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Shri. Naman Hotels Private Ltd., Juniper Hotels Pvt Ltd, Johnson & Johnson Pvt. Ltd., Thyssenkrupp Industrial Solutions (India) Private Limited (erstwhile known as UHDE India Private Limited) Versus The Union of India And Others

Entitlement to the Duty Credit scrip under the Served From India Scheme - Denial on the ground that Petitioner is promoting 'Thyssenkrupp' brand which is not an Indian brand and that Petitioner is not an Indian service provider - Held that:- persons providing a service from India to any other country, from India to service consumer of any other country in India, supply of a service from India through commercial or physical presence in territory of any other country, supply of a service in In .....

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ationality of the share holders comprising of the Petitioner company has been referred to. That is not held to be determinative for availing benefits of 'Served from India Scheme.' Rather the definition and reading thereof would indicate how it is worded so as to achieve the object.

'Served from India Scheme' is a policy and that is set out in Chapter 3 of Foreign Trade Policy. The application for grant of Duty Credit Scrip has to be made to whom, with what details and the forms whic .....

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reated. If that is what is held and concluded, then, that it is a imminently possible and reasonable view.

It is only when they fulfill the criteria and the provisions of the nature carved out that they would be entitled to the benefits. It is not possible for us to agree with the view recorded in paragraphs 12 to 16 of the judgment. The learned Judge has construed the expression “Indian Service Providers' narrowly. He has not construed it in the backdrop of the policy measures and b .....

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ng prior incentives. If anything is recoverable in relation to prior policies and earlier to 2009-14 FTP that is surely something which cannot be taken away by making a adjudication order in 2015. We would therefore, hold that it will not be permissible for the authorities adjudicating the claims or issues arising therefrom to recover from the Petitioner in Writ Petition No.1755 of 2014 and all petitioners the SFIS benefits granted till 2007-08. They are clearly falling within earlier policy fra .....

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ohtani i/b Economic Laws Practice Advocates for Petitioner in W.P.No.1755/2015 Mr.Rohan Shah a/w Mr.Anay Banhatti, Mr.Sushant Murthy, Mr.Harsh Shah Advocates i/b Economic Laws Practice For the Respondent : Mr. PradeepS.Jetley a/w Ms.Shehnaz V.Bharucha Advocates Mr.A.J.Rana,Sr.Counsel a/w Ms.S.V.Bharucha Mr.A.J.Rana Sr.Counsel a.w Ms.N.V.Masurkar Advocates JUDGMENT ( Per S. C. Dharmadhikari, J ) 1. These Petitions were argued together and though there is some difference in the factual position bu .....

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1956 and has its Registered office at the address mentioned in the cause title. The Petitioner claims that it was incorporated in India in December 1977 and has been recognized as a export house for the last 14 years. The petitioner is engaged in the provision of wide range of engineering, procurement, construction and management services as well as lump sum turn-key projects for various industrial plants both in India and overseas. The overseas assignments of lump sum turn-key projects and engi .....

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of Commerce and Industry, Government of India is the 1st Respondent and the 3rd Respondent is the Secretary in the said Ministry. 5. The 2nd,4th, and 5th Respondents are the authorities exercising powers under Foreign Trade (Development and Regulations) 1992 (for short 'Foreign Trade Act'). 6. The Petitioner impugns the order passed by the Secretary in the Department of Commerce and Industry, Government of India holding that the Petitioner is not entitled to the Duty Credit scrip under .....

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s upon SFIS scheme which is introduced in the Foreign Trade Policy 2004-2009 which granted Duty Credit Entitlement equivalent to 10% of foreign exchange earned in preceding financial year to all service providers engaged in list of specified services and having total foreign exchange earnings of at least ₹ 10 lakhs in preceding or current financial year. The Petitioner relies upon the Minutes of the Policy Interpretation Committee (PIC) meeting applicable for Foreign Trade Policy 2004-09 o .....

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efits when SFIS is continued in 2009-14. The details of the entitlement granted in an uninterrupted manner are relied upon by the Petitioners and they are set out at pages 10 and 11 of this Petition. 10. The Petitioner therefore, applied for Duty credit entitlement under SFIS for the year 2012-13. The 4th Respondent to this Petition through the 5th Respondent communicated by letter dated 8th July, 2014 that the Petitioner's application seeking the benefits is deficient on account of the fact .....

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application was rejected. Furthermore, the Petitioner received recovery letters dated 27th August 2014 whereunder the Respondent no. 4 sought to recover benefits granted in the past under the scheme for the year 2007, 2008, 2009 and 2012 respectively. In the opinion of the Petitioner such a communication is not capable of being challenged by filing an Appeal under section 15 of the Foreign Trade Act, 1992 and the remedy of the Appeal will not be alternate and equally efficacious. That is how the .....

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a & Ors. in Writ Petition (Civil) No.7011 of 2012 and Writ Petition (C) No.6800 of 2013 together with other Petitions. 12. The Petitioner prayed for a personal hearing before the 3rd Respondent and awaited a favourable decision and according to it particularly when the Delhi High Court had dealt with an identical issue and judgment of that Court would bind the Government. It is based on that the Petitioner expected a favourable response. However, the Petitioner was communicated an order date .....

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d in India in its name and style and carrying on business in India at least from 1977. The Petitioner employs around 1100 personnel. The Petitioner has been operating in India and complying with all relevant and applicable laws. The Petitioner is registered as a Service Provider for the purpose of payment of service tax in India. It has a permanent place of business in India and even it receives service from a Foreign Service Provider. It takes upon the obligation to discharge service tax liabil .....

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ng such an order it emphasized that the issue is to be decided by the Government and a Secretary Level Officer should deal with the same and pass a reasoned order. This Court according to Mr.Dada learned senior counsel, had expected that in what manner Foreign Trade needs to be developed, regulated and established is to be decided by the authorities under the Foreign Trade Act 1992. If any policy is evolved under the Foreign Trade Act, then, it is the duty of the Government to decide the cases a .....

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ment who is expected to take a decision uninfluenced by any considerations and in accordance with law. Mr.Dada submits that this order has not been complied with by the Government at all. The order of this Court and equally issues raised by the Delhi High Court are brushed aside and therefore, the impugned order dated 22nd May, 2015 should be quashed and set aside on this ground alone. 15. In addition, Mr.Dada submits that on merits also the Petitioner has a very good case. The test is that the .....

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ct, 1992. It is a scheme which is applicable to such Service Provider who by an export service from India assists India in building up its foreign exchange reserves. If utilization of the scrip or benefits have to be extended on such an understanding, then, it is evident that the impugned order fails to take note of the same. The basis on which the order proceeds is that all shareholder of the Petitioner ought to be Indian. There is no such requirement and which can be inferred from the policy o .....

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nationality and which has to be read into the policy namely Foreign Trade Policy and the scheme. The impugned order fails to take note of the international ramifications of the General Agreement on Trade (GATS) in Services. This is a globally accepted and recognized agreement. It applies measures by members affecting trade in service. Mr.Dada relies upon Article 1 falling in Part I of this General Agreement on Trade in service. Particularly clause 2 which reads thus: 2. For the purposes of this .....

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rvices have been defined in the Policy (FTP 2009-14, Chapter 9 Definitions) to include all tradable services covered under General Agreement on Trade in Services (GATS) and earning free foreign exchange. This is a wide definition for the purpose of (GATS) and if international repercussions and ramifications are ignored by the Central Government, then, the impugned order and conclusions therein cannot be sustained. Mr.Dada submits that the impugned order also fails to take note of the objections .....

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I-A Chapter II and particularly para 2.3, 2.29 and 2.48 and 2.48.1 and 2.48.2. Thereafter Mr.Dada has taken us through the Reward/Incentive scheme in the Directorate of General Foreign Trade. Mr. Dada submits that a Status Holder shall be eligible for privileges as spelt out Clauses in 3.10.4 and 3.11.1 denotes as to for why Served from India scheme has been promulgated. The objective is set out in clauses 3.12.1 to 3.12.2. According to Mr.Dada it does not mean that the scheme, is inapplicable t .....

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and containing similar objectives. Our attention is also invited to the definition of the term person appearing in Chapter 9 of FTP 2009-14 and Mr.Dada would submit that this is a definition for the purpose of the Foreign Trade policy. There is nothing which the context otherwise requires and therefore the definition of the term person includes an individual, firm, society, company, corporation or any other legal person including the DGFT official. Paragraph 9.45, 9.52 and 9.53 would be fully a .....

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unique 'Served from India brand' instantly recognized and respected world over, is of no substance. In the circumstances, Mr.Dada submitted the order of the Secretary in the Department of Commerce and Industry should be set aside. He relied on the composition of the Policy Interpretation Committee (PIC) and submits that it is a internal Committee set up by the Ministry of Commerce and Industry. The views which the Directorate holds can never override that of the Government nor can the Go .....

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Mr.Dada places reliance on section 3 of the Indian Companies Act, 1956, section 2 (26) of the Income Tax Act 1961 and section 2 (u) (v) of the Foreign Exchange Management Act, 1999. He also relies upon the Foreign Trade Act, 1992 and Rules framed thereunder so also Notification No.20 dated 13th June, 2013 which is issued by the Ministry of Commerce and Industry, Government of India setting out the hierarchy of Officers in the Directorate General of Foreign Trade.. This is to emphasize that the G .....

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principle on which Mr.Dada places reliance is that in the garb of interpreting the Foreign Trade Policy, the power of the Government to amend it cannot be usurped by the Officers who are in-charge of its implementation. They cannot amend any policy in the garb of implementation and interpretation of the same. Therefore, the above decisions and followed by this Court outlining these principles are heavily relied upon by Mr.Dada. 18A. Mr.Dada's arguments are supported by Mr.Rohan Shah and oth .....

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particularly the Secretary in the Department to take a informed and a rational decision without being influenced by the stand of the Director General. The Secretary has passed an order which he was fully authorized and competent to pass. He is not purporting to consider irrelevant matters much less amending any policy which was existing all the while. He has passed an order interpreting it in tune with and in consonance with the Foreign Trade Act, 1992. He has held that the whole purpose in maki .....

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ct provides for development and regulation of foreign trade by facilitating imports into and augmenting exports from India, and all matters connected therewith or incidental thereto. Mr.Jetley submits that the scheme was continued from 2004 to 2014. Mr.Jetley placed heavy reliance upon clauses 3.12.1 and 3.12.2 of the Foreign Trade policy 2009- 14 and submits originally it covered All India Service Providers and from 18th January 2011 the word 'all' was deleted. The list of service provi .....

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t the said brands were already recognized and respected world over, before the company set base in India. In such cases there is no occasion to satisfy the requirement of para 3.12.1 of the FTP. 21. Mr. Jetley submits that including one of the Petitioner namely Johnson and Johnson Pvt. Ltd all such brands were already recognized and respected world over prior to their entry in India. Surely, the Indian Government will initiate measures, steps and frame policies in tune with the provisions of the .....

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ion would do violence to clause 3.12.1 of FTP 2009-14 of the Foreign Trade Act, 1992. Thus, heavy reliance is placed on clause 3.12.1 and it is submitted that read with other clauses, it would be apparent that the view taken or interpretation placed is neither new or inconsistent with FTP. Throughout, this was the view and this was the interpretation. In matters of interpretation of policy measures, designed and evolved for the Development and Regulation of Foreign Trade, the Government must be .....

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el that the nationality of share holders is the only test applied in the impugned order is erroneous and incorrect. It is coupled with other features and as noted hereinabove but additionally to support the Government's conclusions that it is held that the objective of the scheme will be fully achieved only when the share holders of the company are also Indian or Indian Nationals. That cannot be possible if an Indian Company providing service has share holders of other nationality and belong .....

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ence or its failure to take note of the judgment of the Delhi High Court though cited but submits that the conclusions in the impugned order are unassailable. They can be supported by materials referred to. Mr.Jetley placed reliance upon the affidavit in reply and the written note of his submissions tendered after the arguments. He would submit that for reasons that have been assigned in the impugned order, it should be upheld. 23. Mr.Jetley, distinguished the judgments which are relied upon by .....

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and Mr.Jetley we have perused the writ petitions and all Annexures thereto. We have perused the Foreign Trade Act, 1992 and the FTP for the period 2009-14 with all paragraphs and sub-paragraphs relied upon. We have also perused the decisions brought to our notice. We are not concerned with the policy which is currently in force and though Mr.Dada has tendered copy of the same, particularly the Foreign Trade Policy and Handbook of Procedures, Centax Publication, 21st Edition by R.K.Jain 2015-16, .....

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on) Act, 1991 empowers the Central Government to formulate and announce by a notification in the official Gazette, the Foreign Trade Policy and the Government may also amend that policy. Proviso to section 5 is also clear inasmuch as in respect of Special Economic Zones, the Government may direct that the foreign trade policy shall apply to the goods, services and technology with such exceptions, modifications and adaptations as may be specified by it by notification in the Official Gazette. The .....

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which is contrary to its express clauses or the words appearing in some of them or they have taken a view of a policy which is totally arbitrary and completely at variance with the object and purpose sought to be achieved. In these circumstances, neither the dictum in A tul Commodities Pvt. Ltd ( supra) nor in N arendra Udeshi & Anr Vs. Union of India (2003) 156 ELT 819 (Bom) can have any applicability. Further reliance placed on Eurotex Industries And Exports Ltd. vs. Union of India (2011) .....

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cts have been registered, was the issue. According to the Division Bench this exercise directly contravenes the mandate of section 3 and 5 of the Foreign Trade Act. In the case of TATA Communications Ltd vs Union of India (2012) (25) STR 131 (Bom) this Court considered the issue which was covered in Vodafone Essar Ltd vs Union of India 2011 (270) ELT 492 (Bom). The benefits served from India scheme were purported to be availed under Circular dated 15th July, 2010. The Scheme was formulated in FT .....

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in para 9.53 of the policy was dealt with. All findings and conclusions of the Division Bench and relied upon before us by Mr.Dada ought to be seen in this admitted factual backdrop. The observations and conclusions reached by the Division Bench in Tata Communications (supra) particularly in paras 11 and 13 are thus, confined to those Petitioners and their cases. The requirement and the eligibility criteria evolved was clearly set out in the judgment which the Division Bench made a reference to .....

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referred in the Preamble that it is an Act to provide for the development and regulation of foreign trade by facilitating imports into, and augmenting exports from, India and for matters connected therewith or incidental thereto. It is a Act empowering the Government to take measures for the development of and equally regulate foreign trade. That it can do so by facilitating imports and augmenting exports from India would indicate that all the measures devised, Schemes formulated and put in plac .....

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ndia ; (B) in the territory of another country to an Indian service consumer; (C) by a service supplier of another country through commercial presence in India; (D) by a service provider of another country, through presence of their natural persons in India ; (ii) supplying, services or technology- (A) from India into the territory of any other country; (B) in India to the service consumer of any other country; (C) by a service supplier of India, through commercial presence in the territory of a .....

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territory of another country in India to an Indian service consumer of any other country by a service supplier of India, through commercial presence in the territory of any other country by a service supplier of India, through commercial presence of Indian natural persons in the territory of any other country, is understood as import and export in relation to service and technology,. The use of the word India , service supplier of India presence of Indian natural persons in a territory of a cou .....

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re party to the said Agreement and the term, service supplier means any person who supplies a service and who intends to take benefit under the foreign trade policy. By Chapter I the Central Government is empowered to make and announce Foreign Trade Policy. Sections 3,4,5 and 6 falling in this Chapter underline the power of the Central Government to make and amend the foreign trade policy . 29. We are concerned in this case not with the interpretation of General Agreement on Trade in Services bu .....

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. The Foreign Trade Policy provides the overarching framework for catalyzing India's exports. This Policy was announced on 27th August, 2009 in a difficult economic backdrop as the world was emerging from the shadows of a grim recessionary period and a multi-pronged strategy was adopted to arrest the fall and reverse the trend of declining exports. Therefore, maintaining a stable policy environment Government consciously adopted a market diversification plan reaching out to nontraditional de .....

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t Scheme, Market Linked Focus Product Scheme to provide support to identified priority sectors. The challenge faced by Indian Exporters are specially referred and hence measures were taken with expectation that the same will have a catalyzing impact or boost Indian Exports. 31. The Legal Framework of the FTP 2009-2014 is contained in Chapter 1A. We are not concerned with the same particularly because, we are proceeding on the basis that incentives thereunder or incentive schemes themselves could .....

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of Foreign Trade wound bind the Government and the Government will not take any decision contrary to this interpretation and will not deviate from the same. It is for this reason that we expected the Central Government to act in terms of our directions. We have clarified by our earlier order that not only it will deal with the interpretation placed by the Policy Interpretation Committee but outcome of the directions issued by us does not mean any particular decision or interpretation of the pol .....

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ve. The members of the bureaucracy are therefore answerable to the people of India. They cannot evolve parameters to interpret the policies contrary to public interest. When in employment and interpreting a policy, Rules or regulations, they ought to be aware that any decision by a Court of law has a binding effect on the Central Government. That a view taken by a Court of law especially by a High Court of a State may not bind other High Courts and in the least the Hon'ble Supreme Court but, .....

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ed down by the Central Government just because the parties before it are operating from Maharashtra and the Central Government was deciding the matter pursuant to the directions of the Bombay High Court. Pertinently, the Delhi High Court view is not set aside till date. 33. We are mindful of the criticism levelled by Mr.Dada and it has some force, but finding that as far as the judgment of the High Court of Delhi is concerned it only has a persuasive effect qua us, we are not dealing with this i .....

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be looked at with respect and due regard and considered in depth. We would expect this much from the Secretary in the Department of Ministry of Commerce and Industry. A copy of this order be forwarded to him and these observations being brought to his notice, we hope hereafter such mistakes and errors will not be committed by him. 34. Turning to Chapter 2 of the Foreign Trade Policy 2009-14 as to general provisions regarding imports and exports, while it is true that paragraph 2.3 states that t .....

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erned in this case as to whether any further appellate power was available to be exercised and to decide a challenge to the Interpretation placed on the policy of Policy Interpretation Committee. (PIC). In other words, we are not required to go into and interpret so also consider the ambit and scope of the appellate powers conferred by section 15 of the Foreign Trade Act, 1992. Therefore, we do not make any further reference to these provisions. The expression Free Exports is to be found in para .....

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ces received, rendered abroad, where ever possible shall be exempted from service tax. That is something with which we are not concerned nor is exemption an issue before us. 35. The privileges of Export and Trading House status holders are set out in para 3.10.4 and the expression services Exports is defined in 3.11.1. That there is a specific reference to General Agreement on Trade in Services (GATS) is also something with which we are not concerned because, we are proceeding on the assumption .....

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werful and unique from India brand instantly recognized and respected world over. 3.12.2: Eligibility Indian Service Providers, of services listed in Appendix 41 of HBPv1, who have free foreign exchange earning of at least ₹ 10 lakhs in current financial year will be eligible for duty Credit Scrip, for individuals Indian Service Providers, minimum free foreign exchange earnings would be ₹ 5 lakhs. 3.12.3: Ineligible Services and Service Providers Services and Service Providers as lis .....

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through International Credit Cards and through any instrument as permitted by RBI for rendering of services shall also be taken into account for computation of Duty Credit Scrip. 3.12.7: Non Transferability Entitlement goods (imported/procured) shall be non-transferable (except within group company and managed hotels) and be subjected to actual User condition. However, these goods can be alienated on completion of 3 years from the date of import/procurement). 36. A perusal of these paras would d .....

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ders and the nation they belong, the policy makers are not trivializing the issue. That reference is to highlight the object of accelerating growth in export of services so as to create a powerful and unique 'Served from India' brand instantly recognized and respected world over. One must appreciate the object properly and completely. The role that Indian Suppliers are expected to play in creating such a brand is underlined by making a reference to the persona and Nationality of sharehol .....

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in Appendix 41 of HBP Volume 1, who have free foreign exchange earning of at least ₹ 10 lakhs in current financial year. They will be eligible for Duty Credit Scrip. For individual Indian Service Providers, the minimum criteria is free foreign exchange earning of ₹ 5 (five) lakhs. Such service Providers and who are Indian service providers are therefore mentioned in 3.12.2 and they will be eligible for duty credit scrip. That gives them credit from payment of duty and that is why in .....

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d merely because at certain time and on certain occasions, the concessions and benefits were given or there is exemption from payment of duty and taxes imposed by laws of Parliament. The traders or citizens to whom the benefits and facilities are granted on fulfillment or requirement of a distinct eligibility criteria stand apart from others. Those not granted the same cannot claim any parity. Hence, in the absence of a vested right and only on the strength of a particular treatment of such case .....

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rendered prior to 1st January, 2011, Appendix 10 of HBP Volume 1 would be applicable. SFIS benefit will be allowed on the Net Foreign Exchange earned is what is stated to be in paragraph 3.12.4 and by reference to that alone it will not be proper to hold that the object and purpose sought to be achieved is of augmenting foreign exchange reserves. That surely is not the intent while giving reward/incentive and making a scheme in that behalf to be implemented by the Directorate General of Foreign .....

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antly recognized and respected world over.' That cannot be achieved by permitting those who are are not creating a powerful and unique 'Served From India' brand instantly recognized and respected world over. The entity establishing a foreign brand of service and prior to entry in India therefore, will not qualify and cannot be held eligible for FSIS benefit. The brand of such a entity is already created, existing and established. It may not be unique much less served from India exclu .....

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not considering that scheme, reward or incentives thereunder nor we are considering its basic features. We are concerned with 'Served from India scheme'. While it is true that the definition of the term person includes an individual, firm society, company, corporation or any other legal person including the DGFT officials, we are not here concerned with the interpretation of this definition at all. We proceed on the assumption that individuals and Corporate entities (international and n .....

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from India to service consumer of any other country in India ; (iii) Supply of a 'service' from India through commercial or physical presence in territory of any other country; (iv) Supply of a 'service' in India relating to exports paid in free foreign exchange or in Indian Rupees which are otherwise considered as having being paid for in free foreign exchange by RBI. 37. A bare reading of the same would indicate that persons providing a service from India to any other country, .....

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e main object and purpose sought to be achieved, on which emphasis is placed is noted, then, only as a corollary or analogy to the main object and to accelerate growth of exports from India, that nationality of the share holders comprising of the Petitioner company has been referred to. That is not held to be determinative for availing benefits of 'Served from India Scheme.' Rather the definition and reading thereof would indicate how it is worded so as to achieve the object. Para 3.6. a .....

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h jurisdictional RA. The last date for filing application shall be 12 months from the end of relevant month/quarter/half-year/year. (c) service providers shall submit a statement of imports made made under the Duty Credit Scrip to jurisdictional RA with a copy to jurisdictional Excise authorities (service tax cell) within one month of completion of imports of expiry of validity of Duty Credit Scrip, whichever is earlier. 3.6.1.: Ineligible Remittances and Services for SFIS Scheme. Foreign exchan .....

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es of foreign currency loans; 2. Export proceeds realization of clients; 3. Issuance of Foreign Equity through ADRs/GDRs or other similar instruments; 4. Issuance of foreign currency Bonds; 5. Sale of securities and other financial instruments; 6. Other receivables not connected with services rendered by financial institutions; and 1) if earned through contract/regular employment abroad (e.g.labour remittances) (b) Payments for services received from EEFC Account; (c) Foreign exchange turnover b .....

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operating under SEZ/EOU/EHTP/STPL/BTP schemes or supplies of services made to such units; (f) Clubbing of turnover of services rendered by SEZ/EOQ/EHTP/STPL/BTP units with turnover of DTA service Providers; and (g) Exports of Goods (h) Foreign Exchange earnings for services provided by Shipping Lines Service providers from plying from any country X to any country Y routes not touching India at all. 'Served from India Scheme' is a policy and that is set out in Chapter 3 of Foreign Trade P .....

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dian Brand projecting a Unique Indian Identity and commanding respect and recognition world over is sought to be created. If that is what is held and concluded, then, that it is a imminently possible and reasonable view. Particularly, going by the language of the paras noted above. Such a view does not require our interference in Writ Jurisdiction. 38. We need not go into the list of services and enlisted in Appendix 41 for the simple reason that the same only sets out and clarifies the services .....

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od by the learned Single Judge. However, what he had before him was the letter dated 11th July, 2012 where the Petitioner-Yum Restaurants (I) Pvt.Ltd was informed that its application was rejected because the name of company represents brand not essentially identified as Indian Brand. It was therefore, not permitting an Indian brand or company as that does not contribute in creating a powerful and unique served from India brand. Hence the objective of the scheme is to accelerate growth in export .....

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for short 'Nokia'). The learned Judge, with great respect, has understood the matter only as one raising the question of power of the authorities under the Foreign Trade Act. With great respect, we disagree with the learned Single Judge. The learned Single Judge also failed to note that parties like the Petitioner do not have a vested right in seeking or claiming incentives and benefits under what we call as Duty Credit Scrips. It is only when they fulfill the criteria and the provisions .....

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the views of the Delhi High Court and the challenge cannot be construed to be arising in the backdrop of section 5 of the Foreign Trade Act. There is no other view and which has been brought to our notice. 40. Having considered all contentions raised, before us, we are of the view that the order of the Central Government and impugned in these Petitions deserves to be upheld. It is accordingly upheld. 41. As far as the past benefits and forfeiture of fine is concerned, that is a issue which must .....

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Highlight: Safeguard Duty - Advance License Scheme - as there is no exemption from safeguard duty leviable under Section 8C, which is imposed on the goods imported from China, the importer has to pay safeguard duty

Forum: Rent a cab operator

Highlight: Manufacture - process of cutting of waste plastic container - Such plastic containers before and after cutting are nothing but waste / scrap - Not a manufacturing activity as no new product emerges.

News: NITI Aayog and Govt. of Assam organizes workshop on health sector reforms in Guwahati; launches SATH- Sustainable Action for Transforming Human Capital

Notification: Seeks to amend notification no. 5/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding restriction of refund on corduroy fabrics

Notification: Seeks to amend notification no. 2/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst exemptions

Forum: GSTR 3B Rectification

Notification: seeks to exempt Skimmed milk powder, or concentrated milk

Notification: Seeks to amend notification no. 2/2017- integrated tax(rate) dated 28.06.2017 to give effect to GST council decisions regarding GST exemptions.

Forum: 3B mistake

Notification: Seeks to amend notification no. 1/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates

Notification: Seeks to amend notification no. 1/2017- integrated tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates.

Forum: GST - TRAN1 - filed - Data uploaded with Remarks Processed with Error - Not coming in Electronic credit ledger - need suggession guidance

News: Notification Issued For GST Actionable Claim On Branded Food Products

Highlight: Classification printed computer stationary/manifold Business Forms - to be classified under Chapter Heading 4820.00 or under Chapter Heading 4901.90 - items like A4 sheets, advertisement and job card to be classified under Chapter 49

Forum: GST Invoice

Notification: Amendments in the notification No.5/2017- Integrated Tax (Rate) dated the 28th June, 2017.

Article: Websites of Government Departments need lot of improvement. We are noticing detoriations in them for example, case of website of ITAT.

Article: RCM – Applicability to persons not liable to get registered us 23(1)

Article: Credit of unsold stock [Section 140(3)] - Actual Credit as well as Notional Credit - Part-I - GST Transitional provisions

News: GST Refund - Blockage of Working Capital of Exporters - earlier also there was a normal blockage of funds for a period of 5-6 months at least

News: Clarification about Transition Credit - ₹ 1.27 lakh crore of credit of Central Excise and Service Tax was lying as closing balance as on 30th June, 2017 - claim of credit of ₹ 65,000 crore is not unexpected

Article: 20 Things You must know about E Way Bills in GST Law

Article: MISTAKES IN DRAFTING

Forum: Duty Drawback- Urgent

Highlight: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg. - Circular

Highlight: The definition of "subsidiary company" or "subsidiary" u/s 2(87) of the Companies Act, 2013 shall come into force w.e.f. 20-9-2017

Highlight: Central Government notified the All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017 - Notification

Notification: All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017

Circular: Investment by Foreign Portfolio Investors in Corporate Debt Securities – Review

Notification: Exemptions on supply of services under UTGST Act

Notification: Rates for supply of services under UTGST Act

Notification: Exemptions on supply of services under IGST Act

Notification: Rates for supply of services under IGST Act

Notification: List of Exempted supply of services under the CGST Act

Notification: Rates for supply of services under CGST Act

Highlight: Acceptance of deposits by companies from its members - conditions relaxed in case of Specified IFSC Public company and a private company - Rule 3 amended

Notification: Rate of exchange of conversion of the foreign currency with effect from 8th September, 2017

News: Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Circular: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg.

News: GST implementation smoother than expected: Jaitley

Forum: Due date of Filing TRAN-1

Highlight: Diversion of income at source - Joint venture agreement - 97% of the receipt transfer to M/s TRG Industries (P) Ltd. - scope of the agreement - it is diversion by overriding title - not taxable in the hands of assessee - HC

Highlight: Expenditure on eligible projects or schemes u/s 35AC - After 01.04.2017 the legislature desired to withdraw such deduction. - The Union legislature was competent to introduce such amendment - HC

Highlight: Transfer of trading assets at cost price, the profit component also stood transferred to the outgoing Directors, which otherwise belonged to the Company - the fact that AO has made the addition in the hands of the Directors would not make any difference - additions confirmed - HC

Highlight: The interest u/s 234B of the Act cannot go beyond the stage of S.245D(I) before the Settlement Commission - HC

Highlight: Galvanized iron pipe is a different commercial commodity than a iron pipe, therefore the activity of galvanization in our considered opinion amounts to manufacture - Deduction u/s 80-IB allowed - HC

Highlight: Penalty u/s 271C - non deduction of TDS on interest paid to sister concerns in terms of Section 194A - Levy of penalty confirmed - HC



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