Jurisprudentiol – Wednesday's cases

By Vijay Kumar

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

Applicants are conducting various courses in respect of spoken English - Demand of Rs.3.88 Crores confirmed on ground that applicants are providing - Commercial Training & Coaching Services' - prima facie case in favour of applicant in view of Board Circular 59/8/2003-ST clarifying that foreign language institutes are not liable to pay Service Tax - Pre-deposit waived and stay ordered: CESTAT

THE Bench observed - In view of the earlier stay orders vide which the Tribunal waived the dues which were confirmed on the same ground and in view of the Board's circular, we find prima facie case in favour of the applicants. We, therefore, waive the pre-deposit of dues and stay recovery thereof pending disposal of the appeal.

Income Tax

Whether even if assessee does not claim particular sum as expenditure, same can still be disallowed as per provisions of Sec 14A - NO: ITAT

THE issues before the Bench are - Whether even if the assessee does not claim a particular sum as expenditure, the same can still be disallowed as per provisions of Sec 14A and whether the disallowance made by the Revenue can be more than the total expenditure claimed. And the verdict goes in favour of the assessee in part.

Central Excise

Valuation - Closed Audit objection re-opened and SCN issued for period of "Seven" years invoking extended period of limitation u/s 11A of CEA, 1944 - Prima facie merit in contention of applicant that demand is time barred - Stay petition allowed: CESTAT

A demand of Rs.1.15 crore was confirmed by the CCE, Pune-I against the appellant along with imposition of penalty and interest. An important fact about the show cause notice that is adjudicated under the impugned order needs mention here and that is that the demand notice dated 20.10.2010 is for the period April, 2003 to March, 2006.

Tomorrow is a Holiday.

See our columns Wednesday for the judgements