International Tax Ruling


'Bought-out’ parts not includible in assessable value of manufactured goods; Rejects reliance on 'utility test' 

SC, ruling in favour of the Assessee (manufacturer of boilers and boiler parts), quashes the excise duty demand of Rs. 2.24 lakh for April–June 2000, holding that the value of duty-paid, bought-...View More

No service tax on land trading done for Sahara absent agreed consideration 

CESTAT Delhi, observing the lack of consideration provided for the alleged service, holds that Elegant Developers (Assessee) is not liable to service tax under the category ‘Real Estate Agent Se...View More

Copy of SC order affirming CESTAT’s Rs. 125 cr demand drop on Airtel over CFA 

Copy of SC order dismissing Revenue’s appeal against CESTAT Chandigarh order that sets aside a Rs. 125 crore penalty and service tax demand on Bharti Airtel (Assessee) over the ‘Call Free ...View More

No ‘first sale’ in selling scraps items independently after segregation; Sales tax justifiably dropped 

Telangana HC upholds the Sales Tax Appellate Tribunal order that set aside sales tax levy on sale of scraps items independently after segregation pursuant to purchasing of the the said scrap; HC obser...View More

Buyer not liable for seller’s non-remittance of output-tax; Revenue to act against defaulting vendor 

Madras HC setting aside Sales Tax Appellate Tribunal order, quashes purchase tax levy u/s 7A of the Tamil Nadu General Sales Tax Act (TNGST) on Light Roofings Ltd (Assessee) for the AYs 1993-94 to 199...View More

Second SCN premised on ‘changed law’ impermissible; Adjudication after 16 years time-barred 

Allahabad HC quashes SCN issued to Assessee seeking recovery of Rs. 3.06 crores (approx.) and interest on the allegation that Additional Excise Duty (AED) credit was wrongly used for payment of Basic ...View More

VAT Tribunal’s non-consideration of key appeal grounds violates natural justice; Remands matter 

Gujarat HC sets aside Gujarat VAT Tribunal’s order for non-consideration of appeal grounds, and reaffirms that “it is a fundamental proposition of law that the other side should be heard a...View More

Food supplied by Taj Residency to Indian Airlines for in-flight catering taxable at concessional rate 

Telangana HC, granting relief to Taj Residency (Assessee), dismisses Revenue’s tax revision against the order of Sales Tax Appellate Tribunal, Hyderabad, holding that for AYs 1997–98, the ...View More

Denial of cross-examination not natural justice violation when Assessee fails to cooperate with proceedings 

Delhi High Court dismisses the assessee’s plea of natural justice violation against DGGI Mumbai’s demand order over alleged clandestine pan masala manufacture in Dabri, observing that &ldq...View More

Payments made to sub-contractors excluded from Principal contractor’s taxable turnover; Harps on accretion theory 

In the matter of double taxation in works contract, SC dismissing Revenue’s appeal, upholds Karnataka HC judgement that exonerated the principal contractor from payment of VAT in respect of port...View More