input credit isn’t available on services used for trading activities

Excise & Customs : Assessee is not entitled to credit of input services used in respect of traded goods; hence, assessee was required to make proportionate pre-deposit.

Duty leviable from first day of FY when assessee admits manufacturing of ‘PAN Masala’ without regist

Excise & Customs : Where assessee had admitted manufacture of Pan Masala without registration since Jan., 2011, prima facie, duty was leviable as per deeming provisions of rule 17(2) of Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008, since 1st April of that financial year i.e., since 1-4-2010

Onus is cast on assessee to prove genuineness of impugned exp. if it has failed to give explanation

IT : In absence of proper clarification with regard to claim of audit fees and bad debt, onus to establish its case being on assessee, matter was remitted for readjudication

Onus is cost on assessee to prove genuineness of impugned exp. if it has failed to give explanation

IT : In absence of proper clarification with regard to claim of audit fees and bad debt, onus to establish its case being on assessee, matter was remitted for readjudication

Land Acquisition Act effective from January 1, 2014

CL : OTHERS : Section 1 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Enforcement of Act - Notified date of enforcement of said act

Insurance cover provided by seller to buyer is a separate service; won't be deemed as part of sales

ST/UK VAT : Where seller of goods, acting as an agent of insurance company, arranges insurance cover for buyer towards risk of buyer, insurance commission received by seller cannot form part of value of goods; it is a service but is covered under reverse charge

Sales made at lesser discount won't attract sec. 40A(2) as no deduction was claimed for such discoun

IT : Where assessee while selling books to its sister concern offered less discount than other customers and did not claim any deduction for amount which had been charged less than that from other customers, then provisions of section 40A(2)(a) could not be applied

Renting of building along with other facilities to preparatory schools is exempt from service tax

Currant Credit/UK VAT : Renting of school building along with other facilities to two nursery/ preparatory schools jointly was exempt from service tax under Entry 9 of Notification No. 25/2012-ST

No EC or SHEC on sugar, tea and other cesses not administered by MoF; CBEC clarifies

GST : Section 3 of The Central Excise Act, 1944 Read with Section 93 of The Finance (No.2) Act, 2004 and Section 138 of The Finance Act, 2007 - Charge/Levy - Excise Duty - Education Cess and Secondary & Higher Education Cess is not Leviable on Sugar Cess, Tea Cess and Other Cesses Not Levied/Administered by Department of Revenue But Levied/Administered by Other Departments Under Special Acts

Natural Rubber Imports Rise 46%, Output Down

Imports of natural rubber went up by 46% to 26,853 tonne in December due to lower prices in international markets and drop of over 5% in domestic production.



Imports increased despite the Centre raising import duty on natural rubber to R30 per kg or 20%, whichever is lower, in December.



The basic customs duty on natural rubber earlier stood at R20 a kg or 20% whichever was lower.



According to Rubber Board data, India's natural rubber imports rose to 26,853 tonne from 18,366 tonne in the same month in 2012.



“Imports have gone up as contracts for import of natural rubber in December were made during September and October, and at that time prices in the international market were down by R35 per tonne as compared to domestic prices," a senior rubber board official said.



During the April-December period of this fiscal, rubber import increased to 2.64 lakh tonne from 1.73 lakh tonne in the corresponding period of previous fiscal.



Meanwhile, production of natural rubber dropped by 5% to 1.08 lakh tonne during December 2013 against 1.14 lakh tonne in the same month of 2012. However, consumption rose to 79,500 tonne in December last year from 78,420 tonne in December 2012.

Rubber exports declined 57% to 695 tonne in December last year as compare to 1,603 tonne in the same month in 2012.

Source:- financialexpress.com

Ccea May Consider Import Duty Hike On Refined Edible Oil To 10%

The cabinet committee on economic affairs (CCEA) is expected to consider a proposal on Thursday to hike import duty on refined edible oil to 10% for protecting domestic industry and farmers.

“The CCEA is scheduled to meet tomorrow and among other things it will consider the food ministry’s proposal of increasing import duty on refined edible oils,” said a source.Currently, the import duty on crude edible oil is 2.5%, while on refined edible oil is 7.5%. Since the duty difference is only 5% between the two varieties, traders have resorted to higher import of refined oils, thereby affecting the domestic refiners and farmers.

To keep domestic refiners from operating at under- capacity, the food ministry has proposed duty difference of 7.5% between the two varieties by raising import tax on refined edible oil to 10%, the source said.If approved, the move is expected to fetch Rs.600 crore revenue to the government, the source added.

Ministries of finance and commerce have endorsed the food ministry’s proposal. The agriculture ministry has however recommended flexible import duty structure, whereby they would automatically go up if global edible oil prices decline by a certain level and fall as soon as international prices rise.

The edible oil industry has demanded increasing import duty on refined edible oil to 30%. India produces 9 million tonne edible oil, while the consumption is around 20 million tonne. The rest is met through imports. In the 2012-13 fiscal, the country had imported Rs.61,273 crore worth of edible oils.

Source:- livemint.com

No concealment penalty merely on wrong claim if assessee had made bona-fide claim without any intent

IT: Where assessee's claim of deduction under section 80-IB was bona fide without intent to evade tax, no penalty under section 271 would be levied merely because its claim was rejected

India’S Ample Steel Supply Meets Weak Demand

India’s steel industry in 2013-14 was not short of the metal as new capacities came on stream, especially among the large producers. Between April-December, the steel industry’s output rose by 5.2% over the corresponding previous period, according to data from the Joint Plant Committee.

Much of this increase was attributable to the main producers, whose output rose by 10.4%, but the major producers’ output fell by 0.3% while that of others rose by 1.9%. The others category represents steel plants with less than 0.5 million tonne capacity while the main producers are Steel Authority of India Ltd and Tata Steel Ltd. Major producers are those in between.

The share of output of other producers has been steadily declining and is now at 56% compared with 69% in the same period in 2012-13. The large plants are increasingly playing a more dominant role and that is likely to increase in the years ahead. But it would be easier for everyone to co-exist if demand was not such a spoilsport.

In April-December, ample production led to a fall in imports and an increase in exports, but what failed the industry was weak user demand, as consumption is estimated to have increased by just 0.5%.

Source:- livemint.com

Cotton Prices Up On Short Phutti Supply

Cotton prices bounced back to overnight level on Wednesday because of short phutti (seed cotton) supply and ginners demanding higher rates.However, trading activity failed to pick up as spinners are not ready to pay higher prices.



Floor brokers said that in the absence of buying and selling activity cotton market continues to be dull and listless.A large participation of Pakistani textile sector in Heimtexil fair being held from Jan 8 to 11 in Frankfurt, Germany, is another reason which has pushed cotton prices up, brokers added.



They added that the expectations that 226 companies from Pakistan displaying their textile products in the fair could get large export orders are presently inducing sentiment.



The world cotton markets also remained firm where New York cotton market closed higher for all future contracts. Cotton prices in India also rose and during last couple of days gained around 10 cents per lb from 81-82 cent per lb to 90-91 cent per lb.



The Karachi Cotton Association (KCA) revised its spot rates upward by Rs50 to overnight level of Rs7,000 per maund. However, trading activity on ready counter continues to be slow and restricted.



The following deals were reported to have changed hands on ready counter: 200 bales from station Rahimyar Khan at Rs7,000, 1000 bales from Fort Abbas at Rs7,000, 200 bales from Dharanwala at Rs7,040, 200 bales from Faqirwali at Rs7,040, 3,000 bales from Khanewal at Rs7,100, 800 bales from Obaro at Rs7,300 and 1,000 bales from Mianwali at Rs7,350.

Source:- dawn.com

Rupee Up 23 Paise To One-Week High Of 62.07 Vs Dollar

The rupee gained for the second day, climbing 23 paise to a one-week high of 62.07 against the dollar today, amid a modest recovery in local stocks and sales of the US currency by exporters and banks.A firm dollar overseas and capital outflows from domestic equities failed to cap the rupee's gains, a forex dealer said.



At the interbank foreign exchange market, the local currency opened strong at 62.20 a dollar from the previous close of 62.30. It declined to a low of 62.27 on initial hesitancy in local equities and capital outflows.



The rupee bounced back and ended at the day's high of 62.07, a rise of 23 paise or 0.37 per cent. It was the highest level for the rupee since closing at 61.90 on January 1.



"It was a positive session for the rupee, which was seen joining the Asian currencies as majority of them were seen gaining against the US dollar," said Abhishek Goenka, CEO of India Forex Advisors.



"Yesterday's US trade data, which saw the deficit shrink markedly, laid the foundation for the rally in the USD/JPY pair," Goenka said.



The benchmark 30-share S&P BSE Sensex washed out part of its early gains and closed about 36 points higher, advancing for the first time in 2014.



Foreign institutional investors continued their selling spree and pulled out USD 85.74 million yesterday, as per Sebi data, taking the total to USD 129.31 million in the past three days.



The dollar index rose 0.17 per cent against most rivals as investors awaited the release of minutes from the Federal Reserve's December meeting later today. The European Central Bank and the Bank of England will release monetary-policy decisions on Thursday.



The US Labor Department is scheduled to release December non-farm jobs data on Friday, providing investors another indication of how the world's largest economy is faring.



"Rupee closed on a positive note. Investors are waiting for the release of minutes from the Federal Reserve's last policy meeting and an employment indicator," said Pramit Brahmbhatt, CEO of Alpari Financial Services (India).



Forward dollar premiums dropped further on persistent receipts by exporters.



The benchmark six-month forward dollar premium payable in June declined to 242-244 paise from 245-247 paise and far-forward contracts maturing in December slipped to 481-483 paise from 484-1/2 to 486-1/2 paise.The RBI fixed the reference rate for the dollar at 62.2430 and for the euro at 84.8185.



The rupee rebounded to 101.88 against the pound from 102.33 previously and bounced back to 84.33 per euro from 85. It recovered to 59.26 per 100 Japanese yen from 59.66.

Source:- news.outlookindia.com

Neither sec. 194C nor sec. 195 attracted if sums paid to NR outside India for services rendered outs

IT/ILT : Where assessee paid freight charges to foreign parties outside India for rendering services abroad, income did not accrue or arise in India and, thus, assessee was not liable to deduct tax at source while making said payments

‘Stolen goods’ can’t be liable to VAT even if they are liable to excise duty

Excise & Custom/ECJ : Theft of goods does not constitute a supply of goods for consideration and cannot be subject to VAT; fact that said goods are subject to excise duty does not affect that conclusion

Entity held guilty under sec. 138 as it was proved that cheque wasn’t issued as security but to hono

Negotiable Instruments Act : Cheques given by petitioner not towards security but towards liability which was co-extensive with that of debtor would attract section 138

Bank’s exposure to Qualified Central Counterparty is outside the ceiling limit related to single cou

BANKING : Banks’ Exposure to Central Counterparties (CCPS) - Interim Arrangements

Trade in Securitised debt instruments to be reported on trade reporting platform within 15 min of tr

SEBI : Reporting of Trades in Securitised Debt Instruments in Trade Reporting Platforms and Clearing and Settlement of Trades in Securitised Debt Instruments Through Clearing Corporations

SEBI list out stiff procedures for depositors in case of issuance and processing of delivery instru

SEBI : Delivery Instruction Slip (DIS) Issuance and Processing

CBDT notifies authority for providing info of income-tax payees to facilitate execution of Food Secu

IT : Section 138 of The Income-Tax Act, 1961 - Disclosure of Information Respecting Assessees to Specified Officer, Authority or Body Performing Functions under Any Other Law - Notified Authority – Director General of Income-Tax (Systems)

Erecting temporary structures without transferring their possession to customers is a 'service'

ST/UK VAT : Activity of advising customers and erecting scaffolding for their use without transfer of possession of scaffolding amounts to provision of service and may be exempt if said service is provided in relation to residential dwelling

HC relies on sanctity of payment via bank; commission paid through cheques held as genuine business

IT: Where purchases were supported by bills, entries were made in books of account and payment was made by cheque, said purchases could not be held as bogus purchases

CESTAT member can practice before Tribunal after demitting his office in probation period; no bar un

Excise & Customs : Bar under section 129(6) of Customs Act, 1962 is not applicable to a Member who demits office while on probation and, therefore, such member may plead/practice before Tribunal after demitting his office

Retro-amendment could only impose liability to pay tax and not interest for default of advance tax

IT : Where assessee claimed exemption under section 80-IA under a bona fide belief that claim of deduction under section 80-IA was available but said exemption was nullified by an amendment that came into force under Finance Act, 2007 with retrospective effect, assessee though would be liable to pay tax in view of retrospective amendment but it could not be held liable to pay interest under section 234B

Expl. to eleventh schedule which expands definition of items ineligible for sec. 32A relief, has ret

IT : Explanation to item 5 of Eleventh Schedule has retrospective effect applicable from assessment year 1988-89

Ex-parte assessment held valid as assessee didn't furnish sales invoices to department even on repea

ST/UK VAT : Where bank receipts exceeded receipts disclosed in return and despite Department's repeated reminders, assessee did not furnish sales invoices nor did it explain source of bank receipts, Department was right in making best judgment assessment

No writ to challenge notice of tax recovery without challenging orders of appellate authorities, say

IT: Writ challenging section 226 order and notice would not be maintainable without challenging Tribunal's decision passed in appeal; in such cases remedy available is statutory appeal to High Court

Poha and Murmura are cereals; entitled to exemption from MP sales tax, rules HC

CST & VAT : 'Cereals' include 'rice' and "Rice" includes both parched rice (poha) and puffed rice (murmura); therefore, exemption from Madhya Pradesh General Sales Tax in respect of 'cereals' would be available to poha and murmura as well

No interest for late VAT payments due to delay in realization of cheques if delay wasn’t attributabl

CST & VAT : For charge of interest from assessee, there should have been default on part of assessee in paying tax within time prescribed in Act; if cheque is presented in time, delay in realization for reasons beyond control of assessee, either for reasons attributable to Department or bank, cannot render assessee liable to interest

HC slams revenue for allowing excess deduction to assessee even in absence of any evidence to prove

IT: Where assessee dealing in sanitary equipments, etc. paid sales commission to agents at 2.81 per cent of total turnover and Assessing Officer allowed such commission at 1 per cent of total turnover, since no evidence was available other than a general contention that commission had been paid, Commissioner (Appeals) was not justified in allowing sales commission at 2.5 per cent

Vehicles meant for private use of assessee won't be eligible for credit as capital goods

ST/UK VAT : Motor vehicles meant for private use of assessee or his staff are not eligible for credit as capital goods

Limitation period for completing block assessment would resume from date of pronouncement of stay or

IT: Where High Court in writ petition stayed block assessment proceedings and subsequently vacated said stay order, limitation period to complete assessment would resume from date on which stay was vacated

Assessee isn’t entitled to seek credit of input services used for trading purposes

Cenvat Credit : A dealer of motor vehicle is not entitled to credit of rent paid for building used for trading purposes; but, in case of services used for both trading activity and taxable services, reversal of credit may be sought on pro rata basis in ratio of value of two activities or on some other just, fair and equitable basis

Tea Turnover Tops Rs 500 Crore At Coonoor

Two significant records were created by the Coonoor Tea Trade Association in 2013, the turnover crossed Rs 500-crore mark and the average price topped Rs 100 a kg, reveals an analysis of market reports.



The average price was above Rs 80-a-kg mark for the second consecutive year. The volume sold continued to remain above 5-crore-kg level for the third consecutive year.



In all, 51 auctions were held last year with 5.95 crore kg being sold against 5.53 crore kg in 2012. A higher volume was sold despite average price rising to Rs 89.32 a kg from Rs 82.28 in 2012.



Consequently, the turnover rose to Rs 531.45 crore from Rs 455.01 crore. This increase of Rs 76.44 crore marked 16.80 per cent growth.



The increased turnover lay spread among factory owners, growers, traders, workers, auctioneers and warehouse keepers.



For the first time at the auctions, the average price crossed Rs 100/kg to touch Rs 104.11 on March 8. It remained above Rs 100 till April 26 peaking to a high of Rs 110.70 on March 21.



However, oversupply in global market reduced exports. Availability of low-priced tea in north Indian auctions reduced upcountry demand. Collectively, in the last quarter, CTTA auction average price crashed to Rs 72 – the least in the last two years. Otherwise, the year’s average price would have been much higher.

Source:- thehindubusinessline.com

Reassessment notice would be non-est if it was not served at address given by assessee to IT departm

IT: Date of issue of notice under section 148 would be date on which same was handed over for service to proper officer

Natural Rubber Imports Go Up By 46 Pc In Dec

Imports of natural rubber went up by 46 per cent to 26,853 tonnes in December due to lower prices in international markets and drop of over 5 per cent in domestic production.



Imports increased notwithstanding the Centre raising import duty on natural rubber to Rs 30 per kg or 20 per cent, whichever is lower, in December.



The basic customs duty on natural rubber earlier stood at Rs 20 a kg or 20 per cent whichever was lower.



According to the Rubber Board data, India's natural rubber imports rose to 26,853 tonnes from 18,366 tonnes of in the same month in 2012.



"Imports have gone up as contracts for import of natural rubber in December were made during September and October, and at that time prices in the international market were down by Rs 35 per tonne as compared to domestic prices," a senior rubber board official said.



During April-December period of this fiscal, rubber import increased to 2.64 lakh tonnes from 1.73 lakh tonnes in the corresponding period of previous fiscal.



Meanwhile, production of natural rubber dropped by 5 per cent to 1.08 lakh tonnes during December 2013 against 1.14 lakh tonnes in the same month of 2012. However, consumption rose to 79,500 tonnes in December last year from 78,420 tonnes in December 2012.

Rubber exports declined 57 per cent to 695 tonnes in December last year as compare to 1,603 tonnes in the same month in 2012.

Source:- business-standard.com

Wheat Exports May Fetch More On Firm Global Prices

India, currently a big wheat seller in the global market, could gain from the firm trend in prices of the cereal, triggered by the concerns over severe cold snap affecting the US crop and large purchases made by African countries



State trading entities – MMTC, STC and PEC Ltd – have offered to sell a total of nearly 8.3 lakh tonnes of wheat. Tenders for the sales expected to be decided over the next 17 days.



“India should exploit the current situation to get the maximum price for its wheat. There is a case for upward revision of the floor price for exports,” said trade sources.



India had set minimum export price of $260 a tonne but has received higher quotes from global buyers for tenders floated recently. So far, about 9 lakh tonnes of wheat have been tendered for sale, but sales of about six lakh tones only have been finalised.



The Government has planned to export about 20 lakh tonnes to create storage space for the new crop expected to arrive in April. The country’s wheat stocks as on December 1 stood at 31 million tonnes, almost thrice the buffer and strategic reserves to be maintained statutorily.



The firm trend in global prices is also aided by the aggressive buying from African nations such as Egypt and Algeria last week. Egypt has bought 5.35 lakh tonnes from Ukraine, Russia and France at an average price of $317 a tonne.



Algeria has bought about 5 lakh tonnes, while Syria has bought about two lakh tonnes.



“Going by the recent market trends India should get better price for its wheat. The intrinsic value of the Indian wheat is $290-300 a tonne – a price at which India should be selling,” an analyst said.



Wheat futures, which rallied to a two week high on the Chicago Board of Trade on concerns of crops damage in the US winter crop, eased a bit on Tuesday on signs of slack demand.



Wheat acreage in the current rabi season has touched a record 302 lakh hectares, raising expectation of a bumper harvest of over 95 million tonnes. Prevailing cold conditions across the wheat growing regions of North India are seen aiding the crop.

Source:- thehindubusinessline.com

Indian Cotton Seen Up On Export Demand, Thin Supply

Cotton futures in India, the world's second-largest producer, are expected to trade higher this week on demand from overseas and local buyers amid a slowdown in supplies due to a cold wave in many parts of the country.



Indian origin cotton is getting good export orders from Pakistan and Bangladesh, while China is buying more of cotton yarn in a bid to bypass duties on the raw fibre, spot traders said.



"Demand for raw cotton has been good from Bangladesh and Pakistan, but supplies have slowed down in the local markets because of the dip in temperature," said Arun Kumar Dalal, a trader from Ahmedabad, a key market in Gujarat state.



Daily cotton supplies have fallen to 170,000-175,000 bales of 170 kg each from 180,000-190,000 the previous week across India due to the cold and cloudy weather, spot traders said.Meanwhile, Chinese buyers are settling cotton import contracts signed earlier to import more yarn from India to bypass duty.



"Chinese buyers are finding importing yarn cheaper than the fiber due to higher duty... Indians have willingly obliged as the deals were struck at much lower rates of 81-82 cents per pound, while current rates are 86-87 cents per pound," Kotak Commodities said in a research note.



The January cotton contract ended up 1.93 percent to close at 20,070 rupees per bale on the Multi Commodity Exchange.In the spot market, the price of the most-traded domestic spot Shankar-6 variety rose 300 rupees to 40,700 rupees per candy of 356 kg, data from the Cotton Association of India showed on Monday.However, estimates of higher output could limit the upside, analysts said.



Spot traders expect cotton prices to fall with the rise in supplies from mid-January.The most-active March cotton contract on ICE Futures U.S. was up 0.80 percent at 83.60 cents per pound at 1248 GMT. (Reporting by Meenakshi Sharma; Editing by Prateek

Source:- in.reuters.com/article

India Emerges Net Exporter Of Steel In April-Dec Period

India has become a net exporter of steel in the first nine months of the present fiscal, mainly due to subdued domestic demand.If the trend strengthens during the January-March period, the country may end up being a net exporter of steel for the entire fiscal, 2013-14, after a gap of five years.



“India emerged as a net exporter of total finished steel in December 2013 as well as during the April-December period,” said Joint Plant Committee (JPC), a unit of Steel Ministry.



Exports went up by 9.5 per cent during the April-December period to 4.136 million tonne (MT), but imports in the same period registered 29.2 per cent decline at 4.09 MT.



In December, exports rose by 13.7 per cent to 0.54 MT while imports nosedived by 46 per cent to 0.37 MT.India has been a net importer of steel since 2007-08. In the last fiscal also, it imported 7.9 MT against its exports of 5.2 MT. Before 2007-08, however, India used to export more than imports.



The surge in exports during the April-December period is a result of rupee volatility, different economic conditions, impact of global downswing and depressed domestic demand, JPC said in its latest report.It attributed the dip in imports to slowdown in domestic economy, exchange rate volatility, relative prices, global downswing and bilateral agreements among others.Almost all domestic producers have had a good growth on the export front in the present fiscal so far.



Steel Authority of India (SAIL) clocked a 122 per cent growth in exports to 177,000 tonne during October-December quarter alone and it is eyeing doubling last year’s volume to 700,000 tonne this fiscal.



Rashtriya Ispat Nigam Ltd (RINL) recorded 142 per cent growth in its export revenue during the April-December period at Rs 519 crore.Rising exports have also helped them raise domestic prices and reduce inventories. Steel makers have raised prices by up to Rs 1,500 per tonne earlier this month.



Impacted by economic slowdown, India’s steel consumption grew by just 0.5 per cent to 53.789 MT during April-December period of the current fiscal.

Source:- business-standard.com

No TP adjustment even if no fee charged by assessee on services rendered to AE as it won’t erode its

IT/ILT: Where assessee's arrangement of not paying any counting fees to its AE and also foregoing corresponding service/incentive fees did not erode tax base, no TP adjustment was required

HC dispenses with pre-deposit requirement of interest and penalty as assessee’s case was arguable

Service Tax: Where assessee's case that 'reimbursement of expenses to foreign party did not amount to receipt of services for reverse charge liability was eminently arguable one, pre-deposit of interest and penalty was dispensed with

CAT directs closure of enquiry instigated by DG when undertaking by Amway clarified all his objectio

CL : Enquiry initiated by DG in respect of alleged unfair trade practices adopted by respondent-Amway was ordered to be closed when undertaking given by respondent would meet all issues /objections raised by DG

Interest on belated payments of EMI on home loan doesn't qualify for sec. 24 deductions: HC

IT : Interest on interest paid due to default in payment of home loan instalments is not deductible u/s 24

Even delay in grant of provisional refund under Gujarat VAT entitled assessee to seek interest there

CST & VAT : Word 'order' includes 'provisional assessment order/provisional refund order' and, therefore, even delayed grant of provisional refund under Gujarat VAT Act, 2003 is entitled to interest at rate of 6 per cent per annum under section 38(2) ibid

No ad-hoc disallowance merely due to auditor's remarks of personal use of business assets by assesse

IT: Gifts already disclosed by assessee in returns of income, which had attained finality, could not be disturbed in assessment proceedings under section 153A

Inputs used in construction of rented building are not eligible for credit

Cenvat Credit : Prima facie, input as defined in Rule 2(k)(i) of CENVAT Credit Rules, 2004 refers to all input tax paid on all goods 'used for providing any output service'; therefore, inputs used in construction of rented building are not eligible for credit

No concealment penalty on wrong depreciation claim if its details were disclosed in tax audit report

IT: Where assessee claimed depreciation on basis of tax audit report and complete particulars regarding depreciation were disclosed in tax audit report, disallowance of depreciation would not warrant penalty under section 271(1)(c)

Sums paid by distributors to dealers on sale of SIM cards liable for sec. 194H TDS

IT : Payment made by assessee distributor of SIM cards, to dealers in relation to sale of SIM cards, is in nature of commission as per section 194H

No writ maintainable against seizure of imported goods pending issuance of show cause notice

Excise & Customs : Where matter involving 'illegal import of gold without declaration in baggage declaration form' required issuance of show-cause notice and adjudication thereof, High Court could not interfere in its writ jurisdiction

No denial of sec. 54F relief even if construction of new house commences before sale of original ass

IT : No denial of deduction u/s 54F for commencing construction of new house before the sale of 'original asset'

Deemed transfer if property was given to builder under development agreement along with power of att

IT: Where assessing Officer found that joint venture agreement entered by assessee with builder relating to her house property resulted into 'transfer' within meaning of section 2(47), reassessment proceedings to tax such capital gains were justified

No appeal lay to HC against charge of clandestine removal on dismissal of such charge by Tribunal

Excise & Customs : Where Commissioner (Appeals) and Tribunal had, on consideration of records of assessee and evidences put forth by assessee (which were not challenged as false by Department), dismissed charge of clandestine removal in part, no appeal could be filed against such finding of fact before High Court

Services in relation to raising of share capital and listing on stock exchange are input services

ST/UK VAT : Services of nominated advisor, reporting accountants, auditors, broker, portfolio valuer, solicitors, registrars and receiving bankers with a view to raise capital and secure a quotation for assessee's shares on Stock Exchange are 'input services'

High value of flats given in mortgage deed couldn't be adopted for making sec. 69 addition

IT : Where assessee-developer had shown valuation of flats mortgaged with Development Authority at higher rate just to meet legal requirement, Assessing Authority could not adopt said value in respect of other flats sold to other persons