Updates. 30th July 2015.

Competition Act 

Where opposite parties i.e., Hyundai, Reva and Premier held a dominant position in aftermarket for their own brand of spare parts and diagnostic tools, practice of OPs in denying availability of their genuine spare parts severely limited independent repairers and other multi brand service providers in effectively competing with authorized dealers of OPs in aftermarket and, thus, OPs abused their dominant position in contravention of section 4

Income Tax 

Where during search and seizure, investments were found in name of assessee, presumption could only be that they formed part of unaccounted income of assessee and mere fact of producing affidavit of close relatives would not be sufficient explanation.
Hemant Kumar Ghosh v. Assistant Commissioner of Income-tax, Spl. Range-4, Patna. MISC. APPEAL NO.141 OF 2008

Service Tax  

'Designated authorities' under Service Tax Voluntary Compliance Encouragement Scheme amount to 'adjudicating authorities', as they pass order/decision; hence, orders passed by them are appealable as per Finance Act, Narasimha Mills (P.) Ltd. v.Commissioner of Central Excise (Appeals). WRIT PETITION NO. 21799 OF 2014
M.P. NO. 1 OF 2014

RECENT UPDATES - JULY

➡IMPORTANTS NEWS 

1.     Govt. notifies draft Rules on Land Acquisition Act.

➡INCOME TAX

1.     Running an Allopathic Hospital isn't ultra vires to object of improving Ayurvedic system of Medicine.  59 taxmann.com 398 (Delhi) Mool Chand Khairati Ram Trust v. Director of Income-tax (Exemptions).

2.     59 taxmann.com 400 (Mumbai - Trib.) Gurudev Siddha Peeth v. Income-tax Officer, Ward- 1 (1), Kalyan

Section 115BBC is not applicable to institutions like that of assessee trust being a temple or shrine; provisions of this section are meant to check inflow of unaccounted/black money into system with a modus operandi to make out as a part of accounts of institutions like university, medical institutions where problem relating to receipt of capitation fees, etc. is generally highlighted.

3.     IT : Where assessee company expanded its existing business and claimed said expenses as pre-capitalisation cost, same was to be treated as revenue expenditure. 59 taxmann.com 180 (Delhi) Commissioner of Income-tax v. SRF Ltd.

4.     Cap gain of inherited asset is to be computed by taking CII of the year in which asset is acquired by previous owner. 59taxmann.com 202 (Ahmedabad - Trib.)  Harish kumar Babulal Shah v. Income-tax Officer, Ward 10 (3)

5.     Addition made by AO due to bogus purchases was rightly reduced by relying upon verdict of Apex Court : HC.  CIT , Ahmedabad-I vs Premkumar B. Rathi.

➡ BANKING AND CORPORATES LAWS

1.     Delhi High Court allows 'Red FM radio' to participate in e-auction of FM Channels.

2.     Unclaimed amounts of policy holders to be invested in money market instruments and FDs in scheduled banks: IRDA.

➡CST AND VAT LAWS

1.     Auction of goods is illegal if they were seized without evidence. Ruchi Soya Industries Ltd. v. State of Tripura

➡ SERVICE TAX AND EXCISE LAWS

1.     Loading, unloading and shifting of goods within factory doesn't amount to Cargo Handling Services.

2.     Normal loss of finished goods is also liable to duty unless remission application is filed for such loss. Commissioner of Customs & Central Excise v. U.P. State Sugar Corporation Ltd.