Jurisprudentiol - Monday's cases

By Vijay Kumar

Legal Corner Icon — the image was hosted by the publisher and was not captured.Income Tax

Income tax - Whether when assessee avails sales tax deferment scheme but repays entire loan being offered some waiver for early repayment, Sec 41(1) has any application in such case - NO, rules ITAT

THE issue before the Bench is - Whether when assessee avails sales tax deferment scheme but repays the entire loan after being offered some waiver for early repayment, Sec 41(1) has any application to the case. NO is the Tribunal's answer.

Customs

Order passed by Chief Commissioner u/s 61 in the matter of extension of warehousing period is not maintainable before the CESTAT in view of section 129A of Customs Act, 1962: CESTAT

AT the outset, the Revenue representative submitted that no order of a Chief Commissioner is appealable to the Tribunal under Sec. 129A of the Customs Act; that the order is an administrative order rather than quasi-judicial and hence not appealable. Faced with this objection, the appellant submitted that the Bench had two options - to remand the matter to the proper officer of customs having jurisdiction or to dismiss the appeal as not maintainable.

Central Excise

Central Excise - CENVAT Credit - Once the input credit is legally taken and utilized on the dutiable final product, it need not be reversed on the final product being exempted subsequently: High Court

THE respondent, M/s TAFE Limited are manufacturers of Tractors and parts thereof. They are availing CENVAT credit under CENVAT Credit Rules, 2002. In terms of Notification No.23/2004-CE, tractors have been exempted from payment of duty with effect from 09.07.2004. As on 08.07.2004 the assessee had a closing stock of finished goods i.e. 319 tractors, which were manufactured using the inputs in which credit was availed and also a closing stock of inputs as such on which credit was availed.

Tomorrow is Good Friday

See our columns Monday for the judgements