Taxation Law - Validity of Tribunal Orders - Section 57 Haryana VAT Act - Quorum of Members - Order Passed by Remaining Members after Retirement of One Member - The court held that when a matter is heard by a full-member bench, the decision must be pronounced by the same bench. If one member retires before the pronouncement, the bench is no longer validly constituted, and the remaining members can...
Service Tax – Penalty for Non-Payment – Appeal against Tribunal's order imposing penalty under Section 78 of the Finance Act, 1994 for delay in depositing service tax – Service tax collected for legal consultancy services, which were not taxable at the time of collection – Appellant deposited the amount after insistence by Revenue – Tribunal held willful suppressi...
Taxation Law – VAT on Sale of Flats – Challenge to Validity of Sections and Rules – Developers contest inclusion of land value in VAT – Held, building contracts involving sale of flats include an element of sale of goods – Such contracts are species of works contracts under Article 366(29A)(b) of the Constitution – VAT applicable only on value of goods incorpora...
Property Tax – Liability of Subsequent Owner – High Court directed Rajkot Municipal Corporation (Appellant) to refund a portion of property tax paid by Avenue Supermarts Limited (Respondent No. 2) related to arrears prior to the acquisition of ownership – Appellant's argument based on Sections 139 and 140 of the Gujarat Provincial Municipal Corporation Act, 1949 (GPMC Act) th...
Property Law – Registration of Sale Certificate – Denial based on Income Tax dues – Karnataka High Court’s direction to Sub-Registrar for mandatory registration despite pending dues – Importance of SARFAESI Act provisions emphasized – State Government directed to issue compliance circulars to Sub-Registrars – The petitioner sought mandamus directing the Su...
FTS under DTAA – Interpretation and Application - Income from advisory and consultancy services by IMG not meeting "make available" test under Article 13 – Tribunal erred in holding the income as FTS – Services rendered not transferring technology or knowledge enabling BCCI to apply independently [Paras 102-108].
Section 9(1)(vii) of the Income Tax Act &nda...
Income Tax – Revision of Assessment – Appellant sought revision of assessments for 2007-2008 and 2009-2010 to treat losses on the sale of shares as business losses – Appellant contended for uniform treatment of income by the Department – Revision petitions dismissed for delay – High Court upheld the dismissal, noting statutory limitations and lack of timely action by ...
Income Tax – Transfer Pricing Adjustments – Royalty Payments – The ITAT deleted the TP adjustments of INR 1,99,57,161/- related to royalty payments made by Samsung India to its parent company – ITAT found that Samsung India operates as a full-fledged licensed manufacturer and not as a contract manufacturer – Royalty payments were made for technical know-how and expert...
Foreign Exchange Regulation – Contravention Allegations – ITC Limited challenged proceedings initiated under FERA for alleged unauthorized foreign exchange transactions – Key allegations include remittance of funds generated through counter trade and failure to repatriate amounts to India – Searches at ITC premises and recording of statements of executives supported allegat...
International Taxation – Taxability of Guarantee Charges – Indo-UK DTAA – Income Accruing in India – The appeal involves the issue of whether the guarantee charges received by the appellant, a UK-based company, from its Indian subsidiaries for providing parental corporate guarantees to foreign banks can be taxed in India. The appellant contended that since the source of the...