2022-TIOL-145-HC-MAD-IT

Sameera Foundations Pvt Ltd Vs ACIT

In writ, the High Court observes that the assessee has concurrently filed appeal before the National Faceless Assessment Centre. Thereby the Court observes that writ and appellate remedy cannot operate jointly and thus relegates the assessee to pursue appellate remedy.

- Assessee's appeal dismissed: MADRAS HIGH COURT

2022-TIOL-144-HC-MUM-IT

Macrotech Developers Ltd Vs ACIT

Whether reopening of assessment without any basis and merely change of opinion is not permissible while exercising powers u/s 147 r/w/s 148 - YES: HC

- Assessee's petition allowed: BOMBAY HIGH COURT

2022-TIOL-143-HC-MUM-IT

Pr.CIT Vs Goldline Pharmaceuticals Pvt Ltd

Whether the CBDT Circular No. 5 of 2012 pertaining to disallowace of certain expenses, can be applied with retrospective effect - NO: HC

- Revenue's appeal dismissed: BOMBAY HIGH COURT

2022-TIOL-142-HC-KAR-IT

Megacity Bangalore Developers And Builders Vs Chief CIT

In writ, the High Court observes that the assessee requires access to the seized books of accounts and documents in order to prepare its defence adequately. Hence the Court directs the Revenue authorities concerned to return the seized material to the assessee while retaining photocopies of the same for use by the Revenue.

- Writ petition allowed: KARNATAKA HIGH COURT

2022-TIOL-141-HC-KAR-IT

Wellnest India Projects Pvt Ltd Vs Addl./Joint/Deputy/ACIT/ITO/National E-Assessment Centre

In writ the High Court accepts the submissions of the assessee regarding the latter's inability to submit replies due to non receipt of the notices. Hence the Court quashes the assessment and consequent demand notices. The Court also remands the matter back to the AO for passing fresh order.

- Case remanded: KARNATAKA HIGH COURT

2022-TIOL-140-HC-KERALA-IT

Eurotech Maritime Academy Pvt Ltd Vs ITO

In writ, the High Court observes that the issue at hand stands settled vide the judgment in M/s. Sarala Memorial Hospital v. Union of India and Another wherein it was held that the amendment of Section 200A would take effect only with effect from 1st June, 2015 and is thus prospective in nature. Hence the Court observes that the assessee in the present case cannot be held liable to pay late fees.

- Writ petition allowed: KERALA HIGH COURT

2022-TIOL-05-AAAR-GST

Erode City Municipal Corporation

GST -   AAR held that the Services (of Maintenance of park, providing market facilities daily/weekly, providing bays in bus stand, providing stand for cycle, scooter, auto, four wheeler in bus stand and other places, providing slaughter house facilities, providing toilet facilities and entry of vehicle in the market) by way of any activity in relation to a function entrusted to a Panchayat under article 243G of the Constitution or to a Municipality under article 243W of the Constitution is treated neither as a supply of goods nor a supply of service in terms of notification 14/2017-CTR as amended by notification 16/2018-CTR; that providing room on rent for  temporary stay, providing travellers bungalows & rest house is exempted from tax as per sl. No. 14 of 12/2017-CTR for the reason that the room rent/day/person does not exceed Rs.1000; that facility of providing locker rent facilities is taxable as it does not fall under notification 14/2017-CTR and is taxable - Applicant is aggrieved by this order on various counts and hence has filed an appeal. Held: + The very terms of reference for AAR as per S.95(a) is to provide a ruling for an applicant, in relation to a supply being or proposed to be undertaken by the applicant only  -  In such a scenario, the ruling sought by the applicant is not for the activities undertaken by him but sought for the activity in general which is not permitted under S.95, especially when for the same service done by the tender contractors of the appellant, the same question has been raised by the appellant vide Q2 - It appears only to be a ploy and an extravagant claim without support by any legal fiction or rule nor even equity but only done to lure the AAAR into a trap of self-contradiction while answering further questions later and is therefore, highly condemnable - Appeal is not entertained: AAAR

+ On a harmonious reading of the provisions of the Tamil Nadu District Municipalities Act, 1920, together with the Twelfth Schedule to Article 243W of the Constitution, providing bus stand in an area under the municipality with amenities for public at large is one of the activities of the municipality undertaken in the capacity of a public authority - Providing locker facility in a bus stand for the common man for which a fee is charged is only an activity ancillary to constructing a bus stand and, therefore, there is no room for doubt that locker facility for common public in bus stand is an activity undertaken by the municipality as a function entrusted under 243W of the Constitution and the services of charging rent or fee collection for such a facility is neither a supply of goods nor a supply of service as per notfn. No.14/2017-CT(R) and hence exempt - It is not the proportionality of the activity which determines whether it is in relation to the function but the implications of the legislative assessment of the term 'in relation to' is more tilted towards nexus, inseparability and identity of the activities involved with the functions and not merely on other parameters - However, in this case, the tender contractors appear to render back to back services to the municipal corporation - Such exemption is   available to contractors also provided the same are rendered as back to back services to the appellant -  Needless to say, this exemption will not apply if the contractor has performed an activity that only has an indirect connection with the functions entrusted or if the activity is only an incidental component of a more comprehensive supply of other services: AAAR

+ Operation of flower shops by contractors, Bunk Stalls by contractors as well as advertisement rent through TVs installed in the bus stand, as awarded by the appellant, since the same are earmarked to be kept at a particular location and at the same time ensuring prominence of location to attract buyers and further since a rent is fixed under contractual agreements, the same would fall under 'renting of immoveable property' services as defined under definitions 2(zz) under the notfn. No. 12/2017 and the exemption under sl.no . 7 of notfn no. 12/2017-CT (Rate) is available as well as charging of tax on RCM basis under sl. No. 5 of notfn. 13/2017-CT(R) subject to fulfilment, of the conditions spelt out therein: AAAR 

+ In respect of supply of services of allowing road cutting and the subsequent track renting, the situation being factual inasmuch as the road cutting is followed by laying of cables by telephone companies for which track rent is collected, the supply would be a 'Composite Supply': AAAR

- Appeal disposed of: AAAR