Transfer-pricing treatment of ITeS margins excludes pass-through tax recoveries and separate delayed-receivables interest after working-capital adjust...
Capacity-utilisation adjustments under TNMM can neutralise substantiated COVID-related idle costs where underutilisation materially affects profitabil...
TNMM functional comparability requires excluding rice manufacturers from a pure Basmati rice trader's benchmark and recognising operating export recei...
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Charitable character assessment preserves Section 80G approval despite inclusive spiritual teachings and incidental religious expenditure within the s...
Penalty proceedings for cash-loan acceptance require assessment proceedings and recorded Assessing Officer satisfaction; absent these, the proceedings...
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The CESTAT held that the appellant's transportation of goods by road does not attract service tax under Section 66D(p)(i) of the Finance Act, 1994, as they are neither a goods transportation agency nor a courier agency. The charges reimbursed for freight and insurance, incurred on behalf of customers, do not constitute taxable service. The invocation of the extended limitation period under Section 73(1) was rejected since the demand was based solely on disclosed financial records without any concealment or suppression. Consequently, the penalty under Section 78 was also set aside because its imposition depends on the extended limitation period's applicability. The Tribunal allowed the appeal, quashing the service tax demand, interest, and penalty, affirming that no service tax liability arose on the freight income and related charges reimbursed by the appellant.
The CESTAT held that the appellant's transportation of goods by road does not attract service tax under Section 66D(p)(i) of the Finance Act, 1994, as they are neither a goods transportation agency nor a courier agency. The charges reimbursed for freight and insurance, incurred on behalf of customers, do not constitute taxable service. The invocation of the extended limitation period under Section 73(1) was rejected since the demand was based solely on disclosed financial records without any concealment or suppression. Consequently, the penalty under Section 78 was also set aside because its imposition depends on the extended limitation period's applicability. The Tribunal allowed the appeal, quashing the service tax demand, interest, and penalty, affirming that no service tax liability arose on the freight income and related charges reimbursed by the appellant.
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