E-way bill requirement: electronic pre-filing and transporter obligations govern lawful movement of consignments across jurisdictions.
E-way bill rules mandate electronic pre-filing of Part A by the registered consignor or consignee for consignments above the prescribed value before movement, require Part B conveyance details when applicable, permit transporters to generate e-way bills when suppliers do not, allow consolidated e-way bills for multiple consignments, and provide for issuance of a unique e-way bill number with limited cancellation and specified validity tied to distance and time. (AI Summary)

Income tax rate reduction proposed to ease inflationary burden and reward compliant taxpayers ahead of electoral cycle.
Proposal that the income tax rate be reduced to 15% is advanced as a policy response to demonetisation, GST rollout, and inflation; increased compliance and revenue mobilization are said to justify passing benefits to honest taxpayers through lower direct tax rates, while GST rate convergence is identified as a related but more complex reform requiring longer study. (AI Summary)

Transfer at undervalue as gift may be treated as deemed gift affecting tax treatment and demands clear documentary evidence.
When a property is transferred at a price materially lower than market value, and the parties are close relatives with token or unpaid consideration, the excess of market value over stated consideration operates as a deemed gift affecting capital gains and gift taxation. Advisers must ensure correct document characterisation and supporting evidence: absent a rectification deed, separate gift deed, or an express partial-gift clause, authorities and tribunals are bound to treat the transaction according to the executed sale deed. Proper drafting and documentary proof can prevent adverse tax assessments and appeals. (AI Summary)

Temporary structure classification of a jetty determines eligibility for accelerated depreciation under building temporary rules.
Whether a jetty erected under a time bound contractual arrangement and required to be dismantled on completion is a temporary structure or a plant depends on its tenure, primary function and construction; incidental conveyor and electrical fittings do not automatically convert a tenure based landing platform into a plant, and where the jetty's principal role is as a limited life loading platform it falls under the Building-Temporary Structure classification and may attract the accelerated depreciation rate specified in the appendix read with section 32 and applicable rules. (AI Summary)

E-way bill requirement: electronic pre-notification and portal generation required before transporting qualifying consignments.
An electronic e way bill must be generated on the common portal by the consignor, consignee or transporter before movement of goods whose consignment value exceeds the prescribed threshold by furnishing Part A and Part B of FORM GST EWB 01; an EBN is issued to supplier, recipient and transporter. Transporters may generate Consolidated E Way Bills for multiple consignments, must update conveyance details on transfer between vehicles (subject to limited exceptions), and may generate another e way bill when goods cannot be transported within the prescribed validity period. (AI Summary)

MRP revision rules allow manufacturers to update unsold pre packaged goods' MRP to reflect GST effects under conditions.
The Central Government permits manufacturers, packers or importers to revise MRP on unsold pre packaged commodities manufactured, packed or imported before GST implementation to reflect net tax incidence after accounting for additional input tax credit; revisions may be effected by stickers, stamping or online printing while retaining the original MRP, subject to limits on the increase, advertising and notice requirements for upward revisions, a separate sticker procedure for downward revisions without mandatory intimation, exemption of loose goods and specified drug formulations, and a time limited transitional period. (AI Summary)

Business auxiliary service: logo reimbursements not taxable where payments tied to procurement, not promotion of supplier goods.
Whether inclusion of supplier logos and receipt of reimbursements constitutes a taxable business auxiliary service depends on whether the promoted goods are produced, provided by, or belong to the client; where the manufacturer buys and incorporates components into its own branded computers and reimbursements are linked to past procurements rather than enhanced supplier sales, the activity lacks the requisite client-provider relationship and causal benefit to the supplier and is not taxable as business auxiliary service. (AI Summary)

GST registration cancellation procedures clarified, including officer initiated grounds, taxpayer obligations, and post cancellation tax liabilities.
GST registration cancellation covers (1) grounds for voluntary cancellation and officer initiated cancellation including non filing, fraud, discontinuance or transfer of business; (2) the show cause, reply and order sequence using prescribed forms; (3) revocation of cancellation by application subject to conditions and timelines; and (4) post cancellation obligations including payment of outstanding tax, reversal or payment in lieu of input tax credit on stock and capital goods. (AI Summary)

GST registration obligations expand for textile suppliers, altering credit eligibility and rate application across fibres, fabrics and garments.
GST restructures textile taxation by replacing prior central and state levies, imposing registration obligations (with specific nil rated raw jute/raw silk and agriculturist exemptions) and maintaining a composition option for small taxpayers. The rate framework differentiates fibres, yarns, fabrics and garments (including a sale value linked rate for garments), while notification limits refunds of unutilised input tax credit for specified fabric categories. Procurement from unregistered or composition suppliers affects credit eligibility; transitional remission for exporters and concerns of Khadi institutions on reduced exemption coverage are also noted. (AI Summary)

Existence of dispute on debt bars initiation of insolvency resolution when contested before the demand notice.
A contested claim over the existence of the amount of debt raised before an operational creditor's demand notice bars initiation of the corporate insolvency resolution process. The corporate debtor must notify any pre existing dispute within ten days of the demand or produce payment evidence; suits, arbitration or other bona fide pre notice objections about debt existence, service quality, or breach of warranty qualify as disputes preventing insolvency proceedings until resolved by the competent forum. (AI Summary)

Business auxiliary service: physical printing of telephone bills is distinct from billing when only preformatted data is printed and handled.
Printing of telephone bills and attendant post printing tasks based on client supplied data and formats are physical production and fulfilment activities, distinct from the billing process. Billing is a composite financial activity involving consumption data collection, charge calculation, bill generation, transmission to customers and follow up for collection. Where a contractor merely prints preformatted data, supplies equipment and manpower, and does not perform charge computation, validate bill content or engage in customer follow up, the work does not fall within business auxiliary service as framed by the statutory sub clauses. (AI Summary)

Delivery challan under GST: transport document used where invoice is withheld, with specific format, triplicate copies, and invoicing on delivery.
Delivery challan under GST is a transport document issued in specified situations where a tax invoice is not issued at removal of goods, such as when quantity is uncertain, for job work, or for movements not constituting supply. It must be serially numbered and include consignor and consignee details, HSN code, description and quantity (which may be provisional), taxable value and tax breakup where movement is for supply, place of supply for inter state movement, and signature. Challans are prepared in triplicate with designated copies and an e way bill is required for high value consignments; invoicing obligations apply on delivery and special procedures govern multiple shipments. (AI Summary)

Transitional Input Tax Credit rules determine admissible credits and required filings when moving to GST.
Two prescribed transition forms-GSTR TRAN 1 (filed within 90 days) and GSTR TRAN 2 (monthly during the scheme)-govern carry forward of credits to GST. Only amounts admissible as Input Tax Credit under GST may be carried forward; cesses excluded from the definition of input tax are generally ineligible. Carry forward of CENVAT/VAT credit requires admissibility under prior and current law, filing of returns for the six months preceding the appointed day, and substantiation for credits dependent on Central Sales Tax forms; special rules apply for deemed credit, in transit consignments, capital goods, job work, and pending refunds or appeals. (AI Summary)

Procedural retrospectivity: change of trial forum applies to pending and prior offences, subject to legislative intent.
The Supreme Court held that changes to the forum for trial are procedural and generally retrospective; amendments to the SEBI Act transferring trial first to Courts of Session and later to Special Courts apply to offences committed before the amendments and to pending matters unless the statute expressly preserves the earlier forum. A special statute prescribing trial forum displaces general CrPC provisions; there is no vested right in a particular forum and summary procedure cannot be read in absent express legislative provision. (AI Summary)

Transitional input tax credit: carryforward and eligibility conditioned on returns, documentation, job work and refund procedures.
Transitional input tax credit may be carried forward into the electronic credit ledger for registered persons (excluding composition taxpayers) where the credit is admissible under GST, required prior law returns for the six months preceding the appointed day are filed, and credits related to exempt supplies or unsubstantiated Central Sales Tax claims are excluded; substantiated CST claims remain refundable under prior law. Capital goods, job work returns, sales returns, and goods sent on approval are subject to specified timeframes for return to avoid recovery or tax liability, with prescribed forms and refund procedures governing adjustments and pending appeals. (AI Summary)

Cenvat credit not income: unutilized credit cannot be added to taxable income or closing stock.
Whether unutilized CENVAT credit constitutes income is considered under Rules 3-5 of the CENVAT Credit Rules, 2004 and precedent on MODVAT/CENVAT credits. Prior authority treats such credits as adjustments to excise/service tax liability or refundable amounts rather than taxable income. The Bombay High Court applied that principle to reject adding unutilized CENVAT credit to closing stock, recognizing that valuing inputs net of credit under an exclusive accounting method is permissible and that the accounting method does not change the net profit effect. (AI Summary)

Input Tax Credit on opening stock: transitional allocation between CGST and SGST depends on prior registration and invoice type.
Input tax credit on opening stock under the GST transitional framework allocates pre GST excise and VAT credits between CGST and SGST based on prior registration, invoice type and stock category (FG, SMG, RM). Cenvat and VAT carry forwards shown in earlier returns are allowable where applicable; excise elements typically convert to CGST credit and VAT elements to SGST credit, while certain purchases yield deemed credits or nil CGST entitlement. Capital goods credits are subject to permissibility under both previous law and GST, with unclaimed balances potentially carried forward. (AI Summary)

Reduced GST rate on specified works contracts eases tax burden for public infrastructure and affordable housing projects.
Notification No. 20/2017-Central Tax (Rate) reduces central GST on specified composite supply of works contract services. The reduced treatment applies to contracts supplied to governmental authorities for historical monuments, irrigation works and water treatment plants, and to a wider set of public interest constructions such as roads, bridges, urban renewal and affordable housing schemes, pollution control plants and funeral structures. A narrower reduced category covers original works for railways, single residential units, approved low cost houses, post harvest storage and mechanised food grain handling equipment. Corresponding IGST and UTGST measures have been issued; state SGST notifications are required for full implementation. (AI Summary)

Failure to furnish Statement of Financial Transaction or reportable account attracts prescribed daily penalty and notice-triggered higher penalty.
Persons required to report include assessees and specified registering or recording authorities who must furnish returns for specified financial transactions-covering purchases, sales, services, works contracts, investments, expenditures and loans or deposits above prescribed thresholds-in the prescribed form and manner by the prescribed due date. Authorities may treat defective returns as invalid after an opportunity to rectify and may serve notices requiring delayed filers to submit returns within a set period. Failure to file attracts a statutory daily penalty, with amended provisions changing terminology to statements of financial transaction or reportable account and prescribing higher penalties after notice. (AI Summary)

GSTR-3B filing requirement: summary monthly return and tax payment must precede submission under transitional GST timelines.
Notifications extended initial GST filing windows and required summary monthly payment and reporting via Form GSTR-3B, with invoice-level details to be furnished later. GSTR-3B must be filed by all normal registrants for each GSTIN (excluding specified categories), contains month end totals for supplies, reverse-charge, inter state supplies, eligible/ineligible ITC, exempt supplies and tax payments, and may be submitted only after payment is reflected in the electronic cash ledger. The portal enforces ITC utilisation priorities, disallows part payments, and allows transitional credit use only after prescribed TRANS filings. (AI Summary)