The intermediary service has been a controversial subject in cross border trade, since the days of Service Tax. The foremost controversy is on the outbound leg, as in if the services qualify as ‘intermediary services’, the place of supply becomes ‘the location of supplier of services’, and therefore ousting the services from the purview of […]
The supplies between distinct persons and related persons are subject to derogate measure, such that the transaction value is discarded at the very outset and the valuation of the supplies should be on the basis of objective rules. The first objective criteria is ‘open market value’ [Rule 28], a value not easily available, if at […]
The department audit round has begun, and it will not be long before it will be in full swing. The first year(s) of the audit would be crucial in the sense that it would reflect revenue’s approach towards a number of controversial tax positions. One such critical tax position being, ‘taxability under S. No. 2 […]
India lost the battle before the WTO panel (panel) when number of export incentive schemes that were (are) in vogue were called off as illegal per the SCM agreement. The mischief of MEIS, as pointed out by the panel, was that instead of providing countervailing rates for setting of the input taxes, the rates were […]
Supreme Court upholds power of CG to impose quota restrictions on imports without adjudication procedure The Apex Court in a recent decision involving importers of green and yellow peas, beans has upheld the power of the Central Government to impose quantitative restrictions on the import of goods without following the adjudication procedure. The CG in […]
Present article in Part A examines the controversy over continuation/ grandfathering of investment based incentives upon implementation of Goods and Services Tax (GST) and the corners of promissory estoppel as possible recourse to re-gain lost incentives. Part B encapsulates some other aspects that are relevant in the context on investment based exemptions
This piece discuss the restrictions on tax credit under Section 17 (5) (d) of the Central Goods and Services Tax Act, 2017 in the light of vague word ‘for’. Section 17 (5) (d) ibid in essence denies input tax credit (ITC) on goods or services received for construction of an immovable property on his own account. A ‘for’ always indicates some nexus, the present piece examines whether this nexus is ‘direct’ or ‘indirect’ or otherwise.
Ever since they laid out the new indirect tax code, they’ve become stubborn towards the earlier taxes. Oh yes, we’re talking about the old humble stars, being swollen by a supermassive black hole, being GST. Luckily, the black hole allowed the poor old stars to burn its fuel before being swollen. The fuel burning provisions […]
It just so happened that India had to implement a dual model GST, not that it was an inspiration from Canada or Brazil, but because of the structure of the country. Not to doubt the intentions of the government, we have come very far from the gloomy days of sales tax, [except the ones who […]
Conveying the definition but not the intent, how do you do that government’s way? Bitterly easy, introduce the concepts of Composite and Mixed Supply under Section 8 of Central Goods and Services Tax Act, 2017 (‘the Act’). The present piece provide a discussion over the application of these concepts in transactions which by their nature involves more than one element of supply.
