I-T - Search assessment u/s 153A cannot be resorted to where no material incriminating the assessee is found in course of search operations : ITAT

I-T- PCIT has rightly invoked power u/s 263 as activities for which claim u/s 80IA (4) is claimed and allowed by AO does not come under purview of infrastructure project : ITAT

I-T - Where order is passed u/s 143(3) & not u/s 144, it implies that subsequent compliance in assessment proceedings is good compliance & default committed earlier are ignored : ITAT

I-T - Re-opening of assessment merits being sustained where it is based on proper information sourced from the jurisdictional DCIT : ITAT

I-T - Re-assessment notice issued without prior approval of jurisdictional CIT contravenes mandate of Section 151(2) and hence is invalidated : ITAT

I-T- It would be reasonable to sustain addition @ 10% of amount of bogus purchases, being profit element involved therein : ITAT

I-T – Interest on funds borrowed by assessee to give interest-free loan as a measure of commercial expediency should be allowed as deduction u/s 36(1)(iii) : ITAT

I-T- On The basis of mere disallowance of expenditure claimed as per books of account, penalty u/s 271(1)(c) cannot be levied unless any particulars in return of income has been found to be false or incorrect: ITAT

I-T - Penalty notice issued u/s 271(1)(c) r/w Sec 274 cannot be sustained where relevant charge against assessee, forming basis for imposing penalty, is not specified: ITAT

GST - TRAN-1/2 - Directions were issued in September 2019 to allow petitioners to file declaration and claim transitional credit - since directions not yet complied, Nodal officer to personally remain present before Court: HC

GST - GSRDC is a Government Entity as well as a Government Authority - development of bridges and roads is exempted vide Sr. No. 3 of Not. 12/2017-CTR: AAR

GST - Transfer of business by AAI to M/s. Adani Ahmedabad International Airport Limited is supply of 'Transfer of a going concern' service and exempted vide Entry No. 2 of 12/2017-CT(R): AAR

GST - Invoice raised by AAI for reimbursement of salary/staff cost on M/s. Adani Ahmedabad International Airport Limited - reimbursement of cost is exempt: AAR

CX - Not granting access to Relied Upon Documents contravenes principles of natural justice, which is foremost requirement to be complied with - assessment order quashed: CESTAT

Cus - Refund of SAD - Original challans evidencing payment of ST/VAT need not be produced & production thereof need not be insisted upon: CESTAT

2021-TIOL-2048-HC-DEL-GST

Tarun Jain Vs Directorate Intelligence of GST Intelligence DGGI

GST - A pplication is filed u/s 438 Cr.P.C. seeking anticipatory bail for offence punishable u/s 132 of CGST Act, 2017 - Applicant submits that since the entire evidence present in the case is based on documents and, therefore, his custodial interrogation is not required; furthermore, the other co-accused has already been enlarged on bail vide order dated 30.09.2021 by the Coordinate bench of this Court - Applicant undertakes that he shall appear before the authority  concerned whenever required and that he shall abide by any condition imposed by the Court while granting anticipatory bail - Counsel for Respondent revenue submits that  there are several records available to show that the applicant is trying to influence the witness; that same facts were also recorded by the Court below while rejecting the anticipatory bail; that in spite of assurance to appear before the Division Bench, the petitioner has chosen not to appear before the authority/investigating agency concerned and, therefore, he is not entitled for the anticipatory bail and, therefore, the said application is devoid of any merit and is required to be dismissed.

Held: Counsel for petitioner submits that  that the counsel who has appeared on the earlier date before the Division Bench had given the undertaking without instruction of the applicant -

It is admitted fact that the applicant has given the undertaking in their bail application to appear before the investigating authority on 08.10.2021 - As respondent Revenue has sought time for filing a status report, Bench allows the same to be filed within seven days - Matter to be listed on 25.10.2021: High Court [para 17, 18]

- Matter listed: DELHI HIGH COURT

2021-TIOL-2047-HC-AHM-GST

Siddharth Enterprises Vs Nodal Officer

GST - By a common judgment dated 06.09.2019 = 2019-TIOL-2068-HC-AHM-GST , respondents were directed to permit the writ applicants to allow filing of declaration in form GST TRAN-1 and GST TRAN-2 so as to enable them to claim transitional credit of the eligible duties in respect of the inputs held in stock on the appointed day in terms of Section 140(3) of the Act - It has been more than two years but the directions have not been complied with. Held : All that is required to be done is to open the portal and allow the original writ applicants to file declaration in Form GST TRAN 1 and GST TRAN 2 so as to enable them to claim the transitional credit of the eligible duties in respect of the inputs held in stock on the appointed day in terms of Section 140(3) of the Act - Bench, therefore, directs the Nodal Officer, D/5, E-Governance Branch, Rajyakar Bhavan, Ashram Road, Ahmedabad to personally remain present before the Court on 27.10.2021 at 11:00 a.m - Matters posted on 27.10.2021: High Court [para 7, 9]

- Matter posted: GUJARAT HIGH COURT

2021-TIOL-240-AAR-GST

Gujarat State Road Development Corporation

GST - Government of Gujarat has established GSRDC as its wholly owned company and entrusted it with the development of roads and bridges, therefore, GSRDC satisfies the definition of Government Entity - GSRDC also constructs roads, sideways, paths on the land which falls under the jurisdiction of Municipality and Panchayat - Roads and bridges are activities entrusted to a municipality under Article 243W of the Constitution and to a Panchayat under Article 243G of the Constitution - Therefore in such specific cases where GSRDC constructs municipal roads/bridges or village roads/bridges, it satisfies the definition of Government Authority - Supply by applicant is exempted vide Sr. No. 3 of Not. No. 12/2017-CT (Rate) : AAR

- Application disposed of: AAR

2021-TIOL-239-AAR-GST

Airport Authority of India

1 . Whether the transfer of business by the AAI to the M/s. Adani Ahmedabad International Airport Limited be treated as Supply u/s. 7 of the Central Goods and Service Tax Act, 2017 viz-a-viz Gujarat State Goods and Service Tax Act, 2017? Ans. Supply of 'Transfer of Going Concern service' is Supply under Section 7 CGST Act. 2. Whether the transfer of business by AAI to M/s. Adani Ahmedabad International Airport Limited is treated as supply as going concern and covered in clause 4 of schedule II of CGST Act viz-a-viz GSGST? Ans. Subject Supply is 'Transfer of Going Concern Service', therefore, there arises no need to examine Schedule II(4) CGST Act 3. Whether the transfer of business by AAI to M/s. Adani Ahmedabad International Airport Limited is covered under the Entry No. 2 of the exemption notification No 12/2017 - Central Tax (Rate) dated 28-06-2017 issued u/s Section 11 of CGST Act 2017? Ans. Subject Supply is covered at Entry No. 2 of Notification 12/2017-CT (R). 4. If the answer is negative, then whether GST is leviable on the transfer of Existing assets ("RAB"), Aeronautical Assets, non-aeronautical assets and Capital work in progress by AAI to the M/s. Adani Ahmedabad International Airport Limited? Ans. Ruling not required in view of ruling given to Q.no.3 5. Whether the aforesaid transfer of asset be treated as services and the classification for the same? Ans. Ruling not required in view of ruling given to Q.no. 2 & 3 6. Whether the concession fees paid by M/s. Adani Ahmedabad International Airport Limited to AAI be treated as consideration for transfer of business? Ans. Concession Fee is a part of the Consideration paid by SPV to AAI in subject matter. 7. Whether GST is applicable on Monthly/Annual concession fees charged by the AAI on the M/s. Adani Ahmedabad International Airport Limited? Ans. Consideration for the subject Supply is exempt from GST vide Entry No. 2 of Notification 12/2017-CT (R) dated 28-6-2017 8. Whether GST is leviable on the invoice raised by AAI for reimbursement of the salary/ staff cost on M/s. Adani Ahmedabad International Airport Limited? If yes at what rate? Ans. Contract is for 'transfer of going concern service', therefore the consideration / reimbursement of cost is exempt from GST 9. Whether GST is applicable on the reimbursement claimed of Municipal tax, Property Tax and Water Charges by the AAI from M/s. Adani Ahmedabad International Airport Limited? If yes at what rate? Ans. Contract is for 'transfer of going concern service', therefore the consideration / re-imbursement of cost is exempt from GST 10.Whether GST is applicable on transfer of spares and consumables for consideration by the AAI to M/s. Adani Ahmedabad International Airport Limited? If yes at what rate? Ans. GST on proposed supply of spares and consumables by AAI to SPV, these supplies being outside the scope of subject contract, is leviable to tax.

- Application disposed of: AAR

2021-TIOL-664-CESTAT-MAD

Aditya Chemicals Vs CC

Cus - The assessee-company filed an application for refund of SAD, in respect of the relevant period, in terms of Notification No. 102/2007-Cus. - The original authority rejected the refund claim on grounds that the assessee had not furnished the Chartered Accountant certificate as well as correlation statement as required under para 5 of Circular No. 6/2008-Cus., dated 28.4.2008 - Before the Commissioner (Appeals), the assessee furnished the CA's certificate as also the correlation statement - However, the appeal was rejected on grounds that such documents were not be furnished before the Commissioner (Appeals) - Hence the present appeal. Held - The reason for rejection of the refund claim is that the assessee did not produce original ST/VAT challans - The Board vide Circular No. 16/2008-Cus clarified that it is not required to produce the original challans - In the present case, there is no doubt with regard to any of the VAT/ST paid by the assessee - It is summarily rejected stating that the assessee has not produced the original challans - As per the Circular, the authority cannot insist for producing the entire original VAT/ST challans unless any deficiency memo is issue informing discrepancy - The assessee having furnished Chartered Accountant certificate and the Commissioner (Appeals) having recorded that it stands correlated the rejection holding that assessee has not furnished the original of VAT/ST challan is unjustified: CESTAT

- Assessee's appeal allowed: CHENNAI CESTAT

2021-TIOL-663-CESTAT-AHM

ND Metal Industries Ltd Vs CCE & ST

CX - The assessee filed the present appeal to contest order passed by the Principal Commissioner Central GST & Central Excise, Daman Commissionerate wherein, the demand of Cenvat Credit and corresponding interest, penalties were confirmed as proposed in the Show Cause Notice, personal penalty were also imposed on the co-appellants, under rule 26 of Central Excise Rules, 2002 - The Department alleged that the appellant have availed the Cenvat Credit in respect of imported copper scrap, brass scrap, zinc scrap, aluminum scrap as shown received in their factories. However, the same was diverted in the market but availed the Cenvat Credit thereon on the strength of bills of entry. To substantiate their case the department has relied upon the various documents recovered during investigation. Held - Considering the correspondence between the assessee and the DGCEI, it is seen that a number of letters were written by the office of the adjudication authority to the DGCEI for supplying the required documents - This establishes that the assessee has not been given all the Relied Upon Documents at any point of time - Since, there is no dispute that the assessee were not supplied the relied upon document as mentioned by them, the adjudication should not have taken place in absence of providing the said documents to the assessee - Hence the same is a gross violation of the principles of natural justice on part of the adjudicating authority - As per settled law, principles of natural justice are the foremost requirement to be complied with when passing assessment order - Hence the assessment order is quashed - The adjudicating authority is directed to supply the Relied Upon Documents sought by the assessee and pass fresh order after allowing an opportunity of personal hearing: CESTAT

- Matter remanded: AHMEDABAD CESTAT

2021-TIOL-662-CESTAT-BANG

Simplilearn Solutions Pvt Ltd Vs CCT

ST - The appellant's first refund claim was filed on 31/03/2015 for the period April 2014 to June 2014 wherein Rs. 1,37,69,365/- was claimed - In the O-I-O, the adjudicating authority has adopted the correct refund amount at Rs. 1,06,73,550/- which was based on certification by appellant's statutory auditor - This fact which is recorded in said O-I-O has become final since appeal was filed against the same - In subsequent refund claim, appellant has maintained that the differential amount was recredited to cenvat account vide general voucher - In impugned order, the Commissioner (Appeals) has therefore observed that the appellant had failed to furnish any evidence - The only way out is therefore for the appellant to establish its case before the adjudicating authority with duly supporting documents - The appellant should furnish necessary supporting documents before lower authorities who shall examine the same in the light of appellant's claim for refund - Accordingly, matter is remanded to the file of the adjudicating authority before whom the appellant shall furnish all necessary supporting documents for verification: CESTAT

- Matter remanded: BANGALORE CESTAT