TIOL-DDT 2013 · the untouched capture
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<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=bnews_detail.php3&newsid=14276"><img src="http://www.taxindiaonline.com/RC2/image/ddt/ddt_1794.jpg" alt="DDT in Limca Book of Records" width="175" height="120" hspace="5" border="0" align="right"></a></font></strong></font><font color="#663399" size="3">TIOL-DDT 2013</font><br>
31.12.2012<br>
Monday</strong></font></p>
<p align="center"><strong><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">FTP - Scheme to Incentivize Incremental Exports Notified </font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>GOVERNMENT</strong> has notified a scheme to incentivize incremental exports. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">An IEC holder would be entitled for a duty credit scrip @ 2% on the incremental growth during the period 01.01.2013 to 31.3.2013 compared to the period from 01.01.2012 to 31.3.2012 on the FOB value of exports. Incremental growth shall be in respect of each exporter (IEC holder) without any scope for combining the exports for Group Company. Incentive will be admissible only if the IEC holder has achieved growth in the financial year 2012-2013 <em>vis a vis</em> financial year 2011-2012. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For the purpose of the scheme, export performance shall not be allowed to be transferred from any other IEC holder. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Benefit under this scheme will not be allowed to an exporter who had made no export between 01/01/12 to 31/03/12. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The following exports shall not be taken into account for calculation of export performance or for computation of entitlement under the Scheme: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. Export of imported goods or exports made through trans-shipment. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. Export from SEZ/ EOU /EHTP /STPI /BTP/FTWZ </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. Deemed Exports </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4. Service Exports </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">5. Third Party exports </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">6. Diamond, Gold, Silver, Platinum, other precious metal in any form including plain and studded jewellery and other precious and semi-precious stones. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">7. Ores and concentrates of all types and in all formations. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">8. Cereals of all types. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">9. Sugar of all types and all forms. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">10. Crude / petroleum oil and crude / primary and base products of all types and all formulations. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">11. Export of milk and milk products. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">12. Export performance made by one exporter on behalf of other exporter. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">13. Supplies made to SEZ units. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">14. Items, export of which requires an export authorisation (except SCOMET), will not be considered. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">15. Export of Meat and Meat Products. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">16. Exports to Singapore, UAE and Hong Kong. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The scheme is region specific and will cover exports to USA, Europe and Asian countries only. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">This benefit will be over and above any benefit being claimed by the exporter under any of the Chapter 3 Schemes. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The duty credit scrip will be freely transferable. Such scrips shall also be eligible for domestic sourcing. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">This measure of the Government has been welcomed by the trade especially garment exporters. </font></p>
<p><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=45&filename=notification/dgft/2012/dgft12not027.htm" target="_blank"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DGFT Notification No. 27/(RE-2012)/2009-14, Dated: December 28, 2012 </font></strong></a></p>
<p align="center"><strong><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">Procedure for Incremental Exports Incentivisation Scheme </font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>DGFT</strong> has amended the Handbook of Procedures Vol. I (RE 2012)/ 2009-14 with immediate effect, to add a new paragraph 3.8.3, which prescribes the procedure for Incremental Exports Incentivisation Scheme. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">An application for grant of benefit under this scheme should be filed in ANF3F to RA concerned. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">This ANF3F will be notified subsequently. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For the purpose of the scheme, export performance shall not be allowed to be transferred from any other IEC holder. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Since the benefit is admissible on realisation basis, applications can be filed after 1st April 2013. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Last date for filing application will be as per para 3.11.9 of HBPv1 and late cut provisions of para 9.3 of HBPv1 2009-14 will be applicable. <font color="#0000FF">(Applications for obtaining Duty Credit Scrip shall be filed within a period of twelve months from the date of export or within six months from the date of realization or three months from the date of printing / release of shipping bill, whichever is later, in respect of shipments for which claim is being filed.</font>) </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Incremental growth should be in terms of freely convertible currency to the designated markets. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For proof of landing in designated markets, provisions of para 3.8.2 of HBPv1 shall be applicable. </font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">Para 3.8.2 reads as: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(a) Applicant shall be required to submit proof of landing of export consignment in specified market. Any one of the following documents should suffice, as a proof of landing of export consignment in specified Focus Market: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(i) A self attested copy of import bill of entry filed by importer in specified market, or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(ii) Delivery order issued by port authorities, or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(iii) Arrival notice issued by goods carrier, or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(iv) Tracking report from the goods carrier (Shipping Line/Airline etc. or his accredited agent in India) duly certified by them, evidencing arrival of export cargo to destination Focus Market, or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(v) For Land locked Focus Market, Rail/Lorry receipts of transportation of goods from Port to Land locked Focus Market, or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(vi) Any other document that may satisfactorily prove to RA concerned that goods have landed in / reached the Focus Market. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(b) In case of (iv) and (vi) above, the accredited agent of the Goods Carrier must certify that he is the accredited agent of the concerned Goods Carrier on the date of issuance of the tracking report / document. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(c) Further, in the case of issuance of any other document under (vi) above, the accredited agent must state that proof of landing of goods in relevant Focus Market is given based on information available in the Goods Carrier's backup database and he has verified the same and issued this document accordingly. </font></p>
</blockquote>
<p><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=47&filename=notification/dgft/2012/dgft12pn041.htm" target="_blank"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DGFT Public Notice No. 41/2009-14 (RE-2012)/, Dated: December 28, 2012 </font></strong></a></p>
<p align="center"><strong><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">GST Could Increase Revenue for Centre and States - President </font></strong></p>
<p align="center"><img src="http://www.taxindiaonline.com/RC2/image/stories/Prez_FAPCCI.jpg" width="400" height="226"></p>
<p align="center"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">The President said something funny – The FAPCCI leaders are all smiles, but Minister Geetha Reddy and Governor Narasimhan are not impressed. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>PRESIDENT</strong> Pranab Mukherjee addressed a meeting of the<em> Federation of Andhra Pradesh Chambers of Commerce & Industry (FAPCCI)</em> at Hyderabad on Friday. He said that Goods and Services Tax (GST) was one area for substantial increase in the Revenue of the Centre and States. Maybe the President has a regret that he was not able to push the GST through the maze of Indian politics, when he was the Finance Minister. Now, nobody is even talking about GST. It is certainly a long way ahead, maybe after 2014. As of now, the politicians have better things to spend the taxpayers' money on. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The president cautioned that if the rate of domestic savings came down from 31 per cent (of the GDP), the implications would be that the external support would have to increase from 2.9 per cent to 3.5 per cent. That means our balance of payment crisis would aggravate.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">He wanted a growth in manufacturing sector, along with four per cent growth rate in agriculture and eight to nine per cent in services sector for the Indian economy to have a balanced development. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">He said that economic development required broad consensus and that collective wisdom of the political establishment should decide how we proceed. Maybe he was thinking of GST and the lost opportunities. The Finance Minister in him is still very active. </font></p>
<p align="center"><strong><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">CBEC Needs a Director each for Drawback and Service Tax </font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> Revenue Headquarters urgently requires a Director for Drawback and one for Service Tax. Chief Commissioners have been requested to send the applications of willing and eligible officers latest by 10.01.2013. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Of late, the Board is finding it extremely difficult to get willing, eligible and capable officers to work in the Board and the Revenue Department. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DDT had been witness to several Board Members and even the CBEC Chairman complaining that they do not have enough staff. It is tragic that they do not have enough officers to work in the Board. Any IRS officer should feel proud to work in the Apex Board - <a></a>is it not an honour to be at the highest decision making body? But then, the frills in the field are too attractive to be sacrificed for a thankless job in the Board. </font></p>
<p><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=70&filename=pitara/deputation/cbec_director_order.htm" target="_blank"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">CBEC F. No.- A. 35017/10/2012-Ad.II dated: December 27, 2012 </font></strong></a></p>
<p align="center"><strong><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">MO Problem - Olympic Medals Don't Impress US Customs </font></strong></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><img src="http://www.taxindiaonline.com/RC2/image/stories/mo-farah.jpg" width="121" height="161" hspace="5" border="0"></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Mo Farah </strong>- he is a double Olympic Champion - a gold medal winner in 10,000m and 5,000m running. But the US Customs is not impressed. He has been questioned by Customs on suspicion of being a terrorist - just because he was born in Somalia, though he had moved to UK when he was eight. He moved to USA last year to work at the Nike headquarters. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Despite his international fame, the long distance runner said he often gets stopped at customs because of his Somali origin. "I couldn't believe it. Because of my Somali origin, I get detained every time I come through US Customs. This time I even got my medals out to show who I am, but they wouldn't have it.", said Mo. </font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Jurispruden</font><font color="#FF6633" size="5">tiol</font><font color="#006600"> - Tuesday's cases</font></strong></font></strong></font></p>
<p><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><img src="http://www.taxindiaonline.com/RC2/image/stories/ddt_hammer.jpg" alt="Legal Corner Icon" width="100" height="84" hspace="5" border="0" align="left">Central Excise</font></strong></p>
<p align="justify"><strong><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif">EOU - Once Commissioner(A) has held that if CE duty u/s 3(1) of CEA, 1944 r/w CETA, 1985 on Fresh Mushroom is Nil and resultantly excise duty payable on DTA clearances by the 100% EOU is also Nil and this order has been accepted, it is not open to Department to issue notice u/s 11A of CEA, 1944 and confirm duty contrary to this decision - Appeal of assessee allowed: HC </font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> question for consideration before the High Court was - </font></p>
<p align="justify"><em><font size="2" face="Verdana, Arial, Helvetica, sans-serif">"Once the Commissioner of Central Excise (A) holds that if the excise duty payable on fresh mushrooms under Section 3(1) of the Central Excise Act, 1944 read with the Schedule to the Central Excise Tariff Act, 1985 is Nil, then, the excise duty payable on DTA clearances of fresh mushrooms by a 100% EOU covered under the proviso to Section 3(1) of the Central Excise Act, 1944 shall also be Nil, then, is it open to the Assessing Officer to issue notice under Section 11A of the Central Excise Act, 1944 and confirm the demand of duty contrary to the decision of the Commissioner of Central Excise (A) ? </font></em></p>
<p align="justify"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif">Service Tax </font></strong></p>
<p align="justify"><strong><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif">ST
- BAS - Processes of denting and painting are essential for completion
of manufacture of bus bodies and therefore these processes are to be considered
as manufacturing activities within the meaning of section 2(f) of CEA,
1944 - going by note 6 of section XVII of CETA, 1985, these processes per
se also are defined to be process of manufacture because these processes
are essential for transforming the semi-finished bus body into a complete
and finished article - Demand of ST made under BAS fails - Orders set aside
and appeals allowed: CESTAT </font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> appellant
was undertaking certain jobs within the factory of JCBL Ltd which was manufacturing
bus bodies falling under chapter 8707 of the Central Excise Tariff. The work
done was - Inspection & Rectification
of Buses (including denting & painting work), Shifting of bus structure
from inter plant (loading and unloading), Material & Scrap Shifting
and supply to Lines & Misc. Work. </font></p>
<p align="justify"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif">See our Columns Tomorrow for the judgements </font></strong></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until Tomorrow with more<strong> DDT </strong></font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a Nice Day </font></p>
<p><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail your comments to</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <a href="mailto:vijaywrite@taxindiaonline.com"><strong>vijaywrite@taxindiaonline.com </strong></a></font></p>
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