TIOL-DDT 283 · the untouched capture
Rendered as it looked. Links and images are disabled in this view; the file itself is untouched.
<html>
<head>
<title>Untitled Document</title>
<meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1">
</head>
<body bgcolor="#FFFFFF">
<div align="justify">
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <b><font color="#663399" size="3">TIOL-DDT
283</font><br>
16 01 2006<br>
Monday</b></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Effluent
treatment and conveyance system Infrastructure facility – exemption
under Section 80-IA of the Income-tax Act</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Under Section
80-IA of the Income-tax Act, 100% deduction of profits and gains derived by
an enterprise carrying on the business of<br>
<br>
(i) developing or<br>
<br>
(ii) operating and maintaining or<br>
<br>
(iii) developing, operating and maintaining any infrastructure is allowed.
Under this section infrastructure facility means<br>
<br>
(i) a road including toll road, a bridge or a rail system;<br>
<br>
(ii) a highway project including housing or other activities being an
integral part of the highway project;<br>
<br>
(iii) a water supply project, water treatment system, irrigation project,
sanitation and sewerage system or solid waste management system; and<br>
<br>
(iv) a port, airport, inland waterway or inland port.<br>
<br>
The deduction is available for any ten consecutive assessment years out of
twenty assessment years beginning from the year in which the enterprise develops
and begins to operate any infrastructure facility.<br>
<br>
Now the Board has clarified that effluent treatment and conveyance system
is to be treated as an infrastructure facility for the purposes of tax benefit
as it is a part of water treatment system.<br>
<br>
<a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=36&filename=notification/cbdt/2006/it06cir01.htm">CIRCULAR
NO. 1/2006, Dated: January 12, 2006</a></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">
<b>Denaturing of Ethyl Alcohol</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Un-denatured
ethyl alcohol of strength 80% or higher is classifiable under sub-heading
2207.10 whereas denatured ethyl alcohol is classifiable under sub-heading
2207.20. Denatured ethyl alcohol attracts concessional rate of customs duty
@10% basic under Notification No. 21/2002-Cus., dated 1.3.2002 (Sl.No.50)
as against 150% basic on un-denatured ethyl alcohol. Ethyl alcohol is imported
in un-denatured form, whether for use as such (e.g. potable type) or for industrial
use. In case of latter use, ethyl alcohol requires to be denatured before
clearance. For denaturing, of ethyl alcohol, it is treated with certain chemical
agents such as, wood naphtha, methanol, acetone, pyridine, aromatic hydrocarbons
(benzene etc.) and coloring matter (HSN notes for heading 2207 refer).<br>
<br>
Board has now decided that BIS standards IS 4117-1973 may be adhered to for
denaturation of imported consignment of ethyl alcohol in order to bring about
uniformity in denaturing process at all Customs formations and avoid any misuse.
Further, the Commissioner may also allow any other specific denaturant or
bitterant, coloring agent in addition to denaturant as specified by the State
Government, for the purpose of preventing the scope of renaturation of denatured
spirit and its misuse for potable purpose. The Commissioners may allow use
of additional denaturants in quantity which is adequate for denaturing the
imported spirit for use in a particular industry, in consultation with the
Chief Chemist/Deputy Chief Chemist.<br>
<br>
<a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2006/cuscir06_02.htm">CIRCULAR
NO. 02/2006, Dated: January 10, 2006</a></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Administrative
Control over Export Oriented Units – Bangalore Customs</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The administrative
control over EOUs in port cities is with the Commissioner of Customs and in
other places with the Commissioner of Central Excise except in Bangalore where
they are under the Commissioner of Customs. To avoid confusion, Board now
clarifies that Commissioner of Customs, Bangalore, will have administrative
control over EOUs/EHTP/STP units located only in the district of Bangalore
Urban, Bangalore Rural,Tumkur and Kolar. In other places under the Customs
Commissioner’s jurisdiction, the EOUs will be under the jurisdiction
of the Commissioner of Central Excise.<br>
<br>
<a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2006/cuscir06_03.htm">CIRCULAR
NO. 3 /2006-Customs, Dated: January 10, 2006</a></font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Target
Plus to be revamped – DEPB to continue – Kamal Nath invites suggestions</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Union Minister
of Commerce and Industry, Kamal Nath has asked the high-level Board
of Trade to give their inputs and suggestions for both the forthcoming Union
Budget as well as Foreign Trade Policy (Annual Supplement), which is
scheduled to be brought out in March this year. He further stated that the
Target Plus scheme will be revamped to make it more focused and ensure that
the scheme actually fulfils its objectives. “Since Rs.8,000 crore is
being spent on the scheme, it must generate at least 20-30 times this amount
by way of export earnings for the country”, he said.<br>
<br>
Stating that he agrees with exporters on the need for a stable policy regime
and the adverse impact of the extension of the DEPB (Duty Entitlement Pass
Book) scheme in fits and starts for a few months at a time, Shri Kamal Nath
has also indicated that the DEPB will continue till a new scheme was finalized.
<b>“Not only will it continue, but we are also committed to there being
a reasonable overlap period in order to have a smooth transition”</b>,
he said.</font></p>
<p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif">
<b>India’s Railway Station liquor shop causes concern in Pakistan</b></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Pakistan's opposition
parties expressed concern at reports that India planned to allow the sale
of liquor in a duty-free shop at a railway station on the border that becomes
operational next month. They said that "The military regime (in Pakistan)
has gone blind in establishing good relations with India and is accepting
all terms being dictated by the Indians." They were reacting to a media
report that India would permit the sale of liquor at a duty-free shop in Munabao
railway station in Rajasthan, from where the Thar Express train will run to
Khokhrapar in Pakistan's Sindh province beginning Feb 1. In Islamic Pakistan,
the sale and consumption of liquor is prohibited with exceptions for non-Muslims
who hold licences to sell, purchase and consume alcohol. Munabao will be the
first railway station in India to have a duty-free shop. It has been built
at a cost of Rs.100 million and features various modern amenities. The media
report also said another duty-free shop would be opened at Attari in Punjab,
from where the Samjhauta Express crosses over to Pakistan.<br>
<br>
"It's a conspiracy to introduce Indian culture in Pakistan," said
an opposition leader in Pakistan. Safeguarding the religious and cultural
values of Pakistanis was a constitutional obligation of the government and
it should not fail in protecting them, he asserted adding "Pakistan should
not allow such decision by India as it is detrimental to the ideology of Islam
and Pakistan," Another leader said that Pakistan government had to be
very careful while announcing confidence-building measures with India.<br>
<br>
An official of the interior ministry, however, said no one in Pakistan needed
to bother about what was happening across the border. "If they want to
sell liquor in their land, we cannot stop them," the official said, pointing
out that Pakistani authorities could only take steps to ensure that the liquor
was not transported across the border. "Definitely, we are not going
to allow unlicensed liquor into Pakistan whatever the case maybe, but if someone
is buying or drinking liquor outside Pakistan, we cannot stop them,"
he said.</font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">
<font color="#663399"><b>How to win a case in court</b></font><br>
<br>
<b>If the law is on your side, pound on the law;<br>
If the facts are on your side, pound on the facts;<br>
If neither is on your side, pound on the table</b><br>
<i><font color="#006600">
<b>Unknown</b></font></i></font></p>
<p><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <font color="#FF6666"><b>Until
Tomorrow with more DDT<br>
<br>
Have a nice day.<br>
<br>
Mail your comments to</b></font> <a href="vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com
</a></font> </p>
</div>
</body>
</html>