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    Evolution of Appellate Remedies in Indian Income Tax Law : Clause 356 of the Income Tax Bill, 2025 V...
    Appellate Remedies against Advance Rulings : Clause 389 of the Income Tax Bill, 2025 Vs. Section 245...
    Evolution of Procedural Regulation in Advance Rulings under Indian Tax Law : Clause 388 of Income Ta...
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    Fraud, Misrepresentation, and the Void Ab Initio Doctrine in Advance Rulings : Clause 386 of the Inc...
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    Procedure for processing applications for advance rulings in the Indian tax regime : Clause 384 of t...
    Procedural Evolution of Advance Ruling Applications : Clause 383 of the Income Tax Bill, 2025 Vs. Se...
    Legal Insights on Vacancies and Defects in Advance Ruling Bodies : Clause 382 of Income Tax Bill, 20...
    Administrative Efficiency vs. Judicial Oversight : Clause 381 of the Income Tax Bill, 2025 Vs. Secti...
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    Limitation, Procedure, and Rights of Refund Claims in Indian Tax Law : Clause 433 of the Income Tax ...
    Refund Entitlement in Special Cases (Death, Incapacity, Insolvency, Liquidation, or Other Causes) : ...
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    Act RulesBills
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    Appellate scope reform consolidates appealable orders, enables faceless appeals and transfers while preserving rehearing safeguards.
    Clause 356 prescribes an exhaustive list of appealable orders before the Joint Commissioner (Appeals), defines "status" by cross reference, prohibits appeals where orders are passed by or with approval of authorities above Deputy Commissioner, and empowers the Board to transfer appeals between JCIT(A) and Commissioner (Appeals) with a mandated opportunity of rehearing. It formally enables a government notified faceless disposal scheme-permitting elimination of physical interface and modification of procedural provisions-and authorizes the Board to exclude specified cases or classes from the section's operation.
    Act RulesBills
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    Right of appeal to High Court preserves judicial review over advance rulings with limited condonation and streamlined procedure.
    Clause 389 grants a statutory right of appeal to the High Court against rulings or orders of the Board for Advance Rulings and certain Assessing Officer actions, mandates filing in the prescribed form and manner within a limited period, allows judicial condonation for a short additional interval, omits prior executive scheme-making and modification powers, and relies on Rule 44FA to integrate appeal procedure with jurisdictional High Court practice.
    Act RulesBills
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    Procedural autonomy for advance rulings enables the Board to set its own procedures, heightening calls for transparency and safeguards.
    Clause 388 vests the Board for Advance Rulings with broad power to regulate its own procedure, subject to the relevant Chapter, enabling the Board to prescribe filing rules, hearing modes, timelines, evidence protocols, order formats and confidentiality mechanisms, while the institutional shift from a quasi judicial Authority to an administrative Board raises concerns about explicit natural justice safeguards, transparency, consistency and the scope of judicial review.
    Act RulesBills
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    Advance Rulings powers modernisation clarifies BAR's quasi judicial authority and civil court powers under reformed procedural codes.
    Clause 387 modernises the powers and status of the Board for Advance Rulings by vesting it with civil court powers to summon witnesses, compel document production, receive affidavit evidence and exercise other adjudicatory functions, and by deeming its proceedings to be judicial proceedings that attract penal consequences for perjury and related offences, while limiting the civil court status to specified purposes and aligning cross references with reformed procedural and penal codes.
    Act RulesBills
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    Void ab initio of advance rulings: fraud or misrepresentation may nullify rulings and restore ordinary tax provisions.
    Clause 386 empowers the Board for Advance Rulings to declare an advance ruling void ab initio if found to have been obtained by fraud or misrepresentation, on representation by the Principal Commissioner or Commissioner or otherwise; the Act is to apply as if no ruling had been made (excluding the period the ruling was in force), and a copy of the order must be sent to the applicant and the tax authority.
    Act RulesBills
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    Jurisdictional bar on parallel proceedings preserves advance rulings' exclusivity for resident applicants and prevents conflicting adjudication.
    Clause 385 imposes a jurisdictional bar barring income tax authorities and the Appellate Tribunal from deciding any issue for which a resident has filed an advance ruling application; the prohibition attaches on filing and pertains only to the specific issue raised, thereby preserving the exclusivity and predictability of the advance ruling mechanism while raising interpretive questions about the definition of "issue" and the treatment of pending proceedings.
    Act RulesBills
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    Advance ruling procedure secures binding tax guidance with hearing rights, grounds for rejection, and mandatory communication.
    Clause 384 requires the Board for Advance Rulings to forward applications to the Principal Commissioner or Commissioner, call for records, and after examination either allow or reject applications. Rejection must follow an opportunity to be heard and a reasoned order, and orders must be communicated to the applicant and tax authorities. Mandatory exclusions include pending proceedings, fair market value determinations, and transactions prima facie designed for tax avoidance; if allowed, the Board must examine further material, hear the applicant or authorised representative, and pronounce a written ruling within the prescribed time frame.
    Act RulesBills
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    Advance ruling procedure: streamlined application process with prescribed form, quadruplicate filing, fee and a thirty day withdrawal window.
    Clause 383 establishes a streamlined procedure for advance rulings: applications must state the specific question and be filed in the prescribed form and manner in quadruplicate, accompanied by a prescribed fee, and may be withdrawn within thirty days. The clause retains core procedural features of the prior regime but omits transitional and legacy transfer or opt-out provisions, leaving form, fee, and certain consequences of withdrawal to subordinate rules.
    Act RulesBills
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    Vacancies and defects immunity preserves validity of advance rulings to prevent collateral challenges and ensure procedural continuity.
    Clause 382 stipulates that no proceeding before, or pronouncement of an advance ruling by, the Board for Advance Rulings shall be questioned or invalidated merely because of any vacancy or defect in the Board's constitution. It applies to both procedural actions and final rulings, reflects the de facto validity principle, and is intended to secure continuity, legal certainty, and protection against collateral procedural challenges, while not extending to defects that negate jurisdiction or involve fraud or bias.
    Act RulesBills
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    Board for Advance Rulings centralizes administrative advance rulings, prioritizing efficiency but raising independence and legal robustness concerns.
    Clause 381 mandates constitution of one or more Board for Advance Rulings by notification, each comprising two members who are serving tax officers of not below Chief Commissioner rank, nominated by the Board; the provision preserves an administrative, officer-led model akin to the existing framework and emphasizes mandatory establishment, flexibility in number and phased operationalization, while leaving nomination criteria, judicial representation, publication, and appellate design unspecified.
    Act RulesBills
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    Advance ruling mechanism provides pre transactional tax certainty and access controls for cross border and GAAR related issues.
    Clause 380 defines advance ruling across five categories: rulings for non resident applicants; rulings on transactions between residents and non residents; rulings for specified resident applicants; rulings on computation of total income pending before tax authorities or the Appellate Tribunal; and rulings on whether proposed arrangements are impermissible avoidance arrangements; it links applications to the Bill's procedural section and replaces the Authority with a Board for Advance Rulings, while preserving notification based resident eligibility.
    Act RulesBills
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    Dispute Resolution Committee provides an opt-in ADR path reducing penalties and granting prosecution immunity for minor tax disputes.
    Clause 379 creates an opt in Dispute Resolution Committee to resolve minor tax disputes by allowing modification of assessment variations, reduction or waiver of penalties, and grant of immunity from prosecution, with Assessing Officers required to implement DRC directions within a prescribed short timeframe; eligibility is confined by a monetary ceiling on variations, exclusions for search/survey or international information cases, and an income threshold as reported in returns, while procedural details and disqualifications are to be prescribed in subordinate rules.
    Act RulesBills
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    Set-off of tax refunds: authority to adjust refunds against outstanding dues with written intimation and time limited withholding.
    Clause 438 authorises specified tax officers to set off any refund due against sums remaining payable by the taxpayer, subject to mandatory written intimation. If assessment or reassessment proceedings are pending, the Assessing Officer may withhold the refund for a limited, time bound period, but only after recording reasons in writing and obtaining prior approval from the Principal Commissioner or Commissioner. The clause streamlines language from Section 245, narrows discretionary grounds for withholding by focusing on pendency of proceedings, and retains procedural safeguards without specifying priority among kinds of dues.
    Act RulesBills
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    Interest on tax refunds: prescribed entitlement and computation rules ensure compensation for delayed refunds and administrative resolution.
    Clause 437 provides a statutory entitlement to interest on delayed tax refunds, specifying commencement dates for interest based on refund source (advance tax, TCS, tax treated as paid, self-assessment, rectification or excess payment), a materiality threshold exempting trivial refunds, extension of entitlement to deductors, exclusion of periods of delay attributable to the taxpayer or deductor, additional interest for appellate or revision order-related refunds, adjustment and recovery mechanisms for varied refund amounts, and administrative resolution of disputes on excluded periods by a senior tax authority.
    Act RulesBills
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    Finality of assessments: refund claims limited to refunds for wrongly paid or excess tax, not re litigation of settled assessments.
    Clause 436 prevents an assessee, in refund claims, from questioning or seeking review of any assessment or matter that has become final and conclusive; relief in such claims is limited to refund of tax wrongly paid or paid in excess and the provision must be read with appeal, rectification and revision mechanisms to avoid undermining corrective powers elsewhere in the statute.
    Act RulesBills
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    Automatic refunds on appellate or statutory orders require proactive AO disbursement, subject to reassessment and annulment limits.
    Automatic refunds are mandated when appellate or other statutory orders reduce or annul tax liability, requiring the Assessing Officer to refund excess amounts without a claim, except where the Act provides otherwise. Refunds become due only after a fresh assessment when an order directs reassessment, and where an assessment is annulled the refund is limited to the excess tax paid over tax chargeable on the returned total income. The provision preserves AO obligations, exceptions for set off or stay, and separates principal refund rules from interest entitlement.
    Act RulesBills
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    TDS refund mechanism for deductors clarifies eligibility, prescribed application procedure, and time bound AO orders.
    Clause 434 creates a statutory TDS refund mechanism allowing a deductor who, under a written agreement, bore withholding tax and later claims no deduction was legally required to apply for refund in the prescribed form; the Assessing Officer must inquire as necessary, provide the applicant an opportunity to be heard, and pass a written order allowing or rejecting the claim within the specified time frame.
    Act RulesBills
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    Return-based refund claims must be made through the income tax return, tying refund limitation to return filing timelines.
    Clause 433 requires that every refund claim be made by furnishing the return of income under section 263, making return filing the exclusive procedural vehicle for refund claims and implicitly tying limitation to the return filing timelines without providing express condonation or separate application mechanisms.
    Act RulesBills
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    Refund entitlement: clubbed-income payee and authorised representatives may claim tax refunds when taxpayer cannot act.
    The clause entitles the person in whose total income clubbed income is included to claim the refund attributable to that income, and authorises a legal representative, trustee, guardian or receiver to claim or receive refunds on behalf of a taxpayer who cannot do so because of death, incapacity, insolvency, liquidation or similar cause; procedural formalities and limitation issues are left to subordinate rules and practice.
    Act RulesBills
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    Tax refund entitlement preserved: statutory right maintained under new bill with procedural verification by Assessing Officer.
    Clause 431 preserves a statutory right to a refund where a person satisfies the Assessing Officer that tax paid, paid on or treated as paid on their behalf for a tax year exceeds the amount properly chargeable; it covers direct payments and deemed payments (TDS/TCS, advance tax), places an initial procedural burden on the taxpayer, and mirrors Section 237 of the 1961 Act except for the shift from assessment year to tax year, with attendant implications for temporal reference, procedural integration, and ancillary issues such as interest, set offs and standards of verification.

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      AMENDMENTS IN THE FIRST SCHEDULE TO THE CUSTOMS TARIFF ACT, 1975

      3 February, 2020

      Contents
      Rules & Regulations
      Plus +
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      Budget 2020-21 + FINANCE BILL, 2020

      AMENDMENTS

      A.

      Tariff rate changes for Basic Customs Duty [to be effective from 02.02.2020] * [Clause 115 (a) of the Finance Bill, 2020]

      Rate of Duty

      S.No.

      Heading, sub-heading, tariff item

      Commodity

      From

      To

       

       

      Food processing

       

       

      1.

      0802 32 00

      Walnuts, shelled

      30%

      100%

       

       

      Chemicals

       

       

      2.

      3824 99 00

      Other Chemical products and preparations of the chemical or allied industries, not elsewhere specified

      10%

      17.5%

       

       

      Footwear

       

       

      3.

      6401, 6402,

      6403, 6404, 6405

      Footwear

      25%

      35%

      4.

      6406

      Parts of footwear

      15%

      20%

       

       

      Household Items

       

       

      5.

      6911 10, 6911 90 20, 6911 90 90

      Tableware, kitchenware, water filters (of a capacity not exceeding 40 litres) and other household articles, of porcelain of china.

      10%

      20%

      6.

      6912 00 10, 6912 00 20, 6912 00 40, 6912 00 90

      Ceramic tableware, kitchen-ware, clay articles and other household articles

      10%

      20%

      7.

      7013

      Glassware of a kind used for table, kitchen, toilet, office, indoor decoration or Similar purposes (other than that of heading 7010 or 7018)

      10%

      20%

      8.

      7323

      Table kitchen or other household articles and parts thereof, of iron or steel, iron or steel wool; pot scourers and scouring or polishing pads, gloves and the like, of iron or steel, including pressure cookers pans utensils, misc articles such as iron & steel wool, polishing pads, gloves etc.

      10%

      20%

      9.

      7418 10

      Table, kitchen or other household articles and parts thereof, of copper; pot scourers and scouring or polishing pads, gloves and the like, of copper.

      10%

      20%

      10.

      7615 10

      Table, kitchen or other household articles and parts thereof, of aluminum; pot scourer and scouring or polishing pads, gloves and the like, of aluminum.

      10%

      20%

      11.

      8301

      Padlocks and locks (key, combination or electrically operated) of base metal; Clasps and frames with clasps, incorporating locks of base metals; keys for any of the foregoing articles, of base metals (Other than lock of a kind used for automobiles.)

      10%

      20%

      12.

      9603

      Brooms, brushes, hand operated mechanical floor sweepers, not motorized, mops and feather dusters; prepared knots and tufts for broom or brush making; paint pads and rollers; Squeegees (other than roller squeegees).

      10%

      20%

      13.

      9604 00 00

      Hand sieves and hand riddles.

      10%

      20%

      14.

      9615

      Combs, hair-slides and the like, hairpins curling pins, curling grips, hair curlers and the like other than those of heading 8516 and parts thereof.

      10%

      20%

      15.

      9617

      Vacuum flasks and other vacuum vessels, complete with cases; parts thereof other than glass inners.

      10%

      20%

      16.

      8414 51 10

      Table Fans

      10%

      20%

      17.

      8414 51 20

      Ceiling Fans

      10%

      20%

      18.

      8414 51 30

      Pedestal Fans

      10%

      20%

      19.

      8414 59 20

      Blowers, Portable

      10%

      20%

      20.

      8509 40 10

      Food Grinders

      10%

      20%

      21.

      8509 40 90

      Other grinders and Mixer

      10%

      20%

      22.

      8509 80 00

      Other Appliances

      10%

      20%

      23.

      8510 10 00

      Shavers

      10%

      20%

      24.

      8510 20 00

      Hair Clippers

      10%

      20%

      25.

      8510 30 00

      Hair-removing appliances

      10%

      20%

      26.

      8516 10 00

      Water heaters and immersion heaters

      10%

      20%

      27.

      8516 21 00

      Storage heating radiators

      10%

      20%

      28.

      8516 29 00

      Other electrical space heating apparatus

      10%

      20%

      29.

      8516 31 00

      Hair Dryers

      10%

      20%

      30.

      8516 32 00

      Other hair dressing apparatus

      10%

      20%

      31.

      8516 33 00

      Hand Drying apparatus

      10%

      20%

      32.

      8516 40 00

      Electric smoothing irons

      10%

      20%

      33.

      8516 60 00

      Other ovens, cookers, cooking plates, boiling rings, grillers and roasters

      10%

      20%

      34.

      8516 71 00

      Coffee and Tea Makers

      10%

      20%

      35.

      8516 72 00

      Toasters

      10%

      20%

      36.

      8516 79 10

      Electro-thermic fluid heaters

      10%

      20%

      37.

      8516 79 20

      Electrical or electronic devices for repelling insects

      10%

      20%

      38.

      8516 79 90

      Other electro-thermic appliances used for domestic purposes

      10%

      20%

      39.

      8516 80 00

      Electric heating resistors

      10%

      20%

       

       

      Precious Metals

       

       

      40.

      7118

      Coin

      10%

      20%

       

       

      Machinery

       

       

      41.

      8414 51 40

      Railway Carriage fans

      7.5%

      10%

      42.

      8414 51 90

      Other fans with a self-contained electric motor not exceeding 125W

      7.5%

      20%

      43.

      8414 59 10

      Air Circulator

      7.5%

      10%

      44.

      8414 59 30

      Industrial fans blowers and similar blowers

      7.5%

      10%

      45.

      8414 59 9

      Other industrial fans

      7.5%

      10%

      46.

      8414 30 00, 8414 80 11

      Compressor of Refrigerator and Air conditioner

      10%

      12.5%

      47.

      8419 89 10

      Pressure vessels

      7.5%

      10%

      48.

      8418 10 10

      Commercial type combined refrigerator freezers, fitted separate external doors

      7.5%

      15%

      49.

      8418 30 10

      Commercial freezer of chest type, not exceeding 800 litre capacity

      7.5%

      15%

      50.

      8418 30 90

      Other chest type freezers

      10%

      15%

      51.

      8418 40 10

      Electrical freezers of upright type, not exceeding 800 litre capacity

      7.5%

      15%

      52.

      8418 40 90

      Other freezers of upright type, not exceeding 800 litre capacity

      7.5%

      15%

      53.

      8418 50 00

      Refrigerating or freezing display counters, cabinets, Show-cases and the like

      7.5%

      15%

      54.

      8418 61 00

      Heat pumps other than air conditioning machines

      7.5%

      15%

      55.

      8418 69 10

      Ice making machinery

      7.5%

      15%

      56.

      8418 69 20

      Water cooler

      10%

      15%

      57.

      8418 69 30

      Vending machine, other than automatic

      10%

      15%

      58.

      8418 69 40

      Refrigerating equipment/devices used in leather industry

      7.5%

      15%

      59.

      8418 69 50

      Refrigerated farm tanks, industrial ice cream freezer

      7.5%

      15%

      60.

      8418 69 90

      Others (like freezers of capacity 800 litres and more etc.]

      7.5%

      15%

      61.

      8515 (except 8515 90 00)

      Welding and Plasma cutting machines

      7.5%

      15%

       

       

      Other Electronic goods

       

       

      62.

      8504 40 (except 8404 40 21)

      Static Converters

      15%

      20%

      63.

      8504 40 21

      Dip bridge rectifier

      10%

      20%

      64.

      8517 70 10

      Populated, loaded or stuffed printed circuit boards

      10%

      20%

       

       

      Automobile and automobile parts

       

       

      65.

      8421 39 20, 8421 39 90

      Catalytic Convertor

      10%

      15%

       

       

      Furniture Goods

       

       

      66.

      9401

      Seats and parts of seats (other than aircraft seats and their parts)

      20%

      25%

      67.

      9403

      Other Furniture and parts thereof

      20%

      25%

      68.

      9404

      Mattress supports: Articles of bedding and similar furnishing

      20%

      25%

      69.

      9405

      Lamps and lighting fittings including searchlights and spotlights and pads thereof; Illuminated signs, illuminated name plates and the like, having a permanently fixed light source, and parts thereof (except solar lantern and solar lamps).

      20%

      25%

       

       

      Toys

       

       

      70.

      9503

      Tricycles, scooters, pedal-cars and similar wheeled-toys; dolls' carriages; dolls; other toys; reduced-Size (“scale”) models and similar recreational models, working or not; puzzles of all kinds

      20%

      60%

       

       

      Stationary items

       

       

      71.

      8304 00 00

      Filing, cabinets. card-index cabinets, paper-trays, paper rests, pen trays, office-stamp stands and similar office or desk equipment of base metal, Other than office furniture of heading 9403

      10%

      20%

      72.

      8305

      Fittings for loose-leaf binders or files, letter clips, letter corners, paper clips, indexing tags and similar office articles, of base metal; staples in strips (for example, for offices, upholstery, packaging), of base metal

      10%

      20%

      73.

      8310

      Sign-plates, name-plates, address-plates and similar plates, numbers, letters and other symbols, of base metal, excluding those of heading 9405

      10%

      20%

       

       

      Miscellaneous

       

       

      74.

      6702

      Artificial Flowers

      10%

      20%

      75.

      7018 10 20

      Glass Beads

      10%

      20%

      76.

      8306

      Bells, gongs, statuettes, trophies and like, non-electric of base metal; statuettes and other ornaments of base metal; photograph, picture or similar frames, of base metal; mirrors of base metal.

      10%

      20%

      B.

      New entries added to the First Schedule [to be effective from 02.02.2020] * [Clause 115(b) of the Finance Bill, 2020]

      S. No

      Tariff Item

      Description

      Tariff Rate

      Effective rate

      1.

      8414 51 50

      Wall fans

      20%

      20%

      2.

      8529 90 30

      Open cell for television set

      15%

      0%

      3.

      8541 40 11

      Solar cells, not assembled

      20%

      0%

      4.

      8541 40 12

      Solar cells, assembled in modules or made up in panels

      20%

      0%

      *Will come into effect immediately owing to a declaration under the Provisional Collection of Taxes Act, 1931.

       


      Full Text:

      Budget 2020-21 + FINANCE BILL, 2020

      Topics

      ActsIncome Tax