Indian Tax Solution
Illegal/Without permission DTA sales of goods manufactured using indigenous raw material and capital goods - They are entitled to benefit of Notification No. 8/97-C.E. as applicable goods cleared with permission.
Misdeclaration - Non-cooperation by applicant - Appellants admitted entire duty liability of present imports but did not admit liability in the case of 33 imports out of 35 in the past - Applicant coming before the Commission to make full and true disclosure of entire duty liability including provisional assessments - Co-applicant, a jobless labourer made as proprietor of applicants firm indicating intention to evade duty and to put the blame on him if they are caught
Clandestine manufacture and removal of goods admitted - Duty already paid within due date of payment and interest not payable - Prompt amendments made by applicant by paying up the duty involved and co-operation extended during the proceedings
From admitting an additional duty liability of Rs. 2.85 Lacs approx. applicant agreed to Bench’s suggestion and agreed to pay full additional duty liability of Rs. 14 Lacs approx. thereby increasing his liability to about Rs. 11 lacs - Immunity granted from payment of penalty and prosecution - Customs duty settled at Rs. 13,86,276.50 and balance to be paid within 30 days
Maintainability of - Section 32E(1)(a) of Central Excise Act, 1944 - Requirement that applicant has to file returns for relevant period showing production, clearance and Central Excise duty paid in prescribed manner is mandatory - Plea that just before approaching Settlement Commission, they filed returns for past period not tenable - Settlement application not maintainable.
EXIM - Sale through duty free shop - Requirement of certification of placement of those goods on board vessel by Revenue officer, satisfied - Non-tallying of signature of buyers with those available on record with Department - Allegation thereof made on visual comparison of signatures
Section 127B(1) of Customs Act, 1962 - Interpretation of - Punctuation mark “semicolon” employed in between two clauses (a) and (b) to Section 127(1) ibid, first proviso is to be necessarily read as “and” and it therefore, follows that both the criteria have to be satisfied for entertaining an application for settlement under the Customs Act, 1962
Luxury cars imported with EPCG benefit but registered for non-commercial purpose without prospect of earning foreign exchange with their use - No evidence brought on record by Revenue to show their use by private individuals - Immunity from penalty and prosecution granted - Immunity granted from interest and redemption fine not granted - Confiscation for violation of EXIM Policy ordered
Onus lies on Department to prove that amount so found with appellant was sale proceeds of offending goods - For want of evidence, seized currency not liable to confiscation - Section 121 of Customs Act, 1962.
Applicant made true and full disclosure of entire amount of Cenvat credit wrongly availed and reversed credit - Applicant also deposited/reversed total duty demanded in show cause notice - Applicant deposited the entire amount towards interest liability before issuance of show cause notice - Amount of total duty liability towards inadmissible Cenvat credit has been deposited and is appropriated towards such liability - No further duty payable
Assessee removed goods clandestinely without issue of invoices and part of value realised in cash from customers - Due to non-availability of sales invoices/bills of applicant for sale and realisation by way of actual sale price, final value/price realised on such goods cannot be considered for cum-duty-price - Demand sustainable
Cenvat credit claimed and reversed - Deduction from duty - Request by applicant - Applicant admitted duty liability as proposed in show cause notice with claim to cum-duty price benefit for purposes of valuation and deduction of Cenvat credit claimed and reversed from demand - Revenue agreeable to claims - Applicant made true and full disclosure of duty liability already been deposited
Ladle slag cleared from slag heaps - Sale of goods is by tender and parties giving the tenders are in no way related/connected to the applicant and there is no flow back of any money - Slag lying in slag heaps and skull scraps are two different products and hence the valuation cannot be correlated - Separate independent tenders to independent parties are also invited for two products establishing the fact that they are separate products and not comparable
Duty liability - Applicant not recognized for processing of Polyvastra as required under Notification No. 8/96-C.E. - Applicant pleading that their branch (MDP) had approval of KVIC for processing such fabrics - Since MDP is a separate organization with a separate name and identity, they cannot be recognized as a branch of applicant - Benefit of notification cannot be extended to applicant in respect of polyvastra processed by them when it was not an organization approved by them - However applicants entitled to benefit of exemption in respect of Khadi fabrics processed by them under Notification No. 8/96-C.E.
Contemporaneous import - Value of identical goods covered by other bill of entry of applicant be taken and some minor differences which do not alter the character of being identical goods not relevant - Adoption of value of goods imported by other importer from same supplier for valuation of applicants goods upheld - Applicability of Rule 5 of Customs (Valuation) Rules, 1988 upheld - Extra goods to be valued under Rule 8 ibid - Applicant directed to deposit the balance duty amount within 30 days of receipt of order failing which interest @ 18% p.a. payable
Unexpectedly high transitional input tax credit claims of Rs 65,000 crore by businesses is now a huge headache for the Govt
With the deadline for filing Goods and Services Tax (GST) returns for August coming to an end in less than 48 hours, only 8 lakh taxpayers have filed their GSTR-3B- a short summary return, at the end of Monday, said sources famili ...