"23 June 2015" Archive

Service tax on sale of recharge coupons and SIM cards applicable on gross amount received from distributors and not on MRP

Tata Tele Services Vs Commissioner of Service Tax (CESTAT Mumbai)

It is true that the service rendered by the assessee by way of sale of pre‐paid SIM cards through distributors was ultimately received by the subscribers. However, where the law prescribes the value of taxable service to be the gross amount charged by the service‐provider, Service tax can be levied on that amount only. ...

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Limitation period of Sec 11B does not apply for claiming re-credit of excess service tax paid

M/s GTL Infrastructure Ltd. vs Commissioner of Service Tax (CESTAT Mumbai)

The issue of limitation of claim under Sec 11B as raised by Revenue is also not maintainable because the amount paid by the appellant in excess of their service tax liability ceased to be in nature of service tax paid by them and is merely an excess deposit paid by the appellant. ...

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Reopening u/s 147 required only “reason to believe” and not the established fact of escapement of income

Sh. Devinder Singh Vs Income Tax officer (ITAT Chandigarh)

Assessing Officer has wrongly stated that Shri Prithvi Singh, father of the assessee has stated in his statement that he had no agricultural land in his name. Since, as per the Statement recorded by AO it is been observed that that Shri Prithvi Singh (father of the assessee) has stated that he has...

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Reassessment u/s 148 quashed, on issue of notice without valid jurisdiction

Mukesh Kumar Vs ITO (ITAT Delhi)

The reliance has been placed on the decision of Hon’ble Allahabad High Court in the case of CIT Vs. M/s MT Builders Pvt. Ltd., (2012) 349 R 271 (All.) that the notice issued by an Officer who had no valid jurisdiction over the assessee is invalid. Accordingly, The notice under Section 148 of the Act issued by the Income Tax Officer...

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Filling up the lacunae in defective SCN not allowed in case of an open remand

Thirumurugan Enterprises Vs. CESTAT

The Hon’ble High Court of Madras held that the issues raised by the Appellants and answered by the Commissioner (Appeals) in their favour has to be considered by the Tribunal on its own merits and there being no finding on the issues in the manner in which the plea has been taken by the Appellants, ...

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Posted Under: Service Tax |

Relaxation in number of Audit – High Level Committee on Tax Laws

You would be glad to know that that the long awaited Notification to exempt private companies under section 462 of the Companies Act 2013 has been recently issued by the Ministry of Corporate Affairs. ICAI has highlighted need for a clarification in this regard on various occasions. There was no apparent need to put a cap on the number of...

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Posted Under: Service Tax |

GST- Way Forward

Simply put, goods and services tax is a tax levied on goods and services imposed at each point of sale or rendering of service. Such GST could be on entire goods and services or there could be some exempted class of goods or services or a negative list of goods and services on which GST is not levied. GST is an indirect tax in lieu of tax...

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Posted Under: Service Tax |

Streamlining process of public issues- Obviating the need to issue cheques

PR No. 167/2015 (23/06/2015)

Initial Public Offering (IPO) process streamlined to, reduce time period for listing of issues from T+12 days to T+6 days, increase reach of retail investors to access the IPO and reduce the cost of public issues. With this issuers will have faster access to the capital raised and investors will have early liquidity....

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Govt. considering to provide tax benefit on Electronic Transactions

Objectives Improve the ease of conducting transactions for an individual Build a transactions history to enable improved credit access and financial inclusion. Reduce the risks and costs of carrying cash at the individual level. Reduce costs of managing cash in the economy....

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Posted Under: Service Tax |

Regarding cancellation of registration of VAT dealers who have failed to file their returns

Circular No. 02/2015-16 - Income Tax (23/06/2015)

It has been observed that substantial number of registered dealers have not filed their returns for the financial years 2012-13 and 2013-14. This may be on account of no business activity by them during these years or the business may have been closed down permanently or the business being conducted in a clandestine manner with tax evasio...

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