Jurisprudentiol - Monday's cases

By Vijay Kumar

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

Rebate u/r 18 of the CER, 2002 - assessee is eligible for interest under Section 11BB: High Court

It is not the case of the Revenue that but for the letters addressed by the assessee, the Revenue would have allowed the rebate claim of the assessee. In fact, in the present case, showcause notices were issued calling upon the assessee to show cause as to why the rebate claims should not be rejected.

Income Tax

Whether deduction u/s 10A can be restricted on basis of formation of new undertaking with old customers, contracts and employees - NO: ITAT

THE issues before the Bench are - Whether deduction u/s 10A can be restricted on the basis of formation of new undertaking with old customers, contracts and employees and Whether interest expenses can be netted off with interest income earned as income from other sources. And the verdict partly goes in favour of the assessee.

Service Tax

Prima facie the activity of Maharashtra Knowledge Corporation Ltd. is not in the nature of business - therefore service rendered by the applicant to MKCL does not fall under BAS - Pre-deposit waived and stay granted: CESTAT

APPLICANTS are engaged in providing services to M/s Maharashtra Knowledge Corporation Ltd. (MKCL) in relation to-

a) Promotion or marketing of services provided by MKCL;

b) Services incidental or auxiliary to the activity of promotion or marketing such as evaluation or development of prospective customer or vendor, public relation services, management or supervision on service activity;

c) Sale of services of MKCL.

Customs

Torches imported from China not for retail sale but for repacking, labelling and branding - importer registered with C.Ex department as such activity is 'manufacture' u/s 2(f) of the CEA, 1944 and discharging C.Ex. duty on the basis of MRP of M/s Bajaj Electricals Ltd. to whom the goods are sold in bulk for further retail sale - appellants were not required to declare MRP and discharge duty liability of additional Customs duty on MRP basis as they are not covered u/r 3 of the Legal Metrology (Packaged Commodities) Rules, 2011 - Appeal allowed: CESTAT

THE appellant imported Energy Efficient Lighting Fixtures viz. Torch of various models. Examination of the import consignment by the Customs Officers revealed that the product is fully functional and electrically charged and is in retail packing. As the consignment is intended for retail sale and the goods have been notified under the provisions of the Legal Metrology (Packaged Commodities) Rules, 2011, the Customs officers directed the appellant to declare the retail sale price on the goods

See our columns Monday for the judgements