Commercial vehicle depreciation, scientifically determined warranty provisions and exempt-income disallowances were resolved in favour of the taxpayer...
Inherited property sale proceeds require capital-gains treatment where ownership is supported by evidence, not suspicion or unverified signature doubt...
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Capital-goods exemption covers plant-modernisation accessories, while the import restriction applies only to earlier capital-goods components and spar...
The appellant imported parts on which Special Additional Duty (SAD) was paid, but these parts were not sold as such. Instead, they were used for installation of an irrigation system and sale of goods. The appellant claimed a refund of SAD under Notification No. 102/2007-Cus, which was rejected by the revenue authorities on two grounds: (1) the parts were not sold as imported, and (2) the appellant did not pay Value Added Tax (VAT) as the goods attracted a nil rate of VAT. The Tribunal held that although the appellant gave a different nomenclature while reselling the goods, no further process was carried out, and the parts were sold individually. The contract had separate portions for sale of goods and installation of the irrigation system. Therefore, the rejection of the refund claim on the first ground was incorrect and illegal. Regarding the second ground, it is settled law that even if the goods attract a nil rate of VAT, it is treated as VAT being paid appropriately. Hence, the refund cannot be rejected on this ground either. The Tribunal relied on its earlier decisions in similar cases, holding that the refund is admissible under Notification No. 102/2007-Cus even if the goods attract a nil rate of VAT.
The appellant imported parts on which Special Additional Duty (SAD) was paid, but these parts were not sold as such. Instead, they were used for installation of an irrigation system and sale of goods. The appellant claimed a refund of SAD under Notification No. 102/2007-Cus, which was rejected by the revenue authorities on two grounds: (1) the parts were not sold as imported, and (2) the appellant did not pay Value Added Tax (VAT) as the goods attracted a nil rate of VAT. The Tribunal held that although the appellant gave a different nomenclature while reselling the goods, no further process was carried out, and the parts were sold individually. The contract had separate portions for sale of goods and installation of the irrigation system. Therefore, the rejection of the refund claim on the first ground was incorrect and illegal. Regarding the second ground, it is settled law that even if the goods attract a nil rate of VAT, it is treated as VAT being paid appropriately. Hence, the refund cannot be rejected on this ground either. The Tribunal relied on its earlier decisions in similar cases, holding that the refund is admissible under Notification No. 102/2007-Cus even if the goods attract a nil rate of VAT.
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