Jurisprudentiol – Tuesday's cases

By Vijay Kumar

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

Horses imported by horse riding Champion under Customs Custody for 15 months - Ordered to be released: HC

IT should always be present to the mind of the respondents that procedures are evolved only in aid of, and to implement the substantive rights and obligations of parties. The procedural requirements cannot become an excuse to deny the substantive rights of a party, particularly when the prescribed procedure itself provides for the same. The petitioner under the substantive law of import is entitled to import horses even from Germany/Austria. The mere lack of a prior import license, to import horses from Austria/Germany cannot come in the way of the petitioner in now procuring an amended or a fresh import license under the relevant rules.

Income Tax

Whether Satisfaction Note plays crucial role in proving that search and seizure was in harmony with provisions of Act - YES, rules Bombay HC

ASSESSEE company, filing its return of income and complying with the other statutory obligations such as maintenance of books of accounts and payment of advance tax, was searched by the department - Aggrieved with the action of search the assessee filed petition before the High Court and contended it may be permitted to peruse the search folder - also contended that there was no material with the authorities below on the basis of which a satisfaction, that the assessee was covered by the rigors of Sec 132 can be covered, recorded and hence the action of the revenue was bad in law and contrary to the provisions of section 132.

Service Tax

Whether activities in nature of loading, unloading, packing, unpacking etc provided as intermediary to GTA service provider taxable as GTA service - Matter remanded to original authority: CESTAT

IF intermediary service is subservient to the original transaction, mere breaking of original transaction in transit does not bring out a different transaction. It may be stated that nature, character and terms of a contract decides the incidence of tax on intermediate transaction. If the character of the service provided by the intermediary in transit is GTA service without the original transaction coming to an end, the service provided by the intermediary may not be construed to be a different transaction.

See our columns Tomorrow for the judgements