Karnataka High Court held that customs duty under the exemption Notification No.1/95-CE dated 04.01.1995 on imported items not granted since condition of value addition at the minimum rate of 33% made before the exports not satisfied. In fact, the value addition was only upto 5.18%.
Karnataka High Court held that in terms of auction memorandum, liquidator appointed under the Insolvency and Bankruptcy Code, 2016, was empowered to forfeit the Earnest Money Deposit [EMD] and Interest free Refundable Participation Deposit Money [PDM] deposited for participating in the auction.
The court examined whether the services qualified as intermediary services and found the issue already settled by multiple prior rulings. It quashed the refund rejection and directed sanction of refund with interest.
Karnataka High Court held that clubbing / consolidation / bunching/ combining of multiple tax periods/financial years in a Solitary/Single/Composite Show cause notice issued under Section 73 / 74 of the CGST / KGST Act is illegal, invalid, impermissible and without jurisdiction or authority of law.
Karnataka High Court held that levy of interest u/s. 50 of the Central Goods and Services Tax Act, 2017 on delayed filing of return not justified as cash is deposited to Electronic Cash Ledger on or before the due date and the amount towards tax by way of Electronic Credit Ledger was available in the Electronic Credit Ledger.
Karnataka High Court held that mere change in route, without intention to evade tax, cannot attract penalty under section 129 of the KGST Act. Accordingly, order passed is illegal, arbitrary and contrary to law and hence petition is allowed.
The dispute involved ITC denial due to mismatch between GSTR-3B and GSTR-2A. The Court quashed the orders and held that authorities must apply Circular 183 and re-decide the case.
Karnataka High Court held that revision petition u/s. 264 of the Income Tax Act wrongly dismissed by holing that delay in filing revision petition cannot be condoned since the revisional authority already condoned the delay.
Karnataka High Court held that bona fide error made while filing return in Form GSTR3B are allowed to be corrected. Further, it is held that such bona fide errors cannot be sole ground for initiating proceedings u/s. 73 of the GST Act.
The court held that delay in seeking a TDS refund could be condoned where tax was deducted due to an error, and directed authorities to examine the refund claim on merits.
