Jurisprudentiol – Friday's cases

By Vijay Kumar

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

Payment of duty before issuance of show cause notice - invoking section 11AC is erroneous: CESTAT

The appellant is entitled to the benefit of sub section 2B of Section 11A, which permitted them to pay duty of excise under intimation to the proper officer of Central Excise so that no show cause notice could be issued to them in respect of such duty. The provision, on the facts of this case, prohibited issuance of show cause notice for demanding duty under sub section (1) of section 11A and, therefore, there was no question of any determination of duty under sub-section (2) of the said section.

Income Tax

Appeal to ITAT – Fee when there is loss - What does these expressions “more or less” indicate? It can only be more than a negative income even if expression “income” is held to be both positive and negative income – High Court

If we therefore trace the legislative history, it is clear that court fee is based on total income of the assessee. Higher the total income more the court fees payable. The only question is when the income is negative whether the expression “total income” should also be considered to be the loss.

Service Tax

Service Tax – Appeal against Tribunal's order on taxability of service – Appeal lies to Supreme Court – High Court

The Tribunal held that when the service is provided by a club to its members, it does not attract service tax. Where does an appeal lie against such a decision of the CESTAT? The Revenue appealed to the High Court.

See our columns Tomorrow for the judgements