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1

2015 (8) TMI 35 - CESTAT NEW DELHI - Central Excise

M/s Godfrey Philips India Ltd. Versus Commissioner of Central Excise And Service Tax, Ghaziabad

Denial of abatement claim - whether appellant is required to pay duty for whole of the period or required to pay duty on pro rata basis after availing the abatement for closure period and consequently is entitled to claim the abatement of excess duty paid or not - Held that:- The denial of abatement is only on the ground that appellant is required to pay duty for whole of the month and thereafter to claim the abatement but that is not correct view in the light of the decision of this Tribunal in.....


2

2015 (8) TMI 34 - CESTAT NEW DELHI - Central Excise

TRIMURTI FRAGRANCES PVT LTD Versus COMMISSIONER OF CENTRAL EXCISE, DELHI-III

Denial of abatement claim - Closure of factory - Applicability of Rule 9 - manufacturers of retail pouches of Gutkha, pan masala and chewing tobacco. - Held that:- Conditions for claiming abatement under Rule 10 of PMPM Rules are satisfied, that the appellant had applied for rebate and that the rebate is admissible. The appellant, however, instead of paying full duty for the Month of March, 2011 by 5th March, 2011 had paid only the proportionate duty for the period from 17th March, 2011 to 31s.....


3

2015 (8) TMI 33 - CESTAT NEW DELHI - Service Tax

M/s Tarachand Chaudhary Versus CCE, Jaipur

Management maintenance or repair service - Extended period of limitation - management and maintenance of parks and road side plantation and maintenance - Held that:- Adjudicating authority has dropped the demand pertaining to the period up to 30.4.2006 on the ground that during that period maintenance or repair of only immovable property was liable to service tax. The Commissioner (Appeals) clearly noted that with effect from 1.5.2006 the change in definition of "management, maintenance or repa.....


4

2015 (8) TMI 32 - CESTAT NEW DELHI - Service Tax

M/s Suresh Jaiswal Versus Commissioner of Central Excise, Jaipur

Management maintenance or repair service - Extended period of limitation - management and maintenance of parks and road side plantation and maintenance - Held that:- Adjudicating authority has dropped the demand pertaining to the period up to 30.4.2006 on the ground that during that period maintenance or repair of only immovable property was liable to service tax. The Commissioner (Appeals) clearly noted that with effect from 1.5.2006 the change in definition of "management, maintenance or repa.....


5

2015 (8) TMI 31 - CESTAT AHMEDABAD - Service Tax

Shri Harishbhai R Aahir Versus Commissioner of Central Excise & S.T., Surat

Condonation of delay - Delay of 319 days - Medical illness - Held that:- Reason given for delay in filing appeal is that the applicant was suffering from severe health issues since last one and half year and was admitted to Motiben Dalvi Hospital, Mumbai and Care Nursing Home Hazira Hospital, Surat. We agree with the submission of the learned Authorised Representative for the Revenue that the application is without any support of evidence. It is noted that the Hon’ble Gujarat High Court, after c.....


6

2015 (8) TMI 30 - CESTAT NEW DELHI - Service Tax

M/s ST Microelectronics Pvt Ltd Versus Commissioner of Central Excise And Service Tax, Noida

Denial of refund on input service credit lying unutilized in their Cenvat credit account of export of service - Various services - Held that:- For outdoor catering services, the contention of the learned AR has submitted that as there is statutory requirement for the canteen, therefore they are entitled to Cenvat credit in the light of decision of this Tribunal in the case of Semco Electricals (2009 (12) TMI 143 - CESTAT, MUMBAI) wherein this Tribunal has held that if the employees of an organiz.....


7

2015 (8) TMI 29 - CESTAT NEW DELHI - Service Tax

Globe Ground India Pvt Ltd Versus Commissioner of Central Excise And Service Tax, Delhi-IV

Denial of the Cenvat credit on inputs / input services - Credit taken on Security service, chassis of motor vehicle and exempted service to German Embassy - Held that:- appellant is providing taxable as well exempted services but nowhere Revenue has proved that appellant has provided exempted services. Infact in two of the invoices issued by the appellant to German Embassy, the appellant did not charge the service tax, does not mean that appellant has provided exempted services. Therefore, I hol.....


8

2015 (8) TMI 28 - CESTAT AHMEDABAD - Service Tax

M/s Shiv Engineering Versus Commissioner, Customs & Central Excise, Vadodara-I

Penalty of equal amount under Sections 78, 76, 77 (1)(b), 77(1)(C) of the Finance Act, 1994 and Rule 7C of Service Tax Rules, 1994 - Maintenance or Repair Service - Held that:- Appellants had not taken this stand before the lower authorities. This document was not placed before the lower authorities and the same cannot be accepted at this stage. I find that the Appellants already paid the entire amount of tax before issue of Show Cause Notice. They have also collected the Service Tax amount from.....


9

2015 (8) TMI 27 - KERALA HIGH COURT - VAT and Sales Tax

M/s. SUPER PACKAGING INDUSTRIES RAVIPURAM, ERNAKULAM Versus THE SALES TAX OFFICER, II CIRCLE, II CIRCLE, ERNAKULAM AND THE STATE OF KERALA

Denial of exemption claim u/s 5(3) of CST - inter-state sale of paper cartons - The case pleaded is that the firm had effected inter-state sale of paper cartons to various exporters in the course of export outside the State - Held that:- appellant will have to establish the identity of the goods sold with the goods meant to be exported out of the territory of India. It cannot be said that packing materials as such were meant for export but they were used only for wrapping the "goods which were .....


10

2015 (8) TMI 26 - MADRAS HIGH COURT - VAT and Sales Tax

M/s Kiran Distributors Versus The Commercial Tax Officer, The Assistant Commissioner (CT)

Detention of goods - goods were transported in a different Goods Vehicle - Held that:- when the petitioner has come forward to effect one time tax that will be quantified by the first respondent, this Court finds no impediment to direct the first respondent to release the goods in question to the petitioner on payment of such one time tax. Accordingly, on receipt of a copy of this order, the first respondent is directed to quantify the amount of tax within a day and thereafter, on proper quantif.....


11

2015 (8) TMI 25 - CESTAT AHMEDABAD - Central Excise

M/s Zest Packers Pvt. Ltd and Unicorn Packers Pvt. Ltd Versus CCE Ahmedabad-II

Benefit of abatement of duty - non-production of goods during any continuous period of 15 days or more - manufacture of Jarda Scented Tobacco and Chewing Tobacco - Held that:- As regards the Board’s circular dt.12.03.2009 stating that the abatements are subject to pre/post-audit, we do not necessarily see any fatally irreconcilable contradiction between the Board’s circulars dt.15.09.1999 & 30.08.1997 on the one hand and the one dt.12.03.2009 on the other in as much as when the adjustment of aba.....


12

2015 (8) TMI 24 - CESTAT MUMBAI - Central Excise

M/s. Mercedes Benz India (P) Limited Versus Commissioner of Central Excise, Pune-I

Reversal of Cenvat Credit - various option available as per Rule 6 of CCR - whether appellant is required to pay 5% of total sale value of the goods traded by them in terms of Rule 6(3)(i) when the appellant paid the actual credit attributed to the quantum trading sale in terms of Rule 6(3A) alongwith interest following the option available under Rule 6(3)(ii) - Held that:- Appellant has availed Cenvat Credit in respect of common input services, which has been used in relation to the manufacture.....


13

2015 (8) TMI 23 - CESTAT MUMBAI - Central Excise

Johnson & Johnson Ltd. Versus Commissioner of Central Excise & ST (LTU) , Mumbai

Penalty u/s 11AC - Valuation of goods - Rule 8 - appellant, at the outset, submitted that they are not disputing the duty demanded by the Revenue as the same was paid by the appellant even before issue of show cause notice, they are only disputing the penalty imposed under Section 11AC and Rule 25 of the Central Excise Rules, 2002. - Held that:- With the new cost of production it was found that there has been a short levy of ₹ 54,97,281/-. The said amount along with interest was thereafter.....


14

2015 (8) TMI 22 - CESTAT MUMBAI - Central Excise

M/s Vipras Castings Ltd, Shri Ashish Goradia Versus Commissioner of Central Excise, Raigad

Disallowance of CENVAT Credit - Duty paying documents - whether the Cenvatable invoices issued by M/s. SSMIPL o the appellant are genuine or fake/fraudulent invoices - Confiscation of goods - Imposition of penalty - Held that:- Appellant could not give any explanation on the report submitted by sales tax authority therefore same attained finality and this report clearly shows that no transaction has been taken place from Gujarat to Maharashtra therefore subsequent passing of Cenvat credit of tra.....


15

2015 (8) TMI 21 - CESTAT AHMEDABAD - Central Excise

M/s. Gujarat State Fertilizers & Chemicals Limited Versus Commissioner of Central Excise & S.T., Surat-II

Denial of CENVAT Credit - input services - whether distributors/ consignment stockists of the appellant are doing any sales promotion activities in addition to selling of goods of the appellant or not - Held that:- Sales promotion activities are carried out as per Clause 13 and 17 of the contract entered between the appellant and the distributors/ consignment stockists. That their case is squarely covered by the judgment in the case CCE, Ahmedabad vs. Cadila Healthcare Limited (2013 (1) TMI 304 .....


16

2015 (8) TMI 20 - BOMBAY HIGH COURT - Income Tax

Sun Tan Trading Co. Pvt. Ltd. Versus The Deputy Commissioner of Income Tax, 1 (3) (1) , Mumbai And Others

Reopening of the assessment - disallow an expenditure claimed for the Assessment Year 2005-06 to 2010-11 under Section 37 as advertisements, sales promotions expenses, etc. on the ground that it was incurred for the exporter of the liquor and appropriately forms part of the consideration payable for the imported goods by the petitioner - Held that:- We notice that the petitioner had sought a copy of the sanction granted to the Assessing Officer in terms of Section 151 of the Act to issue the imp.....


17

2015 (8) TMI 19 - BOMBAY HIGH COURT - Income Tax

The Commissioner of Income Tax-8, Mumbai Versus Perfect Thread Mills Pvt Ltd, Mumbai

Principal amount of loans waived off by the financial institutions / banks - whether do not represent the assessee's taxable income in terms of Section 41(1) r.w.s.28(iv) as the loans were taken for the purpose of acquisition of capital assets? - Held that:- Be that as it may, the loan being taken was undisputedly in the Capital field then its waiver should also be in the Capital field. The sine quo non for application of Section 41(1) of the Act is that a deduction must have been claimed by ass.....


18

2015 (8) TMI 18 - DELHI HIGH COURT - Income Tax

The Commissioner of Income Tax Central-III Versus PACL India Ltd

Disallowance of Land development expenditure - CIT(A) allowed claim confirmed by ITAT - Held that:- ITAT in the impugned order noted that the contractors named by the Assessee had in fact been assessed by the Department and in many cases refund had been ordered. It was noticed that the AO had made no effort to verify the details filed by the Assessee and proceeded to inquire into the identity of the contractors through an inspector. These inquiries were conducted long after the work had been exe.....


19

2015 (8) TMI 17 - KARNATAKA HIGH COURT - Income Tax

Sri Narayana Guru Prasaditha Sangha Versus The Commissioner of Income Tax

Continuation of the approval granted under Section 80G(5)(vi) rejected - assessee submision that Commissioner as well as Tribunal erred in not considering the fact that assessee - Trust had not carried on any activity which was hit by proviso to Section 2(15) of the Act and reply given to the respondent indicated that donations which had been received by the assessee had been utilised for the purpose envisaged under the objects of the Trust and its fulfillment - Held that:- order of rejection o.....


20

2015 (8) TMI 16 - RAJASTHAN HIGH COURT - Income Tax

Commissioner of Income Tax-II Versus Shri Ramesh Chandra Bhati

Deduction on account of payment of interest on interest - whether was allowable under section 36(i)(iii) and Section 37(1)? - Held that:- In the present case, there is an additional feature that assessee failed to explain the amount which was claimed to be deducted under section 36(1)(iii) of the Act. It was found that the entire capital was paid and what was remaining in the account was interest on which the interest was shown and which was sought to be deducted. The AO was not satisfied with t.....


21

2015 (8) TMI 15 - KARNATAKA HIGH COURT - Income Tax

Shree Siddeshwar Souhardhana Sahakari Niyamit Versus The Income Tax Officer, Ward-1, Bagalkot

Exemption under Section 80P(2)(a)(i) - interest received from investments of its surplus funds made with the members of the Society - whether the interest income received by the appellant from investments/deposits of its surplus fund with the Member Company is exempt from tax on the Principle of Mutuality? - Held that:- As decided TUMKUR MERCHANTS SOUHARDA CREDIT COOPERATIVE LIMITED case [2015 (2) TMI 995 - KARNATAKA HIGH COURT] in the amount which was invested in banks to earn interest was not .....


22

2015 (8) TMI 14 - MADRAS HIGH COURT - Income Tax

M/s Natya Sankalpaa Versus Director of Income Tax (Exemptions) , Chennai

Exemption under Section 11 denied - construction activity on the land belong to the trustee and used by the trust - whether application of income for the benefit of trustee u/s 13 (1)(c) - Held that:- Department while accepting that the Trust has not paid any rent or any compensation to the trustee for the land used by the assessee trust which belongs to one of the trustees, the income for construction of the building on the land belonging to one of the trustee would amount to income for the ben.....


23

2015 (8) TMI 13 - ITAT DELHI - Income Tax

Almora Urban Co-Operative Bank Ltd Versus Income Tax Officer (Tds) , Kashipur

TDS liability on term deposits - assessee is a Co-operative society engaged in Co-operative business of banking which was registered under Uttarakhand Sahkari Samiti Adhiniyam 2003 - Held that:- As far as the applicability of the relevant provision is considered, the Co-ordinate Bench in the case of Kashipur Urban Co-operative Bank Limited vs. ITO [2015 (7) TMI 760 - ITAT DELHI] relying upon the decision rendered in ACIT vs Visakhapatnam Cooperative Bank Ltd. (2011 (8) TMI 319 - ITAT VISAKHAPATN.....


24

2015 (8) TMI 12 - ITAT KOLKATA - Income Tax

Kartik Mehra Versus Deputy Commissioner of Income Tax Central Circle-XVII, Kolkata

Penalty under section 271(1)(c) - Held that:- In this case, the Assessing Officer has not brought out any specific charge for which the penalty has been imposed on the assessee u/s 271(1) (c) of the Act. He has not brought out whether the assessee has concealed the particulars of income or whether the assessee has furnished inaccurate particulars of income. In CIT v. Atul Mohan Bindal (2009 (8) TMI 44 - SUPREME COURT] where Hon'ble Supreme Court was considering the same provision, it observed th.....


25

2015 (8) TMI 11 - ITAT DELHI - Income Tax

DCIT Circle – 6 (1) , New Delhi Versus Medsave Healthcare (TPA) Ltd., New Delhi

Disallowance u/s 40(a) - CIT(A) deleted disallowance - Held that:- The issue under consideration is squarely covered in favour of the assessee as relying on the case of ADIT, International Taxation vs. Express Drilling Systems LLC. [..] and M/s. S.K.Tekriwal [ 2012 (12) TMI 873 - CALCUTTA HIGH COURT] wherein held that Section 40(a)(ia) refers only to the duty to deduct tax and pay to government account there is nothing in the said section to treat the assessee as defaulter where there is a sho.....


26

2015 (8) TMI 10 - ITAT DELHI - Income Tax

DCIT Central Circle-1, New Delhi and others Versus Aggarwal Entertainment Pvt. Ltd., New Delhi and others

Addition u/s. 68 - CIT(A) deleted the addition - validity of proceedings initiated under section 153A - Held that:- The assessee has discharged the initial onus of establishing the bona-fides of the transactions and the AO was not justified in ignoring various evidences produced by the assessee and which were available before him on record of the department itself in reassessment proceedings of North Delhi Projects Pvt Ltd for the A.Y 2004-05 and in assessee’s own case for AY 2005-06 as stated a.....


27

2015 (8) TMI 9 - ITAT DELHI - Income Tax

DCIT Central Circle-1, New Delhi and others Versus Aggarwal Plaza Pvt. Ltd., New Delhi and others

Addition u/s. 68 - CIT(A) deleted the addition - validity of proceedings initiated under section 153A - Held that:- The assessee has discharged the initial onus of establishing the bona-fides of the transactions and the AO was not justified in ignoring various evidences produced by the assessee and which were available before him on record of the department itself in reassessment proceedings of North Delhi Projects Pvt Ltd for the A.Y 2004-05 and in assessee’s own case for AY 2005-06 as stated a.....


28

2015 (8) TMI 8 - ITAT DELHI - Income Tax

Dy. Commissioner of Income Tax, Central Circle 21, New Delhi and others Versus Smt. Vinita Chaurasia, New Delhi and others

Disallowance of freehold charges - CIT(A) deleted the addition - Held that:- AO has not brought out any fact to support this allegation that the assessee made payment of freehold charges over and above the payment which was actually recorded in the books of accounts and the AO has also not brought out any fact or material to support this fact that the property in question was converted from leasehold to freehold during the year under consideration on the payment of freehold charges made by the a.....


29

2015 (8) TMI 7 - ITAT AHMEDABAD - Income Tax

Safal Construction Pvt. Ltd., Ahmedabad Versus A.C.I.T. (OSD) Circle-8, Ahmedabad

Disallowance u/s. 14A - Held that:- With respect to disallowance of indirect interest as per Rule 8D(2)(ii) we find that the CIT(A), after considering the submissions of the Assessee has directed the A.O to work out the disallowance as directed by him in the order. Before us, ld. A.R. could not point out any fallacy or inconsistency of law in the directions of CIT(A) and therefore we find no reason to interfere as far as the disallowance on account of indirect interest is concerned.

W.....


30

2015 (8) TMI 6 - ITAT HYDERABAD - Income Tax

Granules India Limited Versus Dy. Commissioner of Income Tax, Circle-2 (3) , HYDERABAD

TP adjustments - selection of tested party in determination of Arm’s Length Price (ALP) - Held that:- Profitability of the selected Comparable companies in domestic market may vary with the profit margins available abroad, particularly in the USA market. DRP also rejected the method solely on the reason that AE was not selected as tested party. Therefore, keeping in mind the submissions made by the Ld. Counsel, the issue of selection of method of resale price method or of TNMM or any other metho.....


31

2015 (8) TMI 5 - ITAT MUMBAI - Income Tax

ITO, 8 (1) (2) , Mumbai Versus M/s. Clublink (India) Pvt Ltd

Sale of land - Revaluation Reserve - land and building was transferred to Malhotra Group for ₹ 5 crore, the book value of which was ₹ 1,12,98,740/- Held that:- The main dispute revolves around the land shown in the Revaluation Reserve Account in the balance sheet. The land and building was transferred to Malhotra Group for ₹ 5 crore, the book value of which was ₹ 1,12,98,740/- The Assessing Officer held the difference of ₹ 3,87,01,260/- is nothing but a capital ga.....


32

2015 (8) TMI 4 - ITAT DELHI - Income Tax

ITO, Ward 11 (3) New Delhi Versus FX Enterprises Solutions India Pvt. Ltd.

Penalty u/s 271(1)(c) - disallowance of interest paid and disallowance of the expenditure claimed - CIT(A) deleted penalty levy - Held that:- Expenditure of interest payment claimed by the appellant was not fictitious or bogus. It was a genuine expenditure claimed by the appellant and same was paid to the person from who loans were taken. There was no concealment of facts or furnishing of inaccurate particulars of income. The appellant has disclosed all the facts of the interest expenditure in t.....


33

2015 (8) TMI 3 - ITAT DELHI - Income Tax

Agnity India Technologies P. Ltd. Versus DCIT, Circle 1 (2) , New Delhi

Transfer pricing adjustment - international related party transaction of the Appellant with respect to the provision of software development services - selection of Wipro Technology Services Ltd. as comparable - Held that:- We uphold that the submission of the assessee that Wipro Technology Services Ltd. cannot be considered as a comparable, in view of the binding judgement of the Jurisdictional High Court in the assessee’s own case for the AY 2006-07 which was followed by the Coordinate Bench o.....


34

2015 (8) TMI 2 - ITAT MUMBAI - Income Tax

M/s Satellite Cable TV Network Pvt Ltd Versus Income Tax Officer 10 (2) (4) , Mumbai

Addition as deemed dividend u/s 2(22)(e) - AO noticed that the assessee has taken a loan from M/s Wire & Wireless Satellite Network Pvt. Ltd. and that the shareholdings of assessee and M/s. Wire & Wireless Satellite Network Pvt. Ltd., is with common shareholdings - Held that:- The assessee company is not a shareholder of M/s. Wire & Wireless Satellite Network Pvt. Ltd. Merely because, the shareholdings of both the companies are with common shareholders would not make the assessee company the sha.....


35

2015 (8) TMI 1 - ITAT KOLKATA - Income Tax

Income Tax Officer Ward-6 (2) , Kolkata Versus Ishanika Securities Pvt Ltd

Disallowance of expenses relatable to exempt income by invoking the provisions of section 14A of the Act read with Rule 8D - CIT(A) deleted the addition - Held that:- The provisions of section 14A read with Rule 8D of the Rules will not apply to the shares held as stock in trade. Keeping in view the decision of Hon'ble Supreme Court in the case of CIT vs. Vegetable Products Ltd. (1973 (1) TMI 1 - SUPREME Court ) and as the Hon'ble Karnataka High Court in the case of M/s. CCI Ltd. Vs. JCIT [2012 .....


36

2015 (7) TMI 1044 - CESTAT AHMEDABAD - Service Tax

Commissioner of Service Tax, Ahmedabad Versus M/s. Quintiles Technologies India Pvt. Limited

Denial of refund claim - Unutilized CENVAT Credit - Notification No. 5/2006-CE (NT) dated 14.03.2006 - Held that:- The issue involved has been decided in favour of the appellants in earlier appeals under [2014 (4) TMI 288 - CESTAT AHMEDABAD]. The same was upheld by the Hon'ble Gujarat High Court under order [2015 (2) TMI 477 - GUJARAT HIGH COURT] which is after the date of filing of appeals by the Revenue. Once the issue has been settled by the jurisdictional High Court, the appeals filed by th.....


37

2015 (7) TMI 1043 - CESTAT AHMEDABAD - Service Tax

M/s Bhavika Engineers Versus C.C.E. & S.T. -Vadodara-ii

Penalties under Section 76, 77 & 78 - entire service tax along with interest and 25% penalty was paid by the appellant before the issue of Show Cause Notice - Held that:- It is a case of the appellant that penalties in excess of 25% penalty paid under Section 78 of the Finance Act, 1944 are not imposable, when the same has been paid before the issue of Show Cause Notice alongwith duty and interest. It is observed that as per Para 4 of O.I.A Dated 28.02.2013, passed by the first appellate authori.....


38

2015 (7) TMI 1042 - CESTAT AHMEDABAD - Service Tax

M/s Bombay Market Art Silk Co-op. Ltd Versus Commissioner, Central Excise & Service Tax, Surat-I

Levy of penalty Renting of Immovable Property Service - Demand of service tax - Club or Association Service - Held that:- Demand of Service Tax on ‘Club or Association Service’ is not sustainable in view of the decision of Hon'ble Gujarat High Court.

The demand of tax on the other issues, the Appellants are not contesting the demand of tax, as they have already paid. Considering the facts and circumstances of the case, and the amount involved, we find that the tax on ‘Renting of Immo.....


39

2015 (7) TMI 1041 - CESTAT BANGALORE - Service Tax

Nvidia Graphics Pvt Ltd Versus Commissioner of Service Tax, Bangalore

Denial of refund claim - Notification No. 11/2005 ST dated 19.04.2005 - Rebate claim has been filed beyond the period of one year from the date of export - Held that:- appellant that they had provided promotion and marketing services to its over-seas group entity and correctness of this claim has not been examined at all. The original adjudicating authority could have asked for evidence in this regard. Instead he has chosen to simply observe that the invoice says "service fee". In the case of e.....


40

2015 (7) TMI 1040 - CESTAT BANGALORE - Service Tax

Commissioner of Customs, Central Excise And Service Tax, Guntur Versus Kusalava Finance Ltd.

Refund - determination of relevant date - Banking and other financial service - Held that:- From the proceedings initiated resulting in the OIO, it is seen that the Department had reopened the assessment for the entire period from 2001 onwards. Ultimately, the service itself was held not liable to tax at all. Having reopened the assessment in its entirety, demanding the entire amount of tax payable and appropriating whatever already has been paid, the net result is that the Departmental officers.....


41

2015 (7) TMI 1039 - CESTAT MUMBAI - Service Tax

DHL Logistics Pvt. Ltd. Versus Commissioner of Central Excise Thane-II

Utilization of excess CENVAT Credit - appellant did not maintain separate accounts - Input services - Business Auxiliary Service - Held that:- cap of 20% is applicable on the service tax payable and not on the service tax credit actually availed. What is restricted is only utilisation of the credit and not taking the credit per se; the credit taken could be carried forward. When the cap was removed on 01/04/2008, the appellant was eligible to utilise the credit also. In the present case what is .....


42

2015 (7) TMI 1038 - PUNJAB & HARYANA HIGH COURT - VAT and Sales Tax

M/s Elis Exports Versus The State of Haryana And Another

Review of order - Whether on the facts and circumstances of the case, it was a case fit for revision under Section 40 of the Haryana General Sales Tax Act, 1973 or a case fit for reassessment under Section 31 of the said Act - Held that:- Tribunal construed the assessment order in detail and came to a positive finding that the assessment order was passed on account of a mistake of law and that the Assessing Authority had, in fact, considered the entire record and had not brought to tax the sale .....


43

2015 (7) TMI 1037 - GUJARAT HIGH COURT - VAT and Sales Tax

State of Gujarat Versus Kairavi Steel

Demand of interest and penalty - Assessee paid excess Input Tax Credit - Held that:- while declaring / holding that the appellant is entitled to adjustment of admissible Input Tax Credit towards its output tax liability of the current year under consideration, the learned Tribunal has rightly observed and held that the assessee is liable to pay interest only on the dues rising on assessment after adjusting the admissible Input Tax Credit towards its output tax liability - Decision in the case of.....


44

2015 (7) TMI 1036 - SUPREME COURT - Central Excise

Shabina Abraham And Others Versus Collector of Central Excise & Customs

Recovery of tax from successor - SCN was issued before death but could not be adjudicated during his lifetime - whether an assessment proceeding under the Central Excises and Salt Act, 1944, can continue against the legal representatives/estate of a sole proprietor/manufacturer after he is dead - Held that:- On a conjoint reading of these paragraphs this Court found that the machinery provisions contained in the Bombay Sales Tax Act, 1953, were sufficient to reassess a dissolved firm in respect.....


45

2015 (7) TMI 1035 - SUPREME COURT - Central Excise

M/s. Poonam Spark (P) Ltd. Versus Commissioner of Central Excise, New Delhi

Manufacturing activity - Whether the activity of mounting of Water Purification and Filteration System (WPFS) on a base frame carried out by M/s Poonam Spark (P) Ltd. amounts to manufacture or not - Held that:- Filter Housing and Cartridges are imported by PDL through M/s Cuno Asia Pte Ltd, Singapore and UV based Filteration and Purification unit from Rathi Brothers/ IWT Poona. The choice of cartridge depends upon the basis of filteration, the operating conditions and the customer's ability to a.....


46

2015 (7) TMI 1034 - SUPREME COURT - Central Excise

Commissioner of Central Excise, Vapi Versus M/s. Global Health Care Products Partnership Firm & Others

Classificsation of Close-Up Whitening - toothpaste or not - Classification under Chapter sub-heading 3306.10 or 3306.90 - Held that:- There is no dispute that most of the ingredients of the product Close-Up Whitening are the same which are used in the manufacture of the other products, namely, Close-Up Red/Blue/ Green, which are treated as toothpaste by the assessee itself. There are, however, additional ingredients used in the manufacture of the product in question, which are accepted by the Re.....


47

2015 (7) TMI 1033 - SUPREME COURT - Central Excise

COMMISSIONER OF CENTRAL EXCISE, VADODARA Versus BARON INTERNATIONAL LTD.

Job Work - Dummy unit - revenue allege that JRE was not an independent job unit but was a dummy of the Respondent created and nurtured with the single motive that cost of manufacture be reduced by bifurcation and the cost of sale promotion, advertisements, after sales services etc. were incurred by the respondent company. - Held that:- Reading of the show cause notices that main reason for taking action against the respondent assessee was that JRE was dummy of BIL. However, after going through t.....


48

2015 (7) TMI 1032 - SUPREME COURT - Allied Laws

DM Wayanad Institute of Medical Sciences and others Versus Union of India and another

Refusal to renew permission for admitting students for the academic year 2015-16 in the MBBS Course - Held that:- From a bare reading of the provision contained in Article 19(1)(g) it is evidently clear that the citizens have been conferred with the right to practice any profession or carry on any occupation, trade or business, but such right is subject to the restriction and imposition of condition as provided under Article 19(6) of the Constitution. - The Court held that imparting education ca.....


49

2015 (7) TMI 1031 - MADHYA PRADESH HIGH COURT - Income Tax

Commissioner of Income Tax (Central) & Another Versus M/s. Keti Construction Ltd & Another

Validity of Settlement Commission order under subsection 2C of Section 245D challenged - respondent No.1 has paid tax only on the additional income offered before the Settlement Commission and the tax payable on the additional income offered in the returns of income has not been paid by the respondent No.1 on or before filing the settlement application - Held that:- In simple terms, where an assessee has furnished return of income and applies for settlement of his case, one has to calculate his .....


50

2015 (7) TMI 1030 - BOMBAY HIGH COURT - Income Tax

V.M. Salgaoncar Sales International Versus Assistant Commissioner of Income-tax, Circle-2, Goa

Reopening of assessment - Under invoicing of the exports and income arising out of mining is an illegal incomeHeld that:- The objection filed by the petitioner to the reasons recorded in support of the impugned notice, very categorically states that they do not hold any mining leases as they are only in the business of buying ores, processing it and exporting the processed iron ore. Thus, the second ground/ reason recorded in support of the notice viz. illegal mining does not apply. However, ord.....


51

2015 (7) TMI 1029 - DELHI HIGH COURT - Income Tax

CIT -LARGE TAX PAYERS UNIT Versus SRF LTD.

Pre-capitalization expenses towards expansion of its business disallowed - ITAT allowed claim - Held that:- As decided in Jay Engineering Works Ltd. v. CIT [2007 (10) TMI 286 - DELHI HIGH COURT] semingly diverse and disparate lines of business can yet be treated as part of the same business provided certain important parameters are kept in mind - that both should have common management and that the funds used for the purposes of the existing business as well as the new entity should be common -.....


52

2015 (7) TMI 1028 - KERALA HIGH COURT - Income Tax

Hillwood Furniture (P.) Ltd. Versus Income-tax officer

Tax Collection at Source (TCS) u/s 206C - import of timber from abroad - assessee-in-default - circumstances under which ss. 44AC and 206C were brought into the statute book about 2 1/2 decades ago and the subsequent deletion of s. 44AC alone, w.e.f. 1st April, 1992; however retaining s. 206C - Held that:- Though 'timber' under specified circumstances was intended to be included under s. 44AC, in the context of fixing presumptive income, it cannot be said that it has lost its significance, on de.....


53

2015 (7) TMI 1027 - KARNATAKA HIGH COURT - Income Tax

Govindachary Versus The Tax Recovery Office and The Commissioner of Income-Tax, Bangalore

Calculation of interest under s. 220(2) - starting point or the commencement of the period from which the interest has to be calculated under sub-s. (2) of s. 220 - quantification of the interest payable on the amounts demanded in the notice issued under s. 156 - Held that:- The outstanding dues, have to be paid within a period of thirty days from date of service of notice, failing which to pay simple interest at one end one-fourth per cent for every month or part of a month from the date commen.....


54

2015 (7) TMI 1026 - HIGH COURT OF PUNJAB AND HARYANA - Income Tax

Industrial Organics & Pharmaceuticals Limited Versus. The Commissioner of Income Tax, Central Circle, Ludhiana and another

Sales Tax Subsidy - revenue v/s capital receipt - tribunal had decided the issue against the assessee - Held that:- Apex Court in CIT vs. Ponni Sugars and Chemicals Limited, (2008 (9) TMI 14 - SUPREME COURT) and Sahney Steels & Press Works Limited and others vs. CIT, (1997 (9) TMI 3 - SUPREME Court) adjudicated similar issue and held that for determining the nature of receipt of subsidy, the purpose test is to be applied. In other words, it has been laid down that the purpose for which subsidy h.....


55

2015 (7) TMI 1025 - HIGH COURT OF PUNJAB AND HARYANA - Income Tax

M/s Kuantum Papers Limited Versus Union of India and others.

Assessment proceedings transferred to Ghaziabad - retransfer from Patiala to Ghaziabad - Held that:- Persuing the impugned order we satisfied that it does not meet the parameters of an order required to be passed under Section 127(2) of the Act.

Apart from use of the words “Coordinated Investigation” and “Administrative Convenience”, the order does not record the nature of “Coordinated Investigation” and “Administrative Convenience”, that necessitated transfer. This apart as assessmen.....


56

2015 (7) TMI 1024 - ITAT HYDERABAD - Income Tax

Vivekananda Seva Samithi, Medak District Versus The Director of Income Tax (Exemptions) , Hyderabad

Grant of registration u/s. 12AA rejected - consequent rejection of approval u/s. 80G(5) - Held that:- Trust/institution having charitable and religious objects will also be eligible for exemption u/s. 11, unless hit by restrictions imposed u/s. 13(1)(a) or 13(1)(b) of the Act. The DIT(E) has not brought any material on record to show that provisions of Section 13(1)(a) or 13(1)(b) applies to assessee, denial of registration u/s. 12AA for alleged violation of Section 11 in our view is not justifi.....


57

2015 (7) TMI 1023 - ITAT MUMBAI - Income Tax

DCIT-1 (1) , Mumbai and others Versus M/s. ACC Ltd. Cement House, Mumbai and others

Provision for bad and doubtful debts in computing book profit u/s.115JB - computing the income under the MAT provisions - Held that:- In the facts of the case of Echjay Forgings (2001 (2) TMI 56 - BOMBAY High Court) were that in computing the book profits of the assesseecompany under section 115JB of the Act,the AO had disallowed the deductions claimed by the assessee on account of payment of wealth-tax,provisions for doubtful debts, gratuity, bonus and amounts debited to the profit and loss acc.....


58

2015 (7) TMI 1022 - ITAT DELHI - Income Tax

Punj Lloyd Ltd., New Delhi Versus Addl. CIT Range – 14, New Delhi

Fringe benefit tax u/s 115WE - VALUE OF FRlNGE BENEFITS ON ACCOUNT OF EXPENSES RELATED TO AIRCRAFTS - Held that:- On the contention of the assessee that there is no consideration for employment, we find that the assessee had submitted before the CIT(A) that there is a possibility of the aircraft having being used for benefit of the employees. When the assessee admits of a possibility of the air craft having been used for the use of benefit of employee, to plead otherwise at this stage cannot be.....


59

2015 (7) TMI 1021 - ITAT VISAKHAPATNAM - Income Tax

Smt. A Rajya Lakshmi, Visakhapatnam and others Versus ITO, Ward-3 (2) , Visakhapatnam and others

Consideration towards sale of shares received - Addition to income - Held that:- The inference drawn by the tax authorities that the letter was acted upon by the parties and the amount of ₹ 2.00 crores represented the value of 7.5% of the share holding is not supported by any material. On the contrary, a combined reading of MOU and the letter written by Shri V. Prabu Kishore would show that there is a possibility to infer that the amount of ₹ 2.00 crores was a consolidated amount agr.....


60

2015 (7) TMI 1020 - ITAT DELHI - Income Tax

G.R. Commercial Pvt. Ltd., New Delhi Versus Income Tax Officer, Ward 12 (2) , New Delhi

Income earned from exploitation of commercial space - whether has to be assessed under the head 'Income from House Property' or 'Profits and Gains of Business & Profession' - Held that:- no hesitation to hold that the main object of the present assesssee company was not to earn rental income from letting of property which was purchased in FY 2001-02 and let out in FY 2002- 03 temporarily till the company gets sufficient profits from its main business activity with cautious decision of Board of D.....


61

2015 (7) TMI 1019 - ITAT PUNE - Income Tax

M/s. Fasttrack Packers Pvt. Ltd., Ahmednagar Versus ACIT Central Circle-1 (1) , Pune

Disallowance of group gratuity insurance premium u/s.40A(9) - Held that:- Tribunal in assessee’s own case for A.Y. 2007-08 and A.Y. 2008-09 decided the issue against the assessee on the ground that no such approval has been received from the CIT till date. In view of the above and following the decision of the Coordinate Bench of the Tribunal in assessee’s own case for the preceding two assessment years, the grounds raised by the assessee on this issue are dismissed. - Decided against assessee. .....


62

2015 (7) TMI 1018 - ITAT DELHI - Income Tax

M/s Tuner Recreations (P) Ltd. Versus Income Tax Officer, Ward-16 (4) , New Delhi

Addition on Sale of Share Application Money - Held that:- No doubt the assessee remained non-cooperative before the AO as well as Ld. CIT(A), but after the reading of the affidavits filed by Smt. Sunita Jindal, W/o Late Shri Ravi Kiran Jindal and Smt. Swati Jindal, CA, Daughter in Law of Late Shri Ravi Kiran Jindal, Advocate in which they have stated that after the death of Late Sh. Ravi Kiran Jindal, Advocate, the employee of Late Sh. Ravi Kiran Jindal, has not properly pursued the matter befor.....


63

2015 (7) TMI 1017 - ITAT AHMEDABAD - Income Tax

M/s. Amin Silk Mills Pvt. Ltd. Versus The Addl. CIT Range-I, Surat

Addition on difference in the opening and closing stock of work-in-progress - Held that:- As decided in assessee's own case for AY 2007-08 [2015 (7) TMI 717 - ITAT AHMEDABAD] it is well settled that the closing stock of earlier becomes the opening stock of succeeding year. In this view of matter and examining all aspects, it would be in the interest of justice if the assessing officer is directed to allow the closing stock of last year as the opening stock of current year. We accordingly, hereby.....


64

2015 (7) TMI 1016 - ITAT MUMBAI - Income Tax

Income Tax Officer (TDS) -2 (3) Versus Mitsui OSK Lines India Pvt. Ltd.

Liability to deduct tax u/s 194J - demand raised by the AO vide order u/s.201(1)1/201(1A) - whether the payments made to Nhava Sheva International Container Terminal Private Limited are not in the nature of 'fees for professional services' but the payments are for carriage of goods and thus defined as 'work' in Explanation III to section 194C(2) of the Act, and hence the same are not covered under the provisions of section 194J? - direction of CIT(A) that payments made to NSICT be treated as cov.....


65

2015 (7) TMI 1015 - ITAT DELHI - Income Tax

SC Johnson Products Pvt Ltd (For Erstwhile Karamchand Appliances P Ltd.) Versus Deputy Commissioner of Income Tax Circle 7 (1) New Delhi

Validity of assessment order passed u/s 143(3) - in the name of M/s Karamchand Appliances Pvt.Ltd. company as no more in existence, consequent to its merger with M/s S.C.Johnson Products Ltd. - Held that:- As the assessment order is made on a non existing person, we respectfully follow the decision of the Jurisdictional High Court in the case of Spice Entertainment Ltd. (2011 (8) TMI 544 - DELHI HIGH COURT ) and quash the assessment order as confirmed by the First Appellate Authority. - Decided in favour of assessee.


66

2015 (7) TMI 1014 - ITAT DELHI - Income Tax

Income Tax Officer-1, Income Tax Office Versus M/s Delcia Food (India) Pvt Ltd

Eligible business for claiming deduction u/s 80IC - whether CIT (A) has completely erred to appreciate the implications of income being offered by the assessee itself for taxation and action taken by the A.O. It is a case of deduction u/s 80lC and the assessee did not have profit from eligible business for claiming deduction u/s 801C? - Tax effect in this appeal is less than ₹ 4,00,000/-, therefore, whether the Department ought not to have filed this appeal? - Held that:- It is not in disp.....


67

2015 (7) TMI 1013 - ITAT DELHI - Income Tax

DCIT, Circle 14 (1) New Delhi Versus Priyanka Overseas P. Ltd.

Penalty u/s 271(1)(c) - assessee debited an amount under the head ‘other expenses', being loss on account of transactions in shares - AO treated this loss, as loss arising from speculative business - Held that:- The Assessing Officer (AO) in this case has not found, that the claim of the assessee that it had incurred a loss of ₹ 1,69,75,525/- in the business of purchase and sale of shares as either false or fabricated. He had infact accepted this figure of loss. All the transactions in que.....


68

2015 (7) TMI 1012 - ITAT HYDERABAD - Income Tax

Income Tax Officer (TDS) And Others Versus M/s Aishwarya Art Creations Pvt Ltd And Others

Acquiring satellite rights of films - whether are in the nature of 'royalty' as defined u/s. 9(1) Explanation (2) of the Income Tax Act thereby requiring deduction of tax at source in terms with Section 194J - Held that:- The ratio laid down in case of K.Bhagyalakshmi Vs. DCIT [2013 (12) TMI 1215 - MADRAS HIGH COURT] clearly applies to the facts of the case of assessee wherein held The transfer deed clearly states that the transfer in favour of the assessee is for a perpetual period of 99 years .....


69

2015 (7) TMI 1011 - SUPREME COURT - Allied Laws

Payal Chawla Singh Versus Coca-Cola Co. and another

Gender discrimination and harassment of female employee - Arbitration petition filed for compensation - reference to solutions programme - demand for arbitration made by the petitioner was refused by the respondent on the ground that the "solutions programme" was not applicable to the petitioner and the same was meant only for employees of the first respondent in the United States of America - Held that:- there is no binding arbitration agreement between the petitioner and her employer so as to .....


70

2015 (7) TMI 1010 - CESTAT AHMEDABAD - Service Tax

M/s SB Engineers Versus Commissioner Of Central Excise & Customs Service Tax - Vadodara-ii

Cenvat Credit - Reversal in case of Job work availing Exemption under Notification No. 8/2005 dated 01.03.2005 - Rule 6 of Cenvat credit Rules 2004 - held that:- In various decision, it was observed that, Cenvat credit of input services was admissible to the job worker clearing goods to principal manufacturer under Notification Number 214/86-C.E. In view of the above, we hold that the provisions of Rule 6(1) of the Cenvat Credit Rules, 2004 cannot be invoked for denying Cenvat credit of input se.....


71

2015 (7) TMI 1009 - CESTAT AHMEDABAD - Service Tax

M/s. Samir Construction Company Versus Commissioner of Service Tax, Ahmedabad

Condonation of delay - Non receipt of order - Whether the appeal filed by the appellant was correctly rejected as time-barred by the first appellate authority - Held that:- Appeal filed by the appellant was received in the office of first appellate authority on 03.02.2014 against the OIO dated 13.02.2012. Appellant claimed to have not received the OIO dated 13.02.2012 and requested to supply another copy under letter dated 08.11.2013 which was supplied at the same address. It is observed from th.....


72

2015 (7) TMI 1008 - CESTAT NEW DELHI - Service Tax

M/s Nagar Palika Parishad Versus Commissioner of Customs And Central Excise, Service Tax, Meerut-I

Renting of immovable property service - Invocation of extended period of limitation - Held that:- As said finding of the learned Commissioner (Appeals) has attained finality, wherein it has been held that there is no mens rea involved in the present case, therefore, relying on the decision of Bombay High Court in the case of Saswad Mali Sugar Factory Ltd.(2013 (11) TMI 1009 - BOMBAY HIGH COURT ), I hold that the extended period of limitation is not invokable. Therefore, demands confirmed by invo.....


73

2015 (7) TMI 1007 - CESTAT AHMEDABAD - Service Tax

Commissioner of Central Excise & S.T., Vadodara Versus M/s. Century Cold Tyre Retreads

Valuation - deduction of value of material used in the retreading of tyres - Denial of benefit of Notification No. 12/2003-ST dated 20.6.2003 - Held that:- Service Tax can be levied on the service component of any contract involving service with sale of goods, etc. Computation of service component is a mater of detail and not a matter relating to validity of imposition of service tax. It is procedural and a matter of calculation. Merely because no rules are framed for computation, it does not fo.....


74

2015 (7) TMI 1006 - CESTAT BANGALORE - Service Tax

M/s. Mahindra Reva Electric Vehicles Pvt Ltd Versus Commissioner of Central Excise And Service Tax, Bangalore-I

CENVAT Credit - input services - legal services in respect of manufacture of “Battery Operated Electric Cars” - Held that:- Admittedly, the dealers who were appointed by the assessee outside India required legal assistance, which stands given to them by legal firm at the behest of the appellant. For grant of such legal assistance, invoices were raised by foreign legal firm to the appellant in India and the consideration stands paid by the appellant only. The service tax was also paid by the appe.....


75

2015 (7) TMI 1005 - CESTAT BANGALORE - Service Tax

Indian School of Business Versus Commissioner of Customs, Central Excise And Service Tax, Hyderabad-IV

Waiver of pre deposit - Online Information and Data Base Access or Retrieval service, Club or association service and Manpower Recruitment or Supply Agency service - Held that:- On going through the order, in our opinion, 50% payment was mentioned, primarily because the service of online information and data base access could not have been considered to have been rendered in the case of the appellant. As regards club or association service, it was basically a charge for utilization of library/le.....


76

2015 (7) TMI 1004 - ALLAHABAD HIGH COURT - VAT and Sales Tax

M/s D.P. Saw Mill Versus State of U.P. & Others

Classification of sale - Inter state sale or intra state sale - timber sold through auction by the forest corporation - validity of Circular No. 1251, dated 5.10.1993 issued by the Commissioner of Sales Tax , U.P. Lucknow - Held that:- A sale of goods can be said to have taken place in the course of inter-State Trade or commerce under Clause (a) of Section 3 of the Act if it can be shown that the sale has occasioned the movement of goods from one State to another. - The word "occasions" is used .....


77

2015 (7) TMI 1003 - BOMBAY HIGH COURT - VAT and Sales Tax

Thyssenkrupp Electrical Steel India Pvt. Ltd. Versus The State of Maharashtra And Another

Stay application - Interstate sale - Validity of Tribunal's order - Held that:- All that has influenced the Tribunal in this case is the fact that though the Petitioner/Appellant has filed 'C' and 'F' Forms but looking at the detailed order of the Assessing Officer it is prima facie clear that the transfer is not branch transfer but outside Maharashtra sale. The other fact that has influenced the Tribunal is the huge outstanding tax liability. However, we do not find the Tribunal having adverted.....


78

2015 (7) TMI 1002 - ANDHRA PRADESH HIGH COURT - Central Excise

Commissioner of Central Excise and Customs, Hyderabad-IV Commissionerate Versus M/s Rasmi Wax Coated Paper & Printing Industry

Manufacturing activity or not - whether the cutting of jumbo rolls into smaller sizes and printing on them by a job worker would amount to manufacture as defined under the Central Excise Act - Held that:- t the processes undertaken do not bring into existence a new commodity. - appeal filed by the Revenue against the order of the Tribunal in R.G.L. Convertors Vs. Commissioner of Central Excise, New Delhi [2003 (3) TMI 157 - CEGAT, NEW DELHI], came to be dismissed on the ground of delay and there.....


79

2015 (7) TMI 1001 - KARNATAKA HIGH COURT - Central Excise

M/s Madras Cements Ltd Versus The Additional Commissioner of Central Excise, The Commissioner of Central Excise (Appeals-I)

Denial of CENVAT Credit - Input service - Place of removal - Whether the Tribunal was correct in disallowing CENVAT credit of service tax paid on the GTA service which is availed by the manufacturer on outward transport from the place of removal for the period after 31.03.2008 subsequent to the amendment of definition of "input service" under Rule 2(l)(ii) of CENVAT Credit Rules - Held that:- As long as the sale of the goods is finalized at the destination, which is at the door step of the buyer.....


80

2015 (7) TMI 1000 - MADRAS HIGH COURT - Central Excise

The Commissioner of Central Excise Versus M/s. India Pistons Ltd., The Customs, Excise & Service Tax Appellate Tribunal

Denial of CENVAT Credit - Capital goods - Held that:- Department itself has conceded the matter before the Tribunal and, therefore, it is estopped from filing this appeal, this Court, however, is of the considered opinion that even in such a situation, the Tribunal should have given some brief facts of the case and also recorded its reasoning to support its order. The reasoning of the earlier order is not evident. As the order of the Tribunal, recorded above, is cryptic and bereft of any facts a.....


81

2015 (7) TMI 999 - PUNJAB & HARYANA HIGH COURT - Central Excise

Talbro Forgings, Jalandhar Versus Customs, Excise and Service Tax Appellate Tribunal And Another

Simultaneous availment of S.S.I. exemption for home consumption and modvat credit for export - Non maintenance of separate account - Held that:- respondents appear to have rejected the claim on the ground that the separate account books not having been maintained, it was difficult to ascertain as to whether the inputs in respect of which CENVAT Credit was claimed have actually been used for the purpose of the production of the goods which were exported. In other words, the mere fact that separat.....


82

2015 (7) TMI 998 - CESTAT MUMBAI - Customs

M/s Raj Shipping Agencies Ltd, Shri Noshir Mehta, Shri Parvez Mehta Versus Commissioner of Customs (Import) , Mumbai

Classification of vessels - Offshore Hunter - coastal tug offshore hunter with barge freight' - Denial of benefit of Notification No. 21/2002 and 20/2006 - Confiscation of goods - Imposition of redemption fine - Penalty u/s 114A and 112 - if the vessel is used for carrying persons and cargo as well as for towing operations, what is the primary purpose for which the vessel is designed - Held that:- Commissioner finds that rule 3a and rule 3b are not applicable and therefore he resorts to rule 3c .....


83

2015 (7) TMI 997 - BOMBAY HIGH COURT - Income Tax

Commissioner of Income Tax-2, Mumbai Versus M/s SBI Commercial & International Bank Ltd

Interest income on securities - whether has to be taxed on the due basis only, instead of accrual basis as per the mercantile system of accounting followed by the assessee? - Tribunal accepting the plea of the assessee that the interest income on the securities has to be taxed on the due basis - Held that:- Tribunal has allowed the assessee's appeal by placing reliance upon the decision of this Court in Commissioner of Income Tax v. Bank of Rajasthan Ltd., reported in (2010 (4) TMI 217 - BOMBAY.....


84

2015 (7) TMI 996 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax-II Versus JCB India Ltd.

Development charges - revenue v/s capital expenditure - Held that:- The Court is satisfied with the explanation offered by the Assessee that it is incurring development charges on research and testing of components and that this does not result in a benefit to it of an enduring nature so as to characterise the development charges as capital expenditure. The Court is of the view that testing of products and components is essentially a continuous process which permeates different accounting years......


85

2015 (7) TMI 995 - UTTARAKHAND HIGH COURT - Income Tax

Commissioner of Income Tax, Dehradun Versus Oil And Natural Gas Corporation Ltd.

Expenditure incurred on Dry Docking - revenue v/s capital expenditure - Held that:- Substantial question of law already answered against the Revenue as decided in [2015 (6) TMI 104 - UTTARAKHAND HIGH COURT] wherein held according to the accepted principles, capital expenditure is something which is spent once for all, while revenue expenditure is that which has to be incurred from year to year. If the expenditure is to bring into existence or advantage for the enduring profit of the business, t.....


86

2015 (7) TMI 994 - ITAT LUCKNOW - Income Tax

A.C.I.T., Central Circle-1, Kanpur Versus M/s Verma Roadways, Kanpur

Addition under section 41(1) on account of cessation of liability - CIT(A) deleted the addition - Held that:- The addition was deleted by CIT(A) on the basis that if these additions are made, the net profit rate of the assessee will be 2.38% as against 1.46% from year to year exhibited in books of account duly audited u/s 44AB and accepted by the Department. We fail to understand this logic of learned CIT(A) that when addition is made u/s 41(1) in respect of cessation of old trading liability, i.....


87

2015 (7) TMI 993 - ITAT VISAKHAPATNAM - Income Tax

Hindustan Shipyard Ltd., Visakhapatnam and others Versus Addl. CIT Range-3, Visakhapatnam and others

Disallowance of Prior Period Expenses - CIT(A) deleted the addition made on account of demurrage charges - Held that:- These charges are in the nature of late payments/detention charges paid to freight forwarders and clearing agents for keeping the goods beyond prescribed time in the respective ports. None of these are penalties for violation of law of land. From the details of demurrage charges payments it is seen that none of these payments is made to any government agency and hence the same i.....


88

2015 (7) TMI 992 - ITAT AHMEDABAD - Income Tax

Madhav Corporation, Ahmedabad Versus Asstt. C.I.T. Central Circle 1 (4) , Ahmedabad

Disallowance of deduction claimed u/s 80IB(10) - Held that:- Assessee has demonstrated with supportive documentary evidence that it is eligible for the claim of deduction u/s. 80IB(10) of the Act and the same is allowable not only on the profit disclosed in the pre-search returns of income filed u/s. 139(1) but also on the entire profit including the one disclosed additionally subsequent to the search proceeding u/s. 132 of the Act and disclosed in the return of income filed u/s. 153A of the Act.....


89

2015 (7) TMI 991 - ITAT AHMEDABAD - Income Tax

Dy. CIT, Circle-2, Range-2, Ahmedabad Versus Shri Parasar Navnitlal Patel, Ahmedabad and others

Remission of unsecured loans - Whether could not be subjected to tax by invoking section 28(iv) of the Act - CIT(A) deleting the addition made by the AO as income u/s.2(24) r.w.s. 28(iv) - Held that:- Similar issue in case of CIT(A) V/s. Jindal Equipments Leasing & Consultancy services Ltd. (2009 (12) TMI 364 - DELHI HIGH COURT) wherein it has been held that waiver / write off principal amount of loan is not taxable as benefit or perquisites u/s.28(iv) because the benefits or perquisites should .....


90

2015 (7) TMI 990 - ITAT AHMEDABAD - Income Tax

DCIT, Central Circle 2, Surat Versus Shri Moolchand Maganlal Jain, Surat

Addition on share of income from HUFs - CIT(A) deleted the addition - Held that:- Section 171 of the Income Tax Act provides assessment after partition of a Hindu undivided family. In the present case, the ld. Assessing Officer did not adhere to any proceedings. He simply observed that assessee failed to prove that HUFs were existing prior to 31st March, 1978. The Commissioner of Income Tax (Appeals) on other hand has observed that assessee has produced the copy of intimation u/s. 143(1) as old .....


91

2015 (7) TMI 989 - ITAT MUMBAI - Income Tax

Gurudev Siddha Peeth, Shrish Thakkar Versus ITO, Ward-1 (1) , Kalyan

Offerings at the Samadhi Shrine of Swami Muktanand and at the temple of Bhagwan Nityanand received in donation boxes- Taxing the amount invoking the provisions of section 115BBC - Held that:- Reverting to the definition of anonymous donations under sub section (3) of section 115BBC, we find that it has been mentioned that anonymous donations means voluntary contributions where the person receiving such contributions does not maintain a record of the identity indicating the name and address of .....


92

2015 (7) TMI 988 - ITAT HYDERABAD - Income Tax

M/s. Vishnu Chemicals Ltd., Hyderabad Versus The DCIT, Circle 3 (3) Hyderabad

Revision u/s 263 by CIT(A) - A.O. has completed the assessment without any verification or basis for arriving at the conclusion that the expenditure claimed by the assessee is allowable under sections 37(1) or not hit by section 195 - Held that:- We find merit in the contention of the learned D.R. It is observed that the assessment made by the A.O. under section 143(3) was held to be erroneous as well as prejudicial to the interest of the revenue by the Ld.CIT on the ground that the issue as to .....


93

2015 (7) TMI 987 - ITAT HYDERABAD - Income Tax

Mr. K. Anil Kumar, Hyderabad Versus The DCIT, Central Circle-7, Hyderabad

Unexplained investment - assessee has taken a new stand at the time of hearing by stating that the amounts of investment made by the assessee during the years under consideration and treated as unexplained by the A.O. were actually sourced from the funds available with assessee’s HUF - Held that:- Find merit in the arguments of the learned D.R. that the new stand taken by the Ld. Counsel for the assessee by attempting to explain the source of investments made by the assessee in his individual ca.....


94

2015 (7) TMI 986 - ITAT AHMEDABAD - Income Tax

Desai Construction P. Ltd., Valsad Versus ACIT, Central Circle-2, Surat

Validity of assessment u/s. 143(3) r.w.s. 153A - assessee’s claim has been disallowed u/s. 80IA - Held that:- Search was conducted at the premises of assessee on 24.09.2008, wherein assessee admitted undisclosed income in respect of its other activities for the years 2008-09 and 09-10, which is evident from the impugned assessment orders. There is nothing on record to suggest that any other evidence including any incriminating material was found during course of search for the relevant assessmen.....


95

2015 (7) TMI 985 - ITAT MUMBAI - Income Tax

Partners Hardvard Medical International Inc., C/o Pricewaterhouse Coopers (P) Ltd, and others Versus The Asstt. Director of Income Tax (International Taxation) -3 (1) , Mumbai and others

Fees received under consulting agreement from Wokhard Hospitals and M/s Carol Info Services are taxable as “Fee for included services - The tax authorities have examined only the agreements and have drawn conclusion against the assessee. They have not examined about the nature of services actually provided or delivered by the assessee to the Indian entities. In our considered view, one may not be able to come to a conclusion about the nature of services provided unless the actual services/delive.....


96

2015 (7) TMI 984 - ITAT MUMBAI - Income Tax

M/s Birla Sun Life Asset Management Company Ltd. Versus Dy. Commissioner of Income Tax

Disallowance on account of provision for leave encashment under section 43B - Held that:- It will be proper to dispose of this appeal in the light of the order of the Hon'ble Supreme Court in the case of "CIT vs. Exide Industries Ltd." (2009 (5) TMI 894 - SUPREME COURT. We therefore dispose of the present appeal with a direction that the assessee will pay the tax as if section 43B(f) is on the statute book, however, till the decision of the Hon'ble Supreme Court in the case of "CIT vs. Exide Ind.....


97

2015 (7) TMI 983 - ITAT DELHI - Income Tax

ACIT, Circle-1 (1) , New Delhi Versus All E. Technologies Pvt. Ltd.

Re-compute the deduction u/s 10A - disallowance made by the AO was allowed ignoring the facts that the foreign exchange fluctuation gain received has not been earned by the assessee through export of software - Held that:- There is no dispute as the assessee engaged in the business of software development realized a higher sale price on account of foreign exchange fluctuation. The assessee by way of a revised return included this gain also in its claim of exemption u/s 10A.

Consideri.....


98

2015 (7) TMI 982 - ITAT HYDERABAD - Income Tax

The Dy. Commissioner of Income Tax Circle-1 (3) , Hyderabad Versus M/s Fenoplast Ltd.

Carry forward depreciation to assessee disallowed u/s. 154/ rws 263 - CIT(A) allowed claim - Held that:- The restriction of eight years was removed. Even though Special Bench decision of the ITAT in the case of DCIT Vs. Times Guaranty Ltd., [2010 (6) TMI 516 - ITAT, MUMBAI ] was relied on by the CIT at the time of passing the order u/s. 263, subsequently, Hon'ble Gujarat High Court in the case of General Motors India Pvt. Ltd., Vs. DCIT (2012 (8) TMI 714 - GUJARAT HIGH COURT ) has held that rest.....


99

2015 (7) TMI 981 - ITAT MUMBAI - Income Tax

Smt. Usha Shrawan Rathod Versus Asst. CIT 19 (3) , Mumbai

Addition made u/s. 68 - Held that:- The unsecured loans received during the year of ₹ 3,00,000/- have been held to be unexplained cash-credits within the meaning of section 68 of the Act. We find that in the impugned assessment, which has been affirmed by the CIT(A) also, there is no material referred by the Assessing Officer which came to his notice subsequent to the assessment order dated 28.03.2003(supra). Pertinently, in the assessment order dated 28.03.2003 (supra), the statement of S.....


100

2015 (7) TMI 980 - ITAT MUMBAI - Income Tax

DCIT-11 (2) and others Versus M/s. C.C. Choskhi & Co. and others

Diversion of income by overriding title - payment to expartners or spouses of deceased partners - CIT(A) deleted addition - whether the aforesaid payment is nothing but diversion of income by overriding title? - plea of the assessee was that, the amount was a prior and overriding charge on the receipts of the firm in terms of the partnership deed and the actual income can be arrived at only after reducing the impugned payments from the gross receipts of the year - Held that:- Similar dispute for.....


101

2015 (7) TMI 979 - ITAT AHMEDABAD - Income Tax

Asstt. CIT, Cen. Cir-2, Baroda Versus M/s Parshwa Corporation, Nadiad.

Reopening of assessment - Addition on account of negative cash balance as on 31.03.2002 - Unexplained receipts - CIT(A) deleted the addition - Held that:- The impugned order of reassessment passed by the AO without disposing off the objections raised by the assessee against the issuance of notice u/s 148 by a separate order is liable to be quashed. See ACIT, Cen.Cir.-2, Baroda vs. M/s Sagar Developers [2015 (7) TMI 718 - ITAT AHMEDABAD] and General Motors India P. Ltd. vs. DCIT [2012 (8) TMI 714.....


102

2015 (7) TMI 978 - ITAT PANAJI - Income Tax

M/s. The Goa State Co-Op Bank Versus ITO (TDS) Ward-1 Panaji-Goa

Eligibility for exemption u/s. 194A(3)(v) from TDS on interest paid/credited on time deposits to its members - assessee is a cooperative bank - Held that:- Considering all the facts in totality in the light of the memorandum explaining the provisions in the Finance Bill 2015 and the clarification by the Board that the Circular has not been withdrawn, makes it ample clear that the impugned provisions relating to the liability of TDS would come with effect from 01/06/2015, we, therefore, set asid.....


103

2015 (7) TMI 977 - ITAT DELHI - Income Tax

Income Tax Officer Ward 1 (1) , Meerut Versus Anil Kumar

Valuation of land - fair market value of the land - cost of improvement of ₹ 1,00,000 being declined in the computation of capital gains by the revenue - Held that:- In the light of Hon’ble Supreme Court’s judgment in the case of Mehraban & Ors [1997 (4) TMI 497 - Supreme Court Of India], a copy of which was filed before us as well, there is indeed no error in rejecting in valuation @ ₹ 70 per square yard adopted by the a.o. However, learned CIT(A) was in error to the extent that so.....


104

2015 (7) TMI 976 - ITAT MUMBAI - Income Tax

Fali S. Nariman Versus Addl. CIT, Range-11 (2) , Mumbai

Disallowance u/s 14A r.w. Rule 8D - Held that:- Every economic activity, particularly in today’s extremely competitive environment, entails some degree of cerebral activity. There is, however, no corresponding expenditure, or claim in its respect, while the issue at hand is the apportionment of such expenditure. Income, which may or may not arise on incurring expenditure, and again with no certainty as to its quantum, cannot by itself form the basis of either incurring or allocation of expenditu.....


105

2015 (7) TMI 975 - IITAT JAIPUR - Income Tax

Prem Prakash Gupta Versus The ITO., Ward-6 (2) , Jaipur.

Tax Audit - Determination of turnover for the purpose of section 44AB - Penalty u/s 271B - Held that:- The sale of stamp papers by licensed vendors is a government assigned function to facilitate the stamp sales at various locations. The government appoints licensed agents which are remunerated at a prescribed fee scale/commission, which is mentioned in the written submissions and the stamp rules. The stamps are sold by the assessee on behalf of the government, which is further reflected by the .....


106

2015 (7) TMI 974 - ITAT DELHI - Income Tax

Bumi Highway (India) Pvt. Ltd., Versus DCIT, Circle-3 (1) , New Delhi.

Transfer pricing adjustment - Applicability of interest rate - Held that:- Assessee employed the CUP method for depicting that this international transaction was at arm’s length price. The applicability of the CUP as the most appropriate method or the selection of comparable uncontrolled transaction has not been disputed by the TPO. - assessee paid interest to Bank of Nova Scotia @ 9% per annum, which has not been disputed by the TPO. He simply picked up the above extracted clause from the Sanct.....


107

2015 (7) TMI 973 - ITAT JAIPUR - Income Tax

The Income Tax Officer Ward 1 (4) , Jaipur Versus Smt Anjana Agarwal

Capital gain - Valuation of property - stamp valuation u/s 50C - Rectification of an order u/s 154 r.w.s. 155(15) - Held that:- D.R. has given detailed findings on page No. 5 and 6 of her order and concluded that even subsequent second sale was taken by the Stamp Authority @ 1650 per sq.mtr. whereas DLC rate revalued by the Stamp Authority in assessee’s case @ 2160 per sq.mtr., which has been challenged before the Additional Collector (Stamp), Jaipur and matter is pending before him. As per Sect.....


108

2015 (7) TMI 972 - Bombay High Court - Income Tax

Commissioner of Income Tax6 Versus ICICI Prudential Insurance Co. Ltd.

Appeal admitted on following questions:-

Whether on the facts and in the circumstances of the case and in law, the Tribunal correct in interpreting that on account of “legisltion by incorporation”, 'only' the “unamended” Insurance Act 1938 and the Regulations thereunder became part of Section 44 r.w. Rule 2 of the First Schedule of the I.T. Rules?

2) Whether on the facts and in the circumstances of the case and in law, the Tribunal correct in interpreting Section 44 r.w. Ru.....


109

2015 (7) TMI 971 - Allahabad High Court - Central Excise

M/s. Rathi Ispat Limited Versus The Commissioner Of Central Excise, Ghaziabad

Waiver of pre deposit - Misdeclaration of goods - Misdeclaration of value of goods - Wrongful availment of MODVAT Credit - Held that:- The Tribunal has examined whether the appellant had a strong prima facie case that would result in its exoneration from the imposition of duty. In this connection, the Tribunal has recorded a finding against the appellant on each of the three components of duty/modvat credit. In respect of the goods cleared by the appellant as OAS Billets during the relevant peri.....


110

2015 (7) TMI 970 - CESTAT AHMEDABAD - Service Tax

Commissioner, Central Excise & Service Tax, Surat-II Versus Mi/s Kanoria Chemicals & Industres Ltd.

Denial of CENVAT Credit - Whether certain pollution control services availed by the appellant are eligible to CENVAT Credit under CENVAT Credit Rules 2004 or not - Appellant was required to maintain certain standards of effluent from Appellant's factory as a mandatory and statutory necessity. - Held that:- permissions granted by Gujarat Pollution Control Board under The Water (Prevention And Control of Pollution) Act, 1974, that Appellant was required to maintain certain standards of effluent fr.....


111

2015 (7) TMI 969 - CESTAT AHMEDABAD - Service Tax

M/s Veeda Clinical Research Pvt. Ltd Versus Commissioner of Service Tax, Ahmedabad

Admissibility of CENVAT Credit - outdoor catering services - Held that:- It is the claim of the Appellant that no expenses paid to the service provider is borne by the staff of the Appellant. For this purpose, Appellant filed certain documents for the first time before the Bench. Once certain documents are produced for the first time before the Bench, the case cannot be decided directly on the basis of these documents. The same are required to be examined by the Adjudicating authority to see whe.....


112

2015 (7) TMI 968 - CESTAT AHMEDABAD - Service Tax

M/s Aqua Master Clean Versus CST Ahmedabad

Penalty u/s 76, 77 & 78 - non-payment of service tax due to financial hardship - Appellant is not contesting the Service Tax liability alongwith interest but are claiming waiver of penalty under Section 80 of Finance Act, 1994 - Cleaning services - Held that:- The amount of Service Tax required to be paid for this period was more than ₹ 1 Crore. There is weight in the argument of the Appellant that due to payment of earlier dues, there was a financial difficulty in making the payment when .....


113

2015 (7) TMI 967 - CESTAT BANGALORE - Service Tax

Gautam Rolling Mills Pvt Ltd Versus Commissioner of Central Excise, Customs And Service Tax, Hyderabad-III

Penalty u/s 76 & 78 - Business auxiliary services - Receipt of commission - Held that:- By not paying service tax during the relevant period appellant cannot claim the benefit of Section 80 of Finance Act 1994 and therefore penalty is imposable. - a lenient view is called for, which has been taken by the original authority in the facts and circumstances of the case which show that appellants promptly paid the tax as soon as the omission was pointed out. I also find that these were initial years .....


114

2015 (7) TMI 966 - CESTAT BANGALORE - Service Tax

India Vision Satelite Communications Ltd. Versus Commissioner of Central Excise, Customs And Service Tax, Cochin

Denial of CENVAT Credit - input services - non payment of service tax by the provider of serivces to the revenue - Invoices received by the appellant showed that they had paid rent on equipment and on this rent on equipment, service provider had charged service tax which was paid by them - Held that:- If service tax has been paid by the service provider and service receiver is eligible for the credit, it is not the responsibility of the service receiver to examine the correctness of service tax .....


115

2015 (7) TMI 965 - CESTAT MUMBAI - Service Tax

M/s Cararo Technologies India Pvt Ltd Versus Commissioner of Central Excise, Pune-III

Denial of refund claim - accumulated Cenvat Credit - Commissioner (Appeals), rejected their appeal holding that the amount of refund cannot exceed the amount of Cenvat credit as per S.T. 3 return and as the invoice for some services mentioned the Ranjangaon address being, not registered address - whether professional bills were addressed, is the address of the group company which was subsequently recognized as registered office of the appellant by Revenue - Held that:- Refund of Cenvat Credit ca.....


116

2015 (7) TMI 964 - SUPREME COURT - Central Excise

Commissioner of C.E. Meerut-II Versus M/s. Prince gutka ltd. & ors.

Clandestine removal of goods - Undervaluation of goods - second show cause notice on the same cause of action - Held that:- On the statement of respondent No.5 given earlier, the adjudicating authority had dropped the proceedings accepting the explanation furnished. In view thereof, the CESTAT has held that there could not have been second show cause notice on the same cause of action. In this behalf we do not find any error in the order passed by the CESTAT.

Adjudicating authority ha.....


117

2015 (7) TMI 963 - SUPREME COURT - Central Excise

Commnr. of Customs & Central Excise, U.P Versus M/s. Pushpa Industrial Corpn.

Maintainability of appeal - Availability of alternate remedy - Held that:- appeal is not covered by Section 35-L (B) of the Central Excise Act, 1944 and therefore is not maintainable. The only remedy that could be available to the appellant -Department is to approach the High Court by way of an appeal under Section 35-G. - there is no substantial question of law involved in this appeal and, therefore, the appeal before the High Court also is not permissible. However, we leave it for the High Cou.....


118

2015 (7) TMI 962 - SUPREME COURT - Central Excise

M/s. Pearl Drinks Ltd. Versus Commissioner of Central Excise, New Delhi

Valuation - deduction from assessable value - appellant could not produce the evidence to prove the expenditure incurred under certain heads - Held that:- The position that was taken by the assessee before the authorities was that these expenditures could be actually ascertained only afterwards and for this reason, even a request was made to the assessing officer for provisional assessment as the actual expenditure could not be communicated at the time of assessment having regard to the nature o.....


119

2015 (7) TMI 961 - SUPREME COURT - Central Excise

M/s. Dhanvi Trading & Investment Pvt. Ltd. Versus Commissioner of Central Excise, Ahmedabad

SSI Exemption - Denial of the benefit of Notification No. 175/86 dated 01.03.1986 - Use of other company brand name - Held that:- No doubt, when the brand name or trade name of another person is used by an SSI unit then the SSI unit shall not be entitled to the exemption from payment of excise duty under the aforesaid Notification No. 175/86. However, what is relevant is that the other unit of whose brand name or trade name is used, should be a unit which is not eligible for grant of exemption u.....


120

2015 (7) TMI 960 - SUPREME COURT - Central Excise

Commissioner of Central Excise, Hyderabad Versus M/s. VST Industries Ltd.

Validity of Tribunal's order - CESTAT has relied upon the earlier decision of the Customs, Excise and Gold (Control) Appellate Tribunal in the case of 'Web Impressions (India) Pvt. Ltd. v. CCE Calcutta' [2001 (9) TMI 202 - CEGAT, KOLKATA] - Held that:- CESTAT has further observed that against that judgment, appeal was preferred by the Revenue and the said decision of the CEGAT was upheld. This is factually incorrect inasmuch as the appeal of the Revenue against the aforesaid judgment was not dis.....


121

2015 (7) TMI 959 - ALLAHABAD HIGH COURT - Central Excise

M/s Mayank Metals, M/s Vasudev Udyog, M/s Shivam Metals Versus Commissioner of Central Excise, Ghaziabad

Waiver of pre deposit - Undue hardship - Held that:- For waiver of the pre-deposit, the appellant is required to show undue hardship that would be caused, in the event, they are required to deposit the amount. In the instant case, we find that no agreement has been raised with regard to hardship. However, prima facie, we find that once the authority permitted the appellant to cross-examine the witnesses, the same should have been done unless further orders denying such cross-examination was pass.....


122

2015 (7) TMI 958 - ALLAHABAD HIGH COURT - Central Excise

M/s. Denajee Sansthan Versus Commissioner of Central Excise, Meerut

Denial of refund claim - period of limitation - duty was paid under protest or voluntary - Exemption at consessional rate of duty vide Notification No.140/83-CE dated 5th May, 1983 - Held that:- Appellant had specifically indicated in the declaration form under Rule 173B that they are paying the duty under protest, which was part of their letter dated 24th December, 1996 in which the appellant had categorically insisted that no duty was payable on the product manufactured by them. - The language.....


123

2015 (7) TMI 957 - BOMBAY HIGH COURT - Central Excise

Shri Dharampal Lalchand Chug Carrying on business in the name and style of M/s. Vibha Impex, Shri Kamal Lalchand Chug (M/s. Jannat Fabrics) Versus Commissioner of Central Excise

Invocation of extended period of limitation - determination of relevant date for issue of notice within 5 years - Duty demand u/s 11A - Held that:- If the goods and which are excisable have to be cleared on payment of duty, but if they are exempted from payment of such duty, it does not mean that there is no power in the authorities to verify and scrutinise the documents based on which the clearance is made. One of the documents at the stage of clearance refers to the Exemption Notification and .....


124

2015 (7) TMI 956 - BOMBAY HIGH COURT - Income Tax

Commissioner of Income Tax-6 Versus ICICI Prudential Insurance Co. Ltd.

Appeal admitted on following questions:-

Whether on the facts and in the circumstances of the case and in law, the Tribunal is correct in interpreting that on account of "legislation by incorporation", 'only' the "unamended" Insurance Act 1938 and the Regulations thereunder became part of Section 44 r.w. Rule 2 of the First Schedule of the I.T. Rules?

2) Whether on the facts and in the circumstances of the case and in law, the Tribunal is correct in interpreting Section 44 .....


125

2015 (7) TMI 955 - KERALA HIGH COURT - Income Tax

THE COMMISSIONER OF INCOME TAX (TDS) , COCHIN. Versus MR. THOMAS MUTHOOT, MUTHOOT HOUSE, KOZHENCHERRY

Penalty levied under Sec.271C - Non deduction of TDS on interest paid thus violation of Section 194A - Whether in the light of the specific exemption provided in section 194A (3)(iv) to such income credited or paid by a firm to a partner of the firm, the assessee is reasonably entitled to entertain the belief that payment of interest by the partners to the firm is similar or similarly placed? - ITAT deleted penalty levy - Held that:- While Section 194A provided for deduction of tax on interest, .....


126

2015 (7) TMI 954 - KARNATAKA HIGH COURT - Income Tax

The Commissioner of Income Tax, The Director of Income Tax Versus Sri Gururaja Seva Samithi

Claim of registration under Section 12A - whether Tribunal erred in allowing the appeal by ignoring the clauses found in the Memorandum of Association, which permitted the assessee to utilize the funds for religious purposes and carry on commercial activity by constructing and letting out community hall? - Held that:- It is settled law that in the first year when the trust is sought to be registered, it could not have carried on any activity, thus the question of verifying the genuineness of suc.....


127

2015 (7) TMI 953 - KARNATAKA HIGH COURT - Income Tax

The Commissioner of Income Tax, The Deputy Commissioner of Income-Tax Versus M/s United Racing & Blood Stock Breeders Pvt. Ltd.

Reopening of assessment - reopening based on information that two Horses Tuscan and Brave Act were purchased at ₹ 1,38,729/- and ₹ 10,09,641/- was actually ₹ 5,32,784/- and ₹ 2,16,96,697/- respectively as detected by Directorate of Revenue Intelligence and customs duty of ₹ 1,87,540/- and ₹ 58,54,471.68 having been paid - Held that:- Bare reading of Section 147 of the Act would indicate that it empowers the assessing Officer to assess or re-assess the income c.....


128

2015 (7) TMI 952 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax-9 Versus Verdhman Properties Ltd.

Penalty under Section 271(1) - ITAT deleted penalty - Held that:- AO initiated penalty proceedings in respect of the addition made and confirmed it. The CIT (Appeals) was of the opinion that in the given circumstances of the case since the appellant upon receipt of notice filed a revised return that circumstance weighed predominantly AO to impose penalty. The CIT(A) consequently set aside the penalty; the revenue's grievance that this score was rejected by ITAT. We considered the circumstance of.....


129

2015 (7) TMI 951 - GUJARAT HIGH COURT - Income Tax

THE COMMISSIONER OF INCOME TAXAHMEDABAD Versus PREMKUMAR B. RATHI

Unexplained purchases - ITAT directing the estimate of addition as made by the CIT(A) be further reduced to 10% of the alleged purchases - Held that:- It is non speaking and non reasoned order and as such no reasons have assigned while restricting the disallowance to 10% of the unexplained purchases. Therefore, as such the matter is required to be remanded.

However, instead of remanding the matter to the learned ITAT considering the request made by the learned counsel for the respect.....


130

2015 (7) TMI 950 - ITAT KOLKATA - Income Tax

Deputy Commissioner of Income Tax, Circle-9, Kolkata Versus M/s. Varshana Investment Pvt. Limited, Kolkata

Disallowance of claim of depreciation on (i) Residential house property at 10, Mistry Manor, 62A, Napean Sea Road, Mumbai and (ii) Premises at C-6, Corianthian, 17 Off Arthur Bunder Road, Colaba, Mumbai - CIT(A) allowed claim - Held that:- D.R. even though vehemently relied on the order of the Assessing Officer but could not adduce any cogent material or evidence before us, which may compel us to reverse the finding of the CIT(Appeals). It is not denied that the property No. 10, Mistry Manor, 62.....


131

2015 (7) TMI 949 - ITAT AHMEDABAD - Income Tax

Adani Power Ltd, Ahmedabad Versus ACIT, Range-1, Ahmedabad

Chargeability of interest income - claimed to be capital receipt by the assessee and set off against the project development expenditure - Held that:- Ratio of the finding of in the case of Indian Oil Panipat Power Consortium Ltd. vs. ITO, (2009 (2) TMI 32 - DELHI HIGH COURT ) would be squarely applicable to the facts of the assessee’s case, because admittedly in the case under appeal before us the share capital as well as loans were raised for the specific purpose of setting up of the power ge.....


132

2015 (7) TMI 948 - ITAT BANGALORE - Income Tax

M/s. Sigma Aldrich Chemicals Pvt. Ltd., Bangalore and others Versus Addl. CIT, Range-12, Bangalore and others

Disallowance of Short-landing i.e. short receipt of goods - AO held that the assessee had unnecessarily claimed this amount in the books of account, but that the assessee should have recovered this amount from its principal companies which supplied the goods to it short either through raising debit notes or reducing the bills amount - Held that:- As during the relevant financial year, the short-landing is only 0.05% on sales and 0.07% of the cost of goods sold by the assessee. It is also worth m.....


133

2015 (7) TMI 947 - ITAT LUCKNOW - Income Tax

M/s Rajasthan Liquors Pvt. Ltd., Kanpur Versus ACIT-6, Kanpur

Rectification of mistake - indirect expenses debited to the profit and loss account by the assessee - Held that:- Assessing Officer has asked the assessee to furnish complete details and the assessee could not furnish the same. Similar was the position before the ld. CIT(A), but the ld. CIT(A) has deleted the addition having observed that the assessee was not under any obligation to maintain separate balance sheet and profit and loss account for each and every unit. While adjudicating the issue,.....


134

2015 (7) TMI 946 - ITAT BANGALORE - Income Tax

Income tax Officer, Ward – 1, Bagalkot Versus Shree Siddeshwar Souhardha Sahakari Niyamit, Bagalkot

Deduction u/s.80P(2)(a)(i) - interest earned on the FDs placed by with banks - Held that:- In view of the judgement of in the case of CIT v. Tumkur Merchants Souharda Credit Cooperative Ltd. [2015 (2) TMI 995 - KARNATAKA HIGH COURT] it has been clearly mentioned that the money meant for lending, remaining surplus, there being no takers, if deposited in banks for earning interest, such interest income would be attributable to the business of banking carried out by the assessee. We are of the opi.....


135

2015 (7) TMI 945 - ITAT LUCKNOW - Income Tax

DCIT Range V, Lucknow and others Versus M/s District Cooperative Bank Ltd., Barabanki and others

Validity of assessment order under section 144 - Held that:- Assessee could not substantiate the incorrectness in the action of the Assessing Officer for passing the assessment order under section 144 of the Act. We, however, have carefully perused the orders of the lower authorities and we find that the requisite information sought by the Assessing Officer were not furnished by the assessee before him, therefore, the action of the Assessing Officer was approved by the ld. CIT(A) and during the .....


136

2015 (7) TMI 944 - ITAT LUCKNOW - Income Tax

M/s Hari Om Steels (P) Ltd., Kanpur and others Versus ACIT – 6, Kanpur and others

Addition on confiscation of stocks of scrap Rail and scrap Cast Iron by the District Authorities against the dues of KESCO - Held that:- CIT (A) decided the issue against the assessee by holding that there is no dispute regarding the value of confiscated stock of ₹ 50,92,490/- for which only possession has changed but the right remains with the assessee only. Before us also, same argument is made without establishing that entire stock of 832.809 M.T. was auctioned for ₹ 2.03 lacs bec.....


137

2015 (7) TMI 943 - ITAT BANGALORE - Income Tax

Shri Muniraj (HUF) Versus The Income-tax Officer Ward-7 (3) , Bangalore

Addition u/s 68 - Production of cash book - Verification by AO - Onus to prove - Held that:- assessee had indeed produced a cash book before the AO. - Once assessee produced a cash book, the onus was on the assessee to prove the entries therein. If it was unable to do so, AO could certainly invoke Section 68, even otherwise AO can invoke Section 69, if source of investment is not properly explained. Assessee cannot wriggle out of its obligation under law, by citing a reason that books of account.....


138

2015 (7) TMI 942 - ITAT MUMBAI - Income Tax

M/s. Alfabeta Chemisalts Pvt. Ltd. Versus The ITO 3 (1) (1) ,

Validity of Reopeing of assessment - Income assessed under wrong head - Held that:- Though it is the contention of the assessee that in the past the interest income on inter corporate deposits has been assessed as business income on the ground that the assessee has been engaged in the business of financing, bill discounting and inter corporate deposits, however, we find that the assessee in its written submissions dated 07.10.11 made to the Income Tax Officer has fairly admitted that the interes.....


139

2015 (7) TMI 941 - ITAT CHANDIGARH - Income Tax

PEC University of Technology Versus The ACIT (TDS) TDS-Circle, Chandigarh

TDS from salary u/s 192 - Disallowance of deduction u/s 80C - short deduction of tax at source from payment of the salary - Interest u/s 201(1 A) - CIT(A) allowed claim for subsequent assessment years - Held that:- CIT(Appeals) in subsequent assessment years as noted and following the judgement of the High Court [2015 (4) TMI 272 - PUNJAB AND HARYANA HIGH COURT] allowed appeals of the assessee. The ld. CIT(Appeals) noted in these orders that the Provident Fund accounts of the employees of the as.....


140

2015 (7) TMI 940 - ITAT DELHI - Income Tax

ASSTT. COMMISSIONER OF INCOME TAX, CIRCLE-27 (1) , DELHI Versus M/s RADIAL INTERNATIONAL

Penalty u/s 271 - Furnishing of inaccurate particulars of income of assessee - Held that:- CIT(A) has rightly held that the disclosures made by the assessee in this regard were bona fide and were not false or fanciful. We find that Ld. CIT(A) further observed that the assessee did not file inaccurate particulars of income in claiming deduction of the aforesaid amount. Therefore, the penalty levied by the Assessing Officer under section 271(1)(c) of the Act was rightly deleted by the Ld. CIT(A). .....


141

2015 (7) TMI 939 - ITAT KOLKATA - Income Tax

Deputy Commissioner of Income Tax And Others Versus M/s Shivam India Ltd And Others

Disallowance of depreciation on electrical installation - The assessee had claimed depreciation @ 15% on the electrical installations and further additional depreciation of 10% - Assessing Officer held that the electrical equipment was eligible for depreciation only at 15% as the same fell within the “electrical fittings” which were required for the power distribution to the plant and machinery - Held that:- A perusal of the items as mentioned in page 2 of the assessment order for the assessment.....


142

2015 (7) TMI 938 - ITAT LUCKNOW - Income Tax

M/s Shri Shakti Credits Limited, Kanpur Versus C.I.T. -II, Kanpur

Revision u/s 263 by CIT(A) - regarding service tax issue - Held that:- This is by now settled position of law that if there is lack of enquiry by the Assessing Officer or if there is lack of application of mind by the Assessing Officer, the assessment order is erroneous and prejudicial to the interest of Revenue and in those situations, the learned CIT can exercise his powers u/s 263 of the Act.

A very general query was raised by the Assessing Officer in his questionnaire dated 16/12/.....


143

2015 (7) TMI 937 - ITAT HYDERABAD - Income Tax

Shri Krishnam Raju Penmetsa, Hyderabad Versus Income Tax Officer, Ward 3 (1) , Hyderabad

Revision u/s 263 by CIT(A) - sources for the deposits found in the SB Account with Axis Bank have not been examined and enquired into, as in the absence of details for sources for deposits in the SB Account, the Assessing Officer ought to have added back the total deposits found in the bank account u/s. 69 instead of making peak addition u/s. 68 - Held that:- The cash summary prepared and furnished by the assessee also does not indicate the source of cash receipts/inflow shown therein on various.....


144

2015 (7) TMI 936 - ITAT CHENNAI - Income Tax

M/s. Majestic Exports, Tirupur Versus The Joint Commissioner of Income Tax, Tirupur Range, Tirupur

Addition treating business loss as speculative loss in respect of loss on account of forex derivative contracts (Exotic Cross Currency Option Contracts) - Held that:- Explanation to sec.73 creates a deeming fiction by which among the assessee, who is a company, as indicated in the said Explanation dealing with the transaction of share and suffer loss, such loss should be treated to be speculative transaction within the meaning of sec.73 of the Act, notwithstanding the fact that the definition of.....


145

2015 (7) TMI 935 - ITAT CHENNAI - Income Tax

Shri Hari Krishna Papers Private Limited, Udumalpet Versus The Assistant Commissioner of Income Tax, Salary Circle –I, Coimbatore

Deduction claimed u/s.80IA on turbine division denied - assessee company was engaged in manufacture of paper and production of electricity from windmills constructed co-generation building during financial years 2003-04 and 2004-05 to house the new Turbine cum boiler unit to produce steam and electricity - Held that:- The true test is not whether the new industrial undertaking connotes expansion of the existing business of the assessee but whether it is all the same a new an identifiable underta.....


146

2015 (7) TMI 934 - ITAT PUNE - Income Tax

Shri Surendra Keshavlal Shah, Pune Versus Dy. CIT Central Circle-1 (1) , Pune

Sale of agricultural land - AO treating the income from sale of agricultural land as business income also upheld by CIT(A) - assessee claimed the same as exempt from income tax treating the same as agricultural land which is situated at a distance of more than 8 kms from the limit of any municipality - Held that:- There is no dispute to the fact that the land sold in question are agricultural lands. We do not find logic behind the argument of the Revenue that the assessee is definitely a man of .....


147

2015 (7) TMI 933 - ITAT AHMEDABAD - Income Tax

M/s. Anjana Exports Ashwin Parekh & Co., Surat and others Versus ACIT, Cent. Cir. 2, Surat and others

Rejection of the books of accounts - assessment order under section 144 r.w.section 145(3) - Held that:- The defects pointed out by the AO are of such a nature, which authorize him to harbour a belief that true income of the assessee cannot be deduced from those accounts. For example, the assessee had adopted incorrect method of accounting with regard to the purchases and sale of licence premium in trading and profit & loss account. The assessee has been showing such sales in profit & loss accou.....


148

2015 (7) TMI 932 - ITAT AHMEDABAD - Income Tax

Effluent Channel Projects Ltd., Vadodara and others Versus DCIT, Cir. 1 (2) , Vadodara and others

Accrual of income - Contribution received from the members - whether is to be assessed in the year of receipt or assessee is to be permitted to spread over, over a period of five years? - whether CIT(A) has erred in confirming the addition received as capital contribution from members for discharge through effluent channel constructed by the assessee? - Held that:- As decided in earlier years of assessee's own case [2010 (10) TMI 717 - ITAT, Ahmedabad] a clear right is given by the assessee-com.....


149

2015 (7) TMI 931 - BOMBAY HIGH COURT - Income Tax

Commissioner of Income Tax, ThaneII Versus M/s. SMC Ambika JV

Liability to deduct TDS for the payments made to subcontractors u/s 194C - Tribunal merely relied upon the absence of a written contract to hold that there is no relationship of a subcontractor between the assessee and M/s. SMC Infrastructure Pvt. Ltd. and M/s. Ambika Enterprises and allowed assessee's appeal - Held that:- The tribunal found that the assessee is an Association of Persons(AOP). The association comprises of M/s. SMC Infrastructure Pvt. Ltd. which is a company incorporated under th.....


150

2015 (7) TMI 930 - PUNJAB & HARYANA HIGH COURT - Service Tax

Commissioner Central Excise Commissionerate, Delhi-III Versus M/s Bellsonica Auto Components India P. Ltd.

CENVAT Credit - input services - inclusion part - Credit availed on Civil Construction service - inadmissible services or not - Held that:- If, the said services were not covered by Rule 2(l), it would not have been necessary to introduce the amendment. It is clear, therefore, that prior to the amendment the setting up of a factory premises of a provider for output service relating to such a factory fell within the definition of ‘input service’. The amendment of 2011 is not retrospective and is .....


151

2015 (7) TMI 929 - CESTAT NEW DELHI - Service Tax

Bhartiya Enterprises Versus Commissioner of Service Tax, Delhi-IV

Denial of CENVAT Credit - Imposition of penalty - They also contended that excess utilized credit was paid back in cash and that even before the issue of shown cause notice. So no extended period was invokable nor was rule 15(2) of Cenvat Credit Rules 2004 or Section 11AC consequently no penalty was imposable. - Held that:- Commissioner (Appeals) has examined the issue in detail and concluded the issue in favour of revenue. Fraud has clearly manifested and has also been admitted. Extended period.....


152

2015 (7) TMI 928 - CESTAT BANGALORE - Service Tax

Print Top Rubber Industries Versus Commissioner of Central Excise & Service Tax, Mangalore

Waiver of pre deposit - Classification of service - whether the activity of re-rubberizing of print rollers would attract service tax under the category of ‘management, maintenance and repair service' or under ‘business auxiliary service' - Held that:- Decision in the case of Zenith Rollers Ltd. Vs CCE Noida [2013 (12) TMI 620 - CESTAT NEW DELHI] followed wherein it was held that, the service to be falling under the category of ‘business auxiliary services'. If that be so, there would be exempti.....


153

2015 (7) TMI 927 - CESTAT BANGALORE - Service Tax

R. Rami Reddy & Co. Versus Commissioner of Central Excise, Customs & Service Tax, Tirupati

Waiver of pre deposit - construction service - whether service tax has to be paid for different types of services rendered to TTD - Held that:- no evidence has been produced by the appellant to show that the activities undertaken relate to agriculture. The show-cause notice was issued in this case on 31.05.2012, whereas the demand for reworking of agricultural land relates to the year 2008-09. Therefore, it becomes necessary to examine whether appellants have sufficient grounds to consider it as.....


154

2015 (7) TMI 926 - CESTAT BANGALORE - Service Tax

Bothra Shipping Services Versus Commissioner of Central Excise, Customs And Service Tax, Visakhapatnam-I

Waiver pre deposit - GTA Service - appellants provide transportation services for the iron ore to their customers - Held that:- Appellant cannot be considered either as a consignor or consignee. Therefore the Notification No. 32/2004 which requires the receiver of service to pay the tax in respect of GTA service is not applicable to them. Moreover the only observation of the Commissioner is that there is no evidence and there is no correlation between each consignment note raised by the transpor.....


155

2015 (7) TMI 925 - CESTAT NEW DELHI - Customs

M/s. Maiden Trading Co. Pvt. Ltd. Versus CC, ICD, TKD, New Delhi

Penalty under Section 112(a) of the Customs Act, 1962 - Evasion of duty - Undervaluation of goods - Held that:- from a plain reading of provisions of sub-section (n) and (o), it is clear that these provisions are not applicable to the case. In fact Section 111(n) deals with transit/transhipment of goods. Section 111(o) deals with a situation where certain claim is claimed subject to some condition and subsequently the said condition is not followed. In the present case, it is not a situation. In.....


156

2015 (7) TMI 924 - CESTAT MUMBAI - Customs

P.B. NAIR C&F PVT. LTD. Versus COMMISSIONER OF CUSTOMS (GENERAL) , MUMBAI

Revocation of CHA License - forfeiture of the security deposit - contravention of Regulation 13(a) - held that:- There is no allegation made by the appellant as urged before us that proper procedure of inquiry was not followed or there has been any violation of the principles of natural justice either by the Inquiry Officer or by the adjudicating authority. The only contention is that the evidence adduced by the appellant has not been properly appreciated and the punishment of revocation for the.....


157

2015 (7) TMI 923 - MADRAS HIGH COURT - Customs

Commissioner Versus Copier Force India Ltd.

Evasion of duty - Import of used photocopier components of foreign origin - High Court dismissed the petition filed by Revenue for non prosecution against the decision of Tribunal [2008 (12) TMI 451 - CESTAT, CHENNAI], wherein Tribunal held that The Notification No. 19/90-Cus. (N.T.), dated 26-4-1990 issued by the Central Government had conferred the powers of Commissioner of Customs on the ADG, DRI and his jurisdiction was specified as “whole of India”. Though the Additional Director General, D.....


158

2015 (7) TMI 922 - DELHI HIGH COURT - Income Tax

Mool Chand Khairati Ram Trust Versus Director of Income Tax (Exemptions)

Denial of exemption under Section 11 - Assessee contended that the Assessee was a charitable institution engaged in running a hospital (both Allopathic and Ayurvedic) and the same constituted a charitable purpose within the meaning of Section 2(15) of the Act - Held that plain reading of the objects indicates that it includes “devising means for imparting education and improving Ayurvedic system of medicine and preaching the same”. It is also expressly clarified that the Assessee is not prohibi.....


159

2015 (7) TMI 921 - BOMBAY HIGH COURT - Income Tax

Vascon Engineers Limited Versus Income Tax Settlement Commission, Commissioner of Income Tax (Central) , Deputy Commissioner of Income Tax, Union of India

Application for settlement of pending proceedings rejected - application for settlement as filed is not valid for failure to pay taxes on the additional declared income as contended by the Commissioner of Income Tax(Central) (Commissioner) resulted in the pending proceeding of the Petitioner for Assessment Years 2007-08 to 20014-15 being restored to the Assessing officer - whether the dismissal of the Petitioner's application for settlement at the stage of Section 245(2D) of the Act merely on t.....


160

2015 (7) TMI 920 - BOMBAY HIGH COURT - Income Tax

Panchratna Co-op. Housing Society Ltd. Versus The Assessing Officer 16 (3) (1) , The Addl/Joint Commissioner of Income Tax, Union of India

Validity of reopening of assessment - Held that:- Firstly, there is no failure to make full and true disclosure of necessary facts which is the jurisdictional requirement for initiating reopening proceedings after period of four years as per the proviso to Section 147. Secondly, the reasons do not show that there was any failure to disclose. Mr. Malhotra, on behalf of the respondent-revenue contended that the Petitioner filed a return before a wrong authority and, therefore, that earlier return .....


161

2015 (7) TMI 919 - BOMBAY HIGH COURT - Income Tax

Ajay R. Dhoot Versus The Deputy Commissioner of Income Tax, Mumbai And Others

Addition under section 69A - unaccounted jewellery - Held that:- Section 69A of the Act provides that where in any financial year, an assessee is found to be the owner of any jewellery which is not recorded in the books of account and the explanation offered by assessee about the nature and source of acquisition is not satisfactory, then value of such jewellery would be deemed to be income of the assessee in the year in which the assessee was found to be the owner of the jewellery. Admittedly, t.....


162

2015 (7) TMI 918 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax-IV Versus DPA Finvest Services Ltd.

Unexplained credit under Section 68 - Penalty proceedings under Section 158BFA (2) initiated - Held that:- In order to undertake a proper exercise in terms of Section 158BB(1), the AO will have to come to a definite conclusion that what emerges during the enquiry' following the search in the form of information or material is 'relatable to such evidence' as has been unearthed during the search. That exercise will of course vary from case to case. There has to be an application of mind by the AO.....


163

2015 (7) TMI 917 - BOMBAY HIGH COURT - Income Tax

Sant Trust (Since Dissolved) Versus Asstt. Commissioner of Income Tax 19 (3) , Mumbai And Others

Reopening of assessment - validity of notice - assessee has not offered any income arisen by way of transfer of capital asset on dissolution of Sant Trust for taxation - whether the sanction was not accorded by the Joint Commissioner but by officer superior in rank to the Joint Commissioner and therefore, the sanction is invalid? - Held that:- In the present case the Joint Commissioner who was promoted as a Commissioner and has granted the sanction, was directed by the Board to so discharge duti.....


164

2015 (7) TMI 916 - BOMBAY HIGH COURT - Income Tax

The Commissioner of Income Tax-II, Thane Versus SMC Rohit JV

Liability to deduct tax at source - whether Tribunal is correct in holding that no contract has existed between assessee AOP and its members and there was no liability on the part of the assessee to deduct tax at source on payment to it members? - Held that:- The work was carried out and the same was handed over to the members to enable them to execute the contract. The association has neither kept any commission of its own nor any profit. The association comprising of these two members/ partner.....


165

2015 (7) TMI 915 - ITAT DELHI - Income Tax

Marubeni Itochu Steel India Pvt. Ltd., New Delhi Versus DCIT, Circle 16 (1) , New Delhi

Transfer pricing adjustment - addition on account of alleged understatement of arm's length price in respect of commission income earned by the appellant from its AEs - according to the Ld DR, the TPO rightly rejected the Berry Ratio (PLI) adopted by the assessee and the TPO after rejecting the Berry ratio of the assessee, choose to follow OP/TC as the PLI for computing net profit margin in the support services segment - Held that:- As decided in Mitsubishi Corporation India Pvt. Ltd case [20.....


166

2015 (7) TMI 914 - ITAT AHMEDABAD - Income Tax

Dy. Commissioner of Income-tax, Circle-8, Surat Versus Smt. Rajeshwari Mehta, Surat

Transaction of shares - business income instead of short term capital gain - Held that:- In the immediately subsequent year, ld. Assessing Officer has treated the asssessee as an investor. Similarly, in Assessment Year 2010-11 again, ld. Assessing Officer has accepted the assessee as investor vide assessment order dated 28-01-2013 passed u/s. 143. According to the assessee, in earlier years also, her status was never changed by the Assessing Officer. On due consideration of these facts, we are o.....


167

2015 (7) TMI 913 - ITAT AHMEDABAD - Income Tax

Shri Monal Y. Thakkar, Ahmedabad and others Versus ACIT, Cent. Cir. 1 (3) , Ahmedabad and others

Profit resulted to the assessee on share transactions through IPOs, - whether is to be assessed as "business income" or under the head “Capital Gains”? - Held that:- From the findings of the SEBI, it is implicit clear that both the assessees have indulged in violation of SEBI regulations, while making investments in IPOs. Whatever amounts they have illegally earned, which could be assessed as their income, has been taken away from them. They have already disgorged the amount, though, the paymen.....


168

2015 (7) TMI 912 - ITAT DELHI - Income Tax

Somya Salwan, New Delhi and others Versus Income-tax Officer, Ward 31 (4) , New Delhi

Eligibility of deductions allowable u/s 24 - Computation of income - AO assessed the contractual receipts of ₹ 11,50,000/- as income from other sources and not as income from house property as claimed by assessee - Held that:- There is marked change in the terms of agreement and, therefore, it cannot be held that the entire receipts were towards rent. In the original agreement as per clause 16, the maintenance charges were paid to the society of the building hired by lessee which was in fu.....


169

2015 (7) TMI 911 - ITAT DELHI - Income Tax

Income-tax Officer, TDS Ward 2 (2) , [Intl. Taxn.] , New Delhi Versus M/s Santur Developers P. Ltd., New Delhi

Liability to deduct tax u/s 195 - AO had levied interest u/s 201(1A) in respect of capital gain accrued to assessee on 8-6-2005 till the date on which capital gain tax was deposited i.e. 28-9-2007 - CIT(A) upheld the assessee’s contention that in view of non-discriminating clause in Article 26 of the DTAA between India and USA, the assessee was not obliged to deduct tax at source u/s 195 - Held that:- CIT(A) rightly held that in view of Article 26 of DTAA between USA and India, since no TDS is .....


170

2015 (7) TMI 910 - ITAT MUMBAI - Income Tax

The Bombay Dyeing & Mfg. Co. Ltd. and others Versus Jt. CIT (OSD) Range (2) (1) , MUMBAI and others

Disallowance of provision made for a loss on account of a firm purchase contract - Held that:- Prudence only implies that even though the amount cannot be determined with certainty, and represents only a best estimate in light of the available information, the same must be provided for. It nowhere advocates or prescribes providing for loss/liability that has not arisen during the relevant year or, in any case, by the end of the relevant year. Events after the balance-sheet date can only be take.....


171

2015 (7) TMI 909 - ITAT KOLKATA - Income Tax

Deputy Commissioner of Income Tax, Circle-9, Kolkata Versus M/s. Ritona Vinimay Pvt Ltd

Disallowance of speculation loss by invoking the provisions of Explanation to Sec. 73 - CIT(A) deleting the addition - Held that:- Assessee filed complete details of deployment of fund during last three years including the position of income and turnover of the assessee in different business. At this stage it is not possible to verify these details because this is being filed now for the first time before us. We find that the AO has only verified the deployment of funds for last three years and .....


172

2015 (7) TMI 908 - ITAT BANGALORE - Income Tax

Karnataka Forest Development Corporation Ltd. Versus Income Tax Officer, Tds Ward, Davangere

Default under section 206C(6A) - short collection of tax at source (TCS) - goods for use in manufacturing, processing or producing articles or things. - Held that:- Section 206C(1A) mandates that any person responsible for collecting tax under section 206C(1) need not do so if he obtains a declaration from the buyer that he is purchasing the goods for use in manufacturing, processing or producing articles or things. It does not say that such declaration has to be obtained at the very same moment.....


173

2015 (7) TMI 907 - ITAT MUMBAI - Income Tax

M/s IMA PG India Pvt. Ltd. (Formerely known as Precision Gears Ltd.) Versus ACIT Range 5 (2) , Mumbai

Disallowance for excess remuneration paid to the Directors - A.O. made the disallowance simply relying on the erroneous Remark in Auditors' Report - Held that:- The assessee had made excessive payment of remuneration to the Director. but same was approved by the central government, as required by the Companies Act.1n these circumstances, we are of the opinion that there was no contravention of the provisions of the Act - Decided in favour of assessee.

Disallowance ul/s.40(a)(ia) - no.....


174

2015 (7) TMI 906 - ITAT MUMBAI - Income Tax

M/s Precision Gears Ltd. (Now IMA PG India Pvt. Ltd.) Versus CIT Range 5 (2) , Mumbai

Disallowance of provision made for doubtful advance paid for advancement of existing soft ware - Capital expenditure or revenue expenditure - assessee had made a claim u/s.37 stating that expenditure incurred by it on account of upgradation of ERP software was revenue expenditure, that it had advanced a sum of ₹ 15.91 lakhs to BT but the work was not executed to the satisfaction of the assessee - Held that:- The expenditure incurred by the assessee for up-gradation of system was allowable.....


175

2015 (7) TMI 905 - ITAT MUMBAI - Income Tax

Pegasus Stocks And Shares Pvt Ltd Versus Asstt. Commissioner of Income Tax -4 (2) , Mumbai

Disallowance u/s.14A(1) - applicability of rule 8D - Held that:- The reference to the turnover ratio, which it says would easily be at 4 to 5, stands made by it only toward assigning a weight to this predominant intent for acquiring shares, and no other purpose, itself stating that it cannot be said to be scientific in the sense that it is not amenable to measurement. The said reference has been clearly misconstrued in pleading for lowering the ratio (than 1/5) on the basis of a high turnover ra.....


176

2015 (7) TMI 904 - ITAT KOLKATA - Income Tax

Philips India Ltd. (Earlier Known As. Philips Electronics India Ltd) Versus Commissioner of Income-tax, Kolkata-IV, Kolkata

Revision u/s 263 - claim of the assessee on account of lease rental to be disallowed as per CIT(A) - Held that:- Considering the facts of the present case, it is noticed that the AO before allowing the claim of the assessee on account of lease rental issued a questionnaire along with notice u/s. 142(1) of the Act. The assessee furnished the requisite details and evidences to the AO, who on being satisfied allowed the claim of the assessee. It is also noticed that for AY 2006-07 the similar issue.....


177

2015 (7) TMI 903 - ITAT GUWAHATI - Income Tax

Assistant Commissioner of Income-tax, Circle, Jorhat Versus Murlidhar Gattani

Eligibility for deduction u/s. 80 IC - whether milk is an item of production eligible for deduction? - CIT(A) allowed claim - Held that:- The word 'production' includes within its purview the word 'manufacture' and also other activities. In view of above decision of Hon'ble Supreme Court in the case of Tara Agencies (2007 (7) TMI 4 - SUPREME COURT OF INDIA ), we hold that "Milk" is an article or thing which can be produced by the assessee and, therefore, we fully concur with the views taken by t.....


178

2015 (7) TMI 902 - ITAT MUMBAI - Income Tax

Vodafone India Limited (Formerly Vodafone Essar Ltd.) Versus Addl. Commissioner of Income Tax, Range-1, Chandigarh

Extension of stay order - Delay in disposal of appeal - Held that:- Delay in hearing and disposal of appeal is not attributable to the assessee since the stay was last extended vide order dated 18.07.2014. Further, we do not agree with the contention of the Ld. Counsel for the revenue that the stay should not be extended withut further deposit because the Hon'ble High Court vide order dated 23.06.2014 has set aside the directions given by the Tribunal for further deposit at the time of grant.....


179

2015 (7) TMI 901 - ITAT CHENNAI - Income Tax

Welgrow Line (India) (P.) Ltd. Versus Assistant Commissioner of Income-tax, Co. Circle -III (3) , Chennai

Disallowance made under sec.40(a)(ia) - amounts payable and not already paid at the end of year - payments made to Central Warehousing Corporation, Concor and Continental Warehousing Corporation - Freight charges - Non deduction of TDS - held that:- definition of 'rent' makes it unambiguously clear that rent is a payment for the use of land or/and building under any lease, tenancy or other arrangement/agreement. In the instant case, undisputedly, the assessee is using the building premises of CF.....


180

2015 (7) TMI 900 - ITAT DELHI - Income Tax

INCOME TAX OFFICER, WARD 21 (1) , NEW DELHI Versus SH. RAKESH AGGARWAL

Addition u/s 69 - assessee submitted before the Assessing Officer that he had three vehicles and the cash deposited represented the receipts from running of the vehicles on hire in a business of tour and travel - Held that:- CIT(A) further observed that as per the provisions of Section 44AE, the income from plying, hiring or leasing of vehicles, other than heavy goods vehicles, is deemed to be ₹ 3500/- for every month or part of a month during which the vehicle is owned by an assessee. Thu.....


181

2015 (7) TMI 899 - ITAT KOLKATA - Income Tax

M/s. Philips India Limited. Versus Deputy Commissioner of Income Tax

Transfer Pricing matter - determination of arm’s length price - management Support Services - Held that:- order of the D.R.P. is not a speaking order in so far as no reason has been given by D.R.P. for rejecting the claims of the assessee. In these ci rcumstances, we are of the view that the issues in this appeal be restored to the file of the D.R.P. for re-adjudication and for passing a speaking order after granting the assesese adequate opportunity to be heard - Matter remanded back - Decided in favour of assessee.


182

2015 (7) TMI 898 - ITAT DELHI - Income Tax

ADIT, Circle-1 (2) , International Taxation, New Delhi Versus Hyundai Engineering And Construction Co. Ltd.

Disallowance of loss relating to 'Talcher Transmission Line' - Held that:- project could not be said to have ceased to exist and the expenses claimed by the assessee was of such nature that would not result into any revenue for the assessee and therefore the same could not be booked as work in progress. Accordingly, we note that the AO was not correct to deny the amount of loss as claimed by the assessee on Talcher Transmission Line project. Hence, we are of the considered view that the .....


183

2015 (7) TMI 897 - DELHI HIGH COURT - VAT and Sales Tax

Triveni Engineering and Industries Ltd. Versus Commissioner Of Trade And Taxes, Delhi

Default Assessment Orders - Sales in the course of import - inter-State sale or not - Section 9 (2) of the CST Act read with Section 32 and penalty assessment orders under Section 33 of the Delhi Value Added Tax Act, 2004 (DVAT Act) - Held that:- the default assessment orders of the VATO give no indication of any detailed examination of the documents. It is not clear which document the VATO is referring to when he concludes that the description of the commodity is different or when he conclu.....


184

2015 (7) TMI 896 - RAJASTHAN HIGH COURT - VAT and Sales Tax

JK Tyre & Industries Ltd. Versus State of Rajasthan & Others

Partial exemption scheme - to increase inter-State sales and decrease the quantum of branch transfers - constitutional validity of Sections 26 and 82(3) of the Rajasthan Value Added Tax Act, 2003 - method of calculations - Held that:- under the notification dated 6.5.1986 incentive is given with a view to enhance inter State sales with a view to enhance State revenue in the form of sales tax and that object can be served with the cooperation of dealers only. The purpose of the notification can.....


185

2015 (7) TMI 895 - SUPREME COURT - Central Excise

M/s. Coastal Paper Ltd. Versus Commnr. of Central Excise, Visakhapatnam

Classification - Whether pulp of waste gunny bags/jute waste is to be treated as the pulp made from the material 'rags' - Benefit of Notification No. 22/94-CE dated 01.03.1994 - Concessional rate of duty - . According to the Tribunal, pulp out of rags was specifically excluded from the Notification. - Held that:- Pulp from the waste of jute bags or gunny bags would not be covered by the term 'rags' appearing in Notification dated 01-03-1994 as it could never be the intention to exclude non-conv.....


186

2015 (7) TMI 894 - SUPREME COURT - Central Excise

Saral Wire Craft Pvt. Ltd. Versus Commissioner Customs, Central Excise And Service Tax & Others

Condonation of delay - Order served on unauthorised person who was a ‘Kitchen boy’ employed on daily wages - Held that:- Order had not been passed in the presence of the Appellant, so as to render its subsequent service a formality, and secondly, that the Order came to be passed after an inordinate period of eight months should not have been ignored. This fact should not have been lost sight of by the Authorities below as it has inevitably led to a miscarriage of justice. The Inspector of the De.....


187

2015 (7) TMI 893 - SUPREME COURT - Central Excise

Commissioner of Central Excise, Delhi-III, Gurgaon Versus M/s. Kap Cones

Condonation of delay - Revenue appeal - eight days delay in issue of the review order under Section 35-E(1) by the Committee of Chief Commissioners - Denial of CENVAT Credit - Clandestine removal of goods - Invocation of extended period of limitation - Confiscation of seized goods - Held that:- Sub-section (4) of Section 35-E(4) provided that appeals should be filed within a period of three months from the date of communication of the order under sub-section (1) or (2) to the adjudicating autho.....


188

2015 (7) TMI 892 - SUPREME COURT - Central Excise

Chackolas Spinning And Weaving Mills Ltd. Versus Commissioner of Central Excise, Cochin

Valuation - Captive consumption - Whether the provision of Rule 6(b)(ii) of the Central Excise (Valuation) Rules, 1975 are applicable to the case at hand or not - Held that:- Under clause (i) of Rule 6(b), the value is to be based on the value of comparable goods produced or manufactured by the assessee or any other assessee. Since there was no such commodity or material available to show the value of any chargeable goods, the case was covered under sub-rule (ii) of Rule 6(b). That is, thus, the.....


189

2015 (7) TMI 891 - CESTAT AHMEDABAD - Service Tax

M/s Emtici Engineering Ltd Versus Commissioners of Central Excise, Customs and Service Tax-Vadodra

Demand of service tax - Business Auxiliary Services - benefit of exemption Notification No 13/2003-ST dated 20.6.2003 - held that:- Adjudicating Authority vide Order dt 31.8.2006 in first appeal observed that in terms of the different clauses of the agreements, the appellants were providing after sales service in relation to the equipments sold to the clients within the appellants territory, installation, maintenance, care etc., of such equipments which are major components of the services, to b.....


190

2015 (7) TMI 890 - BOMBAY HIGH COURT - Service Tax

Central Railway, Solapur Versus Commissioner of Central Excise and Customs

Condonation of delay - Held that:- delay has occurred not because of any deliberate or intentional act but because the Solapur Division and the senior most official there has not been authorized to take decision on his own when there are huge financial repercussion. He has referred the matter to the Head Quarters and that is how the matter was referred after meeting of the Senior Divisional Managers in August 2012. The issue raised was fundamental and pertaining to the service that the Railway o.....


191

2015 (7) TMI 889 - BOMBAY HIGH COURT - Service Tax

Top Security Ltd. Versus Commissioner of Central Excise & Service Tax

Waiver of pre deposit - Security services - Non compliance with pre deposit order - Held that:- Thereafter two affidavits have been filed by counsel of both parties and compliance is reported by the assessee of the order passed by the Tribunal while granting a conditional stay. However, the revenue insists that such a compliance will not in any manner mean that further recurring liability is effaced or wiped out. The argument that neither the liability nor recovery of the sums in relation theret.....


192

2015 (7) TMI 888 - KARNATAKA HIGH COURT - Service Tax

Commissioner of Central Excise Versus M/s Dharwad Co-Operative Milk Producers Societies Union Ltd.

Denial of Refund claim - Unjust enrichment - Goods Transport Operator service - Held that:- if the revenue was aggrieved by the OIA No.237/2005 CE, it ought to have taken such further action in accordance with law. It is trite law that once the appeal is allowed in favour of the assesse, the assessee must be entitled to all the benefit flowing there from. The Assistant Commissioner while dealing with the application for refund was not justified in sitting in judgment over the findings of Commiss.....


193

2015 (7) TMI 887 - BOMBAY HIGH COURT - Service Tax

The Commissioner of Central Excise Pune-I Versus M/s Syntel International (P) Ltd.

Validity of Tribunal's order - Order of remanding the matter back - onsite services rendered directly at the customers premises abroad - Held that:- If the issues which are vital and for the adjudication have not been examined at all by the Adjudicating Authority, then its order can be said to be prima facie erroneous. That would have to be demonstrated by the party applying for Tribunal's intervention in appellate jurisdiction. If the appellant makes out a case for remand and in this case in th.....


194

2015 (7) TMI 886 - MADHYA PRADESH HIGH COURT - Service Tax

Commissioner, Custom & Central Excise Versus M/s Smart Chip Limited

Business Auxiliary service - service being rendered by the assessee for the Transport Department under the Motor Vehicle Act - service rendered to public authorities - Held that:- Work done by the respondent assessee pertains to discharge of statutory function by the Department under the Motor Vehicle Act and the same does not amount to customer care, promotion, marketing of services, incidental or auxillary to the support services - In the case of Commissioner of Central Excise, Indore Vs. Anki.....


195

2015 (7) TMI 885 - CESTAT NEW DELHI - Service Tax

MAOSAJI CATERERS Versus COMMISSIONER OF CENTRAL EXCISE, RAIPUR-I

Penalty u/s 78 - Outdoor catering service - Held that:- As the purpose of providing snacks and foods has clearly mentioned in the agreement entered into between the appellant and M/s. Lafarge India Pvt. Ltd. therefore, on merits we hold that the appellants are liable to pay Service Tax under the category of Outdoor Catering service on the activity undertaken by them. We further find that as the appellant immediately paid Service Tax when investigation started against them. We are also convinced .....


196

2015 (7) TMI 884 - CESTAT BANGALORE - Service Tax

M/s Informatics India Ltd Versus Commissioner of Service Tax, Bangalore

Waiver of pre deposit - Cenvat Credit - Trading activity - Held that:- Appellant is rendering both taxable output service and is also undertaking trading activity and trading became an exempted service only after 1.4.2011 (deemed). Therefore during the relevant period, the appellant was required to reverse the proportionate credit since trading activity was not a service and credit could have been taken but separate account was not required to be maintained. Therefore, I find that appellant cann.....


197

2015 (7) TMI 883 - CESTAT MUMBAI - Service Tax

Indus Engineering & Construction Co. Versus Commissioner of Central Excise, Nagpur

Demand of service tax - Construction of residential complex service - Held that:- Repair work of shop floor in the Ordinance factory owned and control by the Government of India, Ministry of Defense, does not qualify under the category of 'commerce or industrial construction service' and accordingly, I hold that no tax is payable by the appellant under the category of 'commercial or industrial construction service'. The demand confirmed vide the impugned order is set aside and all the penalties are deleted. - Decided in favour of assessee.


198

2015 (7) TMI 882 - CESTAT MUMBAI - Customs

Ajay Clearing Enterprise Versus Commissioner of Customs (Gen) , Mumbai

Revocation of CHA License - Contravention of Regulations 13(a), 13(d) and 13(e) of CHALR, 2004 - Held tat:- CHA have not met the client at all and they have received the documents through a freight forwarder. Therefore, the question of advising the client would not arise at all. As regards the third charge of not exercising due diligence in ascertaining the correct of the any information, to undertake this task, the CHA should know his client. If he does not know who the client is, he cannot exe.....


199

2015 (7) TMI 881 - CESTAT MUMBAI - Customs

M/s Unison Clearing Pvt Ltd Versus Commissioner of Customs (General) Mumbai

Revocation of license - Violation of the CHALR Regulations - Non-compliance to the specific time limits - Subletting of license - whether the time line periods laid down in Regulation 22 are directory in nature or mandatory in nature - Held that:- No evidence to show that there has been sale or transfer of the license. No consideration is shown for such transfer nor any transfer agreement. The only evidence is that the appellant was receiving fixed amounts per container from Shri Pandey. We find.....


200

2015 (7) TMI 880 - BOMBAY HIGH COURT - Customs

P. CAWASJI & CO. Versus UNION OF INDIA

Suspension of Custom Broker License - perpetration of fraudulent clearance of the goods - the goods were not valid for duty free clearance - Held that:- In the given facts and circumstances and peculiar to the Petitioner and as the Petitioner has been carrying on business from 1905, as claimed in the Writ Petition, it being a sole proprietary concern and the sole proprietress depending for her livelihood on this business that the suspension of the license till date will serve the ends of justice.....


201

2015 (7) TMI 879 - KERALA HIGH COURT - Customs

COMMISSIONER OF CUS. (PREVENTIVE) , COCHIN Versus KALLARACKAL JEWELLERS

Confiscation of goods - Provisional release of gold - Held that:- Single Judge passed an interim order directing that the petitioner be permitted to release of the gold on executing a simple bond. - such an interim could not have been passed, especially when there was no lack of jurisdiction in passing the order and the order has not been prima facie perverse. We are, thus, of the view that sufficient ground has been made out to set aside the order passed by the Single Judge. - Decided in favour of Revenue.


202

2015 (7) TMI 878 - PUNJAB & HARYANA HIGH COURT - Income Tax

C.S. Atwal Versus The Commissioner of Income Tax, Ludhiana and another

Transfer exigible to tax by reference to Section 2(47)(v) of the Income Tax Act, 1961 read with Section 53-A of the Transfer of Property Act, 1882 - JDA entered by assessee - Whether there was grant and assignment of various rights in the property by the appellant in favour of THDC alongwith handing over physical and vacant possession, the same tantamount to “transfer”? - Whether ITAT has ignored rights emanating from the JDA, legal effect of non registration of JDA, its alleged repudiation etc......


203

2015 (7) TMI 877 - GUJARAT HIGH COURT - Income Tax

COMMISSIONER OF INCOME-TAX Versus PRABHUKUNJ CO-OP. HOUSING SOCIETY LIMITED

Taxability of the receipts by a cooperative housing society from a portion of sale consideration received by its member at the time of transfer of the plot - Addition on account of premium account received for transfer of plots - Held that:- It could be seen that in various decisions, this Court as well as Bombay High Court consistently held that contribution made by the members to the general fund of the society in various forms would be governed by the principle of mutuality. Particularly, in .....


204

2015 (7) TMI 876 - KARNATAKA HIGH COURT - Income Tax

Commissioner of Income-tax Versus Motor Industries Co. Ltd.

Provision made towards anticipated warranty claims - whether an allowable deduction - whether Tribunal was correct in holding that a provision for warranty claim made by the assessee for any claims made by the assessee's customers in future in respect of defect on repairs towards goods sold should be allowed as an expenditure during the current assessment year itself? - Held that:- It is discernable that the assessee takes into consideration the past historical cost, cost escalation, length of w.....


205

2015 (7) TMI 875 - DELHI HIGH COURT - Income Tax

CIT Versus M/s. Bharat Hotels

Entitlement to depreciation in respect of the hotel building, WTT and WTC under Section 32 - Held that:- The Court is satisfied that the during the AYs in question Assessee was indeed in full control of the three buildings, viz., the hotel building, the WTT and WTC and that in any event, notwithstanding the clarificatory amendment inserted as Explanation No. 1 in Section 32 with effect from 1st April 1988, the Assessee would be entitled to claim depreciation in respect thereof, including deprec.....


206

2015 (7) TMI 874 - KARNATAKA HIGH COURT - Income Tax

M/s Guttigedarara Credit Co-Operative Society Ltd. Versus The Income Tax Officer

Entitlement for deduction under Section 80P(2)(a)(i) - Whether the Tribunal failed in law to appreciate that the interest earned on short-term deposits in banks were only investment in the course of activity of providing credit facilities to members and that the same cannot be considered as investment made for the purpose of earning interest income and consequently passed a perverse order denying the deduction under Section 80P(2)(a)(i)? - Held that:- In the instant case, the amount which was in.....


207

2015 (7) TMI 873 - PUNJAB AND HARYANA HIGH COURT - Income Tax

M/s Swaraj Mazda Limited Versus Commissioner Of Income Tax

Interpretation of the provisions of Section 115JA - whether the interest under Sections 234B and 234C is to be charged under Section 143(1)(a) as a prima facie adjustment whereby no such charge made under Section 143(3)? - Held that:- The matter is no longer res integra. This Court in Commissioner of Income Tax v. Nahar Spinning Mills Limited, (2011 (7) TMI 961 - Punjab and Haryana High Court) following the judgment of CIT(Joint) v. Rolta India Limited, (2011 (1) TMI 5 - SUPREME COURT OF INDIA ).....


208

2015 (7) TMI 872 - ITAT DELHI - Income Tax

M/s Japna Exports, Delhi Versus Income Tax Officer, Ward-25 (1) , New Delhi

Disallowing the claim u/s. 80IC - Not treating the activity at Kala Amb as a manufacturing activity by revenue - definition of manufacture u/s. 2(29BA) - whether a mosquito repellant is distinct from the parts constituting it such as mould, plug, wire, porcelain, led etc. and therefore is manufacture? - Held that:- Revenue Authorities has given a sufficient opportunity to the assessee for filing the Satisfaction Note for filing the eligibility condition for claiming deduction u/s. 80IC of the I.....


209

2015 (7) TMI 871 - ITAT LUCKNOW - Income Tax

Assistant Commissioner of Income-tax, Kanpur Versus M/s Rahman Industries Ltd.

Transfer pricing adjustment - most appropriate method - CIT(A) deleted addition - Held that:- Nothing has been placed to justify that the TPO has rightly adopted the resale method to determine the Arm's Length Price whereas the assessee is 100% exporter. Since the CIT(A) has adopted the TNMM method following the method adopted by TPO in succeeding year to determine the Arm's Length Price, we find no infirmity in his order. Moreover, having noticed the difference between two PLIs in the range of .....


210

2015 (7) TMI 870 - ITAT AHMEDABAD - Income Tax

AIA Engineering Ltd., Ahmedabad and others Versus The ACIT, Circle-1, Ahmedabad and others

Disallowance under Section 14A - Held that:- It is an undisputed fact that for the year under consideration the method prescribed under Rule 8D for working the disallowance u/s. 14A would not be applicable in view of the decision of Hon’ble Bombay High Court in the case of Godrej & Boyce [2010 (8) TMI 77 - BOMBAY HIGH COURT ] wherein held that the method prescribed under Rule 8D would be applicable to A.Y. 08-09 and subsequent assessment years. We further find that the coordinate Bench of Tribun.....


211

2015 (7) TMI 869 - ITAT HYDERABAD - Income Tax

Vemula Laxminarayana, Warangal Versus The Asst. Commissioner of Income Tax, Circle-I, Warangal

Revision u/s 263 by CIT(A) - amount of income covered by TDS was not offered to tax, disallowance of deprecation and unaccounted personal drawings - Held that:- In this case, there was survey during the course of accounting year itself and also on the basis of the survey, the case was selected for scrutiny. The TDS made on behalf of assessee was itself reflected in 26AS of the department and the same amount was given credit. In view of this, the Ld. CIT’s presumption that this amount of income c.....


212

2015 (7) TMI 868 - ITAT MUMBAI - Income Tax

M/s. Ima Pg India limited (Formerly known as Precision Gears Ltd.) Navi Mumbai Versus Dy. Commissioner of Income Tax–5 (2) Mumbai

Disallowance for alleged excess remuneration paid to the Directors - Held that:- Issue before us is covered by a co–ordinate bench of the Tribunal, Mumbai Benches, in assessee’s own case for the assessment year 2008–09 and 2009–10 wherein held the assessee had made excessive payment of remuneration to the Director but same was approved by the central government, as required by the Companies Act.1n these circumstances, we are of the opinion that there was no contravention of the provisions of the.....


213

2015 (7) TMI 867 - ITAT AHMEDABAD - Income Tax

Income-tax Officer, Ward 2 (3) , Bhavnagar Versus National Ginning & Pressing Factory, Bhavnagar

Unaccounted cash purchases - CIT(A) deleted the addition - Held that:- Addition by Assessing Officer has been made on the basis of statement of partner of assessee recorded u/s.133A(1)(iii) of the IT Act, 1961. In statement recorded, no mention has been made about any sales out of unaccounted purchases. Assessing Officer did not make sufficient inquiry to come to the reasonable conclusion that unaccounted purchases of cotton was also sold before the date of survey. In view of above, it was found.....


214

2015 (7) TMI 866 - ITAT HYDERABAD - Income Tax

Smt. N. Dhana Laxmi, L/R of Late N. Prabha Rao, Hyderabad Versus Asst. Commissioner of Income Tax, Circle-6 (1) , Hyderabad

Addition under the head “Income from Other Sources” - amount does not represent the sale consideration of the property sold and consequently, the exemption u/s. 54F of the Act was also denied by AO - Held that:- There is nothing on record to suggest that the appellant was having any other source of income or the appellant is capable of earning that much of money. Having regard to her state of health, age and qualification etc., it is highly improbable that appellant could have earned so much of .....


215

2015 (7) TMI 865 - ITAT HYDERABAD - Income Tax

Kalanikethan Fashions P. Ltd., (Formerly KLN Textiles & Jewels P. Ltd.) , Hyderabad Versus Dy. Commissioner of Incometax, Circle – 2 (2) , Hyderabad

Disallowance of repayment of gold loan to SBI - Held that:- There is no doubt to the fact loan as per the scheme was not in terms of cash but in terms of gold. Therefore, the gold obtained under the loan scheme form part of the stock-in-trade of the erstwhile firm and was converted into ornaments for trading purpose. Therefore, the purpose of loan is for the working capital for conducting business. When assessee took over assets and liabilities of erstwhile firm along with the loan, cost incurre.....


216

2015 (7) TMI 864 - ITAT HYDERABAD - Income Tax

Aquila Software Services Hyderabad Pvt. Ltd. (formerly known as Login Soft India Pvt. Ltd.) , Hyderabad Versus Dy. Commissioner of Income-tax, Circle – 10 (2) , Hyderabad

Disallowance of a part of deduction claimed u/s 10A - main plank of AR’s submission is even assuming that provisions of section 10A(7) are applicable, still AO without satisfying the conditions of section 80IA(1) cannot estimate the profit for computation of deduction u/s 10A - whether disallowance of deduction u/s 10A of the Act by applying the provisions of section 80IA(1) is valid? - Held that:- As relying on AT Kearney India Pvt. Ltd. Vs. Add. CIT [2014 (9) TMI 128 - ITAT DELHI] it is notic.....


217

2015 (7) TMI 863 - ITAT AHMEDABAD - Income Tax

Income-Tax Officer, Ward 3 (4) , Surat Versus Shri Rajpal Singh Shekahawat Prop, of Monu Industrial Security

Unexplained deposit in bank account - CIT(A) after applying the peak credit theory on the bank account restricted this addition - Held that:- CIT(A) has worked out the peak credit in both the accounts. These credits are on 14th July, 2006 in the current account and 27th January, 2007. He worked out the total of the cash deposits and thereafter computed the GP on turnover of cash deposits after 14th July, 2006 in current account and after 27th January, 2007 in savings account. The CIT(A) has work.....


218

2015 (7) TMI 862 - ITAT AHMEDABAD - Income Tax

Asstt. CIT, Circle-9, Surat Versus M/s D & H Enterprises

Addition under section 68 - CIT(A) deleted the addition - Held that:- The assessee has produced copies of income-tax returns as well as PAN of the investors. Therefore, as far as the creditworthiness is concerned there is no dispute. Similarly the amounts have been received through account payee cheques. It is to be assumed that transactions are genuine unless proved otherwise by the AO. The solitary grievance of the AO is that he has tried to serve the notice upon the investors but failed to se.....


219

2015 (7) TMI 861 - ITAT AHMEDABAD - Income Tax

Income Tax Officer, Ward 7 (1) And Others Versus Hitech Export Presently Known As-Hitech Outsourcing Services

Disallowance u/s 43B - late payments of employees’ contribution to the PF fund - Held that:- The issue in dispute is squarely covered against the assessee by the decision of Gujarat Road Transport Corporation reported in [2014 (1) TMI 502 - GUJARAT HIGH COURT] wherein held that employees’ contribution if not paid within the due date provided in the PF and ESI Act then, deduction will not be admissible to the assessee. The view of the ld. Commissioner of Income Tax (Appeals) is in line with the h.....


220

2015 (7) TMI 860 - ITAT DELHI - Income Tax

ACIT, Circle-38 (1) , New Delhi Versus L And T Sucg Joint Venture

Loss under the head other income - CIT(A) allowed relief to assessee - Held that:- Held that:- Considering the finding, in the light of the submissions advanced where admittedly no verification on facts has been done by the Ld. CIT(A) accepting the arguments of the Ld. Sr. DR, we deem it appropriate to restore the issue back to the file of the AO with the direction to verify the claim of the assessee from the vendor balances and bank advances which has not been done by the CIT(A). The AO is dire.....


221

2015 (7) TMI 859 - ITAT BANGALORE - Income Tax

The Deputy Director of Income Tax (E) , Circle 17 (1) , Bangalore Versus Jyothy Charitable Trust

Depreciation claim on on scientific research - whether deduction u/s 35(2)(iv) is allowed in respect of capital expenditure on scientific research, no depreciation is allowable u/s 32 on the same asset? - Held that:- If depreciation is not allowed as a necessary deduction for computing income of charitable institutions, then there is no way to preserve the corpus of the trust for deriving the income as it is nothing but a decrease in the value of property through wear, deterioration, or obsoles.....


222

2015 (7) TMI 858 - MEGHALAYA HIGH COURT - Service Tax

M/s Rani Motors (Authorized Maruti Dealer) Versus The Additional Director, The Directorate General of Central Excise Intelligence, The Commissioner of Central Excise, The Joint Commissioner (Tech) , Office of the Commissioner of Central Excise, The Superintendent, (Service Tax)

Waiver of pre deposit - Penalty u/s 76, 77 & 78 - Bar of limitation - Held that:- Sub-Section (3) of Section 85 of the Finance Act, 1994 provides that an appeal shall be presented within three months from the date of receipt of the decision or order of the Central Excise Officer, relating to service tax, interest or penalty under this Chapter: provided that the Collector of Excise (Appeals) may, if he is satisfied that the appellant was prevented by sufficient cause from presenting the appeal wi.....


223

2015 (7) TMI 857 - BOMBAY HIGH COURT - Service Tax

Riya Travel & Tours (I) Pvt. Ltd. Versus The Commissioner of Service Tax-I

Waiver of pre deposit - Business Auxiliary Service - services rendered to Computerized Reservation System (CRS) companies - Tribunal has found that prima facie the activity is taxable as BAS - Held that:- It may be that the CRS companies receive huge amounts from the airlines so that they access their ticketing systems and to the maximum. Thereafter the system of CRS companies are accessed by these travel agents like the Assessee. The Tribunal will have to ultimately hold that such of the airli.....


224

2015 (7) TMI 856 - BOMBAY HIGH COURT - Service Tax

The Commissioner of Service Tax, Mumbai-I Versus M/s. Shah Coal Pvt. Ltd.

Classification of service - Clearing and forwarding agent service - whether the services were liable to service tax under the provisions of the Act - Held that:- Assessee is engaged in the business of trading in coal, transportation of coal by road and supervision of coal loading. In the order of the Commissioner as also in the Tribunal's order, it is recorded that the appellant entered into a contract with M/s. Ambuja Cement Limited for movement of coal from various collieries to the latter's p.....


225

2015 (7) TMI 855 - CESTAT NEW DELHI - Service Tax

AHLUWALIA CONTRACTS (I) LTD. Versus COMMISSIONER OF C. EXCISE, NOIDA

Disallowance of Composition Scheme for works contract service - benefit of 67% abatement under Notification No. 1/2006-S.T. - Availment of Cenvat credit of input services - whether for ongoing contracts which commenced prior to 1-6-2007 and Service Tax was paid under respective services, Composition Scheme could be availed of with effect from 1-6-2007 classifying the service under works contract service has been decided by Andhra Pradesh High Court in the case of Nagarujuna Construction Ltd. hol.....


226

2015 (7) TMI 854 - CESTAT MUMBAI - Service Tax

COMMISSIONER OF SERVICE TAX, MUMBAI Versus VODAFONE (I) LTD.

Rectification of mistake - Refund claim - Unjust enrichment - Held that:- Tribunal does not appreciate the filing of ROM application at this stage, for meet the ends of justice, we direct the Registry that the ROM application filed on or before 11-11-2014 by the Revenue be listed on top of the Board before the appropriate Bench on 21-11-2014. Further, we direct the concerned Commissioner to file an undertaking before this Tribunal to the effect that in case the Revenue does not succeed in the RO.....


227

2015 (7) TMI 853 - CESTAT BANGALORE - Service Tax

M/s Global Franchise Architects India Pvt Ltd Versus Commissioner of Service Tax, Bangalore

Demand of service tax - Franchisee service - whether franchiser is required to pay service tax on the sale of various proprietary items such as pizza dough as also cheese, etc. when the same are being sold by him to the franchisees - Held that:- sale of material, on which the appellant has also admittedly discharged sales tax, cannot be included in the value of 'Franchise Services'. Accordingly, we dispense with the condition of pre-deposit - stay granted.


228

2015 (7) TMI 852 - CALCUTTA HIGH COURT - Customs

SCHEFIELDS INTERNATIONAL PVT. LTD. Versus UNION OF INDIA

Denial of duty drawback claim - export consignment on which duty drawback was claimed by the petitioner had not been paid for by the foreign buyer - Held that:- once it is inescapable that despite the petitioner’s participation before the revisional authority, no other result could have followed, the complaint of breach of natural justice in declining the adjournment sought is of no merit. - The provision relied on from the Handbook of Procedures does not expressly apply to duty drawback. Indeed.....


229

2015 (7) TMI 851 - CALCUTTA HIGH COURT - Customs

TATA CHEMICALS LTD. Versus UNION OF INDIA

Demand of 1% countervailing duty - Import of muriate of potash - Held that:- Notification No. 12/2012-C.E. dated 17th March, 2012 is quite explicit that the fertilizers imported for the purpose of use in the manufacture of other fertilizers are exempted from countervailing duty. This position is accepted by the department, but it disputes whether the petitioner is utilising such materials for manufacture of fertilizers. - importation of the goods cannot be held up - Respondent-authorities direct.....


230

2015 (7) TMI 850 - CESTAT MUMBAI - Customs

Ruchika International, V.K. Agarwal, S.K. Agarwal, M.K. Agarwal, A.J. Ghode, N.N. Borase, C.S. Bolkute Versus Commissioner of Customs, Pune

Fraudulent claim of undue DEPB benefits - willful mis-statement of FOB value of textile article/fabrics exported - Over Valuation of goods - Penalty imposed on officers for abatement u/s 114 - Held that:- while discarding the value of the goods which have been exported, has relied upon mainly the overseas inquiry conducted, certificate of BTRA and the action of the exporters regarding submitting false BRCs for obtaining DEPB licence, is erroneous for more than one reason - Charts C-1 & C-2 annex.....


231

2015 (7) TMI 849 - CESTAT AHMEDABAD - Customs

M/s. Saarthee Shipping Company Versus Commissioner of Customs, Kandla

Suspension of Customs House Broker License - Regulation 19 (1) of Customs Brokers Licensing Regulation, 2013 - Misdeclaration of goods - Held that:- Offence was committed on 09.01.2014 and the offence report was submitted on 15.10.2014 and the suspension order was issued on the same day under Regulation 19(1) of the said Regulation and also fixed a post decisional hearing on 30.10.2014. But, the Commissioner of Customs had not issued order for continuation of suspension under Regulation 19(2) wi.....


232

2015 (7) TMI 848 - MADRAS HIGH COURT - Income Tax

P. Muthukaruppan Versus The Joint Commissioner of Income Tax, Pondicherry Range, Pondicherry

Penalty u/s 271D and u/s 271E - accepting and repayment of loan in cash in excess of ₹ 20,000/- within the purview of the provisions in section 269SS and section 269T - Held that:- The sworn statement recorded from Mr.A.Kannan, Prop. of M/s Vadamalayan Finance, in response to the summons issued under Section 131 on 21.9.2011 shows that the financier has admittedly lent a huge amount of ₹ 74 lakhs to various parties by cash and he has also admitted that he had lent ₹ 2 lakhs t.....


233

2015 (7) TMI 847 - ITAT DELHI - Income Tax

A.P. Processors, Delhi and others Versus ACIT, Circle-30 (1) New Delhi and others

Trading addition - CIT(a) deleted the addition - Held that:- We find that there was no basis for the AO to adopt a G.P. rate of 15% when the fact remains that in the previous year it was only 12.03% which means that this year the profit rate is in any way is 14.25% which is more than the previous year. Further there was no basis for the AO to estimate the receipt at ₹ 4,12,50,000/- in the absence of any allegation that any receipts have been suppressed or there is any error in the profit .....


234

2015 (7) TMI 846 - ITAT MUMBAI - Income Tax

The Asst. Commissioner of Income Tax And Others Versus M/s SKOL Breweries Ltd (Now known As Sab Miller India Limited) And Others

Disallowance of write off of being forfeiture of surety given by the assessee on behalf of associate concern - CIT(A) allowed claim - Held that:- CIT(A), though, held that the amount in question was earlier given as advance for purchase of machinery but has changed its character to that of guaranty/surety but has not given any finding as to how the amount even given as a guaranty for purchase of machinery would fall in the definition of revenue loss. The Ld. CIT(A) has simply observed that earli.....


235

2015 (7) TMI 845 - ITAT MUMBAI - Income Tax

ACIT - 7 (2) , Mumbai and others Versus M/s. Royal Western India Turf Club Ltd., Mumbai and others

Assessment under section 144A - assessee challenged the orders passed by the AO under section 144 of the Act on the ground that due to personal reasons of the Consultant of the assessee necessary details could not be furnished which resulted in exparte assessment by rejecting retuned loss which is not in accordance with law - Scope of revision u/s 263 - Held that:- The direction given by the Commissioner has to be understood in the context/setting in which such direction is given; in the instant.....


236

2015 (7) TMI 844 - ITAT LUCKNOW - Income Tax

Dy. C.I.T., Sitapur Versus Kisan Sahkari Chini Mill Ltd., Sitapur

Addition on account of press mud - CIT(A) deleted the addition - Held that:- This issue is covered in favour of the assessee by the Tribunal decision in assessee’s own case [2014 (4) TMI 1074 - ITAT LUCKNOW] and for assessment year 2008-09. We decline to interfere in the order of CIT(A) - Decided against revenue

Addition on interest payable on loan from Sugar Development Fund - CIT(A) deleted the addition - Held that:- This amount of addition was worked out by the Assessing Officer on.....


237

2015 (7) TMI 843 - ITAT DELHI - Income Tax

Income Tax Officer TDS Ward 2 (2) , International Taxation, New Delhi Versus M/s Sistema Shyam Tele Services Ltd., New Delhi

TDS liability u/s 195 - whether the payment made by the assessee company for purchase of software amounts to royalty and hence the same subject to TDS? - Held that:- The issue is squarely covered in favour of the assessee by the said decision of Hon’ble jurisdictional High Court in the case of DIT Vs. Ericsson AB (2011 (12) TMI 91 - Delhi High Court ) and DIT Vs. Nokia Network Oy (2012 (9) TMI 409 - DELHI HIGH COURT ). We further held that the CIT(A) was quite correct and justified in holding th.....


238

2015 (7) TMI 842 - ITAT MUMBAI - Income Tax

ITO-7 (2) -2, Mumbai-20 Versus M/s Sadhana Nitro Chem Limited, Mumbai

Eligibility of the EOU unit for claiming deduction u/s 10B - AO denied the claim of deduction mainly on the ground that 10B unit was an expansion of business since it was started in F.Y. 1999-2000 and secondly the expenses of 10B unit were shifted to non 10B unit to show and claim higher profits in 10B unit - CIT(A) allowed claim - Held that:- CIT(A) has rightly held that the unit of the assessee was eligible for claim of 10B deduction as per the CBDT Circular No.1/2005 dated 6th January 2005. T.....


239

2015 (7) TMI 841 - ITAT DELHI - Income Tax

ITO, Ward 46 (4) , New Delhi Versus Shri Sandeep Sharma, New Delhi

Unexplained cash credits in assessee's bank account - addition u/s 68 of the Act, on the ground that the assessee was not able to furnish the explanation regarding the nature and source of cash and other deposits and held the amount as unexplained - CIT(A) deleted the addition - Held that:- CIT(A) after going through the written submissions of the assessee, without seeking a remand report from AO, comes to the conclusion that modus-operandi of the assessee was that first, cash was deposited in .....


240

2015 (7) TMI 840 - ITAT HYDERABAD - Income Tax

Madhucon Sino Hydro JV, Hyderabad Versus The Dy. Commissioner of Income Tax-2, International Taxation, Hyderabad

Validity of re-assessment proceeding - assessee urged that reassessment proceedings were initiated after the expiry of the 4-years from the end of the relevant assessment year without the sanction of the concerned Principal C.I.T. or C.I.T., as the case may be - Held that:- Assessing Officer is not bound to blindly follow the order of Hon’ble Tribunal without applying his mind independently to the facts of the case, as to whether the ingredients that are required to be satisfied before initiatio.....


241

2015 (7) TMI 839 - ITAT HYDERABAD - Income Tax

The Income Tax Officer, Ward-16 (1) , Hyderabad Versus M/s. Leo Township Developers India Pvt. Ltd., Hyderabad

Treating the agreement for sale of land as sales - Whether there is a sale of the lands having regard to the terms of agreement of sale and as well as the method of accounting followed by the Respondent-Assessee Company - CIT exercising the power of revision u/s 263 had set aside the assessment to re-examine afresh whether the transaction of the Agreement of Sale, the Respondent Company had with M/s. Leo Edibles and Fats Limited, it amounted to sale or not and to hold this transaction should be .....


242

2015 (7) TMI 838 - ITAT MUMBAI - Income Tax

SABMiller India Limited, (Formerly SKOL Breweries Limited) Versus Additional Commissioner of Income Tax – Range 8 (3) , Aayakar Bhavan, Mumbai

Disallowance of Club membership fee, which included entrance fees and subscriptions paid for acquiring membership in clubs - A.O. disallowed the above amount on the ground that the admission fee gives benefit of enduring nature and hence the same is capital expense in nature - Held that:- Identical issue was considered by the Co-ordinate bench in the case of Skol Breweries Ltd. vs. ACIT (claimed to be present assessee’s old name) [2013 (1) TMI 623 - ITAT MUMBAI] wherein held that similar disall.....


243

2015 (7) TMI 837 - ITAT MUMBAI - Income Tax

Shri Naresh Saboo Versus ACIT, Central Circle-12, Mumbai

Assessment of long term capital gain as unexplained cash credits u/s 68 - Held that:- Persuing the decision relied upon by the assessee in the case of “Smt.Rooplata Jain vs. ACIT” (2015 (7) TMI 637 - ITAT MUMBAI), wherein, the Tribunal has considered the identical issues of purchase and sale of shares of M/s Robinson Worldwide Trade Ltd and has observed that the evidences furnished by the assessee with regard to the purchase and sale of shares should have been discreetly examined and then a holi.....


244

2015 (7) TMI 836 - ITAT DELHI - Income Tax

INCOME TAX OFFICER, WARD 16 (3) , NEW DELHI Versus M/s TINNA FINEX LTD.

Addition u/s 41(1) - assessee submitted that there was a family settlement between the group members and the assets and liabilities were reallocated - CIT(A) deleted the addition - Held that:- After going through the provisions of section 41(1) of the income tax act, we find that the same are not applicable to the facts of the assessee case. We also find that the AO has made the addition of ₹ 5.64 crore by invoking provision of sec. 41(1) of the income tax without stating how the provisio.....


245

2015 (7) TMI 835 - ITAT CHENNAI - Income Tax

Subbiah Ramanathan, R.M. Janaki Versus The Income Tax Officer Ward I (2) , Trichy

Unexplained cash credit - addition u/s 68 - Held that:- The creditors given loans to the assessees through Demand Draft and the assessees furnished the details of the same alongwith confirmation letter and also explained mode of transaction, which is through banking channel and also repaid the said loan through banking channel. Considering these facts, in our opinion the assessee herein had discharged their onus placed on them. The fact that credit entry shown in the name of a person other than .....


246

2015 (7) TMI 834 - ITAT MUMBAI - Income Tax

M/s Graviss Hospitality Ltd And Others Versus Addl. Commissioner of Income Tax And Others

Disallowance made under section 14A assessee has agitated the action of the Ld. CIT(A) in sustaining the disallowance on account of administrative expenses at the rate of 0.5% of the average value of investment as per Rule 8D(2)(iii) as against the suo-moto disallowance of ₹ 2 lakh offered by the assessee - Held that:- Considering the nature of investments of the assessee during the year under consideration, we do not find any justification on the part of the AO in straightway applying Ru.....


247

2015 (7) TMI 833 - ITAT CHENNAI - Income Tax

Income Tax Officer, Company Ward-II (1) And Others Versus M/s. K-Ites (P) Ltd. And Others

Eligibility of claim under section 10A - AO disallowed assessee's claim since the assessee did not furnish details about new machinery purchased and used in 10A unit. - CIT() allowed claim - Held that:- On going through the order of the Commissioner of Income Tax (Appeals) we find that assessee has purchased machines after approval of STPI. Computers and stentura machines were imported thereafter. The return of income for the assessment year 2001-02 was filed on 28.3.2002 duly accompanied by aud.....


248

2015 (7) TMI 832 - ITAT CHENNAI - Income Tax

The Income Tax Officer, Chennai Versus Mrs. P.A. Sarala

Exemption u/s 54F - Capital gain - joint development agreement - Since the assessees are having multiple flats as their shares from the builder, the Assessing Officer disallowed the claim under Section 54F - whether gain arises for assessment on transfer of the land by all the assessees along with three others - Held that:- The assessees entered into an agreement and handing over the physical possession of the property to builder allowing it to enjoy 60% of the land in lieu of 40% of the constr.....


249

2015 (7) TMI 831 - ITAT MUMBAI - Income Tax

M/s Hexagon Nutrition Pvt. Ltd. Versus Dy. Commissioner of Income Tax, Mumbai

Allocation of expenses of the Non-10A unit to the 10A unit - Minimum Alternate Tax (MAT) on SEZ units - Salary & Bonus Expenses allocated in the ratio of turnover of both the units - Held that:- AO has very scientifically allocated the expenditure of the Non-10A unit to the 10A unit. The assessee had also agreed for allocation of expenditure of Non-10A unit to 10A unit on proportionate basis. The grievance of the assessee that the allocation was on higher side does not seem to be justified. How.....


250

2015 (7) TMI 830 - ITAT DELHI - Income Tax

Shri Rajesh Bhatia, New Delhi Versus DCIT, Central Circle-17, New Delhi

Addition on written back liability - addition of ₹ 6,94,272/- outstanding in the books in the name of Shri Amir Mohammad (wrongly written as Amit Chand in this year) - assessee submitted that there was a typographical mistake in the books of account of the assessee, wherein wrong name was written as Shri Amir Chand whereas the correct name was Shri Amir Mohd which was correctly shown in the details of books of accounts filed before the AO - Held that:- When the assessee has shown this liab.....


251

2015 (7) TMI 829 - ITAT HYDERABAD - Income Tax

M/s Aster Infratek Pvt. Ltd., Hyderabad Versus Dy. Commissioner of Incometax, Circle – 1 (1) , Hyderabad

Disallowance of interest expenditure u/s 14A - Held that:- When assessee was having enough non-interest bearing surplus fund to make the investment and department has failed to establish any nexus between the borrowed funds and investment, presumption would be that assessee has made investment utilizing its own funds. The decisions relied upon by ld. DR would be of no help to department as they are not on the proposition, whether interest expenditure will be disallowable where assessee proves th.....


252

2015 (7) TMI 828 - MADRAS HIGH COURT - Corporate Laws

Hyundai Motor India Limited Versus Competition Commission of India and others

Validity of impugned order - Abuse of dominant position - Practice of anti-competitive activities - Held that:- The duties of the Director General are enumerated in Chapter V of the Competition Act, 2002. Section 41(1) obliges the Director General, to assist the Commission in investigating into any contravention of the provisions of the Act or any Rules or Regulations made thereunder. But, he shall do so only "when so directed by the Commission." But, Sub-Section (2) of Section 41 confers upon t.....


253

2015 (7) TMI 827 - SUPREME COURT - Service Tax

Commissioner of Central Excise, Bhavnagar Versus M/s. Gujarat Maritime Board, Jafrabad

Valuation - wharfage charges - port services - inclusion of the amount of rebate/concession granted in wharfage charges amounting to 80% allowed to the licensee - under-valuation or not - tribunal observed that no service at all was rendered by the Gujarat Maritime Board in relation to any vessel and, therefore, no amount was payable by way of service tax. - Held that:- Though GMB is the owner of the jetty under the said agreement, yet for providing the service of allowing a vessel to berth at t.....


254

2015 (7) TMI 826 - Advance Ruling Authority - Service Tax

In Re : M/s GSPL INDIA TRANSCO LTD AND M/s GSPL INDIA GASNET LTD

CENVAT Credit - Capital goods being immovable property - Revenue contended that the applicants would receive constructed pipeline system which is embedded to the earth and therefore cannot be termed as "goods" for availing Cenvat credit of duty, as they are neither moveable nor marketable - Next issue raised by the Revenue is that the EPC Contractors who received the duty paid pipes and valves (capital goods) for laying the pipeline, were only eligible to take Cenvat Credit on capital goods unde.....


255

2015 (7) TMI 825 - Advance Ruling Authority - Service Tax

In Re : M/s GSPL INDIA TRANSCO LTD AND M/s GSPL INDIA GASNET LTD

Denial of CENVAT Credit - input services - installation and commissioning related services on the input side for bringing into existence a pipeline - Revenue has contended that the services used for erection and commissioning of such plant, do not take part directly in providing output taxable service of transportation of gas and also same cannot be considered to be integrally connected in providing output service in view of restrictive definition of "input service"

Held that:- Applic.....


256

2015 (7) TMI 824 - DELHI HIGH COURT - Service Tax

Commissioner Of Service Tax Versus Japan Airlines International Co. Ltd.

Whether the Custom, Excise and Service Tax Appellate Tribunal (CESTAT) in an appeal under Sub-Section (2) and (2A) of Section 86 of the Finance Act, 1994 read with applicable provisions of the Central Excise Act, 1944, can examine and go into the question of application of mind on merits by the Committee of Chief Commissioners or Commissioners - Held that:- There is no gainsaying that, as in the case, of quasi-judicial function carried out by statutory authorities, even in respect of administrat.....


257

2015 (7) TMI 823 - BOMBAY HIGH COURT - Service Tax

Sai Wardha Power Company Limited, formerly known as Wardha Power Company Limited Versus The Union of India, through its Secretary, Ministry of Finance (Department of Revenue) , The Deputy Commissioner, Customs, Central Excise & Service Tax, The Commissioner of Customs, Central Excise & Service Tax

Benefit of ab initio exemption - SEZ units were exempted from payment of service tax utilized for the authorized operations of the SEZ units - Notification No.12 of 2013 - Held that:- Respondent No.2 was not justified in refusing authorization to the petitioner, in Form A2 for availing ab initio exemption from payment of service tax. On a perusal of the notifications, it is clear that the petitioner had an option to either pay the service tax in advance or not to pay the same, subject to the con.....


258

2015 (7) TMI 822 - ALLAHABAD HIGH COURT - Service Tax

M/s Lalloo Ji And Sons Versus Officer Incharge Magh Mela, Allahabad And Others

Demand of service tax from Officer Incharge of the Magh Mela at Allahabad - Mandap Keeper Service - Held that:- Definition of Mandap Keeper and Mandap makes it apparently clear that the petitioner does not come under this definition clause. The petitioner is a Pandal or Shamiyana contractor providing services in connection with the preparation, arrangement, erection or decoration of a Pandal or Shamiyana. Further, we find, that Mandap keeper is for organization of any social, official or busines.....


259

2015 (7) TMI 821 - KARNATAKA HIGH COURT - Service Tax

M/s. Atharva Associates Versus The Union of India And Others

Demand of service tax - Repair and maintenance service - Held that:- It is not in dispute the 4th respondent has initiated recovery proceedings to recover the amount determined as tax by order dated 22.3.2013. It is also not in dispute that the petitioner availed the statutory remedy of appeal which is pending adjudication and that its application seeking stay of the impugned order has not yet been considered, consequent to which the impugned order is executable. In the given fact situation, whe.....


260

2015 (7) TMI 820 - MADRAS HIGH COURT - Service Tax

STC Technologies Pvt. Ltd. Versus CESTAT Chennai

Waiver of pre deposit - Commercial training or coaching - Computer Training Services - Held that:- Petitioner had deposited ₹ 40,00,000/- as pre-deposit on two dates, namely, ₹ 32,00,000/- on 31/1/2015 and ₹ 8,00,000/- on 13-2-2015, even though the Tribunal had granted only six weeks to comply with the said condition of pre-deposit. Considering the fact that the petitioner was pursuing the matter by way of appeals before us we condone the delay on the part of the petitioner in .....


261

2015 (7) TMI 819 - CESTAT MUMBAI (LB) - Service Tax

Larsen And Toubro Ltd. Versus Commissioner of Service Tax, Mumbai

Invocation of extended period of limitation - Willful suppression of facts - Works contact - lump sum turnkey contract - A lot of emphasis have been given by the senior counsel that the department had knowledge about their activities. - Held that:- So far the first question referred is concerned whether the works contract can be vivisected even prior to 1.6.2007 and the service portion discernible in the contract can be subjected to levy of Service Tax, the same as indicated by the learned thi.....


262

2015 (7) TMI 818 - Advance Ruling Authority - Customs

M/s. Amazon Seller Services Private Limited Versus The Commissioner of Customs Import & Gen.) , New Delhi and Others

Classification of goods - Classification of Kindle device - Notification No. 25/2005-Cus. Dated 01.03.2005 - Classification under entry 8543 70 99 or under entry 8528 59 00 - Held that:-The main entry 8528 is in respect of the monitors, projectors and the television sets that is clearly not the case here. The specific entry relied upon by the Customs is 8521 which pertains to video recording or reproducing apparatus, whether or not incorporating video tuner. This is clearly not applicable for th.....


263

2015 (7) TMI 817 - GUJARAT HIGH COURT - Customs

EXCEL EXPORT Versus UNION OF INDIA & 2

Duty drawback claim - Sections 74 and 75 - Held that:- Circular No.1/2011-Customs dated 4.11.2011 and Circular No.30/2013-Customs dated 5.8.2013 require exporter to execute a bond of an amount equal to the value of goods and furnish appropriate security in order to cover the redemption fine and penalty in case goods are found to be liable to confiscation. We have directed the petitioner to furnish bond of 100% value of the goods. Therefore, our order is in consonance with the Circulars issued by.....


264

2015 (7) TMI 816 - CESTAT BANGALORE - Customs

TRANSOCEAN DISCOVERER 534 LLC Versus C.C.E.,S.T. & CUSTOMS, VISAKHAPATNAM-II

Eligibility of exemption for Marine Gas Oil - exemption under Sl. No. 217 of Notification No. 21/2002-Cus., dated 1-3-2002 - Held that:- There was a specific query from the Custom House asking the Chemical Examiner to state specifically whether the product is MGO or not. Instead of specifically stating whether the product is MGO or not, the Chemical Examiner has chosen to show us that the product is LDO. In the absence of a specific report from the Chemical Examiner that the product is not MGO w.....


265

2015 (7) TMI 815 - CESTAT MUMBAI - Customs

POLYDRUG LABORATORIES PVT. LTD. Versus C.C. (GENERAL) , MUMBAI

Whether amendment by a declaration of intent of claiming VKGUY scheme can be allowed on the free shipping bill under which goods already have been exported - Held that:- Goods were exported during Aug. 2009 and Sep. 2009, whereas all these clarifications and amendments regarding declaration of intent of the export claiming VKGUY scheme was brought to the effect in Sep. 2009 and subsequently Nov. 2009 vide Circular No. 26/2009-Cus., dated 13-9-2009, 36/2010-Cus., dated 23-9-2010, DGFT Policy Circ.....


266

2015 (7) TMI 814 - SUPREME COURT - Allied Laws

M/s Shreenath Corp. & Ors Versus Consumer Education & Research Society & ORS.

Waiverof pre deposit - Complaint u/s 17(1) of Consumer Protection Act, 1986 - Held that:- The second proviso to Section 19 of the Act mandates pre-deposit for consideration of an appeal before the National Commission. It requires 50% of the amount in terms of an order of the State Commission or 35,000/- whichever is less for entertainment of an appeal by the National Commission. Unless the appellant has deposited the predeposit amount, the appeal cannot be entertained by the National Commission......


267

2015 (7) TMI 813 - KERALA HIGH COURT - Income Tax

EQUITY INTELLIGENCE INDIA PVT LTD Versus THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE -1 (1) , ERNAKULAM, KOCHI

Reopening of assessment - ITAT confirming that profit on sale of shares is to be assessed under the head “income business” and not under the head “capital gains” - Held that:- Law mandates that the Assessing Officer should have reason to believe that income chargeable to tax has escaped assessment for any assessment year to invoke the power to re-open assessments under section 147 Admittedly, assessments for the year 2006-07 were completed treating the income in question as capital gains Once th.....


268

2015 (7) TMI 812 - BOMBAY HIGH COURT - Income Tax

Reliance Industries Ltd. Versus Commissioner of Income-tax-Mumbai

Levy of penalty u/s. 221 - failure to pay tax deducted at source within the prescribed time - Whether the interpretation placed by the Tribunal upon Sections 221 and 201 of the Income Tax is correct confirming the levy of penalty upon the appellant to the extent of 5% of the TDS? - Held that:- Section 201(1) of the Act itself provides that where there is failure of an assessee to deduct tax and pay to the revenue, such an assessee is deemed to be in default. The failure to deposit in time is acc.....


269

2015 (7) TMI 811 - BOMBAY HIGH COURT - Income Tax

Betts India Pvt. Ltd. Versus The Deputy Commissioner of Income-Tax, The Commissioner of Income-Tax, Union of India Through The Secretary

Reopening of assessment - Validity of reasons recorded - Held that:- in this case, in fact, the reasons indicate that the basis of the impugned notice is the declaration made by the petitioner in its profit and loss account and its balance sheet read with its notes to the accounts. These clearly show that the petitioner had claimed higher depreciation in view of reestimation of the written down value of its assets over the remaining revised useful life. This information was available with the As.....


270

2015 (7) TMI 810 - KERALA HIGH COURT - Income Tax

SHRI. THOMAS GEORGE MUTHOOT Versus THE COMMISSIONER OF INCOME TAX, KOTTAYAM

Addition invoking Sec.40(a)(ia) - whether Tribunal erred in law in making addition u/s 40(a)(ia) when the payee has included the entire interest paid by the appellant in its total income and filed return of income accordingly? - whether under Section 194A, an individual is excluded from the liability to deduct tax and that therefore, disallowance is without jurisdiction? - Held that:- In the light of the proviso to Section 194A(1), if the appellants are claiming the exemption provided in the Sec.....


271

2015 (7) TMI 809 - KERALA HIGH COURT - Income Tax

Kottinattu Transports Versus Commissioner of Income Tax, Deputy Commissioner of Income Tax

Depreciation allowance at the rate of 30% for the vehicles given on hire denied - Assessing authority limited the depreciation allowance to 15% in respect of the petitioner, only because of the TDS certificate in which the nature of payment was shown as payment to contractor and not as hire charges - Held that:- Merely on the basis of the TDS certificate furnished by M/s KSE Ltd. and the hire charges received per metric tonne, the claim of petitioner should not have been rejected. It is pertinen.....


272

2015 (7) TMI 808 - MADRAS HIGH COURT - Income Tax

Commissioner of Income Tax, Chennai Versus M/s. Orient Express

Entitlement to deduction on profit from sale of DEPB from its total income - whether ITAT erred in allowing the claim without fulfilling the conditions prescribed in the 3rd proviso to Section 80HHC? - Held that:- The Revenue, on the premise that the decision of the Gujarat High Court in the case of Avani Exports & Ors. V. Commissioner of Income Tax & Ors [2012 (7) TMI 190 - GUJARAT HIGH COURT] is pending before the Supreme Court has filed the present Tax Case (Appeals). Now the Supreme Court [2.....


273

2015 (7) TMI 807 - ALLAHABAD HIGH COURT - Income Tax

M/s. Shekhar Resorts Ltd. And 6 Others Versus Union of India And 3 Others

Transferring and centralizing all the cases of the petitioners at Agra - Validity of order under Section 127 transferring the case of petitioners - Held that:- Since four of the petitioners are located in Delhi and three of the petitioners are located in Bulandshahar, it was essential that the assessment proceedings with regard to the search and seizure is centralized, which in the instant case has been done pursuant to the proposal of the Commissioner of Income Tax (Central) Kanpur. We find tha.....


274

2015 (7) TMI 806 - BOMBAY HIGH COURT - Income Tax

The Director of Income Tax. Versus Parmeshwaridevi Gordhandas Garodia Charitable Trust.

Disallowance of depreciation - Assessee claimed to be a charitable trust - ITAT allowed claim - Held that:- Assessee had already claimed capital expenditure on assets as expenses and the claim of depreciation on assets was in addition to the capital expenditure claimed. In doing so, the Assessing Officer is stated to have ignored and not abide by the binding judgment of the Honourable Supreme Court of India in the case of Escorts Limited v/s Union of India [1992 (10) TMI 1 - SUPREME Court ]


275

2015 (7) TMI 805 - Allahabad High Court - Income Tax

M/s Supertech Builders & Promoters Pvt. Ltd Versus Union Of India Thru' Secretary Min. Of Finance & Others

Nature of mandamus declaring Sections 245 D (4A) and 245 HA as inserted by the Finance Act as ultra vires - proceedings before settlement commission - Whether, amendments in Chapter XIX-A of Finance Act, 2007 are ultra vires the constitution? - Held that:- As decided in M/s. Jai Guru Jewelers Vs. Union of India and others [2013 (7) TMI 582 - ALLAHABAD HIGH COURT] where following decision of Star Television News Limited Versus Union of India and others [2009 (8) TMI 86 - BOMBAY HIGH COURT] to hol.....


276

2015 (7) TMI 804 - MADRAS HIGH COURT - Income Tax

The Commissioner of Income Tax Versus M/s. SM Scrap Recycling Pvt. Ltd.

Entitlement for deduction under Section 10-B - ITAT allowing claim even though the assessee did not file the audit report in the prescribed form along with the return of income, as required under that section - Held that:- The issue involved in this appeal is covered by a decision of this Court reported in CIT Vs Print System & Products (2006 (2) TMI 120 - MADRAS High Court) in favour of the assessee wherein held that the filing of the audit report along with the return, as contemplated under se.....


277

2015 (7) TMI 803 - BOMBAY HIGH COURT - Income Tax

Director Income Tax (Exemption) Versus. Sri Shanmukhananda Fine Arts &Sangeetha Sabha

Appeal deserves admission on the following substantial questions of law :

Whether on the facts and in the circumstances of the case and in law, the Hon'ble Tribunal was right in upholding the order of the Ld.CIT (A) that depreciation is allowable on the assets of the trust inspite of cost of which has been fully allowed as application of income in current or past years by relying upon the decision of the Hon'ble Bombay High Court in the case of CIT vs Institute of Banking (2003 (7) TM.....


278

2015 (7) TMI 802 - GUJARAT HIGH COURT - Income Tax

JAYESH VADILAL PAREKH Versus COMMERCIAL TAX OFFICER

Withdrawal of appeal - Held that:- Petitioner has stated at the bar that in view of subsequent development, as such, the cause does not survive, and, therefore, she seeks permission to withdraw the present petition, however, has requested to reserve liberty in favour of the petitioner to file fresh petition in case the cause survive.

Present petition is dismissed as withdrawn with above liberty.


279

2015 (7) TMI 801 - ITAT MUMBAI - Income Tax

M/s. Marks Shipping Pvt. Ltd. Mumbai Versus ACIT –Circle-4 (2) Mumbai

Validity of reopening of assessment - assessee set off unabsorbed depreciation for the AY.1994-95 amounting to ₹ 25.81 crores in the AY.2004-05 - Held that:- There is no doubt the reassessment notice was issued after four years for AY under appeal, that the provisions of proviso to section 147 were applicable to the case,that the AO had not mentioned that the failure of the assessee to disclose the relevant and material facts led to under assessment or escapement of income for the assessme.....


280

2015 (7) TMI 800 - ITAT AHMEDABAD - Income Tax

Arvind Mills Ltd., Ahmedabad and others Versus ACIT Circle-1, Ahmedabad and others

Reopening of assessment - disallowance of deduction u/s.80HHC - Held that:- Respectfully following the ratio laid down in the judgement(s) of the Hon’ble High Court of Gujarat in the case of Rajesh Babubhai Damania vs. ITO reported at (2000 (6) TMI 5 - GUJARAT High Court ) and Ramgosri Constructions (P.)Ltd. vs. ITO, [2008 (11) TMI 73 - MADRAS HIGH COURT ] we proceed to decide that in the original assessment order placed at page Nos.90 to 108 of the paper-book, the AO in para-5 of its order dec.....


281

2015 (7) TMI 799 - ITAT HYDERABAD - Income Tax

Mr. Saral Talwar Hyderabad Versus DCIT, Central Circle-4 Hyderabad

Validity of proceeding initiated under section 153C - Disallowance of 50% out of the expenditure claimed on the commission income - Held that:- When the assessee has furnished the names of the persons to whom payments were made and the payments are through cheques, the details of which were before the A.O., nothing prevented him from making enquiry to ascertain the correctness of assessee’s claim or genuineness of the expenditure. Moreover, when the A.O. accepted 50% of the expenditure claimed, .....


282

2015 (7) TMI 798 - ITAT MUMBAI - Income Tax

ACIT- Range-22 (1) Navi Mumbai and others Versus Smt. Monica B. Shah Mumbai and others

Computation of income from House property - whether on the basis of standard rent / municipal value where as both the properties at Ghatkopar, Mumbai and Deolali, Nasik are not governed by Rent Control Act and no standard rent has been fixed for these properties by any Controller as directed by CIT(A) - Held that:- AO had determined the ALV without any basis.The FAA has given a categorical finding in that regard and has held that no investigation had been done to ascertain the actual fair rent o.....


283

2015 (7) TMI 797 - ITAT DELHI - Income Tax

ACIT, New Delhi Versus M/s Motherson Sumi Infotech & Design Ltd., New Delhi

Transfer pricing adjustment - addition made on the basis of Arm’s Length Price - impugned action of the Ld CIT(A) to exclude M/s Satyam computers Ltd,from the list of comparables selected by the by the TPO,/AO questioned - CIT(A) delted the TPO addition - Held that:- CIT(A) has noted that in the case of Agnity Technologies Private Limited vs. Income Tax Officer, Ward 12(1), New Delhi [2010 (11) TMI 852 - ITAT DELHI] has upheld the decision of the DRP which had excluded M/s. Satyam from the list.....


284

2015 (7) TMI 796 - CESTAT CHENNAI - Service Tax

M/s. URC Construction P. Ltd. Versus CCE, Salem

Waiver of pre deposit - Composite services - Construction service and site formation service - held that:- Adjudicating authority has confirmed service tax demand of ₹ 6,41,198/- under ‘Site formation and clearance, Excavation and Earthmoving and Demolition Services’. It cannot be called as a composite service. Present case it relates to construction of site formation in commercial buildings. Therefore, prima facie, the appellants have not made out a strong case for waiver of predeposit of entire dues - Partial stay granted.


285

2015 (7) TMI 795 - CESTAT AHMEDABAD - Service Tax

Interroll Ics Toll Management Company P. Ltd Versus Commissioner of Central Excise-Ahmedabad-III

Extension of stay order - Power of Tribunal to grant stay beyond 365 days - Held that:- Appeal was not taken for hearing by the Tribunal as there is huge pendency of the appeals. It is noted that lot of appeals have already been listed and therefore it is difficult to take up the appeal hearing at this stage. - extension of stay is granted till the disposal of the appeal. Decision in the case of M/s Haldiram India Pvt.Ltd. & others Vs Commissioner, Central Excise & Service Tax [2014 (10) TMI 724 - CESTAT NEW DELHI (LB)]


286

2015 (7) TMI 794 - CESTAT NEW DELHI - Service Tax

Resonance Eduventures Pvt. Ltd. Versus CCE & ST, Jaipur-I

Waiver of pre deposit - valuation - scholarship - commercial training or coaching service - Held that:- Appellant has paid service tax on the entire amount received for providing commercial training or coaching service. The so-called scholarship was nothing but a fee discount granted to certain students. In other words, it collected discounted fee from certain students and so in relation to those students the gross amount charged for providing commercial training or coaching service was the disc.....


287

2015 (7) TMI 793 - CESTAT MUMBAI - Service Tax

COMMISSIONER OF SERVICE TAX, MUMBAI-I Versus SURE-PREP (INDIA) PVT. LTD.

Denial of refund claim - Accumulation of CENVAT Credit - service tax reregistration was not obtained prior to export - Notification No. [5/2006-C.E. (N.T.)], dated 14-3-2006 - Held that:- As per para 3(b) of the Appendix to the notification, the provider of output services has to submit an application indicating the registered premises from which export services are provided. This is a procedural formality provided in Appendix to the Notification and nowhere in the Notification condition is laid.....


288

2015 (7) TMI 792 - CESTAT BANGALORE - Service Tax

MANGALORE REFINERY & PETROCHEM. LTD. Versus C.C.E. & S.T., MANGALORE

Denial of Cenvat credit - Cable Operator and GTA services - Held that:- As regards Registrar and Transfer Agent Service and Cable Operator Service, the learned counsel submits that in respect of both the services credit is admissible. As regards Registrar Service and Computer Networking Service both are specifically covered in the definition itself. Both the lower authorities have confused the service received relating to Computer Networking Service to be the Cable Operator Service. He draws my .....


289

2015 (7) TMI 791 - CESTAT AHMEDABAD - Service Tax

NEESA LEISURE LTD. Versus COMMISSIONER OF C. EX. & S.T., AHMEDABAD

Validity of summons issued - whether summons issued to the appellant can be treated as an appealable decision or order passed by the adjudicating authority as per provisions of Section 35 of the Central Excise Act, 1944, and whether the summons issued by Superintendent (Prev.) while carrying out an investigation is legal or not - Held that:- Appellant has not appeared for personal hearings on the previous occasions when the case fixed and today also appellant has sought for adjournment. It shows.....


290

2015 (7) TMI 790 - SUPREME COURT - Customs

M/s. HCL Limited Versus Commissioner of Customs, New Delhi

Classification of goods - Whether Risograph is an office machine having duplicating function and thus to be classified under sub-heading 8472.90 of the Customs Tariff Act, 1975 or is it a printing machine to fall under sub-heading 8443.50 - Held that:- The HSN Explanatory Notes makes it amply clear that small printing machines, even if intended for office use and even duplicators using embossed plastic or metal sheet, which can also operate with stencils, and photocopying etc. are specifically e.....


291

2015 (7) TMI 789 - MADRAS HIGH COURT - Customs

M/s Gamesa Wind Turbines Pvt. Ltd. Versus The Deputy Commissioner of Customs Special Valuation Branch (SVB) , O/o Commissioner of Customs (Sea) And Others

Valuation - import of gods from related party - original copy of the agreement is not available - Non acceptance of the certified copy of the document, namely, Technology Transfer Agreement - Held that:- Commissioner of Customs (Appeals) has already come to a definite conclusion against the petitioner that they have not produced the corresponding annexures without which the agreement cannot be said to be complete or implementable. Further more, while dealing with the balance sheet which shows th.....


292

2015 (7) TMI 788 - BOMBAY HIGH COURT - Customs

M/s Sarda Agro Oils Ltd. & Another Versus Union of India & Others

Contempt of court - failure to decide the matter within time directed by the HC - Held that:- When there is Court's order and which directs the Authority like the Commissioner of Customs to decide the case within a particular time frame, then, it is his bounden duty to adhere to it. If there are any difficulties in following and abiding by the schedule prescribed in the Court's order, then, appropriate applications have to be made seeking extension of time and the Court must be appraised of all .....


293

2015 (7) TMI 787 - CESTAT MUMBAI (LB) - Customs

TATA MOTORS LTD. Versus COMMISSIONER OF CUSTOMS (IMPORT) , MUMBAI-I

Benefit of Notification No. 21/2002 - Whether CR/HR coil imported by the appellants is ‘other alloy steel‘ or otherwise - Demand of differential duty - Confiscation of goods - Interest u/s 28AB - Penalty u/s 114A - and 112(a) - Held that:- In order to fall under the category of alloy steel one or more elements is needed in the proportion prescribed vide Chapter Note 1(f) of Chapter 72, in addition to steel which is not complying with definition of steel. Admittedly, one of the elements in the im.....


294

2015 (7) TMI 786 - MADRAS HIGH COURT - Allied Laws

M/s Brakes India Ltd. Versus The Employees Provident Fund Organisation vellore

Proceedings under section 14B of the PF Act - Independent employer - Held that:- A. Govindaraj is a licenced Contractor and he employed about 15 to 20 contract workmen inside the petitioner factory for doing certain civil work. - Earlier, the petitioner Company was not made a party and in their absence, proceedings were initiated against the Contractor and the petitioner Company came to know about the proceedings only when the Contractor contacted for an advance after having suffered to an order.....


295

2015 (7) TMI 785 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax, Delhi-21 Versus Om Prakash Khaitan

Income recognition - whether monies kept invested by the Assessee in the mutual funds in the name of the Assessee had to be treated as income in his hands - Held that:- The issue of lawyers accepting monies from clients on account to defray the expenses and appropriating fees as income only upon completion of a case has been examined in the past and a consistent view has been taken by the ITAT. This has been adverted to in the impugned order of the ITAT. The principles on the basis of which tho.....


296

2015 (7) TMI 784 - DELHI HIGH COURT - Income Tax

CIT Versus Maithon Power Ltd.

Refund of excise duty claimed from DGFT - whether is not income under Section 5 read with Section 28(iii)(b) in the hands of Assessee Company as held by ITAT - Held that:- Character of the receipt of subsidy in the hands of the Assessee under the scheme had to be determined with respect to the purpose for which the subsidy was granted. If the object of the assistance under the subsidy scheme was to “enable the assessee to set up a new unit or to expand the existing unit then the receipt of the s.....


297

2015 (7) TMI 783 - GUJARAT HIGH COURT - Income Tax

COMMISSIONER OF INCOME TAX-II Versus M/s. HIREN ALLUMINIUM LTD

Deduction u/s.80IB - ITAT confirming the order passed by CIT(A) in directing not to exclude the following income, i.e.Interest on delayed payment from debtors,Interest on loan advances to group concerns,Interest on fixed deposits and Income by way of sale of DEPB entitlement from profit of the business for working of deduction u/s.80IB - Held that:- As relying on Nirma Industries Ltd. V/s. Deputy Commissioner of Income-Tax (2006 (2) TMI 92 - GUJARAT High Court) as well as Commissioner of Income-.....


298

2015 (7) TMI 782 - BOMBAY HIGH COURT - Income Tax

M/s. R.W. Promotions P. Ltd, Mumbai Versus Assistant Commissioner Of Income Tax, 9 (3) , Mumbai And Others

Reopening of assessment - disallowance of expenditure incurred for receiving services from M/s Inorbit and M/s Nupur as bogus as evidenced by statement of representatives of M/s Inorbit and M/s Nupur - Held that:- There has been a breach of principles of natural justice in as much as the Assessing Officer has in his order placed reliance upon the statements of representatives of M/s Inorbit and M/s Nupur to come to the conclusion that claim for expenditure made by the appellant is not genuine. T.....


299

2015 (7) TMI 781 - BOMBAY HIGH COURT - Income Tax

The Commissioner of Income Tax-6, Mumbai Versus M/s. Grasim Industries Ltd.

Condonation of delay of 712 days in filing appeal - Held that:- Except listing out the dates indicating the manner in which the file pertaining to filing of the appeal moved from one desk to another, there is no explanation for the delay. In fact, as set out above the impugned order 11 September 2006 was received by the department on 21 September 2006 and it was only on 10 January 2007 that the Assessing Officer forwarded his comments to the office of Commissioner of Income seeking approval for .....


300

2015 (7) TMI 780 - CALCUTTA HIGH COURT - Income Tax

COMMISSIONER OF INCOME TAX, KOLKATA-I Versus THE PEERLESS GENERAL FINANCE & INVESTMENT CO. LTD

AO jurisdiction to exercise the power of rectification u/s 154 - Assessing Officer while passing order under section 143(3) allowed interest upon interest. He, however, sought to recall the order granting interest upon interest by resorting to proceeding under section 154 - Held that:- In any event, the fact that the decision on a question of law on which the judgement is based has been reversed or modified by any subsequent decision of a superior court cannot be a ground for exercise of power u.....


301

2015 (7) TMI 779 - ITAT DELHI - Income Tax

Acit, Circle-47 (1) , New Delhi Versus Sh. Sanjeev Mathur, Gurgaon (Haryana)

Sale of shares - assessee has sold shares purchased in ‘Stock Option Plan’- whether the transaction is to be treated as in the nature of long term capital gain or short term capital gain - Held that:- Assessee has filed his evidences before the revenue authorities for substantiating his claim before them and the revenue authorities has also gave their opinion which remained under appeal before the Tribunal, Hon’ble High Court and the Hon’ble Supreme Court of India. Finally, the Hon’ble Supreme C.....


302

2015 (7) TMI 778 - ITAT CHENNAI - Income Tax

M/s Dishnet Wireless Limited, Chennai Versus The Deputy Commissioner of Income Tax, TDS Circle – 1, Chennai

Non deduction of TDS on Provision for site restoration expenses - Held that:- Assessee had an obligation to incur the expenditure after termination of the lease period. The fact remains that the payment was not made to anyone and it is not credited to the account of any party or individual. The account does not disclose the person to whom the amount is to be paid. The contractor who is supposed to be engaged for dismantling the tower and restore the site in its original position is not identifie.....


303

2015 (7) TMI 777 - ITAT DELHI - Income Tax

Sh. Jai Prakash Garg, Prop. M/s Prakash Trading Company, Muzaffarnagar Versus Income Tax Officer, Ward-1 (2) Muzaffarnagar

Legality of notice issued and order passed u/s 154 - AO disallowed cash purchases made at ₹ 33,70,800/- u/s. 40A(3) of the Act which was added to the income of the assessee vide order dated 17.6.2014 passed u/s. 154 - Held that:- We find considerable cogency in the submissions of the assessee’s counsel that assessment order passed under section 143(3) of the Act after considering the relevant material and after appropriate reasoning hence there is no mistake apparent from record which can .....


304

2015 (7) TMI 776 - ITAT DELHI - Income Tax

Income Tax Officer, Ward-2 (1) , Ghaziabad Versus Shri Vishal Goyal, Ghaziabad

Agreement to sell non materized - Advance received - litigation occurred due to non approval of map by the GDA and assessee has not returned back the amount - Held that:- Whatever amount has been received by the assessee as advance in aforementioned negotiations for sale and if those amounts are not returned back; the cost of property would stand reduced by such amount. In other words, when this sale does not materialize and the amount stands forfeited/not returned; and assessee makes another sa.....


305

2015 (7) TMI 775 - ITAT BANGALORE - Income Tax

M/s ICICI Venture Funds Management Co. Ltd., Bangalore Versus The Deputy Commissioner of Income-tax Large Tax Payers Unit, Bangalore

Disallowance made u/s 14A - Held that:- The assessee was having its own interest free funds which is morethan the investments in question. Further, there was no disallowance on account of interest expenditure u/s 14A for the earlier assessment years. We note that the AO has took the opening balance of investments at 9.30 Crores and closing at 14.85 Crores therefore, keeping in view of the availability of assessee’s own fund we find that the assessee has established the claim that the no borrowed.....


306

2015 (7) TMI 774 - ITAT BANGALORE - Income Tax

M/s Abhilash Garments & Estates Pvt. Ltd, Bangalore Versus The Asst. Commissioner of Income-tax Circle-16 (1) , Bangalore

Non deducting tax at source under section 194C - remuneration for comprehensive composite deal of setting up of windmill - Held that:- As per the definition of work as contained in the Explanation to clause-4(e) to sec.194C the value of the material purchased from such customer is required to be excluded if such value mentioned separately in the invoice. In the case in hand, there is no ambiguity about the fact that a separate consideration and value of the supply of goods/windmill turbine conve.....


307

2015 (7) TMI 773 - ITAT BANGALORE - Income Tax

M/s Assisi Education Trust, Mangalore Versus The Commissioner of Income-tax, Mangalore

Registration u/s 12AA rejected - some of the object of the trust mentioned in sub-clauses-(i),(j),(k),and (l)of clause-4 of the trust deed are not charitable in nature - Held that:- Sec.11(1A) permits the income from voluntary contribution made with a specific direction that this shall form part of corpus. Similarly, sec.12(1) permit any voluntary contribution received by the trust created solely for charitable or religious purpose. Thus, receiving the contribution, donation or gift which is to .....


308

2015 (7) TMI 772 - ITAT BANGALORE - Income Tax

M/s Goldman Sachs Services Pvt. Ltd., Bangalore Versus The Deputy Commissioner of Income-tax, Cirlce-11 (3) , Bangalore

Transfer pricing adjustment -DRP and AO/TPO rejecting the detailed benchmarking analysis conducted by the appellant and embarking on a fresh search for comparables - adopting the financial data for a single year(i.e the financial year 2007-08) of the comparable as against multiple year data considered by the appellant - Held that:- Eclerx Services Ltd - Having regard to the nature of the services provided by the assessee to its group concern in comparison to the nature of services provided by e.....


309

2015 (7) TMI 771 - ITAT LUCKNOW - Income Tax

Shri Rajendra Kumar Chopra, Kanpur Versus A.C.I.T. -V, Kanpur

Addition on account of alleged payment of insurance premium - Held that:- It is the assertion of the assessee that the concerned truck No. UP 78 B 1033 belonged to Shri Rakesh Kumar Chopra, nephew of the assessee and it is also asserted by the assessee before learned CIT(A) that such a fact had been got clarified by the A.O. through enquiries made from the office of R.T.O. This assertion of the assessee could not be controverted by any of the authorities below or by Learned D.R. of the Revenue. .....


310

2015 (7) TMI 770 - ITAT LUCKNOW - Income Tax

JCIT (OSD) /DCIT-VI, Kanpur Versus M/s Super Tannery Ltd.

Disallowance of deduction under section 80 IB - exclusion of "duty drawback" from computation of "eligible profit" - Held that:- As per the judgment of Hon'ble Apex Court in Liberty India (2009 (8) TMI 63 - SUPREME COURT) export incentive in any form is not an income derived from industrial undertaking and these judgments of Hon'ble Apex Court in context of deduction u/s 80HHC cannot help the assessee in a case where the dispute is with regard to allowability of deduction u/s 80IB because the al.....


311

2015 (7) TMI 769 - ITAT LUCKNOW - Income Tax

M/s Super Tannery Ltd. and others Versus Dy. C.I.T. -VI, Kanpur and others

Exemption under section 80IB(10) - whether he "duty drawback" and other investments as received by the appellant form part of the income derived from the industrial undertaking qualifying for exemption under section 80IB(10)? - Held that:- In the appeal of the assessee for assessment year 2009-2010 [2015 (7) TMI 770 - ITAT LUCKNOW] the issue regarding allowability of deduction u/s 80IB out of Duty Drawback has been decided by us against the assessee by following the judgment of Liberty India [20.....


312

2015 (7) TMI 768 - ITAT HYDERABAD - Income Tax

P. Bhagya Lakshmi L/R of Late P. Dilip Kumar, Hyderabad and others Versus DCIT, Central Circle – 6 Hyderabad and others

Disallowance of claim u/s 54F - Held that:- CIT (A) while rejecting assessee’s claim of deduction u/s 54F has relied upon the order passed by him in group cases of Mohd. Aleemunddin and others, which in turn has been set aside by the Coordinate Bench in the order under reference, we consider it appropriate to remit the issue relating to the assessee’s claim of deduction u/s 54F to the file of the AO with similar direction. Facts and issues being materially same in A.Y 2008-09, except for the amo.....


313

2015 (7) TMI 767 - ITAT CHENNAI - Income Tax

Shri N.A. Abuthahir, Chidambaram and others Versus The Joint Commissioner of Income Tax, The Deputy Commissioner of Income Tax, Central Circle II (1) , Chennai

Dismissal of appeal for non-prosecution - whether the assessee cannot be allowed to suffer for the negligence of his counsel? - Held that:- As decided in Rafiq and another Versus Munshilal and another [1981 (4) TMI 255 - SUPREME COURT] innocent party should not suffer for the inaction, deliberate omission, or mis-demeanour of his counsel or when his chosen advocate defaulted. CIT(Appeals) has to dispose the appeals on merit on the basis of the material available on record and that may be produce.....


314

2015 (7) TMI 766 - ITAT MUMBAI - Income Tax

Smt Falguni Sanghavi, Mumbai Versus Asst. Commissioner of Income Tax, Circle –16 (2) , Mumbai

Computation of long-term-capital-gains - contention raised by the Department is that purchase date should be treated from the date of dematerialization i.e. when the shares were entered into D’mat Account - Held that:- Before the CIT(A), the assessee have contended that the shares of M/s. Buniyaad Chemicals Ltd. were transferred in the name of the assessee in April, 2001. This fact is also supported by certificate/letter dated 1st April, 2001 issued by M/s. Buniyaad Chemicals Ltd. through the as.....


315

2015 (7) TMI 765 - ITAT MUMBAI - Income Tax

Income Tax Officer 17 (1) (3) , Mumbai Versus M/s Boon Industries, Mumbai

Validity of re-opening of assessments - additions of Gross Profit made by the AO towards suppressed sales on account of suppression of electricity charges - ITAT deleted the addition - whether the Tribunal has deleted the addition on wrong appreciation of facts and the same has resulted in a mistake apparent from record? - Held that:- The power given to the Tribunal u/s 254(2) can be exercised by the Tribunal, even if the order passed by the Tribunal u/s 254(1) has been challenged u/s 260A of th.....


316

2015 (7) TMI 764 - ITAT DELHI - Income Tax

ACIT, Circle 9 (1) , New Delhi Versus Super Cassettes Industries Ltd., Noida

Reopening of assessment - CIT(A) quashed reopening orders - Held that:- In the reasons, the AO has nowhere mentioned about any kind of failure on the part of AO to disclose fully and truly all material facts. The AO adopted the figure of outstanding loan against the directors from audit report at ₹ 17,76,66,492/-, whereas in the balance-sheet it was ₹ 4,13,61,284/-. The reopening solely on the basis of different figures, appearing in the balance-sheet and in form 3CD in respect of sa.....


317

2015 (7) TMI 763 - ITAT DELHI - Income Tax

DCIT, Circle 30 (1) , New Delhi and others Versus R.P. Electronics, New Delhi and others

Disallowance u/s 14A r.w.r. 8D - CIT(A) restricted the addition to ₹ 1 lakh - Held that:- We are in agreement with the conclusion of the CIT(A) that as per decision of Hon’ble Bombay High Court in the case of Godrej & Boyce Manufacturing Company Ltd. Vs. DCIT (2010 (8) TMI 77 - BOMBAY HIGH COURT) the Rule 8D of the Rules is applicable from A.Y. 2008-09 onwards and the AO was not justified in invoking Rule 8D for making impugned disallowance. We are also in agreement with the conclusion of .....


318

2015 (7) TMI 762 - ITAT BANGALORE - Income Tax

The Income Tax Officer, Ward 1 (3) , Hubli Versus Bhavasar Kshatriya Co-operative Credit Society Ltd.

Entitlement to exemption u/s. 80P(2)(a)(i) - CIT(A) allowed claim holding that the assessee is a co operative society and not a co-operative bank and therefore the provisions of section 80P(4) of the Act are not applicable - Held that:- In the judgment of CIT v. Sri Biluru Gurubasava Pattina Sahakari Sangha Niyamitha Bagalkot [2015 (1) TMI 821 - KARNATAKA HIGH COURT] the Hon’ble jurisdictional High Court took the view that when the status of the assessee is a co-operative society and not a co-op.....


319

2015 (7) TMI 761 - ITAT CHENNAI - Income Tax

The Income Tax Officer, Ward I (2) , Puducherry Versus Shri S. Muthukumarasamy

Disallowance of proportionate interest on the funds diverted for non-business purpose - CIT(Appeals) restricted part disallowance - Held that:- What is to be disallowed is in respect of the expenditure which was not incurred for the purpose of business. If the assessee made advance from the funds available with him, then there is no question of disallowance. The availability of funds to the extent of ₹ 15,27,009/- including the current year’s profit of ₹ 3,85,910/- is not in dispute......


320

2015 (7) TMI 760 - ITAT DELHI - Income Tax

Kashipur Urban Cooperative Bank Ltd. Versus ITO, Kashipur

T.D.S. liability u/s 194A on interest due on Time Deposit received - assessee is a cooperative society - Held that:- ACIT vs Visakhapatnam Cooperative Bank Ltd. (2011 (8) TMI 319 - ITAT VISAKHAPATNAM) has held that the assessee was not obliged to deduct TDS on the interest paid on time deposits u/s 194A of the Act.

Neither sec. 2(19) nor sec. 194A(3) makes any discrimination between the cooperative societies carrying on banking business and other cooperative societies. However, as pe.....


321

2015 (7) TMI 759 - CESTAT NEW DELHI - Service Tax

M/s Aarti Infrastructure and Buildcon Limited Versus CCE & ST, Raipur

Waiver of pre deposit - Construction of commercial complex - whether construction of a complex intended for sale to prospective buyers and where the builder receives any advance, was liable to service tax was the subject matter of regnant litigation - Held that:- Explanation to Section 65(105)(zzzh) is prospective and development/ construction on one’s own property for raising a residential complex even where advances are collected from third party purchasers would not amount to the taxable serv.....


322

2015 (7) TMI 758 - CESTAT NEW DELHI - Service Tax

M/s Gyarsilal Mohanlal Versus CCE & ST, Jaipur

Waiver of pre deposit - construction of complex service - construction of independent residential units for Rajasthan Housing Board and construction of the corporate office of Ajmer Vidyut Vitaran Nigam Limited - Held that:- Prima-facie, construction of a corporate office for Ajmer Vidyut Vitaran Nigam Limited would not amount to rendition of a taxable service in relation to transmission of electricity, even though construction of the corporate office is in respect of a transmission or distribut.....


323

2015 (7) TMI 757 - CESTAT AHMEDABAD - Service Tax

M/s Transpek Silox Industries Ltd Versus Commissioner of Central Excise And Service Tax, Vadodara-I

Demand of service tax - Consulting Engineering services - Payment made for technical know how service - Held that:- customer had certified that the payment was made for the purpose of technical know-how. The Revenue has not disputed the authenticity of the certificate at any point of time. No enquiry was conducted by the Department in respect of this certificate. Hence, there is no reason to dis-believe this certificate. The Tribunal in the case of Indo Nippon Chemicals Co. Ltd Vs CCE Vadodara -.....


324

2015 (7) TMI 756 - CESTAT NEW DELHI - Service Tax

COMMISSIONER OF CENTRAL EXCISE, RAIPUR Versus S.K.S. ISPAT & POWER LTD.

Disallowance of Cenvat credit - Respondent did not clear the goods in terms of the invoice which was later on cancelled - Held that:- there is no one to one relation of input and output to be established to claim Cenvat credit. The moment input reaches the factory and those are used for manufacture, law permits the manufacturer to avail input credit. Therefore, one to one relationship is immaterial to law and disallowance of Cenvat credit of the amount of ₹ 1,07,207/- is uncalled for. Foll.....


325

2015 (7) TMI 755 - CESTAT MUMBAI - Service Tax

PAM PHARMA. & ALLIED MACHINERY CO. P. LTD. Versus C.S.T., MUMBAI

Denial of refund claim - Business Auxiliary Service - reverse charge mechanism - Commissioner (Appeals) who allowed partly the refund claim on the premise that they have made payment twice - On merits, he rejected the claim holding that the service of the appellant does not fall under the Export of Services Rules - Held that:- in case of marketing of product of their foreign counterpart in India but the service of marketing of product a person who is located outside India has consumed the servic.....


326

2015 (7) TMI 754 - CESTAT NEW DELHI - Service Tax

MONTAGE ENTERPRISES PVT. LTD. Versus COMMISSIONER OF C. EX. & S.T., INDORE

Denial of CENVAT Credit - Various services - Services availed should have relevancy thereof to the business of the appellant and the claim falls under Rule 2(l) of Cenvat Credit Rules, 2004. Service Tax paid on courier service availed was as per evidence at page 66 to 69. So also the evidence supported the “cargo handling” services availed by the appellant. Revenue at no point of time has brought out irrelevancy of the claim of the appellant. There was integral relationship of the claim with bus.....


327

2015 (7) TMI 753 - DELHI HIGH COURT - Central Excise

Commissioner of Central Excise, Delhi Versus Brew Force Machine Pvt. Ltd.

Extension of stay order - Power of Tribunal to extend stay beyond the period of 365 days - Held that:- The decision in Pepsi Foods [2015 (5) TMI 655 - DELHI HIGH COURT] was delivered two weeks after the decision of the coordinate Division Bench of this Court in CCE v. Haldiram India Pvt. Ltd. In terms of the judgment in Pepsi Foods the CESTAT would, even in terms of the third proviso to Section 35 C (2A) of the Act, not be denuded of the power to extend the stay beyond 365 days in deserving case.....


328

2015 (7) TMI 752 - PUNJAB AND HARYANA HIGH COURT - Central Excise

GILCO EXPORTS LTD. Versus UNION OF INDIA

Condonation of delay in filing revision application - Applicability of Section 14 of the limitation Act - exclusion of period sped before tribunal - Held that:- Ratio in M/s. Sonia Overseas Pvt. Ltd.’s case (2014 (9) TMI 975 - PUNJAB AND HARYANA HIGH COURT) applies to the present case and, therefore, before dismissing the petition as barred by time, the revisional authority was required to consider the applicability of Section 14 of the Limitation Act and consequently, the period spent before th.....


329

2015 (7) TMI 751 - ANDHRA PRADESH HIGH COURT - Central Excise

Anil Re-Rolling Mills Versus Commissioner of Central Excise, Hyderabad

Validity of order of settlement commission - a plea that the report was not furnished well in advance for perusal was not taken into account - Held that:- Respondent No.2 has processed the application submitted by the petitioner, to a substantial stage. Not only the matter was discussed at length with reference to the relevant material, but also the report was called for, through a Commissioner attached to it. On a perusal of the record before it, as well as the report submitted by the Commissio.....


330

2015 (7) TMI 750 - KARNATAKA HIGH COURT - Customs

M/s Rajesh Exports Ltd. Versus Chairman Central Board of Excise And Customs, Commissioner of Customs New Customs House

Jurisdiction of Court - Court in previous judgment held that This court has no jurisdiction to entertain these appeals - Held that:- The original Article 226 of the Constitution of India came up for consideration before the Supreme Court of India in ELECTION COMMISSION, INDIA vs SAKA VENKATA RAO [1953 (2) TMI 39 - SUPREME COURT]. It was held that the location of the respondent would give territorial jurisdiction to the High Courts under Article 226 of the Constitution of India. The situs of the .....


331

2015 (7) TMI 749 - BOMBAY HIGH COURT - Customs

Bittu Choith Harchandani Versus State of Maharashtra And Others

Validity of detention order - Order under COFEPOSA - Violative of constitution of India - Held that:- The constitutionality of COFEPOSA has been already upheld by a nine Judge Bench of this Court. Its constitutionality is again sought to be assailed by the petitioners in the present matter on the ground that with the change of legal regime by repeal of FERA and enactment of FEMA (the provisions contained in FEMA did not regard its violation a criminal offence) the intent and object behind the en.....


332

2015 (7) TMI 748 - GUJARAT HIGH COURT - Customs

VIJAY SINGH JABBARSINGH GOHIL Versus UNION OF INDIA

Waiver of pre deposit - Evasion of duty - suppression of FOB value - Penalty u/s 114AA - Held that:- Tribunal has committed no error. Firstly, against the total penalty demand of more than ₹ 10 crores, the Tribunal imposed condition of pre-deposit of merely ₹ 10 lacs which comes to just about one per cent of the amount. Secondly, in the earlier case, the penalty imposed was ₹ 25 lacs against which the Tribunal imposed the condition of pre-deposit of ₹ 1 lac. Merely becaus.....


333

2015 (7) TMI 747 - KARNATAKA HIGH COURT - Customs

Commissioner Versus Rajesh Exports Ltd.

Denial of benefit of Notification No. 93/2004-Cus., dated 10-9-2004 - Held that:- Following the decision of Commr. of S.T., Bangalore v. Scott Wilson Kirkpatrick (I) Pvt. Ltd. reported in [2011 (4) TMI 500 - KARNATAKA HIGH COURT], it is held that the issue is of interpretation of notification, therefore is matter should lie before Apex Court - Appeal not maintainable - Decided against Revenue.


334

2015 (7) TMI 746 - DELHI HIGH COURT - Income Tax

PR. Commissioner of Income Tax-3 Versus Fortune Polymers Industries Pvt Ltd

Penalty proceedings under Section 271(1)(c)- ITAT held that the order of the AO does not spell out the reasons for levying of penalty - Held that:- The Court is not inclined to interfere with the impugned order of the ITAT. The fact that the Assessee company was under liquidation at the time the penalty proceedings was initiated, is not in dispute. It is also noted by the ITAT in the impugned order that the Assessee was not undertaking any business from the AY 1997-98 onwards. In the circumstan.....


335

2015 (7) TMI 745 - MADRAS HIGH COURT - Income Tax

Commissioner of Income Tax Versus M/s Sangeeth Textiles Ltd

Entitlement to claim deduction under section 80-IA - AO disallowed the assessees' claim under Section 80IA of the Income Tax Act primarily on the ground that carried forward loss of earlier years should be set off before computing the profit for the current year. - Held that:- All the business undertakings are wind mills and they have claimed the benefit of deduction under Section 80IA of the Income Tax Act for the assessment years in question and for the subsequent years as well. Having exercis.....


336

2015 (7) TMI 744 - BOMBAY HIGH COURT - Income Tax

The Commissioner of Income Tax-13, Mumbai Versus Dushayant Development Corporation

Penalty imposed under Section 271(1)(c) invoking Section 273B - assessee having incorrectly claimed the benefit of Section 80IB(10)- Tribunal canceling the penalty - Held that:- The grievance of the revenue is that the respondent-assessee is not entitled to claim the benefit of Section 80IB(10) of the Act in respect of project Wings A to D. There is no dispute with regard to the same. It is further submitted that the revised return was filed only after the survey was conducted by the revenue. Th.....


337

2015 (7) TMI 743 - GUJARAT HIGH COURT - Income Tax

Principal Commissioner of Income Tax-2 Versus Gujarat Gas Financial Services Limited.

Disallowance u/s 40A(2)(b) r.w. S 40A(2)(a) - Tribunal deleting the addition - Held that:- The respondent company as well as the parent company, both are assessed to income tax at the maximum marginal rate and, therefore it cannot be said that the service charge is paid to the respondent company at a unreasonable rate to evade income tax. Even the learned Counsel Mr. Bhatt for the revenue does not dispute this fact.

We are in agreement with the observations made by the Tribunal as wel.....


338

2015 (7) TMI 742 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax- 8 Versus Sardar Exhibitors Pvt Ltd

Penalty under Section 271(1)(c) - Held that:- The only ground urged before this Court by Ms. Suruchi Aggarwal, learned Senior Standing counsel for the Revenue is that the Assessee had deliberately claimed revenue receipt as capital receipt. Since that question was itself in dispute and put in issue in the assessment proceedings involving the Assessee, the Court finds no error whatsoever in the CIT (A) holding that there was no deliberate concealment of income or misrepresentation of the income a.....


339

2015 (7) TMI 741 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax-09 Versus T.G. Leisure And Resorts Pvt. Ltd.

Disallowance u/s 14A r.w.r. 8D - Held that:- Relying on the decisions in Maxopp Investments Limited v. Commissioner of Income Tax [2011 (11) TMI 267 - Delhi High Court] and Auchtel Products Limited v. ACIT (2012 (5) TMI 108 - ITAT, MUMBAI) the ITAT came to the conclusion that it was incumbent on the AO to have recorded that he is not satisfied with the correctness of the claim of the Assessee in respect of such expenditure which did not part of the income. It was held that in order to disallow t.....


340

2015 (7) TMI 740 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax-III Versus SMCC Construction India Limited

Excessive depreciation for the UPS and Inverters - Held that:- As it is sought to be urged by the Revenue that under Section 32(1) unless the assessee was able to show that the concerned UPS and computer peripherals have been used for more than 180 days in the previous year, it could not have claimed higher rate of depreciation @ 60%. The Court finds that the above ground urged by the Revenue ought to have been based on the factual determination as to whether with reference to the actual dates o.....


341

2015 (7) TMI 739 - ANDHRA PRADESH HIGH COURT - Income Tax

Principal Commissioner of Income Tax-II Versus M/s GK Properties Pvt. Ltd.

Penalty levied under Section 271(1)(c) - assessee made a wrong claim of business profits on purchase and sale of land as adventure and income warranting the said penalty - Held that:- In the facts of the present case and in the light of the guidance as provided by the Supreme Court in the case of Reliance Petro (2010 (3) TMI 80 - SUPREME COURT ), merely because the assessee made a claim which is not acceptable ipso facto cannot be said to have made a wrong claim by furnishing inaccurate particul.....


342

2015 (7) TMI 738 - ITAT CHENNAI - Income Tax

The Income Tax Officer, Ward 1 (4) , Salem Versus M/s. S. 681 Chinnathirupathi PACB Ltd, Salem

Deduction u/s.80P(2)(d) - Whether CIT (Appeals) ought to have considered the fact that deduction u/s.80P(2)(d) is allowable only on net receipts after deducting the expenses from the gross receipts of interest and that the Assessing Officer has rightly disallowed the deduction u/s.80P(2)(d) on prorata basis - Held that:- The argument of the ld. Departmental Representative is misconceived. The Departmental Representative cannot raise the issue what was not considered by the Assessing Officer. The.....


343

2015 (7) TMI 737 - ITAT CHENNAI - Income Tax

Conference Call Services India Pvt. Ltd, Bangalore Versus The Asst. Commissioner of Income Tax, Company Circle I (3) , Chennai

Dis allowances u/s.40(a)(i) and u/s.40(a)(ia) - assessee had incurred operation cost towards connectivity services - Held that:- Taking a consistent view, we are inclined to hold that the assessee is liable to deduct TDS for payment made to foreign service provider. However, if there is short deduction of TDS then the payment cannot be disallowed as short deduction is different from no deduction of TDS. Accordingly, the Assessing Officer is directed to segregate the short deduction and no deduct.....


344

2015 (7) TMI 736 - ITAT CHENNAI - Income Tax

V.R. Venkatachalam, Chennai Versus The Assistant Commissioner of Income Tax, Central Circle I (1) , Chennai

Invoking jurisdiction u/s.263 by the Commissioner of Income Tax directing the Assessing Officer to pass fresh assessment order which was completed u/s.153A r.w.s. 143(3) of the Act - Validity of assessment u/s.153A - Held that:- The original assessment order for the assessment year 2006-2007 was already completed u/s.143(3) of the Act. Hence the assessment u/s.153A to be made on the basis of incriminating material, which means books of account, other documents, found in the course of search but.....


345

2015 (7) TMI 735 - ITAT MUMBAI - Income Tax

The ACIT-15 (1) Mumbai Versus Shri Vikram Vijay Mehta, Mumbai

Addition u/s. 69C - CIT(A) deleted addition - Held that:- It is an undisputed fact that the assessee has filed explanation to each and every entry recorded in the alleged pocket diary. The additions made by the AO are mechanical for example on page-10 of the seized diary marked as A-1, there is no transaction of ₹ 52,000/- on 3.8.2006 or otherwise. Thus the addition made by the AO is without any substance. Further, the allegation of the AO that the payments are without any supporting evide.....


346

2015 (7) TMI 734 - ITAT AHMEDABAD - Income Tax

Vishuprasad S. Agrawal, Dist. Navsari and others Versus ITO, Ward-4 Navsari

Addition u/s 69B unexplained investments - AO disputing and harbouring a belief that the assessees have made investments, over and above, the amount so disclosed in the sale deed is based on the basis of stamp duty valuation which authorizes the valuation authorities to charge stamp duty on registering the transfer of plots - Held that:- Valuation made for the purpose of stamp duty is an estimated opinion. It can be a corroborative evidence for the help of the AO, but, it cannot be conclusive p.....


347

2015 (7) TMI 733 - ITAT AHMEDABAD - Income Tax

Buildquick Infrastructure Pvt Ltd Anand Versus JCIT, Anand Range, Anand and others

Disallowance u/s 40(a)(ia) - assessee made the payment for labour charges without deduction of tax at source u/s 194C - assessee in default - Held that:- The 14 persons supplied the labourers to the assessee issued bills/vouchers in respect of labourers supplied on the basis of man-days and charged separately for skilled labour supply and for un-skilled labour supply. Against those bills, payment is made to those 14 persons from time to time and some payment is outstanding which is shown in the .....


348

2015 (7) TMI 732 - ITAT AHMEDABAD - Income Tax

Asstt. Commissioner of Income-tax, Central Circle-2 (2) , Ahmedabad Versus Late Shri Jasraj Multanmal Jain, through L/h. Shri Dinesh Jasraj Jain Ahmedabad

Addition u/s 69B - unaccounted investment of ₹ 57,85,000/- in purchase of a land measuring 5160 meter situated at survey no. 731 Makarba - CIT(A) deleted the addition - Held that:- The basis condition for applying under section 69B is that it should be found that the assessee has made investment or the assessee found to be owner of the money, bullion and jewellery. In the present case, assessee was found to have made investment for purchase of plots. The next question is whether the assess.....


349

2015 (7) TMI 731 - ITAT AHMEDABAD - Income Tax

ITO, Ward-9 (4) Surat Versus Shri Yunus Haji Ibrahim Fazalwala Prop: M/s. Ladly Prints Surat

Addition on account of bogus purchases - assessee disallowed 25% of the purchase price - CIT(A) deleted the addition - Held that:- The assessee miserably failed in this year to establish a reconciliation between the payments made by him towards purchases vis-à-vis the ultimate recipient of the amounts being his vendor. As far as the Asstt.Year 2001-02 is concerned, we find that in that year purchases were made from four parties. The assessee has demonstrated that the payments have been received .....


350

2015 (7) TMI 730 - ITAT AHMEDABAD - Income Tax

ITO, Ward 7 (2) Ahmedabad Versus Smt. Satyabhama A. Chiripal Ahmedabad and others

Addition on account of low GP, after rejecting books of accounts - CIT(A) deleted the addition - Held that:- The Assessing Officer, while rejecting the books accounts, has not pointed out that the books of accounts of the assessee is incorrect or incomplete. Similarly, he has no where stated that the assessee did not follow the method of accounting provided u/s 145(1) or accounting standards as prescribed u/s 145(2). Therefore, in our opinion, no adequate reasons have been given by the Assessing.....


351

2015 (7) TMI 729 - ITAT AHMEDABAD - Income Tax

Zen Tobacco Pvt. Ltd. Ahmedabad Versus The Asst. Commissioner of Income Tax Circle-8 Ahmedabad

Rejection of application u/s.154 - whether the mistake on the part of the AO in the return so filed can be rectified by invoking the provisions of section 154 of the Act? - Held that:- As per Section 139(1) of the Act, return is required to be filed by every person, (a) being a company (or a firm) or; (b) being a person other than a company (or a firm), if his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year exceede.....


352

2015 (7) TMI 728 - ITAT DELHI - Income Tax

Asstt. Commissioner of Income Tax, Circle-16 (1) , New Delhi and others Versus M/s The andicraft & Handloom Export Corporation of India Ltd., New Delhi and others

Addition of expenses as penal in nature - forfeiture of the Bank Guarantee - CIT(A) deleted the addition - Held that:- In the present case, it appears that the AO himself in his remand report accepted on the basis of evidence furnished by the assessee that the forfeiture of the Bank Guarantee was a sort of compensation for nonfulfillment/ shortfall of certain conditions in export obligations. Therefore, it was related to the business activities of the assessee and was revenue in nature. In that .....


353

2015 (7) TMI 727 - ITAT HYDERABAD - Income Tax

Asst. Commissioner of Incometax, Circle 14 (1) , Hyderabad Versus M/s. Bharti Airtel Limited, Hyderabad

Liability to deduct tax at source from the payment of such commission under S.194H - assessee in default under S.201(1)/201(1A) - CIT(A) directed the Assessing Officer to examine whether the taxes were already paid by the deductees i.e. distributors and give credit for the same. and also to charge interest under S.201(1A) from the date on which the tax was payable to the date on which the tax was actually paid by the deductees - Held that:- Although the first proviso to S.201(1) has been inser.....


354

2015 (7) TMI 726 - ITAT HYDERABAD - Income Tax

Asst. Commissioner of Incometax, Circle – 2 (1) , Hyderabad Versus M/s Jahnavi Infrastructure Pvt. Ltd., Hyderabad

Undisclosed income of assessee - CIT(A) deleted the addition - Held that:- Assessee has shown ₹ 3,00,000 as the amount received when sale took place and balance ₹ 3,00,000 as development charges. Therefore, in our view, in case of each of the transaction, an exercise has to be undertaken to find out not only the fact whether they appear in the accounts of assessee but also whether there is any variation between the amounts received as per list submitted by assessee and the loose shee.....


355

2015 (7) TMI 725 - ITAT MUMBAI - Income Tax

Deloitte Consulting India Pvt. Ltd., Mumbai Versus The Income Tax Officer, Ward 2 (2) (3) , Mumbai

Computation of deduction u/s 10A - Held that:- In the instant case the assessee has not generated any foreign exchange out of the suo-motu disallowance made by it. In fact, the assessee has actually spent money on reimbursements and hence there is no question of generating any income out of suo-motu disallowance of the expenditure incurred. Hence, in the absence of any income, it would not be possible to say that the suo-motu disallowance of any expenditure (which has already resulted in out go .....


356

2015 (7) TMI 724 - ITAT AHMEDABAD - Income Tax

Associated Dyestuff Pvt. Ltd., Ahmedabad Versus The ACIT Circle-1 Ahmedabad

Eligibility for deduction under s.80HHC - CIT(A) confirming the order of the AO holding that the deduction under s.80HHC was to be computed at NIL - Held that:- In view of the judgement of Avani Exports [2015 (4) TMI 193 - SUPREME COURT ] has categorically ruled that having seen the twin conditions and since 80HHC benefit is not available after 1.4.05, the cases of exporters having a turnover below and those above 10 crores should be treated similarly, we are of the considered view that the ld.....


357

2015 (7) TMI 723 - ITAT CHENNAI - Income Tax

The Assistant Commissioner of Income Tax, Central Circle I (5) Chennai Versus Ms. S. Sujatha, Chennai

Addition towards unexplained bank deposits - Penalty proceedings u/s.271(1)(c) - CIT(A) deleted penalty levy - Held that:- If any amount is deposited in bank account of the assessee, the assessee has to explain the source from which it was deposited. In the present case, the assessee is not able to explain the deposits. According to the assessee, the assessee is not educated and return subsequent to the search was filed by a Chartered Accountant who obviously has not made out a proper disclosur.....


358

2015 (7) TMI 722 - ITAT AHMEDABAD - Income Tax

THE ITO, Ward-8 (4) Ahmedabad Versus M/s. Vasupujya Arcade Pvt. Ltd., Ahmedabad

Net profit determination - AO has applied 15% of the contract receipts - ld.CIT(A) has restricted the same to 8% - Held that:- The appellant has purchased land during the year and has shown work in progress of ₹ 9,42,319/-. The cost of the land has been shown to be ₹ 98,96,100/-. Since the appellant is constructing the building to its share holders cum members, the profit element on account of land will not be there. However, there would be a profit element in the construction work.....


359

2015 (7) TMI 721 - GUJRAT HIGH COURT - Income Tax

ACIT, BHARUCH CIRCLE Versus CHETAN COACH BUILDERSPVT. LTD

Disallowance u/s.43B(b) on account of late payment made to PF & ESI beyound due date - Held that:- Considering the fact that it was the case of employees contribution which was not deposited within the prescribed period under the PF Act and ESI Act, the said question / issue is to be held in favour of revenue and against the assessee in view of the decision of this Court in COMMISSIONER OF INCOME TAX II Versus GUJARAT STATE ROAD TRANSPORT CORPORATION [2014 (1) TMI 502 - GUJARAT HIGH COURT] where.....


360

2015 (7) TMI 720 - DELHI HIGH COURT - Central Excise

Commissioner of Central Excise, Delhi Versus Haldiram India Pvt. Ltd.

Extension of stay order - Power of tribunal to extend stay beyond the period of 365 days - Held that:- Tribunal is bound by the provision and that the power to extend such interim orders is dependent on the exercise of discretion by the High Court under Article 226 of the Constitution. In these circumstances, the impugned order cannot be sustained - Decision in the case of CIT v. Maruti Suzuki (India) Ltd. [2014 (2) TMI 1037 - DELHI HIGH COURT] followed - Decided in favour of Revenue.


361

2015 (7) TMI 719 - ITAT PANAJI - Income Tax

Belgaum District Central Cooperative Bank Ltd. Versus ITO, TDS Ward, Belgaum

Denial of exemption from sec. 194A in respect of payments of interest to Members - assessee is a cooperative bank engaged in the business of banking - Held that:- Considering all the facts in totality in the light of the memorandum explaining the provisions in the Finance Bill 2015 and the clarification by the Board that the Circular has not been withdrawn, makes it ample clear that the impugned provisions relating to the liability of TDS would come with effect from 01/06/2015, we, therefore, se.....


362

2015 (7) TMI 718 - ITAT AHMEDABAD - Income Tax

ACIT, Central Circle-2, Baroda Versus M/s. Sagar Developers

Reopening of assessment - Unexplained source of cash receipts - Held that:- In the instant case, it is not in dispute that the assessee filed his objections against the issuance of notice u/s 148 of the Act vide his letter dated 11.11.2009 which was received by the office of the Assessing Officer on 16.11.2009. Thereafter, the Assessing Officer passed the impugned re-assessment order on 20.11.2009, disposing off the objections to re-assessment proceedings of the assessee in the order itself. Thu.....


363

2015 (7) TMI 717 - ITAT AHMEDABAD - Income Tax

Ameen Silk Mills Pvt Ltd. Versus DCIT Circle-1, Surat

Disallowance of bad debts claimed - Held that:- Hon’ble Supreme Court has held in the case of T.R.F. Ltd. Vs. Commissioner of Income Tax [2010 (2) TMI 211 - SUPREME COURT] that in order to obtain a deduction in relation to bad debt it is not necessary for the assessee to establish that the debt, in fact, has become irrecoverable. It is enough if the debt is written off as irrecoverable in the accounts of the assessee. In the present case, the assessee has written off as irrecoverable bad debt in.....


364

2015 (7) TMI 716 - CESTAT AHMEDABAD - Service Tax

M/s Radhe Residency Versus Commissioner of Central Excise And Service Tax, Surat

Penalty u/s 78 - whether penalty under Section 78 of the Finance Act, 1994 is required to be imposed upon the appellant who has paid the entire differential service tax liability before the same was detected by Revenue - Held that:- Differential service tax amount was paid by the appellant before the date of visit of the audit officers. Only the interest amount was not paid by the appellant, which also was paid by the appellant before issue of snow cause notice - premises of the appellant in tha.....


365

2015 (7) TMI 715 - CESTAT KOLKATA - Service Tax

Bharat Heavy Electricals Ltd. Versus Commr. of Service Tax, Kolkata

Waiver of pre deposit - Works Contract service - utilization of CENVAT Credit - Held that:- Commissioner has confirmed the demand on the ground that the appellant could not place before him necessary evidence to establish that the accepted tax liability has been discharged. The appellant, on the other hand, before this forum for the first time, produced certain documents/evidences including payment by utilizing CENVAT Credit, in support of their claim of discharge of the entire service tax liabi.....


366

2015 (7) TMI 714 - CESTAT NEW DELHI - Service Tax

M/s Steel Strips Wheels Ltd. Versus C.C.E., Chandigarh

Denial of CENVAT Credit - whether the credit of service tax paid on the service of the Private Placement of Shares is admissible as input service credit as per the Cenvat Credit Rules - Held that:- It is the case of the appellant, that they raised capital by private placement of Shares, for the purpose of implementing a new project, the Automotive Wheel Line Project in their factory. The contention of the revenue that such financial services rendered to the appellant for the purpose of raising .....


367

2015 (7) TMI 713 - CESTAT NEW DELHI - Service Tax

IFB INDUSTRIES LTD. Versus COMMISSIONER OF C. EX., CHANDIGARH

Availability of Cenvat credit of Service Tax - various services used for providing the sale of their final product - Held that:- Appeal can be disposed of on the point of limitation itself inasmuch as the show cause notice was issued on 9-5-2007 for the period December, 2003 to March, 2006. Considering the fact that Additional Commissioner has himself interpreted the provisions of Rule 6(3)(c), in favour of the assessee is indicative of the fact that said provisions are capable of two interpreta.....


368

2015 (7) TMI 712 - CESTAT NEW DELHI - Service Tax

MODERN INSULATORS LTD. Versus COMMISSIONER OF C. EX., JAIPUR-II

CENVAT Credit - input service - transit insurance - whether the insurance premium has relevancy to the risk covering the goods. - Held that:- it is the coverage of risk and that is attributable to goods in transit is in question. But not the Service Tax paid on transport delivering goods at buyer’s doorstep. While the goods are in transit, the risk cover is made by insurance. Transport service and insurance on goods being distinct, the claim of Cenvat credit is also distinct. - Decided in favour of assessee.


369

2015 (7) TMI 711 - CESTAT NEW DELHI - Service Tax

DESIGNING CELL Versus COMMISSIONER OF CENTRAL EXCISE, BHOPAL

Demand of service tax - Architecture service - Bar of limitation - whether the appellant has provided any architect services, to its clients, so as to make him liable to pay the Service Tax - Held that:- Admittedly the appellant is neither an architect nor is he registered under the Architects Act. This fact also stands admitted by Commissioner (Appeals) - original adjudicating authority has observed that all evidences produced by the noticee reveal that Shri Ashish Bhattacharya did not have pro.....


370

2015 (7) TMI 710 - ALLAHABAD HIGH COURT - Central Excise

C.C.E. Versus M/s D.J. Sansthan

Classification of goods - Classification as shampoo or ayurvedic liquid soap - Deliberate suppression of production and clearance of excisable goods - evasion of central excise duty - held that:- Bare perusal of Section 11A(1) of the Act clearly shows that the extended period of limitation of five years may be invoked, if the central excise duty has not been levied or has not been paid or short levied or short paid or erroneously refunded by reason of fraud or collusion or any wilful mis-stateme.....


371

2015 (7) TMI 709 - ALLAHABAD HIGH COURT - Central Excise

M/s. Rotomac Global Pvt. Ltd. Versus Commissioner, Central Excise Kanpur

Denial of refund claim - Bar of limitation - Date of receipt of order - Held that:- Order in original was served upon an employee of the appellant on 26th June, 2013 under Section 35-O of the Central Excise Act provides the proceeding for computing the period of limitation prescribed for an appeal and stipulates that the day on which the order was served has to be excluded. Therefore, while counting 60 days, 26th June, 2013 has to be excluded while counting the period of limitation. - appeal was.....


372

2015 (7) TMI 708 - ALLAHABAD HIGH COURT - Central Excise

Commissioner of Central Excise Customs Versus M/s. Kailash Electricals

Extension stay order - Non disposal of appeal - Additional Benches of the tribunal are not being created - Held that:- The fact remains that there are a large number of appeals, which are pending before the Tribunal, which are not being disposed of on account of various reasons. Huge monies is involved. Assessees have been made liable to pay huge sum of money. Wherever a case is made out, the Tribunal passes an interim order and extension of the interim order becomes a necessity when the appeal.....


373

2015 (7) TMI 707 - ALLAHABAD HIGH COURT - Central Excise

COMMISSIONER OF C. EX., LUCKNOW Versus STAR STEELS

Confiscation of goods - Penalty under Rule 25 of the Central Excise Rules, 2002 - Held that:- The basic finding of the Commissioner (Appeals) was that the quantum of approximately 581 MT had not been physically weighed and could not have been weighed within six hours. Hence, the conclusion that there was an excess stock, was incorrect since the verification itself suffered from infirmities. On the second aspect, it has been found that a mere suspicion cannot take the place of proof of an intent .....


374

2015 (7) TMI 706 - RAJASTHAN HIGH COURT - Central Excise

RANJAN POLYESTERS LTD. Versus UNION OF INDIA

Recalling of order - Cenvat Credit taken twice - CENVAT on yarn was allowed only from 1.4.2003 - whether the Tribunal was right in rejecting the application preferred by the appellant for recalling the order dated 26-6-2013 without examining sufficiency of the cause extended for non appearance of its counsel - Held that:- From perusal of the averments contained in the application for recalling the order dated 26-6-2013, it appears that the representative of the appellant company failed to attend.....


375

2015 (7) TMI 705 - PUNJAB AND HARYANA HIGH COURT - Central Excise

UNITED BREWERIES LTD. Versus COMMR. OF C. EX., LUDHIANA

Marketability of carbon dioxide - Commissioner held gas not marketable as that was not being capable of bought and sold - Held that:- Large number of adjournments had already been granted. It is not denied that counsel for the appellant did not put in appearance on 9-5-2013. The Tribunal, therefore, decided the appeal, on merits, after hearing counsel for the department, reversed the order passed by the Commissioner (Appeals), in favour of the appellant and restored the order passed by the adjud.....


376

2015 (7) TMI 704 - MADRAS HIGH COURT - Customs

East Coast Hospital Versus Assistant Commissioner

Duty demand - Non issue of Form 2B - Held that:- Considering the comprehensive application filed, and to include the liability raised by Customs (Seaport) and Customs (Air) and in view of the order of this Court passed in previous case, learned counsel for the assessee submits that on receipt of Form 2B, the assessee will comply with the requirements as contained in the said certificate within the statutory period. - order passed by the Customs, Excise and Service Tax Appellate Tribunal does not.....


377

2015 (7) TMI 703 - COMPANY LAW BOARD NEW DELHI - Corporate Laws

Mr. Anand Achyutrao Kulkarni and Others Versus M/s Shivsagar Sugar & Agro Products Ltd. and Another

Charges of oppression and mismanagement - Section 397-398 read with Sections 402 to 408 of the Companies Act, 1956 - Application for impleadment - Held that:- it is thus clear that the CLB is competent to implead a party as a Respondent in a petition filed under Section 397/398 of the Act, if it is satisfied that there is a sufficient cause for doing so. This provision, in my opinion, is akin to the provisions contained in Order I Rule 10(2) of the C.P.C.

It is well settled propositio.....


378

2015 (7) TMI 702 - SECURITIES APPELLATE TRIBUNAL MUMBAI - Corporate Laws

Factorial Master Fund Versus Securities and Exchange Board of India, Mumbai

Request for Interim order / relief - SEBI order to restrain from dealing in securities in the Indian Securities Market (including through Offshore Derivative Instruments) - To restrain from accessing the Indian Securities market directly or indirectly - As SEBI needs off shore assistance, needs 4 to 5 months for completing the investigation - Held that:- There can be no dispute that the appellant has suffered serious prejudice on account of restraint order which is operation for nearly one year......


379

2015 (7) TMI 701 - DELHI HIGH COURT - FEMA

VIPIN GUPTA & PREMWATI Versus DIRECTOR OF ENFORCEMENT, ENFORCEMENT DIRECTORATE

Imposition of penalty - Failure to furnish evidentiary proof of imports regarding foreign exchange in respect of nine remittances in contravention of Sections 8 (3) and 8 (4) of Foreign Exchange Regulation Act, 1973 - Held that:- Documents were in respect of imports that took place pursuant to the remittances made in the years 1994 to 1999. The Customs authorities had in 1995 seized some of the files in respect of imports that had taken place in 1994. The SCN was issued only in May 2002. The .....


380

2015 (7) TMI 700 - ITAT PUNE - Income Tax

Income Tax Officer, Ward – 1 (1) , Jalgaon and others Versus Shri Bhaurao Gambhir Patil, Prop. of Shri Samarth Tours & Travels and others

Disallowance u/s 40(a)(ia) - Non deduction of TDS - payments made by assessee to third parties for supply of vehicles the assessees - Commissioner of Income Tax (Appeals) after holding that the assessees are contractors for supplying vehicles to the contractee companies has held that the assessees entered into sub-contract with third parties/owner of vehicles for supply of vehicles on behalf of the assessees to contractee companies. However, in coming to such a conclusion no document has been br.....


381

2015 (7) TMI 699 - ITAT CHENNAI - Income Tax

The Deputy Commissioner of Income-Tax Versus Smt A.H. Shakeetha And Others

Payment of ₹ 1 crore to the earlier agreement holders - Whether the payment of ₹ 1 crore paid by the assessee is neither towards expenditure nor development of the property, therefore, it cannot be deductible while computing capital gain u/s 48 of the Act? - Held that:- This Tribunal is of the considered opinion that in the absence of any material with regard to preparation of plan and other development as claimed by the assessee, we may not be able to say that the assessee has incu.....


382

2015 (7) TMI 698 - ITAT PUNE - Income Tax

V.V. Constructions And Others Versus ACIT Circle-8, Pune And Others

Rejection of books of accounts - adoption of GP rate of 20% - Since the assessee has already offered GP rate of 13.60% during the year under consideration the balance 6.4% on turnover of which comes to ₹ 55,08,898/- was treated by him as suppressed profit of the impugned assessment year - Held that:- From the comparison of the profit and loss account for A.Y. 2008-09 and A.Y. 2009-10, we find the material consumption was 36.79% during the current year as against 28.89% in the preceding ye.....


383

2015 (7) TMI 697 - ITAT KOLKATA - Income Tax

Assistant Commissioner of Income-Tax, Circle-10, Kolkata Versus South Suburban Clinic Pvt. Ltd.

Monetary limit to prefer an appeal - Whether, this appeal of revenue, which is below the prescribed limit of tax effect in view of the Board’s Instruction No.5/2014 issued on 10.07.2014 revising the monetary limits for filing of appeals by the Department before ITAT is maintainable or not? - Held that:- On query from the Bench, the Ld. DR could not point out any of the exceptions as provided in the Circular as that this is a loss case having tax effect more than the prescribed limit, which shoul.....


384

2015 (7) TMI 696 - ALLAHABAD HIGH COURT - Income Tax

Rich Udyog Network Ltd. Versus Chief Commissioner of Income Tax And Others

Conversion of survey under Section 133A into a search under Section 132 - Held that:- The contention that the mere fact that cash was found could have been utilized in assessment proceedings and that the same cannot be a ground to convert the survey into a search operation under Section 132 of the Act cannot be accepted. We find that the petitioner's had not brought on record the statement of the Director, who was examined during the course of search but upon perusal of the original record, we f.....


385

2015 (7) TMI 695 - PUNJAB & HARYANA HIGH COURT - Income Tax

MDN Education Society Versus Union of India And Others

Exemption under Section 10(23C) denied - Held that:- The matter is squarely covered against the Revenue. There is no denying the fact that exemption had already been granted to the petitioner earlier, vide order dated 26.03.2008, for a period of 3 years till the year 2009-10. The application was made on 29.03.2010, for continuation and in pursuance of the same, a show cause notice was issued to the applicant on 13.01.2011 to substantiate its claim. In view of the circular No.7 dated 27.10.2010 (.....


386

2015 (7) TMI 694 - GUJARAT HIGH COURT - Income Tax

Krishnamegh Yarn Industries Versus Asstt. Commissioner of Income Tax

Stock of raw material disclosed at the time of survey - Whether can be added both u/s 69B as well as 69C of the Act? - Held that:- It is an undisputed fact that during scrutiny, the assessee himself has disclosed the fact that in his books of account, he had shown less stock to the tune of ₹ 10,06,987/-. It is also an admitted fact that when the physical stock was examined by the authority, the value of the said stock was ₹ 13,33,485/-, however, as per the books of account, the valu.....


387

2015 (7) TMI 693 - KARNATAKA HIGH COURT - Income Tax

M/s Lakshmi Enterprises Versus The Income Tax Officer, Ward-I, Chamarajanagar

Expenditure towards “granite raising expenses” disallowed - Held that:- The Tribunal has rightly held that when an assessee claims expenditure for business purpose, the onus is on the assessee to prove and it has also found that on facts, assessee had failed to establish this fact. At this juncture itself, it would be appropriate to deal with the contention raised by the learned counsel namely, the assessing Officer not affording opportunity to the assessee to cross examine Sri Nagendra. Records.....


388

2015 (7) TMI 692 - KARNATAKA HIGH COURT - Income Tax

Smt. Saira Banu Versus The Assistant Commissioner of Income Tax, Circle-7 (1) , Kendriya Sadan

Applicability of section 40A(3) - amount paid in cash by the appellant for purchase of property - Whether the Tribunal justified in holding that the amounts paid towards the acquisition of capital asset and later converted into stock-in-trade would attract the provisions of Section 40A(3)? - Held that:- If the authorities below were to treat the transaction of purchase of land as a stock-in-trade (business purpose) and not as a capital asset, then they ought to have given sufficient opportunity .....


389

2015 (7) TMI 691 - GUJARAT HIGH COURT - Income Tax

COMMISSIONER OF INCOME TAX -II Versus SHILPA DYEING & PRINTING MILLS PVT LTD.

Set off of business loss - ITAT treating income of ₹ 1,00,98,672/- as income falling under the head 'income from other sources' and not treating as 'deemed income' as provided under the scheme of Section 69 of the Act? - Whether ITAT is justified in deleting an addition of ₹ 1,00,98,672/- by treating the same as business income and thus allowing set off of business loss? - Held that:- Section 71 of the Act permits an assessee to set off loss other than that of capital gains against i.....


390

2015 (7) TMI 690 - DELHI HIGH COURT - Income Tax

Hcl Technologies Limited Versus Deputy Commissioner Of Income Tax & Anr

Reopening of assessment - disallowance of Software Licence Fee in part - Held that:- In the facts of the present case, we find that the petitioner had clearly claimed Software Licence Fee of ₹ 31.69 crores as revenue expenditure. That had been disallowed in part and an amount of ₹ 25.36 crores was capitalized and depreciation was allowed at the rate of 60%. The assessment was done under Section 143 (3) read with Section 144C (13) of the said Act. The draft assessment order had made .....


391

2015 (7) TMI 689 - KARNATAKA HIGH COURT - Income Tax

Commissioner of Income-tax, Bangalore Versus Panchajanya Chits (P.) Ltd.

Liability for deduction of TDS under the provisions of Section 194A - whether the chit dividend paid by the assessee to its customer, would not amount to interest as defined under the provisions of Section 2(28A)? - Appellate Authorities deleted TDS liability - Held that:- The Division Bench of the Delhi High Court had an occasion to consider the said issue in the case of CIT v. Sahib Chits (Delhi) (P.). Ltd. [2009 (7) TMI 75 - DELHI HIGH COURT ]. After setting out the statutory provisions viz......


392

2015 (7) TMI 688 - PUNJAB & HARYANA HIGH COURT - Income Tax

Commissioner of Income Tax Range-I, Bathinda Versus Shri Munish Kumar Bansal

Suppression of stock - whether ITAT correct in holding that the asseessee has sufficiently rebutted the finding of the Assessing Officer that the assessee has suppressed its stock worth ₹ 1,51,67,000/- from appearing in his books of account and thereby his income by that much amount? - Held that:- The assessee's case is that the stock declared before the bank of ₹ 169.17 lacs was as on 30.03.2009 and that was for the purpose of raising a loan. The Tribunal also found that the assesse.....


393

2015 (7) TMI 687 - DELHI HIGH COURT - Income Tax

Commissioner of Income Tax, Delhi Versus Rajesh Vats

Abatement and substitution of legal representatives - Held that:- The Court finds that the request made on behalf of the Appellant for further time to file the application for substitution is not justified. It was categorically recorded in the order dated 19th August 2014 that the details of the LRs had already been made available to learned counsel for the Department. If Mr. Sawhney could not after 4th February 2015 get those details for some reason, there was sufficient time for him to have ta.....


394

2015 (7) TMI 686 - DELHI HIGH COURT - Income Tax

Director of Income Tax (Exemption) Versus Lala Bhagwan Dass Educational Trust

Denial of the benefit of Section 11 - ITAT found no justification in denying the benefit of Section 11 to the Assessee - Held that:- It was, incumbent on the Appellant, in terms of the order passed by this Court on 22nd September 2014, to enclose with its affidavit copies of the relevant documents and in particular the confirmation letters/responses filed by 13 of the donors before the AO in the remand proceedings confirming that they had made donations to the Assessee.

The affidavi.....


395

2015 (7) TMI 685 - ITAT PUNE - Income Tax

Thermax Limited and others Versus Dy. Commissioner of Income Tax, Circle- 8, Pune and others

Disallowance of Provision for warranty obligation - Held that:- As relying on assessee’s own case for assessment years 1998-99 and 1999-2000 [2014 (12) TMI 680 - ITAT PUNE] we find that this issue has been decided in favour of the assessee wherein held that the assessee made a provision on account of provision for warranty with respect to the products sold - Considering the opening balance of provision, the differential amount of provision was debited to the Profit & Loss Account of the year - T.....


396

2015 (7) TMI 684 - ITAT HYDERABAD - Income Tax

KLR Industries Ltd., Hyderabad Versus DCIT, Central Circle 2 (1) , Hyderabad

Addition made as unexplained cash credit u/s 68 - Held that:- A conclusion can be drawn that the assessee was never asked to produce the creditors. If the department had any doubt with regard to the genuineness of the transaction or creditworthiness of the creditors, they should have made proper enquiry and brought positive material on record to establish such fact. More so, when not only the identity of the creditors are available with the department, but their income tax particulars are also s.....


397

2015 (7) TMI 683 - ITAT HYDERABAD - Income Tax

Income Tax Officer, Ward-8 (2) , Hyderabad and others Versus M/s. Bhavani Jewellers, Hyderabad and others

Addition quantifying the excess stock in survey - Held that:- As seen from the statements on record, the excess stock was arrived at on the day of survey based on GP calculations. Be that as it may, the quantity of the gold has tallied but the difference arose only in the context of rate adopted for valuing the excess stock. It was the submission that gold was valued at ₹ 1,150 Per Gram during survey, where as the book value/ market value was at ₹ 870 Per Gram which was adopted by as.....


398

2015 (7) TMI 682 - ITAT HYDERABAD - Income Tax

Sri Santosh Kumar Agarwal, Hyderabad Versus Dy. Commissioner of Incometax, Central Circle - 6, Hyderabad

Concealed income of assessee - what should be the sale consideration deemed to have been received by assessee for the purpose of computation of capital gain? - Held that:- there is no dispute to the fact that while assessee in registered sale deed has shown sale consideration at ₹ 21,65,000, registering authority has valued the property for stamp duty purpose at ₹ 24,07,000. Therefore, the sale consideration as per section 50C, which assessee could be deemed to have received is the v.....


399

2015 (7) TMI 681 - ITAT HYDERABAD - Income Tax

Dy. Commissioner of Income Tax, Circle 13 (1) Hyderabad Versus Shri V. Rama Krishna Hyderabad

Non deduction of TDS u/s 194J r.w.s. 9 of IT Act - payments made in the nature of royalty - Held that:- The transactions on account of the agreement between the producers and the assessee appears to be the sale of world negative rights on perpetual and permanent basis and the provisions of section 194J are not applicable and there is no liability to deduct tax at source. The disallowance made by the AO u/s 40(a)(ia) is to be deleted. See ACIT vs. Aishwarya Arts Creations (P) Ltd [2014 (12) TMI 1.....


400

2015 (7) TMI 680 - ITAT MUMBAI - Income Tax

Mr. Abdul Hamid Haji Abdul Karim Shaikh Versus The Asstt. Commissioner of Income Tax -25 (3) , Mumbai

Validity of Reopening of assessment - whether CIT(A) erred in confirming the disallowance of compensation charges of ₹ 11,00,000/- paid to Bhairav metals considering that the same is not an expense of current year and holding that the same could be an advance or debit? - Held that:- The issue regarding debit of ₹ 11.00 lacs to the P&L Account was duly enquired into by the AO vide notice issued to explain several expenses debited to P&L Account. The detailed reply was submitted by the.....


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