In the week ending January 5, 2025, various updates were released across Income Tax, GST, SEBI, RBI, and legal sectors. The Income Tax department issued several notifications, including deductions under section 35 for research, TDS exemptions for credit guarantee funds, and an extension for tax return filings. The GST clarification focused on input tax credit (ITC) for electronic commerce operators, while SEBI introduced frameworks for investment adviser certification and passive mutual funds, alongside cybersecurity guidelines. The RBI addressed government debt relief schemes, and updated transaction rules. Key judicial decisions included clarifications on permanent establishment, TDS refunds, and employment status in India. Additionally, the Ministry of Corporate Affairs extended deadlines for CSR reporting, and the Insolvency Board imposed penalties for non-cooperation in investigations. These developments cover financial, tax, and regulatory aspects, offering businesses and individuals essential updates for compliance.
Notifications & Circulars issued during week (29th – 5th Jan 2025)
A. Income Tax
Sri Paripoorna Sanathana Charitable Trust’, Bengaluru notified under section 35(1)(ii) as Research Association for Scientific Research: The notification notifies Sri Paripoorna Sanathana Charitable Trust, Bengaluru, for its college unit, Sri Paripoorna Sanathana Ayurveda Medical College, Hospital and Research Centre for ‘Scientific Research’ under the category of ‘University, college or other institution’ for the purposes section 35(1)(ii) of the Income-tax Act, read with rules 5C and 5E of the Income-tax Rules. Section 35 allows for deduction equal to one and half times while computing taxes for expenses relating to scientific research. (Income Tax Notification 131/2024 Dated 30/12/2024)
No TDS deduction on payments to National Credit Guarantee Trustee Company Limited, established for operating credit guarantee funds: The notification exempts the National Credit Guarantee Trustee Company Limited, a company established and wholly financed by the Central Government for the purposes of operating credit guarantee funds from the requirement of tax deduction at source (TDS) on any payments received by it, as referred to in clause (46B) of section 10 of the Act. (Income Tax Notification 01/2025 Dated 02/01/2025)
No TDS deduction on payments to Credit guarantee fund established and managed by the National Credit Guarantee Trustee Company Limited: The notification exempts the Credit guarantee fund established and wholly financed by the Central Government and managed by the National Credit Guarantee Trustee Company Limited from the requirement of tax deduction at source (TDS) on any payments received by it, as referred to in clause (46B) of section 10 of the Act. (Income Tax Notification 02/2025 Dated 02/01/2025)
TDS Deduction exemption under section 194Q for goods purchased from IFSC Units: The notification exempts tax deduction under Section 194Q for goods purchased from International Financial Services Centre (IFSC) Units, effective from January 1, 2025. This exemption is subject to the seller submitting a declaration in Form-1 specifying the ten consecutive assessment years for which deductions are claimed. The exemption applies exclusively to the specified ten years, and buyers are liable for tax deductions for other periods. (Income Tax Notification 03/2025 Dated 02/01/2025)
Exemptions to The Commissioners for the Rabindra Setu, Kolkata: The Commissioners for the Rabindra Setu, Kolkata, a body established under the Howrah Bridge Act, has been notified under section 10(46) for exemption on its income arising from proceeds from taxes of municipalities and railways, miscellaneous incomes and Interest on bank deposits. (Income Tax Notification 04/2025 Dated 03/01/2025)
Exemptions to Karnataka State Horticulture Development Agency: Karnataka State Horticulture Development Agency, a Society constituted by the Government of Karnataka, has been notified under section 10(46) for exemption on its income arising from revenue from horticulture activities and Interest on bank deposits. (Income Tax Notification 05/2025 Dated 03/01/2025)
CBDT extends due date for determining amount payable under Direct Tax Vivad Se Vishwas scheme: The due date for determining the amount payable under the Direct Tax Vivad Se Vishwas Scheme, 2024 has been extended to 31st January 2025, (earlier due date 31st December 2024). This extension applies to cases where the declaration is filed by 31st January 2025, in which case the payable amount will be determined according to column (3) of the Table in section 90 of the Scheme. However, for declarations filed after February 1, 2025, the amount payable will be determined as per column (4) of the same Table. (Income Tax Circular 20/2024 Dated 30/12/2024)
CBDT extends last date for furnishing Belated/Revised return of income: The due date for submitting belated or revised income tax returns for the Assessment Year 2024-25 for resident individuals has been extended to 15th January 2025 (earlier due date 31st December 2024). (Income Tax Circular 21/2024 Dated 31/12/2024)
Clarification regarding refund of TDS pertaining to Foreign Contribution (FC): Ministry of Home Affairs has issued a clarification regarding the refund of Tax Deducted at Source (TDS) related to Foreign Contribution (FC). The Ministry has confirmed that if a consolidated income tax refund is received in a non-FCRA account, the proportionate amount related to the FCRA account can be transferred back to the FCRA account without violating Section 17 of the Foreign Contribution (Regulation) Act. Further, it has been clarified that TDS, when deducted, should be recorded as utilization of FC. Upon receiving the refund into the FCRA account, it should be treated as “other income” and reported accordingly in Form FC-4. (MHA Public Notice Dated 31/12/2024)
HC, Interest from borrowed funds which temporarily held in interest bearing deposit is capital cost: Case of PCIT vs International Coal ventures Pvt Ltd, HC Delhi Judgement Dated 20th December 2024. HC held that the interest received on borrowed funds, which were temporarily held in interest bearing deposit, is a part of the capital cost and is required to be credited to Capital Work in Progress. (HC Delhi Judgement Dated 20/12/2024)
HC, An intangible property cannot constitute a Permanent Establishment: Case of Director of Income Tax vs Western Union Financial Services, HC Delhi Judgement Dated 18th December 2024. HC held that software, being an intangible property, do not in themselves constitute a Permanent Establishment. Hence, Laision Office of assessee didn’t constitute a PE in India. (HC Delhi Judgement Dated 18/12/2024)
HC, Capital Gains exempt under section 10(38) excluded from section 115JB Book Profits: Case of PCIT vs Hespera Reality Pvt Ltd, HC Delhi Judgement Dated 24th December 2024. HC held that the proviso to Section 10(38) of the Act clarify that the income from capital gains on certain assets, which are excluded from the income under Section 10(38) of the Act, would nonetheless, be included in computing book profits for the purposes of Section 115JB of the Act. It doesn’t mean that if gains are not included as book profits under section 115JB, the same are liable to be included as income for purpose of assessment of tax under normal provisions. (HC Delhi Judgement Dated 24/12/2024)
B. GST
Clarification on ITC availed by electronic commerce operators (ECO) where services specified under Section 9(5) are supplied through their platform: ECO is required to pay tax for making supplies under two counts:
1. Supplies for which he is liable to pay tax as if he is the supplier of the said services.
2. Supply of his own services by providing his electronic platform for which he charges platform fee /commission etc. from the platform users.
It is clarified that ECO, who is liable to pay tax under section 9(5) in respect of specified services, is not required to reverse the input tax credit on his inputs and input services proportionately under section 17(1) or section 17(2) of CGST Act. (CGST Circular 240/2024 Dated 31/12/2024)
Clarification on ITC under section 16(2)(b) in respect of goods delivered by the supplier at his place of business under Ex-Works Contract: The circular addresses concerns from the automobile sector, where Original Equipment Manufacturers (OEMs) deliver goods to dealers at their factory gates, and the property in the goods transfers to the dealer when handed over to the transporter. This interpretation is based on the explanation provided in the Act, which allows for deemed receipt of goods under certain conditions, including when the goods are handed over to a transporter at the supplier’s premises. The circular emphasizes that the dealer can claim ITC on the goods provided they are used in the course of business. (CGST Circular 241/2024 Dated 31/12/2024)
Clarification on place of supply of Online Services supplied by the suppliers of services to unregistered recipients: Under Section 12(2)(b) of the IGST Act, the place of supply for services to unregistered recipients should be the recipient’s location if their address is on record. If not, it defaults to the supplier’s location. However, for online services like e-books, cloud services, or online gaming, suppliers are required to include the recipient’s state name on the invoice, regardless of the supply value, as per Rule 46(f) of the CGST Rules. This state name is considered the recipient’s address on record for determining the place of supply, which is then used to apply the appropriate GST provisions. Suppliers must ensure they gather the state details from unregistered recipients before making supplies, thereby avoiding errors in place of supply declarations. (CGST Circular 242/2024 Dated 31/12/2024)
Clarification on various issues pertaining to GST treatment of vouchers: The circular clarifies that vouchers, depending on whether they are recognized as pre-paid instruments by the Reserve Bank of India, may fall under the definition of “money,” and thus not be subject to GST. The trading of vouchers between distributors on a principal-to-principal basis is not subject to GST as the transaction in voucher is neither supply of goods nor services. GST would apply only to services provided by distributors, agents, or third parties in connection with voucher distribution. The unredeemed vouchers, or “breakage,” are not subject to GST as there is no underlying supply of goods or services. (CGST Circular 243/2024 Dated 31/12/2024)
Advisory for Waiver Scheme under Section 128A: The GST Waiver Scheme under Section 128A offers taxpayers relief from interest and penalties for tax periods between July 2017 and March 2020. Taxpayers can apply via the GST portal using Form GST SPL-01 or SPL-02. The SPL-02 is currently available and the process for filing SPL-02 is detailed in an online help document. Taxpayers must log into the GST portal, navigate to “My Applications,” and select “Apply for Waiver Scheme.” SPL-01, for notices or statements, will be added soon. (GSTN Advisory Dated 29/12/2024)
Advisory for Biometric-based Aadhaar authentication and document verification for GST registration applicants of Arunachal Pradesh: CGST rule was amended which provide for identification of applicants on biometric- based Aadhaar authentication, which includes taking the applicant’s photograph and verifying the original documents submitted with the application. The new functionality mandates that after submitting Form GST REG-01, applicants will receive an email with either a link for OTP-based Aadhaar Authentication or a link to book an appointment at a GST Suvidha Kendra (GSK). It has been rolled out in Arunachal Pradesh effective from 28th December 2024. (GSTN Advisory Dated 31/12/2024)
Advisory to taxpayers on extension of E-Way bills expired on 31st December, 2024: The technical challenges encountered in the e-way bill generation process have been resolved, and the portal is now functioning smoothly. As per the existing procedure, e-way bills that expired at midnight on 31st December, 2024, could be extended either within 8 hours prior to the expiry or 8 hours after the expiry. To mitigate the impact, the window period for extending the e-way bills expiring on 31st December, 2024, has been extended up to 1st January, 2025, midnight. Moreover, the taxpayers and transporters who moved goods on 31st December 2024 without generating e-way bills due to the technical issues are advised to generate the necessary e-way bills on 1st January 2025 using the existing facility on the portal. (GSTN Advisory dated 01/01/2025)
C. Central Excise
No Notification/ Circular during the week.
D. Custom Duty
Fixation of Tariff Value of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver: CBDT notified the Tariff Values of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver, which shall come into force w.e.f. 1st January 2025. The tariff value for crude palm oil is set at USD 1203 per metric ton, while gold and silver have tariff values of USD 840 per 10 grams and USD 959 per kilogram, respectively. The tariff value for areca nuts is fixed at USD 6448 per metric ton. (Custom Notification 88/2024 (NT) Dated 31/12/2024)
CBIC gives effect to fourth tranche of tariff concessions under India-Australia ECTA: The notification amends earlier Notification No. 62/2022, dated 26th December 2022, substituting the existing Table I with a new one. The changes involves revision of BCD and AIDC rates under India-Australia ECTA. (Custom Notification 50/2024 (T) Dated 30/12/2024)
Roll out of Automated Out of Charge (Auto-00C) for Authorised Economic Operator (AEO) T2 and T3 Clients: The initiative aims to simplify trade procedures, enhance efficiency, and reduce administrative burdens. AEO T2 and T3 clients meeting certain criteria, such as no examination, scanning, or PGA- related NoC, complete assessment, and OTP-based BE authentication for duty deferment, will be eligible for Auto-00C on web-based goods registration. The system will allow the Out of Charge to be granted on a risk basis, but officers can override it in case of intelligence or concerns. (Custom Circular 01/2025 Dated 01/01/2025)
E. Directorate General of Foreign Trade (DGFT)
Imposition of Minimum Export Price (MEP) on Export of Honey: DGFT has extended the MEP for natural honey exports until December 31, 2025. The export of natural honey remains permitted (“Free”) but is subject to an MEP of $2000 FOB per metric ton. (DGFT Notification 45/2024 Dated 30/12/2024)
Imposition of Minimum Import Price (MIP) on import of Soda Ash: MIP of Rs. 20,108 per MT is imposed on Disodium Carbonate (Soda Ash) covered under Chapter 28 of ITC, up to 30th June 2025. Previously, these items were free to import. However, under the new policy, they are now restricted unless the CIF (Cost, Insurance, and Freight) value is Rs. 20,108 or more per MT. (DGFT Notification 46/2024 Dated 30/12/2024)
Amendment in Foreign Trade Policy (FTP) to include Para 1.07A and 1.07B for consultation with stakeholders: The notification amends FTP Para 1.07, by inserting Para 1.07A and Para 1.07B to introduce trade facilitation measures with an option available to the Central Government for consultation with relevant stakeholders such as exporters/importers/industry experts to seek their views, suggestions, comments or feedback and also providing the mechanism on best endeavour basis, to inform reasons for not accepting views, suggestions, comments or feedback concerning the formulation or amendment of the FTP. (DGFT Notification 47/2024 Dated 02/01/2025)
Export of Wheat to Nepal through National Cooperative Exports Limited (NCEL): The Central Government has permitted export of 200,000 MT of wheat to Nepal through NCEL. (DGFT Notification 48/2024 Dated 04/01/2025)
Incorporating Para 1.04k in Ch-1 of Handbook of Procedures for consultation with stakeholders: The procedure is specified for seeking views, suggestions, comments or feedback from relevant stakeholders including exporters/importers/industry experts under para Para 1.07A of Foreign Trade Policy(FTP) as a trade facilitation measure with an option available to Central Government to consult stakeholders to seek their views, suggestions, comments or feedback concerning the formulation, amendment or incorporation of specific provision(s) in FTP. (DGFT Public Notice 37/2024 Dated 02/01/2025)
Amendment in Para 6.06 of Handbook of Procedures (HBP): To bring parity with provisions of Chapter-4, the provisions of Para 6.06 stands amended for ease of doing business. It relates to timelines for meeting export obligations against import of items. (DGFT Public Notice 38/2024 Dated 03/01/2025)
Procedure for obtaining Import Authorisation for Low Ash Metallurgical Coke subject to Quantitative Restrictions (QR): DGFT has issued procedure for obtaining Import Authorization applicable to imports of Low Ash Metallurgical Coke with ash content below 18%, falling under specific ITC(HS) codes. Importers must apply for authorization via the DGFT website, providing details such as import data for the last three years, production capacity, and source country. A Special Exim Facilitation Committee (EFC) will review and allocate quantities, with the provision to adjust unutilized quantities between quarters. The DGFT will monitor the utilization of these quotas, revising allocations if necessary after the first quarter. (DGFT Trade Notice 25/2024 Dated 30/12/2024)
SOP for Export authorisations for restricted Seeds and Planting materials: DGFT has released a Standard Operating Procedure (SOP) for obtaining export authorizations for restricted seeds and planting materials. For seeds intended for sowing, exporters must also hold a valid license under the Seed Control Order, and declare that exported seeds are chemically treated and unfit for human consumption. Packets must be labelled accordingly. For non-sowing purposes, such as rice husk exports, affidavits must confirm that the material is neither intended for sowing nor qualifies as breeder or certified seed and is solely for consumption. This SOP applies to specific items like onion seeds and rice of seed quality. (DGFT Trade Notice 26/2024 Dated 30/12/2024)
F. Securities and Exchange Board of India (SEBI)
Certification for Investment Advisers: The notification mandates investment advisers and associated persons to obtain certifications from the National Institute of Securities Markets (NISM). Specifically, individuals and principal officers of investment advisory firms, along with their partners and representatives, must pass the NISM Series X-A: Investment Adviser (Level 1) and NISM Series X-B: Investment Adviser (Level 2) Certification Examinations. Further, they must ensure continued compliance by clearing the NISM Series X-C: Investment Adviser Certification (Renewal) Examination before the validity of their existing certification expires. (SEBI Notification Dated 02/01/2025)
Allowing subscription to the issue of Non- Convertible Securities during trading window closure period: SEBI has issued a circular allowing the subscription to non-convertible securities during trading window closure periods. Trading window restrictions, previously relaxed for rights issues, public issues, preferential allotments, buy-back offers, and other specified transactions, now extend to subscriptions for non- convertible securities. (SEBI Circular Dated 30/12/2024)
Clarifications to Cybersecurity and Cyber Resilience Framework (CSCRF) for SEBI Regulated Entities (REs): The framework introduced in August 2024, aims to strengthen cybersecurity measures and IT infrastructure for REs. This circular provides regulatory forbearance until March 31, 2025, allowing REs to demonstrate progress towards CSCRF compliance without facing immediate regulatory actions. It also extends the compliance deadlines for certain REs, including KYC Registration Agencies (KRAs) and Depository Participants (DPs) to April 1, 2025. SEBI has also deferred decisions on Data Localization requirements for further consultation. (SEBI Circular Dated 31/12/2024)
Introduction of a Mutual Funds Lite (MF Lite) framework for passively managed schemes of Mutual Funds: SEBI has introduced the “MF Lite” framework, which offers a relaxed regime for passive funds, reducing entry barriers, compliance costs, and complexity. It applies to index funds, exchange traded funds (ETFs), fund of funds (FoFs), and other passive schemes, with specific categories outlined for both domestic and overseas indices. It applies to funds with assets under management (AUM) exceeding INR 5,000 crores. The new framework includes eligibility criteria for sponsors, governance standards, and guidelines for asset management companies (AMCs), particularly those aiming to launch or manage passive schemes. (SEBI Circular Dated 31/12/2024)
Implementation of Integrated Filing for Listed Entities: The circular relates to Integrated Filing for governance and financial-related disclosures. The changes affect filings related to investor grievances, corporate governance reports, related party transactions, and financial results, with updated deadlines for quarterly submissions. The circular also outlines new guidelines for secretarial auditors and the disclosure of employee benefit scheme documents. It emphasizes the use of a single filing system and system-driven disclosures for certain filings. Stock exchanges and depositories are tasked with implementing the necessary systems for monitoring these changes. (SEBI Circular Dated 31/12/2024)
Master Circular for Stock Exchanges and Clearing Corporations: This Master Circular consolidate all applicable circulars and directions for recognized stock exchanges and clearing corporations issued up to October 31, 2024. The circular outlines provisions covering trading, settlement, risk management, derivatives, and the administration of stock exchanges and clearing corporations. (SEBI Master Circular Dated 30/12/2024)
SEBI Investor website and Saarthi App offer free tools and resources for Investor Awareness and Education: The key elements include a video learning repository covering topics such as stocks, bonds, mutual funds, and personal finance. The “Spot a Scam” tool helps users assess the legitimacy of investment opportunities, while the “Financial Health Checkup” tool allows investors to evaluate their financial status and receive improvement suggestions. SEBI’s website also features 24 financial calculators, links to check market intermediary registration statuses, and a comparative fee structure of depository participants, all designed to aid in informed decision-making. Moreover, the website provides study materials, investor charters, and details on awareness programs. (SEBI Press Release Dated 02/01/2025)
G. Ministry of Corporate Affairs (MCA)
Amendment in Companies Accounts Rules, extension of due date filing Form CSR-2 i.e. Report on Corporate Social Responsibility: The last date of filing Form CSR-2 is extended to 31st March 2025 (earlier 31st December, 2024). It require companies to report details of their CSR initiatives, including projects undertaken, CSR committees, spending and unspent funds. (MCA Notification Dated 31/12/2024)
ICAI lacks authority to issue quality management standards, Solicitor General Tushar Mehta: The National Financial Reporting Authority (NFRA) was established under Section 132 of the Companies Act, to regulate accounting and auditing standards for Public Interest Entities (PIEs) such as listed companies, banks, and insurers. Its primary objective is to protect the public interest and ensure high quality accounting and auditing standards. NFRA is empowered to oversee compliance, investigate professional misconduct, and enforce penalties on both audit firms and individual professionals involved in any wrongdoing. It also has the authority to recommend auditing and accounting standards to the government. This regulatory body was created to shift from self-regulation by the ICAI to an independent oversight mechanism in line with global standards. The legal framework emphasizes the NFRA’s role in promoting transparency and accountability within the auditing profession. (Solicitor General Legal Opinion Dated 03/11/2024)
H. Insolvency and Bankruptcy Board of India (IBBI)
NCLAT, Decree holder qualifies as Financial Creditor when decree is based on financial debt: Case of Rakesh Kumar Jain vs ADTV Communications Private Ltd, NCLAT Delhi Judgement Dated 17th December 2024. It is now a settled law that a Decree Holder falls within the purview of the Financial Creditor under the Code, if the decree is based on a financial debt. Held that the Appellant qualifies as a Financial Creditor, and the Petition under Section 7 of the IBC is within the period of limitation. The NCLT’s Order is thus erroneous and is liable to be set aside. (NCLAT Delhi Judgement Dated 17/12/2024)
NCLAT, Application under section 7 of IBC for default in not completing project on time accepted: Case of Dinesh Kumar vs Narendra Kumar Sharma, NCLAT Delhi Judgement Dated 23rd December 2024. NCLAT held that admitting application under section 7 of Insolvency and Bankruptcy Code, 2016 for initiation of CIRP for default in not completing project and handing over units within time justified. (NCLAT Delhi Judgement Dated 23/12/2024)
IBBI cancels registration and imposes penalty of Rs 1Lac on Insolvency Professional (IP) Mr Ankit K Agrawal for non-cooperation and violation of IBC provisions: Despite being notified multiple times, Agarwal failed to cooperate with the investigation or appear before the National Company Law Appellate Tribunal (NCLAT) when required. The Disciplinary Committee found Agarwal’s actions in violation of the Insolvency and Bankruptcy Code, Regulations, and the professional Code of Conduct, and thus cancels registration and imposes penalty on him. (IBBI Order Dated 02/01/2025)
I. Reserve Bank of India (RBI)
Government transactions through integration with e- Kuber on 30th March 2024: The ‘e-Kuber’ which is the Core Banking Solution platform of RBI for Government and other payments does not process any Government transactions on Global holidays. It is observed that March 30, 2025 falls on a Sunday. It has been decided that e-Kuber will be open for Government transactions on 30th March 2025 so that all the Government transactions through integration with e-Kuber processed on this day are accounted for and the cash balances of Central Government and State Governments are so arrived at. (RBI Circular 103/2024 Dated 03/01/2025)
Assignment of Lead Bank Responsibility in new districts in Nagaland: It has been decided to designate State Bank of India as the Lead Bank for the new district Meluri in the state of Nagaland. (RBI Circular 102/2024 Dated 02/01/2025)
Participation of NaBFID as an AIFI in financial markets: National Bank for Financing Infrastructure and Development (NaBFID) has been permitted to participate as an All-India Financial Institution (AIFI) in financial markets. NaBFID can now undertake credit default swaps and repurchase (repo) transactions in accordance with the Master Directions on Credit Derivatives and Repo Transactions. (RBI Circular 101/2024 Dated 01/01/2025)
Government Debt Relief Schemes (DRS): RBI has issued guidelines for regulated entities (REs) participating in Government Debt Relief Schemes. REs must assess their involvement in such schemes according to their board approved policies and report any sacrifices made under these schemes as compromise settlements. The RBI stresses that DRS should be treated as a last resort and must be implemented with proper consultation and a clear framework to avoid financial instability. The guidelines also emphasize the timely settlement of government dues and the need for full funding of DRS before their announcement. It provides a Model Operating Procedure (MOP) for governments to follow, which includes engaging with bank committees, designing the scheme carefully, and ensuring that lending institutions are not burdened with unmanageable liabilities. (RBI Circular 100/2024 Dated 31/12/2024)
Introduction of beneficiary bank account name look-up facility for RTGS and NEFT Systems: Currently, the Unified Payments Interface (UPI) and Immediate Payments Service (IMPS) systems enable a remitter to verify the name of the beneficiary before initiating transfer. It has been decided to put in place a similar facility that would enable a remitter to verify the beneficiary bank account name before initiating a transaction using Real Time Gross Settlement (RTGS) and National Electronic Funds Transfer (NEFT) system. Accordingly, National Payments Corporation of India (NPCI) has been advised to develop the facility and onboard all banks. (RBI Circular 99/2024 Dated 30/12/2024)
J. Miscellaneous
SC, Innocent Party Cannot be allowed to Suffer Injustice Due to Advocate’s Default: Case of Dwarika Prasad vs Prithvi Raj Singh, SC Judgement Dated 20th December 2024. The case originated from a civil suit where the appellant, Dwarika Prasad, had his sale deed declared void in 1994 due to an ex parte judgment passed when he was not represented in court. The appellant, an elderly and illiterate individual, was unaware of the proceedings and relied entirely on his advocate, who failed to appear in court. It was only after a new counsel was appointed that the appellant became aware of the ex parte decree. He subsequently filed a restoration application to reinstate the case, but it was rejected by both the District Court and the High Court for procedural reasons. The Supreme Court held that the appellant should not be penalized for his previous counsel’s mistakes and ruled in favour of the appellant, and allowed the restoration application. (SC Judgement Dated 20/12/2024)
SC, Nature of work performed and not label assigned to worker should determine employment status: Case of Jaggo vs Union of India, SC Judgement Dated 20th December 2024. The Apex Court held that hiring temporary employee as a means of avoiding payment of employee benefits is unjustifiable since the nature of the work performed, rather than the label assigned to the worker, should determine employment status and the corresponding rights and benefits. (SC Judgement Dated 20/12/2024)
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Disclaimer: The contents of this article are for informational purposes only. The user may refer to the relevant notification/ circular/ decisions issued by the respective authorities for specific interpretation and compliances related to a particular subject matter)
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