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Cus - Export of non-basmati rice - Notification 20/2023 insofar as it denies the benefit of the transitional arrangement as contained in para-1.05 of the FTP 2023, is bad in law: HCCus - Refund of SAD - 102/2007-Cus - Areca Nut and Supari are one and the same - Objections with regard to name, nature and status of importer or buyers or the end use of goods purchased by them etc. are extraneous: HCCX - Interest on Refund - Since wrong order annexed by petitioner in paper book, Bench is unable to proceed further - Petition is dismissed with liberty to file a fresh one: HCGST - No E-way bill - When petitioner imports machinery and after Customs clearance, transports same to his own factory, it cannot be said that such a transportation would fall within the definition of term 'supply' - Penalty imposable under second limb of s.129(1)(a): HCGST - Fix responsibility on officers who allowed BG to lapse - Petitioner not justified in not renewing BG - Cost of Rs.15 lacs imposed, to be paid to PM Cares Fund: HCGST - Since the parties agree that petition can be disposed of on the basis of records available before Appellate Authority, petitioner is directed to enclose all documents filed before Appellate Authority in a compilation, in form of a paper book: HCWrong RoadST - Whether any service is used for personal consumption or not is certainly question of fact and being question of fact, no substantial question of law arises: HCGovt proposes to amend Geographical Indication of Goods Rules; Draft issued for feedbackST - If what has been paid as tax is without authority of law, Revenue should refund the same - Denial of credit would result in the whole exercise being tax neutral: HCWarehousing Authority notifies several agri goods to be stored in only registered warehousesST - Even if the petitioner may have a case on merits, it is best left to be decided by the Appellate Authority under the hierarchy prescribed under the FA, 1994: HCUS FDA okays Eli Lilly Alzheimer’s drugGST - Petitioner challenges jurisdiction of assessing officer - Petitioner is entitled to file an appeal u/s 107 by availing an alternate efficacious remedy: HCFive from Telangana killed in car accident on Pune-Solapur HighwayGST - Existence of an alternative remedy is a material consideration but not a bar to the exercise of jurisdiction: HCHush money case against Donald Trump - Sentencing deferred to Sept 18GST - It is open to a trader to take goods by whichever route he opts, unless the law otherwise requires, destination point being intact: HCDeadly hurricane Beryl smashes properties in JamaicaGST - Conclusion that taxable person is providing a service to supplier while taking the benefit of a discount by facilitating an increase in the volume of sales of such supplier is ex facie erroneous and contrary to the fundamental tenets of GST law: HCIsrael claims 900 militants killed in Rafah since May monthGST - Order expressly records that personal hearing notice was returned with endorsement 'no such person at address' - Since petitioner has shifted to a new premises, it is just and necessary to provide an opportunity to contest demand: HC116 die in stampede at UP ’Satsang’I-T- Application for revision of order dismissed in limine on grounds of delay; case remanded for re-consideration: HCWe are deepening economic ties with India, says US officialI-T- As per Section 119(2)(b), power to condone applications relate to claims for amount exceeding Rs 50 lakhs are to be considered by CBDT; however it is impermissible for CBDT to pass order on merits: HC8 Dutch engineers build world’s longest bicycle - 180 feet, 11 inchesI-T- Additions framed u/s 68 for unexplained income & u/s 69 for unexplained expenditure not tenable where complete transactional details are furnished & not doubted: HCRailways earns Rs 14798 Crore from Freight loading in June monthI-T- Delay in filing ITR is per se insufficient reason to estimate assessee's profit @15% on turnover, more so where audited financial report is filed in timely manner: ITATMoD inks MoU to set up testing facilities in Unmanned Aerial System in TN Defence Industrial CorridorI-T- For invoking section 69A, assessee should be found to be owner of any money, bullion, jewellery or other valuable article & which is not recorded in the books of account: ITATGovt proposes Guidelines for ethical approach to Coal MiningI-T- TDS credit can be allowed based on AIS, where details pertaining to TDS, advance tax & other payments are reflected in Form 26AS: ITATVaishnaw to inaugurate Global IndiaAI Summit 2024I-T- Lending money with the primary intention of earning interest can be considered a business activity, but nature and manner of lending, as well as the frequency, should be taken into account: ITAT
 
CBEC gears up for audit in GST era; directs officers to focus on voluntary compliance

By TIOL News Service

NEW DELHI, JULY 19, 2017: ALTHOUGH the process of audit in the post-GST era would take more than a year to begin but the Directorate of Audit seems to be gearing up for its mega exercise. In the latest communication to all Chief Commissioners, the DG has stated that there should be no break in the functioning of these Commissionerates and the records for the accounting year 2016-17 would need to be adequately checked to plug any revenue leakage. The communication also refers to the CBEC approval of the Audit Strategy based on risk scores like in the past and the Chief Commissioners would use the same scores to allocate the assessees among 48 Audit Commissionerates.

The DG has also observed that as per the provisions of Section 174 (2)(e) of the Central Goods and Services Tax Act 2017, the audit functions would continue to be exercised by CBEC over its tax payers and irrespective of the distribution of administrative control of the registered taxpayers between Central and State Administration, the financial records / books of accounts pertaining to 2016-17 and for the past period can be taken up for verification in the year 2017-18 by Audit Commissionerates. In any case for the past period (i.e. before the appointed date) State officers would not have any power of audit under Central Excise and Service Tax. This work would be the domain of CBEC only.

He further states that the Audit Directorate has already run the risk assessment programme and created list of assessees in Large, Medium and Small categories for each of the erstwhile 45 Audit Commissionerate. Six lists each, i.e. Large, Medium and Small for Central Excise and Service Tax respectively for each Audit Commissionerate is being sent by email to the Chief Commissioner of GST and Central Excise, as well as to the zonal units of the Directorate General. The list contains the CDR code which can be used for such distribution.

The key features of the list are as under:

(i) The categorisation and risk evaluation has been carried out on the Central Excise Returns (ER1, ER2 and ER3) and Service Tax (ST3) data provided by EDW for the financial years 2015-16 and 2016-17.

(ii) The categorisation of the taxpayers into Large, Medium and Small, has been carried out in exactly the same manner as was done in last two years. A document containing the threshold limits for Audit Commissionerates will also be sent by email. Since there has been no feedback from field formations on the assumption on working strength used by this Directorate General, the same assumption of 50% of Sanctioned Strength as Working Strength, has been used.

(iii) The list of assessees sent by email contains the risk scores, whether the assessee is manufacturing sensitive commodity or rendering sensitive service, type of assessee,- whether proprietor, company, firm or government owned; and type of return filed by the assessee.

(iv) The Chief Commissioner's office shall distribute the list of taxpayers to the appropriate Audit Commissionerates in their jurisdiction and selection of taxpayers may be carried out by Audit Commissionerates by applying local risk factors, including whether it has been audited in 2016-17. A schedule of taxpayers to be audited by each Audit Commissionerate may be prepared by taking into account the actual working strength and prescribed norms. At the preparatory stage, the said schedule is to be discussed with the Chief Commissioner's office and the jurisdictional zonal unit of this Directorate General. In case any taxpayer has been audited in 2016-17, they can be ignored and taxpayer contains the CDR code which can be used for such distribution.

The DG has also noted a word of caution for keeping the focus on the transfer of accumulated / excessive CENVAT credit to CGST during the transition to GST. The officers should also be advised to educate the taxpayers with respect to the provisions under GST, should such requests arise during audit and encourage voluntary compliance. He has advised that the Audit Commissionerates should also be advised that the audits should be conducted in such a manner so as to cause least inconvenience to the taxpayer, particularly to medium and small taxpayers. There should not be any disruption in the conduct of business by the taxpayers.


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