TIOL-DDT 1127 · the untouched capture
Rendered as it looked. Links and images are disabled in this view; the file itself is untouched.
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN"
"http://www.w3.org/TR/html4/loose.dtd">
<html>
<head>
<title>Untitled Document</title>
<meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1">
</head>
<body>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="3">TIOL-DDT 1127</font><br>
08.06.2009<br>
Monday</strong></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Anti Dumping Duty on recordable CDs </font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>ON</strong> the recommendations of the competent authority, the Government had imposed Anti Dumping Duty on Compact Disc-Recordable originating in, or exported from Iran, Malaysia, Korea ROK, Thailand, United Arab Emirates and Vietnam by Notification No. 34/2008 - Cus, Dated: March 13, 2008.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Now the Government has imposed definitive anti dumping duty on these goods with effect from the original date of imposition of provisional anti dumping duty.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=23&filename=notification/custom/2009/ctariff09_058.htm" target="_blank">Notification NO. 58/2009-Cus., Dated: June 5, 2009</a></strong></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Import of Live-Stock – ITC Classification amended</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Condition 16 of Chapter 1 A (General Notes to Import Policy) of the ITC (HS) Classifications of Export and Import items, 2004-09 shall be amended to read as under</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">16. Import into India of the following live-stock and live-stock products shall be prohibited from all countries, in view of notifiable Avian Influenza (both Highly Pathogenic notifiable Avian Influenza and Low Pathogenic notifiable Avian Influenza):</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">domestic and wild birds (excluding poultry and captive birds);</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">unprocessed meat and meat products from Avian species including wild birds (except poultry);</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">semen of domestic and wild birds (except semen of poultry).</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Further, the Central Government also prohibits the import into India from the countries reporting notifiable Avian Influenza (both Highly Pathogenic notifiable Avian Influenza and Low Pathogenic notifiable Avian Influenza), the following live-stock and live-stock products, namely:</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">++
Live poultry and captive birds;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">++
day old chicks, ducks, turkey and other newly hatched Avian species;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">++
unprocessed meat and meat products from Avian species including wild birds;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">hatching eggs;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">egg and egg products (except Specific Pathogen Free eggs);</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">unprocessed feathers;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">live pig;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">pathological material and biological products from birds;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">product of animal origin (from birds) intended for use in animal feeding or for agricultural or industrial use;</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Semen of poultry.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Provided that the prohibition shall not be applicable on the import of processed pet food containing ingredients of meat and meat products from avian species, pig and product of animal origin (from birds) intended for use in animal feeding.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Provided further that the prohibition shall also not be applicable to the import of pathological materials and biological products for diagnostic and research purpose on specific request.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Provided also further that the import of processed poultry meat shall be allowed after satisfactory conformity assessment of the exporting country.”</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The prohibition shall be in force till further orders.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=45&filename=notification/dgft/2008/dgft08not107.htm" target="_blank">DGFT Notification NO. 107 (RE-2008) / 2004-2009, Dated: June 5, 2009</a></strong></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Health warning on Imported Cigarettes – ITC amended</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The following condition will be added to chapter 1A: General Notes regarding Import Policy:</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">“21. Import of cigarette or any other tobacco product shall be subject to the provisions contained in the “Cigarettes and other Tobacco Products (Packaging and Labelling) Amendment Rules, 2009”, as notified by the Ministry of Health & Family Welfare.”</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=45&filename=notification/dgft/2008/dgft08not108.htm" target="_blank">DGFT Notification NO. 108 (RE-2008) / 2004-2009, Dated: June 5, 2009</a></strong></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Direct Tax Collections - UP</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Net direct tax collections during first two months of the current fiscal (2009-10) stood at Rs. 24,158 Crore, up from Rs. 22,840 Crore, registering a growth of 5.77 percent. Growth in Corporate Taxes was 5.56 percent (Rs. 8,578 Crore as against Rs. 8,126 Crore), while Personal Income Tax (including FBT, STT and BCTT) grew at 5.92 percent (Rs. 15,559 Crore as against Rs. 14,690 Crore). Securities Transaction Tax (STT) and Fringe Benefit Tax (FBT), however, declined by 24.75 percent (Rs. 795 Crore as against Rs. 1,057 Crore) and 5.57 percent (Rs. 103 Crore as against Rs. 109 Crore), respectively.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Overall refund outgo during the period increased by 26.19 percent (Rs. 11,375 Crore as against Rs. 9,014 Crore) while refunds to non-corporate taxpayers grew by 61.7 percent (Rs. 2,149 Crore against Rs. 1,329 Crore), spurred by faster processing of returns on the new national computer network.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Growth during the month of May 2009, however, was 16.88 percent (Rs. 11,919 Crore against Rs. 10,198 Crore), as against a negative growth of 3.19 percent for the month of April 2009.</font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Our Budget Run Up – Starting Today</strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">We start our Budget Run Up today with an incisive piece from <strong><em>Sukumar Mukhopadhyay, </em></strong>former Member of the CBEC and a reputed columnist<strong><em>. </em></strong>You can also participate in this Budget Exercise – rush in your suggestions and we will convey your views to the Finance Minister.</font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Jurispruden</font><font color="#FF6633" size="5">tiol</font><font color="#006600">–Tuesday's cases</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><strong><strong><strong><strong><strong><strong><b><img src="http://www.taxindiaonline.com/RC2/image/stories/ddt_hammer.jpg" alt="Legal Corner Icon" width="100" height="84" hspace="5" border="0" align="left"></b></strong></strong></strong></strong></strong></strong></strong></font></strong></font><font color="#663399">Central Excise/Customs/Service Tax</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#FF6600">CESTAT Larger Bench – Preliminary objection by Revenue that matters shall be referred to the Larger Bench only when a final view is arrived at by a division bench, referral at stay stage being illegal and invalid, rejected – CESTAT Larger Bench by Majority</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>BUT</strong> can a Coordinate Bench refer issues to a Larger Bench at any stage of the proceedings before the Bench especially at the preliminary stage when the stay applications are disposed of? This was the bone of contention raised by the Revenue before the Larger Bench constituted to dispose of matters regarding eligibility of CENVAT credit on cement and articles of iron & steel used for construction/fabrication of plant & machinery, structures required for setting up of plant & machinery.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>If both the sides have not cited a decision, the Member cannot be expected to recollect the facts of such other decided cases and apply the same to the case on hand.</strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399">Income Tax</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#FF6600">India-China DTAA - composite contract for supply of equipment and commissioning - income attributable to service contract carried out in India is only liable to TDS; Even if there is a PE, no business income under DTAA as goods were manufactured and property right transferred outside India: ITAT</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>COMPOSITE </strong>contracts with non-resident companies often lead Indian Income Tax authorities to lock horns for taxing the profit on the gross value of transactions. But it need not be so as decided by the ITAT in a decision involving a State Govt power generation company. It has upheld the CIT(A) order that even if the two contracts are to be treated as one, the income that can be liable to TDS is only the one which can be attributable to the service contract relating to erection and commissioning in India and not the one arising from the manufacture and supply of goods and equipments as the property rights in the goods were transferred outside India. Even if it is presumed that the non-resident had a PE in some form in India, since the equipments were manufactured outside India, no income can be attributed to such a PE and there can be no business income, taxable under the DTAA.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399">Customs</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#FF6600">CHA Regulations 2004 - CBEC directed to come up with a scheme for extending same benefits as conferred upon similarly placed persons in Delhi, Punjab and Haryana - Madras High Court</font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> petitioners who passed the examination under the old regulations (1984) do not have any vested right to seek exemption from passing the examination under the New Regulations - petitioners cannot claim legitimate expectation that they would be issued with licese under the old regulations - doctrine of legitimate expectation is not applicable to the petitioner's case - Challenge to the new regulations and the notification inviting applications under new regulations is rejected - however, the Central Board of Excise and Customs, is directed to examine the matter and come up with a scheme for extending to the petitioners herein, the same benefits as conferred upon similarly placed persons in Delhi and Punjab and Haryana.</font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>See our columns Tomorrow for the judgements</strong></font></p>
<p align="justify"><font color="#FF6600" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until Tomorrow with more <strong>DDT</strong></font></p>
<p align="justify"><font color="#FF6600" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice day.</font></p>
<p align="justify"><font color="#FF6600" size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail your comments to</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <a href="mailto:vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com</a></font></p>
</body>
</html>