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Case Laws Customs
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Procedural fairness in customs law limits administrative conditions on provisional release, ensuring statutory discretion and fair hearing.
The court evaluated whether the impugned Circular and order unlawfully limited the adjudicating authority's statutory discretion by imposing conditions on provisional release, and whether those measures violated principles of natural justice; it emphasised that executive instructions may supplement but cannot supplant statutory provisions and that administrative actions must preserve statutory discretion and fair hearing requirements.
Case Laws Income Tax
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Non-delegability of discretionary powers: extension of tax audit report time must be granted by assessing officer, not delegate.
The power to order a special audit and to extend the timeframe for submission of the audit report is vested in the Assessing Officer and must be exercised by that officer alone; administrative convenience cannot justify delegation to the Commissioner. An extension granted by the Commissioner, even if prompted by the AO's recommendation, is inconsistent with the statutory scheme and can render subsequent assessment orders vulnerable to being barred by limitation.
Case Laws Income Tax
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Royalty characterization of domain registration fees requires a transfer of proprietary or use rights; mere registrar facilitation does not qualify.
Whether fees for domain name registration qualify as royalty depends on whether the registrar transfers a proprietary or right-to-use interest; a registrar acting as intermediary under its accreditation agreement that disclaims ownership and does not convey exclusive or transferable rights does not convert registration fees into royalty.
Case Laws GST
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Natural justice in GST registration: deficient show cause notices require reconsideration and a fresh opportunity to respond.
Cancellation of GST registration on grounds such as fraud or suppression must comply with natural justice; a show cause notice lacking specific allegations and a decision that does not consider the taxpayer's response constitutes procedural deficiency, necessitating administrative reconsideration with a reasoned notice that permits an adequate reply.
Case Laws Indian Laws
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Arbitration agreement enforceability tested against stamp duty compliance, affecting admissibility and tribunal jurisdiction.
The central issue is whether an arbitration agreement in an unstamped instrument is enforceable, engaging the Arbitration Act, Stamp Act and Contract Act and asking if courts must examine only the existence of an arbitration clause or also its validity when stamp duty non compliance is alleged. The text contrasts lines of authority treating non stamping as either a jurisdictional bar that voids enforceability or a curable defect affecting admissibility, and highlights statutory mechanisms for stamping, impoundment, and remediation while mapping the practical consequences for arbitration access and enforcement.
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Penalty proportionality: penalties require deceptive conduct and mens rea before applying to disputed tax assessments.
The decision analyzes penalties under the DVAT framework in relation to sales of repossessed vehicles, stressing that taxability remained unsettled and that penalties require conduct that is false, misleading, or deceptive. It highlights that mens rea is central to quasi criminal tax penalties and that proportionality and reasoned discretion are prerequisites to lawful penal levies; absent those elements, penalty imposition lacks statutory support.
Case Laws GST
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Input Tax Credit time limits require strict compliance with statutory filing conditions, not relaxation for business constraints.
The court construes Input Tax Credit as a concession contingent on strict compliance with statutory prerequisites, holding that time-bound procedural conditions operate as substantive preconditions to claiming ITC. The non-obstante clause is given a limited operative scope and does not nullify mandatory temporal conditions; established principles of tax-statute interpretation require literal application of the scheme and adherence to filing timelines despite commercial hardships.
Case Laws Income Tax
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Section 80P deductions for cooperative societies hinge on membership composition, agricultural lending predominance and banking activity compliance.
The analysis examines eligibility for section 80P deductions for primary agricultural credit cooperative societies, focusing on whether their income composition, predominance of agricultural versus non agricultural advances, membership classes, bye laws, and acceptance of public deposits (with its banking implications) fall within the statutory deduction framework; prior precedents are applied to identify conditions and compliance measures societies must address.
Case Laws Income Tax
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Jurisdictional competence in tax assessment is essential; assessments by non authorized officers risk invalidation under procedural rules.
The dispute focuses on the jurisdiction of the Assessing Officer under CBDT Instruction No. 1/2011 and whether an assessment framed by an officer lacking pecuniary competence is valid; it emphasizes that compliance with jurisdictional limits and the procedural step under Section 143(2), together with principles of procedural fairness, determine the assessment's legality.
Case Laws Income Tax
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Sales tax subsidy classification: determine capital versus revenue nature to decide income taxability based on purpose and character.
Whether a sales tax concession under the trade tax statute is a capital receipt or a revenue receipt for income tax purposes turns on the character, purpose and timing of the grant; capital receipts relate to capital formation and are generally non taxable, while revenue receipts arise from regular business operations and are taxable. The inquiry requires statutory interpretation of the trade tax exemption, consideration of legislative intent to incentivise production, and comparison with precedent on subsidy characterisation.
Case Laws Income Tax
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Trust registration under Section 12AB requires evidential compliance; procedural default may prompt re-adjudication and compliance opportunity.
Rejection of registration under Section 12AB arose from insufficient documentary evidence of charitable activity and statutory compliance, and the assessee's non-appearance at the hearing. Emphasising natural justice and the welfare character of exemption provisions, the appellate direction remitted the matter for fresh adjudication to permit the assessee an opportunity to cure evidentiary deficiencies and establish entitlement to tax-related recognition.
Case Laws Income Tax
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Condonation of delay in tax registration: discretion should favour merits while distinguishing individual acts from entity liability.
Condonation of delay in filing for charitable-registration status must be exercised liberally to secure substantive justice, examining the causes of delay and avoiding punishment of an entity for acts attributable to an individual. Revision of assessment-related orders demands proof that alleged irregularities affected the entity, and a tribunal's factual conclusions are only overturned for perversity if they lack evidentiary support or are manifestly unreasonable.
Case Laws Income Tax
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Delay condonation in tax-exemption applications: tribunal permits consideration of late Form 10AB filings where circulars create timing ambiguity.
The Tribunal addressed ambiguity in CBDT circulars about time limits for filing Form No.10AB under the 80G framework, recognized practical difficulties for older trusts complying with a rigid six month rule, and applied the principle of condonation of delay-relying on precedent-to require reconsideration by the CIT(Exemption) so that procedural timelines are balanced with substantial justice.
Case Laws Income Tax
Show AI Summary
Draft assessment procedure: non-issuance of mandatory draft order can invalidate assessments for foreign entities.
The note explains that foreign companies fall within the category of eligible assessee for the draft-assessment procedure, which requires the assessing officer to issue a draft assessment order allowing objections before finalizing assessment; it emphasizes that failure to comply with this procedure can vitiate the final assessment and that appellate precedents treat such procedural lapses as legally significant.
Case Laws PMLA
Show AI Summary
Arrest grounds under PMLA: oral notification at arrest with later written confirmation meets constitutional information requirements.
Whether oral notification of arrest grounds at the time of detention followed by later written documentation satisfies the PMLA arrest requirement and the constitutional mandate to be informed of arrest grounds is addressed. The court concludes that oral communication at arrest, with subsequent written confirmation provided within a reasonable time, aligns with the statutory phrase "as soon as may be" and Article 22(1), consistent with controlling precedent and procedural substance.
Case Laws Income Tax
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PAN-name mismatch in tax filings: liberal administrative relief enables correction where error was inadvertent and non-advantageous.
The dispute arose from a corporate taxpayer filing an income tax return under an outdated company name despite having the correct PAN, resulting in invalidation of the return for failure to rectify within prescribed time. Key legal issues address the scope of administrative discretion under Section 119 to condone delay, the meaning of genuine hardship, and the role of PAN as a unique identifier when names diverge. The court favored a liberal, purposive approach allowing administrative correction of the company name where the error was non-deliberate and no advantage was gained.
Case Laws Customs
Show AI Summary
Minimum import price rule for apples governs admissibility of imports priced at the threshold, prompting urgent customs review.
Applicability of Notification No. 5/2023 to imports invoiced at the prescribed minimum is the central issue: whether consignments priced exactly at the notified floor fall within its regulatory scope, and how customs should treat such declarations, with precedent and the perishable nature of apples informing the need for expedited judicial and administrative responses.
Case Laws Income Tax
Show AI Summary
Section 14A disallowance for stock in trade clarified; refund interest under Section 244A must be applied before adjustments.
The Tribunal held that where investments are held as stock in trade by a bank, disallowance under Section 14A is not appropriate because such holdings are business related trading assets rather than investments to earn exempt dividends; additionally, for Section 244A interest on refunds, interest payable to the assessee must be computed and applied before making adjustments against tax, so earlier refund interest should not be deducted when calculating refund interest due.
Case Laws Income Tax
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Right to interest on tax refunds when delay is condoned depends on whether delay is attributable to the taxpayer.
Right to interest on tax refunds where delay has been condoned turns on whether the delay is attributable to the taxpayer; administrative lapses such as failure to issue TDS documentation or inform the taxpayer are central to entitlement. Precedent imposing an obligation to refund public money received without right, including interest, is applied against provisions limiting interest for belated claims, requiring interpretation of circulars and consistent administrative guidance to protect taxpayer fairness.
Case Laws Income Tax
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Share buyback taxation: characterisation as dividend or capital gain shapes interim security measures to protect tax recovery.
Whether consideration paid by a company for purchase of its own shares should be treated as a dividend or as capital gain was contested, focusing on the interaction between the additional tax on distributed income and the special capital gains regime for buybacks; the court identified substantial questions of law about the tribunal's classification and ordered provisional financial security measures - partial deposit and property security - with conditional release of liens upon compliance.

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Review of Customs duty Exemptions - Review of conditional exemption rates of BCD

24 July, 2024

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Union Budget 2024-25 (Full) + FINANCE (No.2) Bill, 2024

(i) The BCD exemption for the goods covered under following serial numbers of the notification are being extended upto 31st March, 2026 unless specified otherwise.

S. No.

S N of 50/17-Cus

Brief Description

1.

17

Specified Planting materials, namely, oilseeds, seeds of vegetables, tubers, etc.

2.

80A

Algal oil for manufacturing of aquatic feed

3.

90

Lactose for use in manufacture of homeopathic medicines

4.

104

Specified goods used in processing of sea-food

5.

133

Gold ores and concentrates

6.

139

Bunker Fuels namely: (i). IFO 180 CST; (ii). IFO 380 CST; (iii). VLSFO (CTH 27)

7.

150

Naphtha for manufacture of Fertilisers (scope of exemption is being reduced only to Naphtha)

8.

155

Liquefied petroleum gases (LPG) received from unit in SEZ and returned by the DTA unit to the SEZ unit

9.

164

Electrical energy supplied from SEZ unit to DTA

10.

165

Electrical energy supplied from SEZ to DTA

11.

172

Specified goods used in manufacture of silicon wafers or solar wafers, for manufacture of solar cell or module

12.

183

Medical use fission Molybdenum-99 (Mo-99) for use in manufacture of radio pharmaceuticals

13.

184

Pharmaceutical Reference Standard

14.

188

Goods for manufacture of ELISA Kits

15.

191

Maltol for manufacture of deferiprone

16.

204

Anthraquinone or 2-Ethyl Anthraquinone for use in manufacture of Hydrogen peroxide

17.

237

Specified material for manufacture of EVA (Ethylene Vinyl Acetate) sheets or backsheet, which are used in the manufacture of solar photovoltaic cells or modules (Scope of materials which can be imported is being increased)

18.

253

Specified Goods for manufacture of Brushless Direct Current (BLDC) motors

19.

257

Tags, labels, stickers, belts, buttons, hangers or printed bags, imported by bonafide exporters

20.

257A

Specified goods used in manufacture of handicraft items for export when imported by bonafide exporter

21.

257B

Specified goods used in manufacture of textile or leather garments for export when imported by bonafide exporter

22.

257C

Specified goods used in manufacture of leather or synthetic footwear or other leather products for export when imported by bonafide exporter

23.

258

Security fibre, threads, Paper based Taggant, M-feature for use in manufacture of security paper by Security Paper Mill, Hoshangabad and Bank Note Paper Mill India Pvt Ltd, Mysore.

24.

259

Raw materials for manufacture of security fibre and security thread for supply to Security Paper Mill, Hoshangabad and Bank Note Paper Mill India Pvt. Ltd, Mysore for use in manufacture of security paper

25.

260

Goods for the manufacture of specified orthopedic implants (902110)

26.

261

Raw material for manufacture of Copper-T Contraceptive

(i) Alatheon

(ii) Copper Wire

27.

265

Capacitor grades polypropylene granules for manufacture of Capacitor grade plastic

28.

269

Super absorbent polymer for manufacture of adult diapers and specified goods

29.

271

Polytetrametylene ether glycol, (PT MEG) for use in manufacture of spandex yarn

30.

276

Ethylene- propylene- non-conjugated diene rubber (EPDM) for manufacture of insulated wire and cables

31.

279

New or retreated Pneumatic tyres of rubber for use in servicing, repair of maintenance of aircrafts used for operating scheduled air transport service or scheduled air cargo service etc

32.

280

New or retreated Pneumatic tyres of rubber for use in servicing, repair or maintenance of aircraft imported or procured by Aero Club of India/ for flying training purpose/ operating non-scheduled (passenger or charter) services/ AAI for flight calibration purpose

33.

290

Wood pulp for manufacture of newsprint, paper or paperboard

34.

292

Goods imported for manufacture of paper, paper boards, newsprint

35.

293A

Newsprint and uncoated paper imported for printing of newsprint

36.

296A

Lightweight coated paper imported by actual users for printing of magazines

37.

326

Hydrophilic /Hydrophobic Non- Woven, imported for use in the manufacture of Adult Diapers

38.

329

Pile fabrics for the manufacture of toys

39.

333

Moulds, tools and dies, for the manufacture of parts of electronic components or electronic equipment

40.

334

(i) Graphite Felt or Graphite pack for growing silicon ingots (ii) Thin Steel wire used in wire saw for slicing of silicon wafers

41.

345A

Simply Sawn Diamonds

42.

364A

Spent catalyst or ash containing precious metals

43.

368

Ferrous Scrap

44.

374

Magnesium Oxide (MgO) coated cold rolled steel coils for use in manufacture of cold rolled grain oriented (CRGO) steel

45.

375

Specified items for manufacture of cold rolled grain-oriented steel (CRGO) steel

46.

378

Metal parts for manufacture of electrical insulators falling under heading 8546

47.

379

Pipes and tubes for use in manufacture of boilers

48.

380

Forged steel rings for manufacture of special bearings for use in wind operated electricity generators

49.

381

Flat copper wire for use in the manufacture of photo voltaic ribbon for manufacture of solar photovoltaic cell or modules

50.

392

Dies for drawing metal, where imported after repairs from abroad

51.

403

Parts and raw materials for offshore oil exploration

52.

404

Specified items including capital goods and raw materials for off shore oil exploration

53.

415

Parts for manufacture of catalytic convertors

54.

415A

Platinum or Palladium for manufacture of Noble Metal Compounds & Noble Metal Solutions

55.

416

Ceria zirconia compounds for use in the manufacture of washcoat for catalytic converters

56.

417

Cerium compounds for use in the manufacture of washcoat for catalytic converters

57.

418

Zeolite for use in the manufacture of washcoat for catalytic converters

58.

422

Machinery, electrical equipment for use in semiconductor wafer and LCD

59.

423

Machinery, electrical equipment for use in marking and packaging of semiconductor chips

60.

426

Specified goods for the manufacture of semiconductor devices, memory card, IC, solar cell

61.

435

Capital goods for printing industry

62.

442

Bushings made of Platinum and Rhodium alloy when imported in exchange of worn out or damaged bushings exported out of India

63.

446

Parts and components for manufacture of tunnel boring machines

64.

451

Evacuated tubes with three layers of solar selective coating for use in manufacture of solar water heater

65.

462

Ball screws for use in the manufacture of CNC Lathes

66.

463

Linear Motion Guides for use in the manufacture of CNC Lathes

67.

464

CNC Systems for use in the manufacture of CNC Lathes

68.

464A

Goods for manufacture of plastic processing machineries

69.

467

Parts and components of cash dispenser or automatic bank note dispenser

70.

468

Parts for manufacture of Micro ATM, Fingerprint reader/scanner, Iris scanner, Miniaturised POS (Scope of exemption is being limited to import of raw materials only)

71.

471

All parts for use in the manufacture of LED lights

72.

472

All inputs for use in the manufacture of LED driver or MCPCB for LED lights

73.

476

Television equipment, cameras etc for taking films, imported by a foreign film unit or television team

74.

477

Filming equipment of foreign origin if imported into India after having been exported therefrom.

75.

480

Goods imported for being tested in specified test centers

76.

489B

Goods for manufacturing of Microphones

77.

504

Parts and Components of Digital Still Image Video Cameras

78.

509

Parts, components and accessories for manufacture of Digital Video Recorder

79.

510

 Parts, components and accessories for use in manufacture of reception apparatus for television

80.

511

Parts, components and accessories for manufacture of CCTV Camera

81.

512

Specified Parts, components and for use in manufacture of Lithium-ion battery and battery pack

82.

512A

Inputs, parts or sub-parts for use in the manufacturing of Printed Circuit Board Assembly

83.

515A

Open Cell for manufacture of TV Panel

84.

516

The following goods for use in the manufacture of Liquid Crystal Display (LCD) /LED TV Panel

85.

517

Magnetrons for manufacture of domestic microwave ovens

86.

519

Raw materials or parts for use in manufacture of e-Readers

87.

523A

Parts, sub-parts, inputs or raw material for use in manufacture of Lithium-ion cells

88.

527

Lithium-ion cell use in manufacture of battery or battery pack

89.

527A

Lithium-Ion Cell for use in manufacture of battery or battery pack of cellular mobile

90.

527B

Lithium-Ion Cell manufacture of battery or battery pack of EV

91.

534

Parts of gliders or simulators of aircrafts (excluding rubber tyres and tubes of gliders)

92.

535

Raw materials for manufacture of aircraft and parts of aircraft

93.

535A

Parts of aircraft for manufacture of aircraft or for manufacture of parts of aircraft by PSU under Min of Defence

94.

536

Parts, testing equipment, tools and tool-kits for maintenance, repair, and overhauling of aircraft, components or parts of aircrafts

95.

537

All goods of Heading 8802 (except 88026000-spacecraft)

96.

538

Components or parts, including engines, of aircraft of heading 8802

97.

539

(a) Satellites and payloads; (b) Ground equipment brought for testing of (a)

98.

539A

Scientific and technical instruments etc for launch vehicles and satellites

99.

540

Specified goods imported by scheduled air transporter

100.

542

Specified goods imported by Aero Club, Flying Training Institutes

101.

543

Specified goods imported by non-scheduled air transporter

102.

544

Parts (other than rubber tubes), of aircraft of heading 8802

103.

546

Parts (other than rubber tubes), of aircraft of heading 8802

104.

548

Barges or pontoons imported along with ships

105.

551

Cruise ships, Excursion ships

106.

553

Fishing vessels, Tugs and Pusher crafts, light vessels excluding vessels and floating structure imported for break up

107.

555

Vessels like warships, lifeboats excluding vessels and floating structure imported for break up

108.

567

Stainless steel tube and wire, for manufacture of Coronary stents /artificial valve

109.

569

Parts required for manufacture of Ostomy products

110.

570

Medical and surgical instruments, apparatus and appliances including spare parts and accessories thereof

111.

575

Specified Hospital Equipment for use in specified hospitals

112.

578A

Raw materials, for the manufacture of Cochlear Implants

113.

580

X-Ray Baggage Inspection Systems and parts thereof

114.

581

Portable X-ray machine / system

115.

583

Parts and cases of braille watches, for the manufacture of Braille watches

116.

591

Parts of electronic toys

117.

593

Parts of video games for the manufacture of video games

Note: Description of entries is indicative. Notification may be referred to for complete description.

(ii) The BCD exemption for the goods covered under following serial numbers of the notification no 50/2017-Customs is being extended upto 31st March 2029.

S. No.

S. No. of 50/2017Cus

Brief Description

1.

212A

Medicines/drugs/vaccines supplied free by United  Nations International Children's Emergency Fund (UNICEF), Red Cross etc

2.

213

Drugs and materials

3.

428

Specified goods imported by accredited press cameraman

4.

429

Specified goods, imported by accredited journalist

5.

549

Capital goods, raw materials and spares for repairs of ocean-going vessels

6.

550

Spare parts and consumables for repairs of ocean going vessels registered in India.

7.

577

Lifesaving medical equipment for personal use

8.

607

Life Saving drugs like Keytruda etc

9.

607A

Lifesaving drugs/medicines for personal use

10.

611

Archaeological artefacts for exhibition in a museum

11.

612

Specified raw material for sports goods

Note: Description of entries is indicative. Notification may be referred to for complete description.


Full Text:

Union Budget 2024-25 (Full) + FINANCE (No.2) Bill, 2024

Topics

Acts Income Tax