Jurisprudentiol – Thursday's cases

By Vijay Kumar

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

CENVAT credit availed on packing material - goods rejected by customer – old packing material scrapped and disposed of - Credit reversal sought - appellant not able to establish that transactions completed in terms of rule 16 of CER , 2002 - Appeal dismissed: CESTAT

THE Duty demanded is Rs. 2735/-. Appeal dismissed under the second proviso to sub-section (1) of Section 35B of the Central Excise Act.

Income Tax

Whether when individual assessee's name acquires currency of popular brand name, compensation paid to him by company for using the same as trade mark is to be treated as capital receipt - YES, says ITAT

THE issue before the Tribunal is - Whether when the individual assessee's name acquires the currency of a brand name, compensation paid to the assessee by the company for using the same as a trade mark is to be treated as capital receipt. And the Tribunal's answer is YES.

Service Tax

Relevant date for filing of refund of credit in respect of Export services is the date when the payment of service (exported) is received and not date of providing the service: CESTAT

IN this case, the Commissioner(A) held that the relevant date for filing of refund claim under rule 5 of CCR , 2004 in respect of Export Services is the date when the payment of service (exported) is received by the assessee and not the date when the service is provided. It is the stand of the Revenue that the relevant date is the date of service tax paid as per section 11B of Central Excise Act, 1944. Harbouring such a view, the Commissioner of Central Excise, Pune-I is before the CESTAT.

See our columns Tomorrow for the Judgements