TaxTMI Updates e-Newsletter
Jan 05,2012

Summary: Limitation and calibration of post-assessment proceedings is necessary to curb unproductive litigation. Where an assessing officer has taken a reasonable and possible view after examination, rectification, revision or reassessment should not be initiated merely due to a change of opinion; reopening is improper absent an apparent mistake or escapement of income. Monetary thresholds and mandatory opportunities for assessees to respond to audit objections are proposed to ensure proportionality and prevent harassment.

Summary: Notification prescribes average refund rates for services used in exports and implements refunds through the Indian Customs EDI system, enabling automatic direct credit to exporters' bank accounts without additional export documentation, with Customs officers vested with powers of Central Excise/Service Tax officers to process refunds.

Summary: Sale of three government securities is announced through uniform price auctions conducted by the Reserve Bank of India, permitting both competitive and non-competitive bids with up to five per cent of each notified amount reserved for eligible individuals and institutions under the Scheme for Non-Competitive Bidding Facility; bids must be submitted electronically on the Negotiated Dealing System and the stocks are eligible for when issued trading under RBI guidelines.

Summary: Substitutes the Table in Notification No. 53/2011-Customs with a consolidated tariff Table setting revised ad valorem and specific rates across numerous HSN/ tariff items, implementing HSN changes and deeper tariff concessions (including to Malaysia). Issued under powers of the Customs Act as necessary in the public interest, the substituted Table replaces the earlier schedule and comes into force from 1 January 2012.

Summary: Substitutes the Table in Notification No.46/2011-Customs with a comprehensive revised tariff schedule updating HSN classifications and stipulating new import duty rates (percentage and specific duties where applicable), including deeper tariff cuts for ASEAN nations; enacted under sub-section (1) of section 25 of the Customs Act, 1962, effective 1 January 2012.

Summary: The notification amends the preamble of Notification No.116/2010 Customs to substitute the previously stated ad valorem customs duty rate with a lower ad valorem rate for the special dispensation applicable to Brunei under the ASEAN India FTA, and declares the amendment to take effect from 1 January 2012.

Summary: The Central Government exempts listed goods imported from Pakistan and Sri Lanka from customs duty in excess of the concessional rates specified in the annexed Table, subject to the importer proving origin under the Rules of Determination of Origin of Goods under SAFTA; goods specified in the ANNEXURE are excluded. The notification is effective from 1 January 2012 and supersedes earlier notifications cited therein.

Summary: Substitutes the tariff Table in Notification No.69/2011-Customs to revise HSN classifications and import duty rates across numerous tariff headings, including targeted deeper duty reductions for tariff items 8408, 2020 and 870840; each listed heading is matched with the description "All goods" and an applicable rate. The amendment is issued under the customs enabling powers, published as an exemption notification amending the principal notification and takes effect from 1 January 2012.

Summary: Substitutes the Table in the principal customs notification to implement deeper duty reductions under the India-Korea CEPA and to effect HSN classification changes, replacing the prior schedule with a detailed list of tariff items and revised rates for the specified commodity codes; enacted under the Customs Act and effective from the commencement date specified in the notification.

Summary: Amends Notification No.151/2009-Customs by substituting its Table with a revised Table of specified HSN chapters, headings and tariff items, largely recording scope as "All goods" with certain item-specific exceptions, thereby updating the tariff classification coverage of the principal notification under the powers of section 25(1) of the Customs Act, 1962.

Summary: The notification substitutes revised HSN/tariff headings into the tables and annexure of six specified customs exemption notifications by replacing designated column and serial entries with updated tariff codes. These amendments are textual and confined to replacing earlier tariff references with the substituted HSN entries, without changing exemption eligibility, and the changes take effect from the stated commencement date.

Summary: The Board has reassigned a Show Cause Notice issued by the Directorate of Revenue Intelligence in the matter of M/s SNS Enterprises and others to the Commissioner of Customs (Import), New Custom House, Ballard Estate, Mumbai, for adjudication under a notification made pursuant to the Customs Act, noting that the same Commissioner had earlier been assigned a related notice in the same matter.

Summary: IPLC is within the definition of telecommunication service but taxable only when provided by a supplier who qualifies as a telegraph authority under the licensing requirement; foreign providers that cannot constitute such an authority remain outside telecommunication service taxability. The prior view reclassifying such services as business support service is corrected.