Provisional assessment under customs law balances trade clearance with revenue protection through interim duty determination and final adjustment.
Provisional assessment under the Customs Act, 1962 is an interim mechanism used when the proper officer cannot complete assessment because information, documents, test results, valuation material, or classification details are incomplete. It may be initiated by the importer or exporter or directed by the proper officer, and is supported by a bond and security. Final assessment later supersedes the provisional figure, fixes the actual duty liability, and allows adjustment for excess payment or shortfall. (AI Summary)

Principal Purpose Test enforcement under the MLI depends on specific treaty notification before Indian domestic application.
The article argues that MLI modifications, including the Principal Purpose Test, require a specific section 90(1) notification before they can operate in India. It relies on Nestle SA to state that treaty benefits and treaty modifications do not become enforceable merely through ratification, and it treats recent ITAT rulings as applying that principle to aircraft-leasing disputes and other MLI provisions. It also says a CBDT circular cannot cure the notification gap and proposes consolidated notifications with synthesised treaty texts. (AI Summary)

Customs clearance mechanisms differ for courier, cargo, and postal imports through distinct documentation, scrutiny, and compliance structures.
Imported goods may be cleared through Courier Bill of Entry, Normal Bill of Entry, or Post Parcel Bill of Entry, each operating within the Customs Act, 1962 but serving a distinct compliance structure. Courier clearance is designed for expedited handling through electronic declaration and automated risk profiling; cargo clearance is a comprehensive import regime requiring detailed declaration and scrutiny; and postal parcel clearance uses a simplified process for personal gifts, small parcels, documents, and low-value consignments. The three mechanisms differ in documentation burden, assessment method, compliance responsibility, and clearance speed. (AI Summary)

Courier shipment detention turns on misdeclaration, undervaluation, documentation gaps, and regulatory approval compliance under customs law.
Courier consignments may be detained by customs authorities where statutory compliance requirements are not met, where risk-based scrutiny is triggered, or where documentary and procedural deficiencies are found during examination of goods filed under a Courier Bill of Entry. Common grounds include misdeclaration, undervaluation, incomplete documentation, incorrect HS classification, KYC non-compliance, mismatch between declared and actual contents, and non-production of regulatory approvals for restricted goods. Detention may also arise from intelligence alerts, risk profiling, or courier operational and manifest errors. (AI Summary)

Equalisation Levy withdrawal reshapes transition taxation, straddle payments, and section 10(50) sunset for non-residents.
Withdrawal of the Equalisation Levy from 1 April 2025 is not retrospective, so pre-transition receipts remain subject to the earlier levy regime, including pending assessments, appeals, refund claims, and residual compliance obligations. The sunset of section 10(50) from Assessment Year 2026-27 ends the income-tax exemption for equalisation-levy-taxed receipts, requiring post-transition receipts to be examined under section 9, Significant Economic Presence analysis, and the applicable treaty provisions. Straddle transactions are governed by the date-of-consideration test, and overlapping foreign Digital Services Tax may create an unresolved foreign tax credit gap. (AI Summary)

GST year-wise jurisdiction under show cause notices remains contested as courts debate consolidation across multiple financial years.
GST adjudication is structured on the premise that each financial year operates as a distinct legal unit for returns, assessment, limitation and compliance, raising the central question whether a single show cause notice can validly cover multiple years. The article explains that this issue has become a significant jurisdictional controversy because consolidated notices may blur the distinction between tax periods, affect the operation of limitation, and weaken year-specific defences. It also notes that the debate is not merely procedural, but concerns the statutory boundaries of the proper officer's power and the discipline built into GST adjudication. (AI Summary)

GST taxable supply depends on doing, not being, and requires a real activity linked to consideration.
GST under the CGST Act is a transaction-based levy that attaches only to a discernible supply involving an activity for consideration in the course or furtherance of business. The article emphasises that the charging framework presupposes doing, not mere status, ownership, entitlement, or passive existence, and that tax liability cannot be inferred from economic consequence alone. It applies this distinction to Joint Development Agreements, government institutions, reverse charge, and valuation, stressing that taxability depends on a real nexus between activity and consideration. (AI Summary)

Import compliance penalties turn on procedural lapse, as delayed LMPC and SIMS certificates did not justify section 114AA penalty.
Late submission of the LMPC certificate and SIMS certificate was treated as a procedural and technical lapse rather than a mala fide attempt to evade duty. The discussion states that penalty under section 114AA was unsustainable because there was no knowingly false or incorrect declaration, while the redemption fine and penalty under section 112(a)(i) were reduced in view of delayed compliance with import documentation requirements. (AI Summary)

Prohibited imports under trade and customs law are absolutely barred, with confiscation and penalties for unauthorized entry.
Importation of goods into India is regulated through a dual framework of the Foreign Trade Policy and Handbook of Procedures issued by DGFT, read with the Customs Act, 1962 and allied laws. Goods may be classified as free, restricted, or prohibited; prohibited goods are absolutely barred from import except in narrowly defined exceptional cases such as specific statutory exemptions or sovereign authorisations. The prohibition operates on considerations of public morality, public health, environmental protection, national security, intellectual property protection, wildlife conservation, and other treaty-based obligations. Customs law enforces that classification at the border through notification, detention, confiscation, and penal mechanisms. (AI Summary)

Presumptive taxation for non-resident electronics service providers narrows PE disputes while overriding royalty and technical service regimes.
Section 44BBD inserts a presumptive taxation regime for non-residents providing services or technology to residents establishing or operating electronics manufacturing facilities in India under a notified scheme. Twenty-five per cent of the aggregate specified amounts is deemed to be business profits chargeable under the head Profits and gains of business or profession. The proviso to Section 44BBD(2) expressly excludes the application of Sections 44DA and 115A to amounts covered by the section, while treaty analysis remains relevant because the deeming fiction applies to profits and not to a Permanent Establishment. (AI Summary)

Circular economy in FMCG packaging needs stronger EPR enforcement, recyclable design, and traceability to curb plastic leakage.
FMCG packaging in India is a major source of plastic waste because high-volume, low-cost packaging relies on multilayer plastics, laminated sachets, and other difficult-to-recycle formats. The environmental problem is shaped by cost minimization, sachet-based consumption, and weak end-of-life accountability under the Plastic Waste Management Rules, the Environment Protection Act, EPR requirements, and pollution control monitoring. A circular economy transition requires stronger EPR enforcement, design-for-recycling standards, mono-material packaging, upcycling, informal sector integration, and digital traceability. (AI Summary)

Charge for non-payment of duty reform softens customs stigma, but separate declaration barriers still remain under licensing regimes.
Clause 88 of the Finance Bill 2026 proposes to amend Section 28(6) of the Customs Act 1962 so that the amount paid under Section 28(5) on voluntary compliance is deemed to be a charge for non-payment of duty rather than a punitive penalty. The amendment keeps the existing procedure, quantum, and timelines intact, but it does not by itself resolve the separate "no prior penalty" declaration requirements under the AEO Regulations 2018, MOOWR Regulations 2019, or the Foreign Trade Policy 2023. The article treats the reform as partial relief only. (AI Summary)

Greenwashing in FMCG packaging undermines plastic waste governance when recyclable and neutral claims outpace verified recovery and compliance.
Greenwashing in India's FMCG plastic packaging system arises where sustainability claims such as recyclable, plastic neutral, or eco-friendly packaging do not match measurable waste reduction or verified material recovery. The regulatory framework relies on the Plastic Waste Management Rules, Extended Producer Responsibility guidelines, the Environment Protection Act, and pollution control oversight, requiring collection, recycling, and traceable compliance documentation. Misleading recyclability claims, offset-based neutrality claims, and inflated reporting may attract consumer protection, environmental, and advertising scrutiny. (AI Summary)

Wilful suppression under GST determines whether delayed tax payment falls under Section 73 or the stricter Section 74.
Distinction under GST between a mere delay in payment and wilful suppression attracting Section 74 turns on the taxpayer's conduct, the surrounding circumstances, and the presence of intent to evade tax. Section 74 is reserved for cases involving fraud, wilful misstatement, or suppression of facts, while ordinary defaults without such intent fall within Section 73. (AI Summary)

Bankruptcy amendment framework expands service provider regulation, undervalued transaction controls, debt priority rules, and disciplinary penalties.
The amendment revises bankruptcy filing conditions, excludes personal guarantor applications from the general effects provision, inserts a specific regime for undervalued transactions, clarifies priority of payment of government dues, and introduces penalties for frivolous or vexatious proceedings. It also broadens the Board's powers over service providers, strengthens information submission and authentication requirements, and updates the complaint, investigation, show cause, disciplinary, disgorgement, restitution, and appeal framework applicable to service providers. (AI Summary)

GSTAT e-filing portal glitches and appeal deadline extension sought to manage the mounting GST appellate backlog.
Full-fledged functioning of GSTAT is urged to address the large backlog of GST appeals and the serious difficulties faced in the e-filing portal, including registration delays, captcha issues, and inability to access appeal filing. The article seeks immediate rectification of the portal so that filing becomes smooth, user-friendly, and capable of supporting timely institution of appeals. It also requests extension of the time limit for filing GSTAT appeals up to 31/12/2026 for cases up to 30/06/2026, with the prescribed three-month limitation under section 112(1) to apply from 01/07/2026 after the defects are cured. (AI Summary)

GST pre-deposit for penalty-only appeals now applies, while interest disputes still remain uncertain under the amended framework.
GST appellate procedure now extends pre-deposit beyond tax disputes to penalty-only cases. Where an order involves only penalty and no tax demand, an appeal before the Commissioner (Appeals) or the Tribunal requires deposit of ten per cent of the penalty amount. The article distinguishes penalty as a deterrent consequence for non-compliance from interest as compensation for delayed payment, and notes that interest remains unaddressed in clear terms. Section 75(7) is treated as showing that tax, interest, and penalty are distinct but interconnected components of a single adjudicated demand. (AI Summary)

Personal guarantor insolvency amendments tighten asset disclosure, creditor process, and repayment-plan timelines under the Code.
Amendments to the insolvency resolution framework for personal guarantors revise the initiation, moratorium, report, and repayment-plan mechanisms under the Code. Interim moratorium does not apply where the application is filed for insolvency resolution in respect of a personal guarantor to a corporate debtor, and the resolution professional's time to examine the application and submit a report is extended from 10 days to 21 days. If no repayment plan is submitted within time, the resolution process is terminated and bankruptcy proceedings may follow. The amended regulations also require disclosure of assets, creditor claims, proxy voting, and coordination for transfer of assets. (AI Summary)

Limitation under GST appeal law turns on DRC-07 upload, with delay grounds requiring reasoned consideration.
Limitation for appeal under section 107 of the CGST Act was examined in the context of a penalty order under section 129 and the later upload of Form GST DRC-07. The key point is that the appellant's plea that delay arose because the mandatory DRC-07 summary was uploaded later had to be considered by the appellate authority. The discussion notes that DRC-07 under rule 142(5) is a mandatory procedural component and may be relevant to delay condonation, though the statutory limitation under section 107 remains unchanged. (AI Summary)

Time-bound processing of RoDTEP and RoSCTL scrolls strengthens export incentive administration, accountability, and timely disbursement.
Time-bound processing of RoDTEP and RoSCTL scrolls is presented as an administrative measure to improve efficiency, transparency, and accountability in export incentive disbursement. The instruction standardises practice across customs formations by requiring prompt validation, approval, and generation of electronic scrolls, with monitoring of pending cases and reporting of delays. It reinforces reasonableness and promptness in customs administration, while supporting export competitiveness and reducing liquidity stress and transaction costs for exporters. (AI Summary)