Jurisprudentiol - Friday's cases

By Vijay Kumar

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

Invoices issued, but goods not cleared - Tribunal stays penalty of Rs 18 crores imposed under Rule 25 of Central Excise Rules, 2002

THE appellant submitted that they had manufactured goods valued at Rs.1,83,37,32,793/- during the period January to March, 2010, but due to cancellation of orders by the customers, could not clear the goods from the factory, even though around 559 excise invoices had been prepared showing payment of duty.

Income Tax

Whether interest on account of default in making tax payment is to be calculated with reference to date of first assessment order and not with date of order passed in remand - YES: ITAT

THE issue before the Bench is - Whether interest on account of default in making payment of Income Tax would have to be calculated with reference to the date of first assessment order and not with the date of an order passed in remand proceedings. And the verdict goes against the assessee.

Customs

Cus -As no Bill of Entry was filed appellants cannot be held to be importers of impugned goods - so also, to finance importer does not make appellants importer of goods - Penalty not imposable u/s 112(i) of CA, 1962 - Appeals allowed: CESTAT

ON a specific intelligence that a large quantity of 'cloves' by mis-declaring as 'chicpeas' were being smuggled into India, a container was intercepted. On examination of the goods, it was found that the cloves were also being smuggled along with the chicpeas and as per the IGM the importer is M/s Dhanlaxmi Enterprises (I) who declared the goods as 'Chicpeas'.

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