maruti suzuki

After the Maruti Suzuki decision of the Supreme Court, the scope of the term "input" to determine eligibility to CENVAT Credit, appeared to have been narrowed down. Recently the Supreme Court in the case of Ramala Sahkari Chini Mills Ltd., UP v. CCE, Meerut-1 on the issue of admissibility of CENVAT Credit of duty paid on welding electrodes used in maintenance of machines decided that the ratio in Maruti Suzuki in relation to the interpretation of the definition of 'inp.. Full Article

Electric cars may become cheaper by up to Rs 1 lakh with manufacturers expected to pass on to the consumers the benefits of the Rs 95-crore incentive package extended by the Government to the industry. This subsidy will be applicable till 2011-12, af Full Article

Bombay High Court held in above case that the assessee is entitled to avail Cenvat credit on outdoor ‘catering services’ provided in the factory for employees. Ratio of Maruti Suzuki judgment been applied in the case. Full Article

Delhi High Court Ruling: Transfer Pricing - Sec 92 – An important ruling by the Hon’ble High Court wherein it has been held that the methodology to be adopted by the Revenue Authorities for making an adjustment should be equitable and fair, and has ruled on the payment for the use of intangible assets and attributing arm’s length consideration for activities carried out by the licensee, etc. [Maruti Suzuki India Limited – W.P. 6876/2008] Full Article

One of the most challenging issues in TP is the taxation of income from intangible property. The issues may arise in several contexts, such as the appropriate royalty to be charged to a licensee of intangibles or the appropriate inter-company transfer price for goods manufactured and sold to a controlled distributor when the manufacturer owns the trademark for the finished goods in the distributor's jurisdiction. The OECD has also recently announced that it is considerin.. Full Article

Professional services firm PriceWaterhouseCoopers India on Tuesday witnessed the exit of executive director (tax practice) Amrish Shah, even as the industry was rife with rumors that the firm, which is the largest in India, could see a major churn involving senior partners. Mr Shah, who is understood to have left due to professional reasons, was not reachable for comment. Full Article

SUMMARY OF CASE LAW The definition of “input” brings within its fold, inputs used for generation of electricity or steam, provided such electricity or steam is used within the factory of production for manufacture of final products or for any other purpose. Full Article

The Supreme Court has said the CENVAT Credit Rules were not properly drafted causing huge rise in litigations and conflicting decisions by various benches of Custom Excise & Service Tax Appellate Tribunal (CESTAT). The apex court said that repeated amendments in the CENVAT Credit Rules has given a further fillip in rising number of litigations in the country. Full Article