"04 December 2014" Archive

Value of materials not includible in value of services where Agreement quantifies value of materials separately

Commissioner of Central Excise Vs. Goverdhan Transformer Udyog Pvt. Ltd.

Goverdhan Transformer Udyog Pvt. Ltd. (the Assessee) provided Management, Maintenance and Repair services (Repair services) for the repair of old and damaged transformers to Dakshinanchal Vidyut Vitaran Nigam Ltd. (DVVN)....

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Posted Under: Service Tax |

S. 80P Co-Operative Credit Society is a Bank if it Satisfies the conditions of a Primary Bank

Renuka Co-op Cedit Society Ltd. Vs ITO (ITAT Panji)

From the reading of Sec. 80P(4) it is apparent that this section denies deduction to a co-operative bank other than a primary agricultural credit society or primary co- operative agricultural and rural development bank....

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Tribunal has no inherent power to put a condition for depositing an amount for adjudicating the case afresh

Maa Mahamaya Industries Ltd. Vs. Commissioner of Central Excise, Customs and Service Tax (Andhra Pradesh High Court)

In the instant case, a Show Cause Notice was issued by the Ld. Commissioner to Maa Mahamaya Industries Ltd. (the Appellant) and the same was adjudicated against the Appellant. Being aggrieved, the Appellant preferred an appeal before the Hon’ble CESTAT....

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Posted Under: Service Tax |

Nobody in factory' cannot tantamount to refusal of Appellant

Pioneer Glass Industries Vs. Commissioner of Central Excise (High Court of Allahabad))

The Hon’ble High Court of Allahabad held that an endorsement by the postal authority that 'there is nobody in the factory' cannot tantamount to refusal of the Appellant nor it can be read as factory is closed....

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Posted Under: Service Tax |

SCN after retrospective amendment is not sustainable

PSL Ltd. Vs. Commissioner of Central Excise (CESTAT Ahmedabad)

In the instant case, demand of Service tax is raised against PSL Ltd. (the Appellant) as recipient of Goods Transport Agency (GTA) services for the period from November 16, 1997 to June 2, 1998, by issuing a Show Cause Notice dated July 31, 2007 i.e. after retrospective amendment...

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Posted Under: Service Tax |

Input Service credit on Inputs lost during manufacturing

Mahanagar Gas Ltd. Vs. Commissioner of Central Excise (CESTAT Mumbai)

Inputs lost during manufacturing does not amount to receipt of Inputs in short quantity and accordingly whatever tax has been paid by Assessee on Inward Transportation service is entitled for Input Service credit...

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Posted Under: Service Tax |

How do you manage corporate credit cards?

We always tend to be a little casual with our business or corporate credit cards for the simple reason that the company tends to reimburse or pay the credit card bills. However, at the end of the month when you send the statement to your company’s executive most of the times you are left scratching […]...

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Posted Under: Service Tax |

Rate of exchange of conversion of each of foreign currency with effect from 05th December, 2014

Notification No. 113/2014-Customs (N.T.) (04/12/2014)

In exercise of the powers conferred by section 14 of the Customs Act, 1962 (52 of 1962), and in super session of the notification of the Government of India in the Ministry of Finance (Department of Revenue)...

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Can withdrawal of circulars change law?

B.Ramana Kumar, M.Com., LLB, FCA, Advocate Hitherto, the export commissions paid to foreign agents were never in question of taxation in India. This was fortified by Circular No.23 dated 23 July 1969 which stated that where a foreign agent of India exporters operates in his own country and his commission is usually remitted directly to [&...

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Posted Under: Service Tax |

Time Limit for Adjudication in Service Tax

Prior to Finance Act, 2014, Service Tax law does not provide for any provision which stipulates the time period within which adjudicating authority is bound to complete the adjudicating process and issue the demand order or adjudication order. The experience suggests that the officers take years together to complete the adjudication or ev...

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Posted Under: Service Tax |