Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Forum Articles Highlights TMI Notes SMS News What's New Calendar Imp. Links Database More...
Extracts
Home List
← Previous Next →

Bhuwalka Steel Industries Ltd, Suresh Kumar Bhuwalka S/o. Late Balchand Bhuwalka Versus Union of India, Commissioner Of Central Excise, Assistant Commissioner of Central Excise

Validity of Rule 5 of the Hot Rerolling Mills Annual Capacity Determination Rules, 1997 - Whether Rule 5 of the Rules is liable to be declared unconstitutional, violative of Article 14 and/or ultra vires Section 3A of the Central Excise Act, 1944 - Held that:- it has been held by the Division Bench [2015 (9) TMI 151 - KARNATAKA HIGH COURT] that Rule 5 of the Hot Re-rolling Steel Mills Annual Capacity Determination Rules, 1997 is neither violative of Article 14 of the Constitution of India or ult .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Sri G Shivadass, Adv. For the Respondent : Miss Geetha, Adv. for Sri N R Bhaskar Panel, Adv. ORDER Heard Sri Shivadass, learned Advocate appearing for petitioner and Ms.Geetha, learned Advocate appearing on behalf of Sri N.R.Bhaskar for respondents. 2. Petitioner has sought for following reliefs in this writ petition: a) Declaring that Rule 5 of the Hot Rerolling Mills Annual Capacity Determination Rules, 1997 is illegal, ultra virus and unenforceable; b) Quash determination orders dated 23-12-1 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ty based on such determination for the period 1-9- 1997 to 31-3-2000; e) Direct respondents to refund to the petitioner the excess amount of duty over and above the sum payable as determined pursuant to prayer (d) above along with interest at the rate of 24% p.a. from the date of payment to date of refund; f) Quash circular dated 30-8-1997 (Annexure-F) in so far as it is ultra virus and unconstitutional; This petition had been disposed of by a co-ordinate Bench of this Court by order dated 07.12 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

4 and 7825/2014. These Civil Appeals were heard along with other connected Civil Appeals by the Hon'ble Apex Court and by order dated 13.08.2014 judgment rendered by this Court in Writ Appeals in W.A.Nos.315/2006 c/w 4722-23/2011 came to be set aside and all matters came to be restored to the files of respective High Courts for fresh hearing and disposal in accordance with law. It came to be held by Hon'ble Apex Court, as under: "3. After arguing for some time, learned senior counse .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

lidity of Rule 5 of 1997 Rules was not put in issue. 4. Learned counsel are right in their submission as the judgment of this Court in Doaba Steel Rolling Mills (supra) (para 20 of the report at page 758) clarifies as under: "Before addressing the contentions advanced by the learned counsel for the parties, it is essential to note at the outset that in all these appeals, there is no challenge to the validity of Rule 5 of the 1997 Rules inserted vide Notification dated 30-8-1997 and, therefo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

HANDIGRAH V. DOABA STEEL ROLLING MILLS's case reported in (2010) 14 SCC 75 there was no challenge to the validity of Rule 5 of 1997 Rules. 4. Perusal of the said order would indicate that legality and constitutionality of Rule 5 of the Hot Rerolling Steel Mills Annual Capacity Determination Rules, 1997 was not in issue in Doaba's case and as such all matters pending before it came to be remitted back. However, order passed by this Court on 7.12.2005 would indicate issue of constitutional .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

had been adjudicated by learned Single Judge as well as by Division Bench, he submits that on account of other matters having been remitted back to respective High Courts, present petition also landed before this Court, fact of constitutional validity of Rule 5 of 1997 Rules had been considered by this Court cannot be lost sight of. 5. In that view of the matter, I have perused the order passed by this Court dated 07.12.2005 at the first instance. It would suffice if precise contentions raised .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

f the Act and therefore Rule 5 is ultra vires. The second ground of attack is that Rule 5 has the effect of bringing about an invidious classification and the effect of discrimination against persons like the petitioners vis-à-vis persons whose duty liability can be or is being determined only by applying Rule 3 of the Determination Rules. It is on such twin grounds the petitioners have approached this court for a declaration that Rule 5 of the Determination Rules are ultra vires, unconst .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rit petitions are accordingly dismissed. No order as to costs." In fact, petitioner herein pursued its grievance before Division Bench by filing appeal - W.A.Nos. 315/2006 and 4722-23/2011 before the Division Bench and following question came to be examined by Division Bench of this Court. It reads as under: "4. The question that falls for our consideration in these appeals is "Whether Rule 5 of the Rules is liable to be declared unconstitutional, violative of Article 14 and/or ul .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

a rational nexus with the object to be achieved by the law. To test this view, we would like to once again refer to the example given by the learned senior counsel for the appellants to emphasis that Rule 5 is discriminatory. Class A manufacturer to whom, according to the appellants, a gross injustice is likely to be done, in our opinion, is also without any substance. Even if it is assumed that provisions contained in Rule 5 make distinction between Class A manufacturer and Class B manufacturer .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

oner under Sub-section (4) of Section 3A and produce evidence in support of his claim in respect of the actual production if it was lower than the production determined under subsection (2) of Section 3A. In other words, apart from the mechanism provided in the proviso to Sub-section (2) and proviso to sub-section (3) under Sub-section (4), the assessee who claims that the actual production of his notified goods was lower than the production determined in Subsection (2), the Commissioner is empo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

determined under Sub-section (2) of the Act. 26. If we look at Rule 5 from another angle, we are further satisfied about the view taken by us. Rule provides that if the production during the year 1996-97 was more than the production determined by the formula in Sub-rule (3) of Rule 3 of the Rules, then that has to be taken as the annual capacity for the financial year 1997- 98 and the subsequent years. This rule, it seems, was introduced keeping in view the fact that without there being any cha .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

  ↓     Latest Happening     ↓  

TMI Note: Capital Gain - transfer of right in the land or transfer of land itself - addition u/s 50C - Harassment to the honest tax payers

Highlight: Option to avail composition scheme under GST by electronically filing an intimation in FORM GST CMP-02 and FORM GST ITC-03 upto 30-9-2017 - See Rule 3(3A)

Forum: Input tax credit

Forum: GST on Notional rent

Forum: GST ON SALES PROMOTION

Forum: 3B mistake

Forum: Excise duty credit on finished stock at additional place of business.

Forum: PROCEDURE FOR SHIFTED OF FINISHED GOODS FROM AP KARNATAKA TO UP

TMI Note: Does ICDS apply for the purposes of computing exemption u/s 11 to 13.

Highlight: Voluntary Reporting of Estimated Current Income and Advance Tax Liability - CBDT issues draft notification

TMI Note: Certain ICDS provisions are inconsistent with judicial precedents. Whether these judicial precedents would prevail over ICDS.

Highlight: Provisions of ICDS shall prevail w.e.f. AY 2017-18 to the transactional issues dealt therein over earlier judicial pronouncements.

Notification: Levy of anti dumping duty on New/unused pneumatic radial tyres with or without tubes and/or flap of rubber (including tubeless tyres) having normal rim dia code above 16 originating in, or exported from China PR

News: Voluntary Reporting of Estimated Current Income and Advance Tax Liability

TMI Note: In case of conflict between ICDS and other specific provisions of the Income-tax rules, 1962 governing taxation of income like rules 9A, 9B etc. of the Rules, which provisions shall prevail.

TMI Note: Does ICDS apply to computation of Minimum Alternate Tax (MAT) u/s 115JB of the Act or Alternate Minimum Tax (AMT) u/s 115JC of the Act.

TMI Note: Where a term has not been defined under ICDS, nor under the Act, but has different interpretations given to it by the courts in tax cases, and in ICAI Accounting Standards, which interpretation would prevail while interpreting ICDS.

TMI Note: Whether the provisions of ICDS apply to a non-resident who claims the benefit of a double taxation avoidance agreement (DTAA).

TMI Note: In case any of the ICDS provisions is contrary to a circular or press release issued by the CBDT, which would prevail over the other.

TMI Note: ICDS-I requires disclosure of significant accounting policies and other ICDS requires specific disclosures. Where is the taxpayer required to make such disclosures specified in ICDS.

Notification: Income Computation and Disclosure Standards (ICDS) - New ICDS to be effective from AY 2017-18

Forum: Input credit of gst paid on urd

News: RBI Reference Rate for US $

Highlight: GST - Detention of goods under transport - discrepancy in documents - the statutory provisions provide a mechanism for adjudication following detention of goods including for the provisional release thereof pending adjudication - HC

Highlight: Reassessment - first few paragraphs of the assessment order dealt with objections and disposed of accordingly - Unfortunately, the manner in which the AO has decided the issue is wholly unsustainable in law - HC

Highlight: Business expenditure u/s 37 - liquidated damage - breach of contract terms - Expenditure was not incurred for any purpose which is an offence or which is prohibited by law - cannot be disallowed - HC

Highlight: Valuation - inclusion of reimbursement of expenses - managing participation of clients in certain mela, fairs, promotional activities etc. - They are liable to service tax on the gross amount received - They cannot restrict their tax liability to only agency commission

Highlight: TDS liability - ITAT confirmed the liability - We do not see how it is possible for us to uphold the order of the Tribunal and when it purports to decide two Appeals of the Revenue by single paragraph conclusion - HC

Highlight: Reopening of assessment - sufficiency of material available with the AO to form a belief that income chargeable to tax had escaped assessment - bogus purchases - seller refused to respond - notice would not be interfered with - HC

Highlight: Exemption u/s 11 - education activities - transport and hostel facilities surplus cannot be considered as business income of the assessee society

News: Draft Notification for insertion of new rule 39A in the Income-tax Rules, 1962 comments and suggestions-reg.

Highlight: Genuineness of labour wages expenses, embroidery charges, fabrication expenses etc. - getting work done through small workmen who do not have any permanent place of residence - disallowance of ad hoc expenditure deleted.

Highlight: Project import - Since the goods were never used for the purpose for which it was imported, the actual user condition has been violated - Redemption fine and penalty imposed.

Highlight: Penalty u/s 112 (a) - CHA - Lack of due diligence and failure to take more precautions can not, by itself, bring in penal consequences

Highlight: Import of services - GST - The fact that those services were received outside India will not change the fact that the services have been paid for by the beneficiary appellant, who is located in India. - Demand confirmed.

Notification: SEZ for IT/ITES at Madhurwada Village, Visakhapatnam District in the State of Andhra Pradesh - denotified.

Highlight: Merely because payment is received in Indian rupee, it cannot be said that payment against export has not been received in convertible foreign exchange.

Highlight: Merely vehicle numbers was not mentioned on the invoices cannot be the reason to deny Cenvat Credit

Highlight: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 120A of the Central Goods and Service Tax Rules, 2017 - Circular

Circular: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 120A of the Central Goods and Service Tax Rules, 2017

News: Auction for Sale (Re-issue) of Government Stocks

Article: TDS APPLICABILITY ON GOVERNMENT CONTRACTS UNDER GST (Under Section 51 of the CGST Act, 2017)

News: Manmohan takes potshots at note ban, 'hasty' rollout of GST

News: GST on petrol, diesel requires wider discussion: Nitish

Article: WHEN CAN ONE TAKE ITC FOR RCM CASES?

Notification: TDS liability under Section 51 of CGST, 2017 come into force w.e.f. 18-9-2017 - Persons liable to deduct TDS from payment made or credited to the supplier of taxable goods or services specified

Notification: Central Goods and Services Tax (Seventh Amendment) Rules, 2017

Notification: Seeks to extend the last date for filing the return in FORM GSTR-3B for the months of August to December, 2017

Circular: Filing of Special Leave Petition against Orders of Hon'ble High Courts staying Collection of Tax under GST- reg.

Highlight: Exemption u/s 54F - LTCCG - once entire net consideration is invested, the absence of completion certificate cannot be a ground to deny the benefit of deduction.



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version