Jurisprudentiol – Friday's cases

By Vijay Kumar

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

Inputs exported as such by reversing Credit - Eligible for Rebate: HC

THE assessee had purchased various inputs/capital goods from domestic suppliers and manufacturers and subsequently exported the same on payment of duty by reversing the credit of duty availed on those inputs/capital goods under Rule 3(4) of the Cenvat Credit Rules 2002. Inputs/capital goods when exported on payment of duty under Rule 3(4) of 2002 Rules, rebate of that duty would be allowable as it would amount to clearing the inputs/capital goods directly from the factory of the deemed manufacturer.

Income Tax

Sec 271FA - Whether penalty is warranted if assessee-bank fails to respond to notice for failure of filing Annual Information Return admittedly on ground of ignorance of change in law - YES, rules High Court

THE issue before the Bench is - Whether penalty is warranted if assessee-bank fails to respond to the notice for failure of filing annual information return admittedly on ground of ignorance of the change in the law. YES is the High Court's answer.

Customs

CHA Licence – CHA sells signed blank shipping bills for Rs. 150/- each – revocation of licence justified - In cases involving corruption there cannot be any punishment lesser than maximum. Any sympathy shown in such cases is totally uncalled for and opposed to public interest: HC

BLANK shipping bills were issued by the partner and authorized representative of the respondent-CHA for a consideration of Rs.150/- per shipping bill. In cases involving corruption there cannot be any punishment lesser than the maximum i.e., revocation of the license. No other lesser punishment can be contemplated in such cases. Any sympathy shown in such cases is totally uncalled for and opposed to public interest. The consideration received for the act of misconduct may be small or large. It is the act of corruption that is relevant, and not the quantum involved in such acts.

See our columns Tomorrow for the judgements