Just a moment...

⚠✕
❮ Top
☎ Help
☰
×

By creating an account you can:

Logo TaxTMI
Keyword Search :
AI Tools : New
Ask tax questions in natural language. Powered by AI trained on the TaxTMI legal database. Use AI Tools ➞
Call Us / Help / Feedback✕

Contact Us At :

✉ E-mail: [email protected]

✆ Call / WhatsApp at: +91 99117 96707

For more information, Check Contact Us

FAQs :

To know Frequently Asked Questions, Check FAQs

Most Asked Video Tutorials :

For more tutorials, Check Video Tutorials

Submit Feedback/Suggestion :

Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters0/2000
Make Most of Text Search ✕
  1. Checkout this video tutorial: How to search effectively on TaxTMI.
  2. Put words in double quotes for exact word search, eg: "income tax"
  3. Avoid noise words such as : 'and, of, the, a'
  4. Sort by Relevance to get the most relevant document.
  5. Press Enter to add multiple terms/multiple phrases, and then click on Search to Search.
    6. Text Search
  6. The system will try to fetch results that contains ALL your words.
  7. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
    8. Text Search
╳
Add to...
You have not created any category. Kindly create one to bookmark this item!
✕
Create New Category
Hide
Title :
Description :
❮❮ Hide
❮ Default View
Expand ❯❯
Close ✕
🔎 TMI Notes - Adv. Search ❯
TEXT SEARCH:

Press 'Enter' to add multiple search terms. Rules for Better Search

Search In:
Main Text + AI Text ❯
  • Main Text
  • Main Text + AI Text
  • AI Text
Law:
---- All Laws----❯
  • ---- All Laws----
  • Benami Property
  • Bill
  • Central Excise
  • Companies Law
  • Customs
  • DGFT
  • FEMA
  • GST
  • GST - States
  • IBC
  • Income Tax
  • Indian Laws
  • Money Laundering
  • SEBI
  • SEZ
  • Service Tax
  • VAT / Sales Tax
Types:
---- All Types ---- ❯
  • ---- All Types ----
  • Act Rules
  • Case Laws
  • Circulars
  • Manuals
  • News
  • Notifications
Sort By: ?
In Sort By 'Default', exact matches for text search are shown at the top, followed by the remaining results in their regular order.
RelevanceDefaultDate
    Act RulesBills
    Rate of income-tax in case of companies - Budget 2017-18 - Income Tax Rates - For the Assessment Yea...
    Act RulesBills
    Rate of income-tax in case of every local authority - Budget 2017-18 - Income Tax Rates - For the As...
    Act RulesBills
    Rate of income-tax in the case of ever firm (partnership firm) - Budget 2017-18 - Income Tax Rates -...
    Act RulesBills
    Rate of Tax in case of co-operative society - Budget 2017-18 - Income Tax Rates - For the Assessment...
    Act RulesBills
    Income Tax Rates - For the Assessment Year 2018-19 and Rates for deduction of tax at source from "Sa...
    Case LawsVAT / Sales Tax
    Classification of goods - Impact of use of punctuation mark
    Case LawsCustoms
    Withdrawal of Anti-Dumping Duty - Designated Authority has no power to give retrospective relief
    Act RulesGST
    Meaning and scope of supply under GST (Part 2) - Import of services will be treated as supply and wi...
    Act RulesGST
    Meaning and scope of supply under GST (Part 1) - Since CGST, SGST or IGST will be levied on supply o...
    Case LawsService Tax
    Whether the vessels or ships that are afloat are not goods and immovable property? - CESTAT says Yes...
    Case LawsService Tax
    Adjustment of excess paid service tax – rule 6(3) of STR, 1994
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Currency conversion using telegraphic transfer buying rate (‘TTBR...
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Documents to be furnished for availing FTC
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) in case of MAT/ AMT
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Lower of the tax payable under the Act and DTAA
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Cases in which no FTC benefit would be available
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) shall be allowed if evidence & undertaking furnished within 6 months ...
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Meaning of foreign tax
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Benefit on proportionate basis
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - FTC benefit in the year in which income offered to tax
❮
❯
❯❯
MaximizeMaximizeMaximize
0 / 200
Expand Note
Add to Folder

No Folders have been created

    +

    Are you sure you want to delete "My most important" ?

    NOTE:

    Open Link
    Notes
    Showing Results for :
    Reset Filters
    Results Found:
    Show All SummariesHide All Summaries
    Act RulesBills
    Rate of income-tax in case of companies - Budget 2017-18 - Income Tax Rates - For the Assessment Yea...
    Show AI Summary
    Corporate tax rate differential for domestic companies introduced, with tiered surcharge rules and specified cess treatment applied.
    The Finance Bill revises company tax by setting a lower rate for domestic companies meeting a specified turnover threshold and a higher standard rate otherwise, while maintaining the existing rate for non-domestic companies. Tiered surcharge rates apply differently to domestic companies and to companies other than domestic companies, with marginal relief available. Education Cess and Secondary and Higher Education Cess remain generally applicable, but are not levied on tax deducted or collected at source for domestic companies and other residents under specified entries; both cesses still apply to salary TDS and to non-residents and non-domestic companies.
    Act RulesBills
    Rate of income-tax in case of every local authority - Budget 2017-18 - Income Tax Rates - For the As...
    Show AI Summary
    Rate of income-tax for local authorities remains unchanged; surcharge applies and marginal relief available for high-income local authorities.
    Rate of income-tax for every local authority is preserved at the level specified for the prior assessment year. Surcharge is imposed on local authorities whose income exceeds the high-income threshold, levied at a specified percentage, and marginal relief is provided to mitigate abrupt liability increases near that threshold.
    Act RulesBills
    Rate of income-tax in the case of ever firm (partnership firm) - Budget 2017-18 - Income Tax Rates -...
    Show AI Summary
    Firm income-tax rate continues unchanged, with surcharge for higher-income firms and marginal relief available.
    The rate of income-tax applicable to every firm continues at the same level as for the preceding assessment year for assessment year 2018-19. For firms with total income exceeding one crore rupees, a surcharge is levied at twelve per cent, and marginal relief is available where applicable.
    Act RulesBills
    Rate of Tax in case of co-operative society - Budget 2017-18 - Income Tax Rates - For the Assessment...
    Show AI Summary
    Co-operative society tax rates remain unchanged for the assessment year; surcharge applies to higher incomes and marginal relief provided.
    Rates of income-tax for co-operative society taxpayers remain the same as in the prior assessment year under the First Schedule of the Finance Bill, 2017. A surcharge applies to societies with higher income and marginal relief is provided to mitigate surcharge impact at threshold points.
    Act RulesBills
    Income Tax Rates - For the Assessment Year 2018-19 and Rates for deduction of tax at source from "Sa...
    Show AI Summary
    Income-tax rate structure revised for salaries, advance tax and special cases with senior citizen slabs and surcharge.
    Part III of the First Schedule to the Finance Bill, 2017 prescribes the income-tax rates for deduction at source from salaries, advance tax computation and charging of income-tax in special cases for financial year 2017-2018. Tiered progressive rates apply to individuals, HUFs, AOPs, BOIs and specified artificial juridical persons. Distinct nil-tax thresholds and slab treatment are provided for resident individuals aged sixty to less than eighty and for those aged eighty or more. A surcharge of ten per cent applies within a defined high-income range and fifteen per cent above the higher threshold, with marginal relief available.
    Case LawsVAT / Sales Tax
    Classification of goods - Impact of use of punctuation mark
    Show AI Summary
    Punctuation in statutory entries limits tax conditions, so excise levy applies only to specifically linked goods.
    Punctuation in statutory entries must be given effect; a colon and conjunctions in the schedule create a break separating "leather cloth and inferior or imitation leather cloth ordinarily used in book binding" from other goods, so the condition imposing additional excise duty in lieu of sales tax applies only to the latter group. Historical layout of the entry corroborates this limited reading, and absence of argument before the Tribunal does not estop application of the statutory construction.
    Case LawsCustoms
    Withdrawal of Anti-Dumping Duty - Designated Authority has no power to give retrospective relief
    Show AI Summary
    Withdrawal of anti dumping duty: Designated Authority lacks power to grant retrospective relief; rescission is prospective.
    Designated Authority lacks power to recommend retrospective withdrawal of an anti dumping duty following a mid term review; where domestic producers ceased production and the authority recommended rescission, the government's rescission preserved prior acts, and the tribunal held no rule permits retrospective relief in review proceedings, so withdrawal operates prospectively.
    Act RulesGST
    Meaning and scope of supply under GST (Part 2) - Import of services will be treated as supply and wi...
    Show AI Summary
    Importation of services: subject to GST under reverse charge; potential double levy with customs needs exemption.
    Importation of services falls within the definition of Supply and is subject to GST under the reverse charge mechanism, creating potential overlap with Customs duty where transactions importing goods are contractually treated as services. Administrative or legislative clarification is needed to prevent concurrent levies, either by Customs exemptions for imports characterised as services or reciprocal GST relief where Customs duties apply. The draft also raises uncertainty about personal use exemptions limited to taxable persons and suggests extension or harmonisation of exemptions for non taxable persons.
    Act RulesGST
    Meaning and scope of supply under GST (Part 1) - Since CGST, SGST or IGST will be levied on supply o...
    Show AI Summary
    Scope of supply under GST includes consideration-based transactions, importation of services, and specified free supplies.
    The statutory definition of supply under the Model GST Law comprises three categories: supplies for consideration in the course or furtherance of business (sale, transfer, barter, exchange, licence, rental, lease or disposal); importation of services regardless of consideration or business purpose; and specified supplies made without consideration as listed in Schedule I. Clause (a) targets domestic, consideration-based transactions; clause (b) treats importation of services as separately taxable; and clause (c) assimilates certain gratuitous transactions into the tax net via Schedule I.
    Case LawsService Tax
    Whether the vessels or ships that are afloat are not goods and immovable property? - CESTAT says Yes...
    Show AI Summary
    Classification of floating vessels as immovable property may exclude their sale from GST law taxation.
    The tribunal held that ships and vessels afloat are not 'goods' but are akin to immovable property because they cannot be severed from the waters; ships are goods only before launch, during breaking up, or when specifically the subject of a sale. As immovable property lies outside the GST domain under the constitutional allocation, this classification raises the question whether GST would apply to sale or supply of floating vessels-a point pending higher judicial scrutiny.
    Case LawsService Tax
    Adjustment of excess paid service tax – rule 6(3) of STR, 1994
    Show AI Summary
    Adjustment of excess service tax permitted as alternative to refund under liberal interpretation of procedural rules.
    A liberal reading of Rule 6(3) of the Service Tax Rules, 1994 permits adjustment of excess service tax paid against future liabilities when facts show an excess payment, rather than restricting the assessee solely to a refund claim, consistent with constitutional limits on taxation and the Revenue's concession of excess payment.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Currency conversion using telegraphic transfer buying rate (‘TTBR...
    Show AI Summary
    Foreign tax credit conversion uses telegraphic transfer buying rate on the last day of preceding month.
    Foreign tax credit is determined by converting the currency of the foreign-tax payment at the telegraphic transfer buying rate applicable on the last day of the month immediately preceding the month in which that tax is paid or deducted.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Documents to be furnished for availing FTC
    Show AI Summary
    Foreign Tax Credit documentation: verified income statement plus certificate and payment or deduction proof to claim credit.
    Foreign Tax Credit eligibility requires a verified statement of foreign income and foreign tax paid in the prescribed form, plus a certificate or statement specifying the nature of the income and tax deducted or paid issued by the foreign tax authority, the person who deducted the tax, or signed by the taxpayer, accompanied by a tax challan or online payment acknowledgement for payments and proof of deduction where tax was withheld.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) in case of MAT/ AMT
    Show AI Summary
    Foreign tax credit allowed against MAT/AMT like normal tax, but any excess over normal provisions is ignored.
    Foreign tax credit under Rule 128 of the Income tax Rules, 1962, is allowable against tax payable under MAT or AMT in the same manner as under the normal provisions; any foreign tax credit available against MAT/AMT that exceeds the credit allowable under normal provisions is ignored when computing MAT/AMT credit.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Lower of the tax payable under the Act and DTAA
    Show AI Summary
    Foreign tax credit: credit limited to lower of domestic tax and foreign tax; treaty excess is disregarded.
    Rule 128 of the Income tax Rules, 1962 limits Foreign Tax Credit to the lesser of domestic tax chargeable on the doubly taxed income and the foreign tax actually paid, and directs that any foreign tax paid in excess of the tax payable under the applicable DTAA be ignored for credit computation.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Cases in which no FTC benefit would be available
    Show AI Summary
    Foreign Tax Credit denial: no credit for domestic interest, fees or penalties and for disputed foreign taxes.
    Rule 128 restricts Foreign Tax Credit by disallowing FTC against interest, fees or penalties payable under the Income-tax Act, and by excluding any foreign tax (or part thereof) that is disputed by the assessee.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) shall be allowed if evidence & undertaking furnished within 6 months ...
    Show AI Summary
    Foreign Tax Credit requires evidence of settlement, proof of payment and an undertaking within six months of dispute resolution.
    Foreign Tax Credit (FTC) is allowed for disputed foreign tax only if, within six months from the end of the month in which the dispute is finally settled, the assessee furnishes evidence of settlement, evidence that the tax liability has been discharged by the assessee, and an undertaking that no refund in respect of that amount has been or will be claimed.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Meaning of foreign tax
    Show AI Summary
    Foreign tax definition determines FTC scope: DTAA-covered taxes apply, otherwise income-tax-type foreign levies qualify for credit.
    Definition of foreign tax for Foreign Tax Credit under Rule 128: where a DTAA exists, foreign tax is the tax covered by that DTAA; where no DTAA exists, foreign tax is the tax payable under the foreign country's law in the nature of income-tax as defined in the statutory explanation, including excess profits tax or business profits tax charged on profits by central or local authorities.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - Benefit on proportionate basis
    Show AI Summary
    Foreign tax credit proportionate allocation ensures foreign tax relief is apportioned when income is taxed across multiple years.
    Foreign tax credit under the Income tax Rules operates on a proportionate allocation principle when the same income is taxable in more than one year; the credit entitlement must be apportioned across the years in which the income is offered to tax so that relief for foreign taxes corresponds to the portion of income taxed in each year.
    Act RulesIncome Tax
    Foreign Tax Credit (‘FTC’) - FTC benefit in the year in which income offered to tax
    Show AI Summary
    Foreign tax credit allowed when foreign tax corresponds to income offered or assessed to tax in India in the same year.
    Foreign tax credit is available to Indian residents for tax paid in a foreign country or specified territory, and is allowed only in the year when the corresponding income is offered to tax or assessed to tax in India, creating a temporal link between domestic taxation of the income and recognition of the foreign tax credit.

    TMI Notes

    Back

    All TMI Notes

    Showing Results for :
    Reset Filters
      No Records Found

      TMI Notes

      Home› TMI Notes › GST › Case-Laws › Category › This
      Back

      All TMI Notes

      whatsappJoin Channel
      Showing Results for : Reset Filters
      GST

      When Taxpayers Make Mistakes in Filing GST Returns: Understanding the Legal Aspect of GST Rectification

      26 January, 2024

      Contents
      Forms
      Acts
      Rules & Regulations
      Plus +
      Summary
      Note

      Note

      -

      Bookmark

      Print

      Print

      Print Options

      Deciphering Legal Judgments: A Comprehensive Analysis of Case Law

      Reported as:

      2023 (12) TMI 729 - BOMBAY HIGH COURT

      Introduction: The judgment in question is a significant legal interpretation that sheds light on the practical aspects of the Goods and Services Tax (GST) regime in India. It deals with a critical issue faced by businesses - rectification of inadvertent errors in GST returns and the statutory provisions governing such rectifications.

      Understanding the Issue: The central issue revolves around a petitioner's request to amend or rectify their Form GSTR-1 for the financial year 2021-2022. This request was rejected by the Deputy Commissioner of State Tax on the grounds that it was time-barred. The petitioner argued that the rejection was arbitrary, and the error was inadvertent, with no loss of revenue to the government.

      Legal Framework: The judgment starts by outlining the relevant provisions of the Central Goods and Services Tax / Maharashtra Goods and Service Tax, 2017 (CGST / MGST Act). It specifically references Sections 37, 38, and 39, which govern the filing of GST returns, furnishing details of outward and inward supplies, and the rectification of errors.

      Purpose of GST Returns: The judgment underscores the critical role of accurate GST returns in the GST system. It highlights that GST returns form the basis for numerous other transactions and processes within the GST framework. Correct data in these returns is essential to ensure the smooth functioning of the tax system.

      Recognizing Inadvertent Errors: One of the key takeaways from this judgment is the court's recognition of the challenges businesses face in adapting to the complexities of the GST regime. It acknowledges that inadvertent human errors can occur, especially during the transition to new tax rules and procedures. The court emphasizes the need to differentiate between deliberate actions aimed at gaining undue benefits and genuine, unintentional errors.

      No Loss of Revenue: A pivotal factor that influenced the court's decision was the absence of any financial loss to the government due to the petitioner's error. The judgment repeatedly underscores this point, emphasizing that allowing the rectification would not adversely impact tax collection or government revenue.

      Interpreting Statutory Provisions: The court interprets the relevant sections of the GST Act in a manner that aligns with the practical realities faced by taxpayers. It argues that statutory provisions should not be applied in a way that obstructs the rectification of inadvertent errors when no revenue loss is involved.

      Promoting Taxpayer-Friendly Approach: This judgment encourages tax authorities to adopt a more taxpayer-friendly approach. It suggests that such an approach would benefit both taxpayers and the government by reducing unnecessary litigation and fostering tax compliance.

      References to Other High Court Decisions: The judgment refers to and aligns with decisions from other High Courts that have dealt with similar issues. This indicates a consistent trend in allowing rectifications for inadvertent errors when there is no loss of revenue.

      Overall Implication: In the broader context of GST compliance, this judgment has significant implications. It underscores the importance of fairness and flexibility within the GST framework. It serves as a reminder that while tax compliance is essential, the law should be sensitive to the genuine challenges faced by taxpayers, particularly during the initial stages of a new tax regime.

      Conclusion and Final Decision: In this judgment, the Court recognizes the challenges faced by businesses in adhering to the complex GST regime, especially during the initial phases of its implementation. The Court emphasizes the need to differentiate between inadvertent errors and deliberate actions intended to gain undue benefits. It underscores that the purpose of GST returns is not just for tax collection but also to facilitate various transactions and processes within the GST system.

      Considering the absence of any financial loss to the government and the importance of maintaining accurate data in GST returns, the Court rules in favor of the petitioner. The final decision of the Court is as follows:

      1. The respondents are directed to permit the petitioner to amend / rectify the Form GSTR-1 for the period July 2021, November 2021, and January 2022, either through Online or manual means within a period of four weeks from the date of this judgment.

      2. The petition stands disposed of in the above terms.

      The Court's decision in this case reflects a balanced and pragmatic approach to GST compliance, recognizing the importance of rectifying inadvertent errors without causing any loss to government revenue. This judgment sets a precedent for similar cases and encourages a more taxpayer-friendly and fair application of tax laws.

       

      Full Text:

      2023 (12) TMI 729 - BOMBAY HIGH COURT

      Topics

      ActsIncome Tax
      Next ➔