TIOL-DDT 2345 · the untouched capture
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="3"><s><strong><font size="2"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><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=20079"><img src="http://www.taxindiaonline.com/RC2/image/stories/limca_book2014_1.jpg" alt="DDT in Limca Book of Records - Third Time in a row" width="250" height="123" hspace="5" border="0" align="right"></a></font></strong></font></strong></font></strong></font></strong></font></strong></s>TIOL-DDT 2345 </font><br>
02.05.2014 <br>
Friday </strong></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Order without hearing - not fair, but Nokia has to still deposit Rs. 240 Crores</strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>EVERYBODY</strong> knows about the Rs. 2400 Crore demand by Tamil Nadu VAT Department on Nokia India, on clearances from their SEZ, most of which were exports and so were outside the purview of VAT. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The issue before the Madras High Court was the TN VAT Department's demand without granting a hearing to the assessee, Nokia India. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">As per the High Court, the short point for consideration was as to whether the Department passed the order under Section 22 (2) or 27 (2) of TNVAT Act and whether the requirement to afford an opportunity of personal hearing is different from issuing a show cause notice as contemplated under Section 27 (2) of the said Act. It is also required to be decided as to whether issuing a show cause notice would amount to sufficient opportunity of hearing. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court observed, "The quasi judicial powers conferred on the assessing officer has to be exercised in a judicious, fair and objective manner without arbitrariness and subject to the rules of natural justice, <strong>including grant of personal hearing</strong> and recording of reasons for conclusions ultimately arrived at before rejection of an application for exemption or waiver or stay and the non-adherence to the aforesaid principle will offend Article 14 of the Constitution of India and also renders the very remedy available to the assessee a nugatory." </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">So, the High Court remanded the case to the Adjudicating Authority for fresh consideration. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Though case remanded, pre-deposit ordered</strong>: Though the case was remanded, which means the assessment orders are set aside, the High Court wanted to protect the Revenue at least to some extent. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><img src="http://www.taxindiaonline.com/RC2/image/stories/Nokia_DDT.jpg" alt="Legal Corner Icon" width="322" height="195" hspace="5" border="0" align="left">The High Court observed, "Even though the impugned orders are quashed, this Court, taking into consideration the demand notices issued by the first respondent are still valid, the effect of quashing the assessment orders will not totally take away the right of the first respondent to proceed further in the matter. Further, taking note of the fact that the transaction reported by the petitioner is huge, pertaining to foreign sale, which according to the petitioner is totally exempted, the question of deposit of any amount will not arise. At the same time, in the impugned orders of assessment, it has been clearly stated that certain documents have been produced in form C and F in which there are lot of differences. In fact, an argument was advanced by the Advocate General in this regard. A feeble attempt was made by the Senior counsel for the petitioners that the payment of tax relating to Rs.14crore alone may be due in respect of the above variation. Such an argument advanced on behalf of the petitioner will not by itself stop this Court to direct the petitioner to deposit some amount. If an appeal is filed against the impugned order, it will be a different aspect to be considered. Now, by virtue of this order, the first respondent is directed to re-consider the entire matter afresh. At the same time, the revenue also has to be safeguarded to some extent. In that view of the matter, out of the demand of Rs.2,400/- crores made by the revenue in the impugned orders of assessment, the petitioner is directed to deposit 10% of the tax amount thereof as a pre-condition for reviving the orders of assessment."</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> Even if the Rs. 2400 Crores was a fictional imaginary figure, the fact is that the assessee has to pay 10% of that illogical figure. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Please see <font size="1"><strong><a href="http://www.taxindiaonline.com/RC2/caseLawDet.php?QoPmnXyZ=OTMzOTU=" target="_blank">2014-TIOL-624-HC-MAD-VAT</a></strong></font></font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Comrade Judges, Differ with Dignity - rarely and in exceptional cases </font></strong></font></p>
<p align="center"><font color="#006600"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">High Court Tells CESTAT Members </font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>OF</strong> late, it is observed that many cases in CESTAT, especially in a particular Bench predominantly in respect of orders passed by a particular Member, are routinely referred to a Third Member as there is difference of opinion between the two Members in a Division Bench. This shakes the confidence of the litigant on the great institution and all kinds of rumours spread on the real reason for difference of opinion. If two members of the Tribunal do not agree on an issue, it clearly means the assessee was not wrong in assuming a particular stance as correct and legal as at least one Member of the Tribunal is on his side. In such situations, it is unfair and unjust to ask him for pre-deposit. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In certain genuine cases, it is possible that the Members may have a difference of opinion, but if difference of opinion is based on who gives the opinion rather than what the opinion was, there is a danger to the credibility of the so-called temple of justice. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In a mild rebuke with deep humility, the High Court found that the frequent reference to Third Member hampers the administration of justice and affects the working and functioning of the Tribunal, which caused the High Court more anguish than anger. The High Court noted that this was one of the best Tribunals and its example was cited even during the course of imparting training to the Judicial Officers at Academies. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court obviously did not want to hurt or embarrass the Members of the Tribunal and observed, "<em>We are not at all critical of the manner in which the Tribunal is functioning and working. We are aware of the fact that at times large number of cases take a toll on the Judicial Officers or the Members. However, Cordiality, Co-operation, Courtesy and respect for each other's view would assist in avoiding divergence of opinion on factual issues. We have also not made any comments much less adverse and which may be taken as a reflection on the working of any of the members in this case. It is only the increasing tendency to record a dissent that has prevailed us to take note of the grievance raised before us</em>." </font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">The word "Comrade" as defined in the concise Oxford Dictionary means a "workmate, friend or companion". The word and spirit need not be forgotten even by Judges and Adjudicating Bodies. We should continue the debate, dialogue, discussion and deliberation but differ rarely and in exceptional cases, with dignity. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">A junior colleague who did a quick statistical survey and came out with the finding that more than 50 cases have been referred to Third Member in the last one year and he came up with a startling conclusion that not even a single order of the President is differed with and referred to Third Member. He wanted me to explain to him this phenomenon. I told him that other than the President, there were several Members whose orders are not differed with. He said he is referring to the Benches where the Third Member cases are maximum. I asked him to find out the reasons for himself. He came out with some startling findings: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. The President's orders are Perfect to the P - nobody can find any different view. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. Everybody else is so afraid of the president, that they dare not differ from him. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">I was too afraid to make any comment against this irreverent boy. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For more details on the High Court order please see <strong><a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=bnews_detail.php3&newsid=20325" target="_blank">Breaking News</a></strong>. </font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Tariff Value of Gold, Silver decreased </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> Government has decreased the Tariff value of Gold from 431 USD to 422 USD per 10gms and that of Silver from 646 to 632 USD per kilogram with effect from 30.04.2014. The Tariff value of Crude Soyabean oil sees a marginal increase. Tariff values of other items are reduced except areca nuts. The Tariff values as on <strong>15.04.2014</strong> and with effect from <strong>30.04.2014</strong> are as under: </font></p>
<table width="90%" border="1" align="center" cellpadding="3" cellspacing="0">
<tr>
<td valign="top" colspan="6"><p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif" style="background-color:#FFFF00" span="span"><strong>Table 1 </strong></font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"></font></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">S. No. </font></strong></p></td>
<td colspan="2" valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chapter/ heading/ sub-heading/tariff item </font></strong></p></td>
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Description of goods </font></strong></p></td>
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD (Per Metric Tonne) <br>
from 15.04.2014 </font></strong></p></td>
<td valign="top"><p align="center"><strong><font color="#FF0000"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD (Per Metric Tonne) <br>
from 30.04.2014 </font></font></strong></p></td>
</tr>
<tr>
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(1) </font></strong></p></td>
<td valign="top" colspan="2"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(2) </font></strong></p></td>
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(3) </font></strong></p></td>
<td valign="top"><p align="center"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(4) </font></strong></p></td>
<td valign="top"><p align="center"><strong><font color="#FF0000"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(5) </font></font></strong></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1 </font></p></td>
<td colspan="2" valign="top" bgcolor="#E3F7DB"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 10 00 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Crude Palm Oil </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">935 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">920 </font></strong></font></p></td>
</tr>
<tr>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2 </font></p></td>
<td valign="top" colspan="2"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 90 10 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">RBD Palm Oil </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">964 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">943 </font></strong></font></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3 </font></p></td>
<td colspan="2" valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 90 90 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Others - Palm Oil </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">950 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">932 </font></strong></font></p></td>
</tr>
<tr>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4 </font></p></td>
<td valign="top" colspan="2"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 10 00 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Crude Palmolein </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">979 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">961 </font></strong></font></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">5 </font></p></td>
<td colspan="2" valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 90 20 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">RBD Palmolein</font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">982 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">964 </font></strong></font></p></td>
</tr>
<tr>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">6 </font></p></td>
<td valign="top" colspan="2"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1511 90 90 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Others -Palmolein </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">981 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">963 </font></strong></font></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">7 </font></p></td>
<td colspan="2" valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1507 10 00 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Crude Soyabean Oil </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">961 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">980 </font></strong></font></p></td>
</tr>
<tr>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">8 </font></p></td>
<td valign="top" colspan="2"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">7404 00 22 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Brass Scrap (all grades) </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3893 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3871 </font></strong></font></p></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">9 </font></p></td>
<td colspan="2" valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1207 91 00 </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Poppy seeds </font></p></td>
<td valign="top"><p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3473 </font></p></td>
<td valign="top"><p><font color="#FF0000"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3255 </font></strong></font></p></td>
</tr>
<tr>
<td colspan="6" valign="top"><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif" style="background-color:#FFFF00" span="span"><strong>Table 2 </strong></font></div></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">S. No. </font></strong></td>
<td colspan="2" valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chapter/ heading/ sub-heading/tariff item </font></strong></td>
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Description of goods </font></strong></td>
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD <br>
from 15.04.2014 </font></strong></td>
<td valign="top"><strong><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD <br>
from 30.04.2014 </font></strong></td>
</tr>
<tr>
<td valign="top"> </td>
<td valign="top" colspan="2"> </td>
<td valign="top"> </td>
<td valign="top"> </td>
<td valign="top"> </td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1 </font></td>
<td colspan="2" valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">71 or 98 </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Gold, in any form in respect of which the benefit of entries at serial number 321 and 323 of the Notification No. 12/2012-Customs dated 17.03.2012 is availed </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">431 per 10 grams </font></td>
<td valign="top"><strong><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">422 per 10 grams </font></strong></td>
</tr>
<tr>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2 </font></td>
<td valign="top" colspan="2"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">71 or 98 </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Silver, in any form in respect of which the benefit of entries at serial number 322 and 324 of the Notification No. 12/2012-Customs dated 17.03.2012 is availed </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">646 per kilogram </font></td>
<td valign="top"><strong><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">632 per kilogram </font></strong></td>
</tr>
<tr bgcolor="#E3F7DB">
<td colspan="6" valign="top"><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif" style="background-color:#FFFF00" span="span"><strong>Table 3 </strong></font></div></td>
</tr>
<tr>
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">S. No. </font></strong></td>
<td valign="top" colspan="2"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chapter/ heading/ sub-heading/tariff item </font></strong></td>
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Description of goods </font></strong></td>
<td valign="top"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD (Per Metric Tons) <br>
from 15.04.2014 </font></strong></td>
<td valign="top"><strong><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">Tariff value USD (Per Metric Tons) <br>
from 30.04.2014 </font></strong></td>
</tr>
<tr bgcolor="#E3F7DB">
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1 </font></td>
<td colspan="2" valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">080280 </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Areca nuts </font></td>
<td valign="top"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1908 </font></td>
<td valign="top"><strong><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">1908 </font></strong></td>
</tr>
</table>
<p align="justify"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=24&filename=notification/custom/2014/cnt14_036.htm" target="_blank"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Notification No. 36/2014-Cus (NT), Dated: April 30, 2014 </strong></font></a></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Who Blocked GST - FM answers - </font></strong><font color="#006600"><strong>Bad Economics - Good politics? </strong></font></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>OUR</strong> present Guest Column has an article by a former Chairman of CBEC, entitled "<a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=bnews_detail.php3&newsid=20296"><strong>who blocked GST?</strong></a>" </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Finance Minister Chidambaram yesterday answered this question. He said, "I note that Shri Sinha has pleaded in favour of GST and DTC. I am not amused. Who has stalled GST and DTC? When a consensus on GST was nearly reached, it was the Governments of Madhya Pradesh and Gujarat that stalled further progress." </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chidambaram took credit for a lot of things that happened in the last ten years like: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">- economic growth during in the 10 years of the United Progressive Alliance's rule was far higher than the economic growth in the 57 years prior to it. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">- The UPA's achievements, especially in disbursement of Rs 57,700 crore education loans and Rs 36,900 crore credit to women's self-help groups deserved to be highlighted. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">- UPA's legacy was such that if the new government were to follow sound economic policies the country could "achieve 6 per cent growth in 2014-15, even though the international situation remains very, very tepid. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The soon-to-be-ex-FM said, "<font color="#FF0000"><em>I would be very unhappy if somebody goes out with a message that good economics is not good politics because the opposite is the frightening thought that bad economics is good politics.</em></font>" </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">This figure was released by the Congress Party, but somehow it found its way into the Fin Min website - <a href="http://www.finmin.nic.in/7CPC/decade_growth.pdf"><strong>http://www.finmin.nic.in/7CPC/decade_growth.pdf </strong></a></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">A very thin line demarcating the party and Government! </font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Customs seizes Wedding Dress from Bride </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">"<strong>THE</strong> customs department's efforts to clamp down on duty dodgers went a bit far when officers seized a wedding dress. The department has been accused of ruining a couple's big day as a result of confiscating a bride's gown in an incident which could do serious damage to the department of tourism's push to make the Cayman Islands the destination of choice for weddings. The customs boss denied that her officers did anything wrong however and stated that the couple should have declared the dress when they arrived and paid a deposit. As a result of the failure to disclose the various outfits carried by the wedding party and because the bride didn't have a receipt for her dress officers seized it.", reported the Cayman News Service. "My wife was crying, my mother was crying - it was just a massive ordeal. It was not the homecoming I wanted, it was devastating.", said the bridegroom. Collector of Customs at H.M. Customs Department, Samantha Bennett, said passengers are required to make a full declaration of all goods being imported onto the island, and failure to do so would result in the seizure of goods and fines imposed. This couple was finally let off with a deposit of 60 dollars. </font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>DDT Cartoon </strong></font></p>
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<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"> - Monday's cases</font></strong></font></strong></font></p>
<p align="justify"><font 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"><strong><font color="#663399">Central Excise </font></strong></font></p>
<p align="justify"><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Whether MRP on footwear was marked with indelible ink - Superintendent 'scratching' print made and concluding that marking was not 'indelible' - appellant producing certificates from National Test House & Indian Institute of Packaging to certify that printing of MRP was indelible & therefore they are entitled for exemption in terms of notification 5/2006-CE - Matter remanded: CESTAT </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> two certificates indicated that the printing done by the appellant on the footwear was indelible and, therefore, the appellant was entitled to the benefit of the said exemption. However, since these certificates were not produced before the adjudicating authority and the appellate authority, the CESTAT found it prudent to remand the matter to the adjudicating authority for reconsidering the matter afresh and accordingly directed the appellant to submit the test results to the said authority. And since the matter was being remanded no pre-deposit was ordered. </font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Income Tax </strong></font></p>
<p align="justify"><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Whether if person sells his investment on an enhanced price, excess over his purchase price is to be considered as profit assessable to tax as income in every case - YES: HC</strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> assessee is an individual. In the return of income filed, it had claimed that Rs. 65,45,321/- had to be treated as short term capital gain, on account of sale of shares. During assessment, AO had noted that the assessee provided the funds to M/s Vimgi Investments Pvt. Ltd to trade in shares on his behalf, which was supported by the brokers notes and confirmed copy of the account of the broker filed by the assessee. Since the broker had traded on behalf of the assessee, practically on day-to-day basis, AO observed that the assessee was engaged in the activity of sale/purchase of share. Therefore, the AO show caused the assessee why the profit of Rs. 65,45,321/- should not be assessed as business income against the income shown as short term capital gain. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The issues before the Bench are - Whether if a person sells his investment on an enhanced price, the excess over his purchase price is to be considered as profit assessable to tax as income in every case and Whether when the main line of business or commercial activity of the assessee is not share trading and the assessee did not have a separate infrastructure or expenditure to support such trade, it can be presumed that the intention behind these transactions is to derive business income or profit, and not to invest the amounts. And the verdict goes against the assessee. </font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Central Excise </strong></font></p>
<p align="justify"><font color="#FF6633" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Shortage of inputs - Pre-deposit - Matter referred to Third Member by CESTAT </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> issue involved is demand of CENVAT Credit on inputs found short during the verification by the officers of the department. It is the contention of the assessee that the officers did not take into account the stock of inputs lying adjacent to the factory during the stock taking which is sufficient to hold that the appellant has a prima facie case in their favour. </font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>See our Columns Monday for the judgements </strong></font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until Monday with more <strong>DDT </strong></font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice weekend. </font></p>
<p align="justify"><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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