Jurisprudentiol- Tomorrow's cases

By Vijay Kumar

Legal Corner Icon — the image was hosted by the publisher and was not captured.Central Excise

Removal of capital goods after use should be after reversal of credit initially taken - Tribunal

IN the present case, there is no sale of the goods nor any sale price is available. The respondents have arrived at a depreciated price in terms of Rule 57S(2) which was no longer there in the statute book on the date of clearance. Once Rule 57S(2) did not exist on the date of clearance, the question of its applicability to the respondents case simply does not arise.

Customs

Revenue's crush with chalk powder exports ends in duty benefit to buyer of the DEPB scrip - Tribunal by majority holds duty cannot be recovered from importer who used the scrip on account of fraud committed by exporter

DURING 2001, a sensational case was detected by DRI in ICD Hyderabad relating to the export of chalk powder in the guise of bulk drugs. The case we are reporting today relates to an importer who purchased the DEPB scrips from this exporter of chalk powder. The DEPB licences were subsequently cancelled by the licensing authority in 2002.

Income Tax

As Assessing Officer fails to issue notice within period of 12 months from the end of month in which assessee filed block return, assessment is null and void: ITAT

THE provisions of section 143(2) of the Act though a procedural one is mandatory and the Assessing Officer is bound to follow that if he decides to determine the undisclosed income of the assessee. As the Assessing Officer failed to issue the notice within the period of 12 months from the end of the month in which the assessee filed the block return, there is fetter on the power of the Assessing Officer to make the assessment and hence the assessment made by the Assessing Officer is null and void.

See our columns tomorrow for the judgements