Arbitration enforcement: binding awards enforceable, while mediation and conciliation are non-binding settlement processes encouraging pre-arbitral resolution.
Arbitration yields a binding, enforceable arbitral award requiring prior agreement and adjudication by a neutral arbitrator; conciliation is less formal, conciliators propose solutions without enforcement power and outcomes depend on party agreement; mediation is facilitative, non binding unless parties record a settlement. Communication allowances increase from arbitration to mediation. Parties may agree that mediation precedes arbitration so a failed mediation is referred to binding arbitration under agreed rules, creating incentives for good faith mediation participation. (AI Summary)

Service tax demand based on Form 26AS is improper when raised without independent investigation and valuation compliance.
Service tax demands cannot rest solely on Form 26AS entries without adjudicatory investigation; reliance on such third party tax records, without verifying contracts, invoices and payments, is legally deficient. Where an extended limitation period is invoked, assessment must follow Valuation Rules, 2006 and proper factual inquiry; absent those steps, a demand based on Form 26AS or best judgement computation is unsustainable. (AI Summary)

Ex-parte proceedings improper where service and appearance records are inconsistent; matter remitted though dispute rendered moot after payment.
The tribunal found the Adjudicating Authority's statement that the corporate debtor repeatedly failed to appear was not supported by the record: initial notice and adjournments were recorded, and an affidavit of service was filed shortly before the hearing. It held that proceeding to an immediate ex-parte hearing without a separately listed ex-parte hearing was procedurally improper and remitted the matter for fresh consideration, noting that subsequent full payment of the disputed debt removed any live controversy. (AI Summary)

Business Auxiliary Service: corporate guarantees treated as taxable services where show cause notices identify the facilitating service and charge accordingly.
The tribunal held that corporate guarantee commissions are taxable as Business Auxiliary Service, finding that the revenue had invoked inconsistent taxable service categories in the show cause notices and adjudication, failed to determine facilitation within the financial services classification, and therefore issued notices lacking requisite certainty to sustain the recovery order; the revenue has appealed to the supreme court. (AI Summary)

Notification publication: effective tax notifications require gazette publication, public availability, and conditions capable of compliance.
A notification is a formal instrument published in the Official Gazette to announce tax changes, exemptions, rates or amendments; the operative act is the Gazette's availability to the public rather than mere printing. Conditions in notifications must be capable of compliance. To ascertain a notification's effective date two prerequisites are mandatory: publication in the Official Gazette and availability to the public on the date of issue. Curative notifications aimed at mitigating hardship are construed liberally and may be read retrospectively. (AI Summary)

Transitional credit invalidly denied where only a summary show-cause notice was served, requiring proper notice for recovery.
The court held that on transition the assessing authority's role is limited to verifying figures declared in TRAN-1 and admissibility of the claimed credit under the Act; service of only a summary show-cause (Form DRC-01) and a summary order (Form DRC-07) does not constitute proper adjudication, producing a material procedural irregularity that vitiates proceedings predicated on such summaries. (AI Summary)

Deduction for co-operative societies: interest from registered co-operative banks qualifies for deduction under the co operative investment provision.
Where a co-operative society receives interest from a co-operative bank that is registered under the co-operative societies law, that interest qualifies as investment income from another co-operative society and is deductible under the provision permitting deduction of interest or dividends derived by a co-operative society from investments with any other co-operative society; departmental arguments that a co-operative bank loses co-operative society status by serving the public do not alter the statutory definition or the availability of the deduction when the bank remains so registered. (AI Summary)

Penalty for abetment cannot rest solely on a retracted statement; corroborative evidence is required to prove involvement.
Penalty for abetment of illegal importation cannot rest solely on a proprietor's uncorroborated or retracted statement; independent admissible evidence is required to prove active involvement such as communications with overseas agencies, arranging undervaluation, or illicit fund transfers. Judicial release of goods and mere handing over of import documents to a clearing agent weaken any presumption of proxy importation and do not satisfy the corroboration requirement for imposing abetment penalties. (AI Summary)

Input Tax Credit compliance: automated DRC-01C intimation obliges taxpayer response or faces restricted subsequent return filings.
GST developments include raising the arrest threshold in GST enforcement and a judicial clarification that the GST Council cannot determine goods classification. Administratively, biometric Aadhaar-based verification under Rule 8(4A) has been extended to additional states. GSTN introduced automated DRC-01C notices for ITC mismatches between GSTR-2B and GSTR-3B, requiring taxpayer responses or payment and potentially blocking subsequent filings; system-computed ITC reversals under Rule 37A have been communicated for compliance. Guidance for direct API integration with IRPs for e invoice reporting has also been issued. (AI Summary)

Remittance of assets restricted; authorized dealers may permit limited annual repatriation by NRIs/PIOs; larger transfers require RBI permission.
Remittance of assets outside India is broadly defined to include deposits, provident and superannuation benefits, insurance proceeds, and sale proceeds of shares, securities and immovable property. A general prohibition prevents remittances of assets held in India unless permitted by the Reserve Bank or an authorized dealer under specified regulations. Authorized pathways permit limited repatriation by NRIs, PIOs, certain foreign citizens, students and for liquidation or winding up, subject to documentary evidence, auditor certificates, undertakings and RBI directions; all remittances remain subject to applicable tax laws. (AI Summary)

GST on seconded employees' salaries: interim stay against demand for tax on Indian-currency payments pending challenge.
The petition contests assessment of GST on payments for seconded employees' salaries in Indian currency after departmental inquiries and subsequent notice under Section 73 CGST Act; petitioner had earlier deposited tax and interest and received partial administrative closure but was later issued an impugned notice proposing additional tax with conditional penalty waiver. The High Court stayed the departmental proceedings arising from that notice pending adjudication of the writ petition. (AI Summary)

SCOMET export controls require exporters to obtain authorization before exporting sensitive goods; noncompliance risks criminal and administrative penalties.
SCOMET export controls regulate sensitive chemicals, organisms, materials, equipment and technologies; exporters must determine whether products are listed, monitor list updates, and obtain a valid government export authorization before exporting listed items. The authorization is the primary compliance mechanism and failure to secure it can lead to administrative and criminal penalties, suspension of export privileges, and reputational harm. (AI Summary)

Assessee protection from adviser fraud: appeal delayed by chartered accountant's misconduct must be considered on merits.
Where delay in prosecuting an appeal results from a retained professional's fraud or negligence, the principal should not be penalised by dismissal on limitation grounds. The appellate order dismissing the appeal for delay was set aside and the authority was directed to afford a reasonable hearing and reconsider the appeal on its merits, addressing the demand for tax, interest and penalty and passing a reasoned order within a short prescribed period. (AI Summary)

Condonation of delay requires demonstration of sufficient cause; discretionary relief hinges on diligence and bona fide conduct.
Appeals and applications are subject to fixed limitation periods with statutory, narrowly-drawn extensions available only where the appellant is "prevented by sufficient cause"; sufficient cause must be shown by credible explanation and evidence of diligence, excluding negligence, inaction or lack of bona fides. Condonation of delay is discretionary and not a matter of right: once sufficient cause is established the court still exercises discretion by considering diligence, bona fides and other relevant facts, and may refuse relief where adequate reasons are not furnished. (AI Summary)

Receipt of foreign patents not taxable as intellectual property service absent Indian registration or protection.
Receipt of patents or technology that are not registered or protected under Indian law do not constitute a taxable Intellectual Property Service; absent evidence of domestic registration or protection, imported technology transfers cannot be taxed on a reverse charge basis as intellectual property service. (AI Summary)

Attachment before judgment should guide interim security in arbitration, promoting a harmonized preliminary test to prevent abuse.
The article evaluates whether principles of attachment before judgment under Order 38 Rule 5 CPC should govern applications for securing disputed amounts under the Arbitration and Conciliation Act. It summarizes judicial divergence between courts that apply the twin prerequisites of a strong prima facie case and risk of frustration of relief, and courts that permit broader discretion under arbitration law. The author advises a middle approach: apply Order 38 principles as a preliminary filter to exclude frivolous claims while allowing discretionary departures where special circumstances warrant interim security. (AI Summary)

Classification of flavoured milk: GST Council recommendations are not binding; classification rests with assessing authorities, affecting tax treatment.
The court held that the GST Council can recommend tax rates but does not have power to determine classification; flavoured milk is not a 'beverage containing milk' meant for plant based milks and must be classified under Heading 0402, attracting the lower central tax rate in the applicable goods rate notification, while the Government may independently amend notification entries or rates. (AI Summary)

Option in the ITR form creates the right to concessional corporate tax; filing relief for the separate form should apply across years.
The concessional corporate tax regime is activated by exercise of the option in ITR-6, which creates a substantive right; Form Ten IC is procedural and delays in its filing due to technical difficulties have been condoned by circulars, supporting a broader application of relief to all relevant years and a need for clarification or dispensation of the separate form requirement. (AI Summary)

OIDAR services expansion broadens GST reach, potentially bringing most internet-delivered services into the tax net and complicating compliance.
The Finance Act 2023 amendment removes the qualifier "essentially automated and involving minimal human interaction" from the definition of OIDAR, thereby broadening GST coverage to virtually any internet-delivered service, including those with human involvement such as institutional online education. This change raises a central inquiry whether a service can be supplied without information technology and shifts emphasis to the supplier's mode and capacity, creating uncertainty for cross-border providers. The article urges adoption of EU-style indicators (supplier-side involvement, automation, individualized feedback) to restore clarity and reduce compliance burdens. (AI Summary)

Registration requirement under tax rules may bar unregistered charitable associations from obtaining 12A tax registration.
The Rule 17A(2)(c) requirement for a self-certified copy of registration with the Registrar of Companies, Registrar of Firms and Societies, or Registrar of Public Trusts raises the question whether income-tax registration for charitable institutions is contingent on separate statutory registration. A recent tribunal decision sided with the revenue, but the note stresses competing considerations: the revenue's recordkeeping and control rationale versus the tax law's own renewal-based review of activities, leaving the matter open for higher forum scrutiny. (AI Summary)