Jurisprudentiol- Tuesday's cases

By Vijay Kumar

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

Valuation- Related person - Each of parties involved should have an interest, whether direct or indirect in business of the other : Supreme Court

THE short question before the Supreme Court in these Revenue appeals is whether M/s. Kwality Ice Cream Company on the one hand and Brooke Bond Lipton India Limited - (BBLIL) on the other (which later merged with Hindustan Lever Limited - HLL) are treated to be related persons for computing assessable value of ice cream manufactured by M/s. Kwality Ice Cream and as to whether duty should be demanded from M/s. Kwality Ice Cream on the basis of the price at which BBLIL sold the said product from its depot. What is of importance is certain interdependence and reciprocity beyond the relationship of either a distributor or manufacturer so as to consider as to whether the parties are `related persons'

Income Tax

Sec 50 - Whether depreciation for previous year not claimed by assessee has to be mandatorily allowed in computation of profits arising out of slump sales? - NO, says ITAT

THE issue is - Whether depreciation for the previous year not claimed by the assessee has to be mandatorily allowed for making the computations of profits arising out of slump sales. NO, says the Tribunal.

Customs

Machine for injection moulding of soles out of synthetic polymeric materials like PVC is prima facie classifiable under CTH 8477 10 00 and not under CTH 8453 20 00 and is subject to anti-dumping duty at the rate of 174% adv. : CESTAT

THIS is a Stay application seeking waiver of pre-deposit and stay of recovery in respect of Anti-dumping duty demanded by the lower authorities.

The original authority ordered for recovery of Anti-dumping duty at the rate of 174% ad valorem in terms of notification no. 39/10-Cus dated 23.3.10, from the appellant in respect of a machine imported by them under EPCG.

See our columns Tomorrow for the judgements