International Tax Ruling


Constitution Bench holds supply / installation of elevators as 'works contract', not 'sale'

Supreme Court’s 5-Judge Constitution Bench overrules 3-Judge Bench ruling in Kone Elevators Ltd; Manufacture, supply and installation of lifts constitutes “works contract”, not &ldqu...View More

Dismisses PIL involving 'Nano' project; Upholds State Govt's VAT incentive scheme 

Gujarat State Govt incentive by way of loan at 0.1% simple interest p.a. to Tata Motors Ltd (TML), for Nano car project, does not amount to “refund of VAT”; HC dismisses Public Interest Li...View More

Denies input credit; Premises rented for job worker not "relating to business” 

Service tax paid on rented premises hired & given out to job worker not eligible for credit; Job-worker an independent entity working on principle to principle basis with manufacturer, cannot be t...View More

Directs Nokia to part - deposit Rs 2400 Cr VAT demand to protect Revenue's interests 

Madras HC orders deposit of 10% of Rs 2400 Cr. tax demand on Nokia India as revenue safeguard, while remanding Tamil Nadu VAT assessment for AY 2009-10 to 2011-12 for fresh consideration; Quashes asse...View More

Quashes demand absent valid enactment authorizing purchase tax levy on SEZ units 

HC quashes demand, State cannot levy purchase tax on SEZ unit vide subsequent amendment in Gujarat VAT Act, absent any provision giving primacy over State SEZ Act; Sec 22 of Gujarat SEZ Act provides o...View More

Allows import of branded mobiles; Revenue cannot question ownership of IMEI numbers 

CESTAT allows import of branded mobile handsets (Mobiado) carrying IMEI numbers of original manufacturers like Nokia and Samsung; Confiscation and direction of re-export in terms of Commerce Ministry ...View More

FICCI & ECSEPC not 'club / association'; Service tax demand unsustainable 

Services provided by FICCI and ECSEPC to its members / non-members not taxable as “Club or Association” services u/s 65(25a) r/w 65(105)(zzze) of Finance Act; FICCI a charitable institutio...View More

Service classification / rate issues appealable before SC; Earlier HC rulings not precedents 

HC dismisses Royal Bank of Scotland’s appeal, questions relating to classification and determination of rate of duty maintainable before SC u/s 35L of Central Excise Act; Relies on Delhi HC ruli...View More

Air ticket cancellation charges not taxable under 'air travel agent service' category 

No service tax applicable on flight cancellation charges collected by air travel agents from their clients u/s 65(105)(l) of Finance Act; Cancellation charges part of airfare received from persons boo...View More

Calls for "camaraderie" among judges; Discusses disturbing trend of Third Member references 

Bombay HC calls for cordiality, co-operation, courtesy and respect amongst CESTAT Members to avoid frequent divergence of opinion on factual issues; Bombay HC analyses CESTAT functions and powers and ...View More