TIOL-DDT 2974 · the untouched capture
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<p align="justify"><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"><a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=bnews_detail.php3&newsid=26988"><img src="http://www.taxindiaonline.com/RC2/image/stories/limca_book2016.jpg" alt="DDT in Limca Book of Records - Third Time in a row" width="252" height="220" hspace="5" border="0" align="right" ></a></font></strong></font><font color="#663399" size="3">TIOL-DDT 2974 </font><br>
21 11 2016 <br>
Monday</strong></font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em>Revision by Same Rank Officer -Board is in 'process of taking' appropriate remedial measures </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> appeals against order of the Commissioner and Commissioner (Appeals) are, as is well known, to be filed with the Customs, Excise and Service Tax Appellate Tribunal (CESTAT). </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">There is a little known appellate channel in indirect tax matters - the Government as Revision Authority. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Under Section 35EE of the Central Excise Act, 1944, in respect of orders passed by Commissioner(A) relating to transit loss, rebate or export without payment of duty, the appeal lies to the Central Government i.e the Revision Authority. Similarly, under Sec 129DD of the Customs Act, 1962, cases involving baggage, drawback and shortages, the appeal lies to the Central Government. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In <strong> </strong>the case of <em>M/s. NVR Forgings - </em><a href="http://www.taxindiaonline.com/RC2/caseLawDet.php?QoPmnXyZ=MTE0NTAy"><strong><em> 2016-TIOL-1066 -HC-P&H-CX</em></strong></a>, the Punjab and Haryana High Court set aside two orders passed by the Revision <font color="#FF0000">Authority on the ground that the Commissioner (Appeals) and the Revision Authority were of the same rank</font>. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court observed, </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>1. the impugned order was passed by the Joint Secretary to Government of India who was also Commissioner of Central Excise and Customs. </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>2. Thus, the order in appeal as well as revisionary order had been passed by the officers of the same rank which is not permissible as per law. </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>3. The impugned orders are set aside. </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>4. However, liberty is granted to the State to proceed afresh in accordance with law but without prejudice to the rights of the parties. </em></font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">While covering the above decision in <a href="http://www.taxindiaonline.com/RC2/NewsDesc.php?MpoQSrPnM=MjcxOTM="><strong>DDT 2861</strong></a>, I had suggested -</font></p>
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<td><p align="justify"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">What can the Government do? </font></strong></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. The easiest thing perhaps is to appeal to the Supreme Court, which option will keep all the pending cases with the Revision Authority in suspended animation for the next decade or so. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. They can appoint a Chief Commissioner as the Revision Authority, so that the Revision Authority is higher in rank than the Commissioner (Appeals). But this is not easy -as such they do not have enough Chief Commissioners and which Chief Commissioner will like to work as a Revision Authority? </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. They can do away with the appeals to the Revision Authority? Why should the Government retain certain appellate powers when we have an effective Tribunal? Is it to retain a post or to ensure Revenue favour orders in these matters? </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court order came two months ago; the Government has not acted so far - hope they will soon. </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Department took the 'easy' way out -they appealed to the Supreme Court. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">However, after condoning the delay, the SLP was dismissed by the Supreme Court on 17.10.2016. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Not ready to give up, the department again referred the matter to the Law Ministry to consider the feasibility of filing a Review Petition. However, the Additional Solicitor General of India opined against this view. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In the meantime, on a similar issue, by an order dated 07.11.2016, the Supreme Court dismissed the Department filed SLP (C) CC No. 2005/2016 in case of <em>M/s. Modi Springs Pvt. Ltd. </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Board, therefore, informs the field formations, the following - </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif" style="background-color:#FFFF00" span="span"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>"6. In view of above position, Department is in process of taking <font color="#CC6600">appropriate remedial measures</font>, for disposal of the Revision Applications, arising out of the orders passed by the Commissioner (Appeals)."</em></font> </font> <font size="2" face="Verdana, Arial, Helvetica, sans-serif"></font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Taking appropriate remedial measures, we pray, should not mean that the provisions are going to see a minor retrospective amendment in the forthcoming Union Budget. </font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif">But, <em>Heads I win, Tails you lose </em>has been the philosophy since times immemorial! </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA3ODk=" target="_blank"><strong>F.No.276/125/2016-CX.8A dated November 16, 2016 </strong></a></font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em><a name="f1"></a>GST Jurisdiction -Stalemate continues </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> informal meeting called by the Finance Minister yesterday to discuss the issue of GST jurisdiction failed to resolve the differences. The discussions will continue on 25th November when the GST Council meets. The proposed GST needs to be rolled out before 16th September, 2017, which is fast approaching. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For more, please see <a href="http://www.taxindiaonline.com/RC2/NewsDesc.php?MpoQSrPnM=MjgxNDY="><strong>DDT 2932</strong></a>.</font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em><a name="f2"></a>Clearance of Imported Metal Scrap -Pre-shipment inspection certificate is a must </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>IN</strong> Circular <a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA3MDc="><strong>48/2016 </strong></a>- Customs, the Board revised the guidelines for clearance of un-shredded, compressed or loose metallic scrap. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In Para 3(i), however, while prescribing the documentary requirement in respect of the clearance of the shredded metallic scrap (both ferrous and non-ferrous), it is mentioned that the import shall be permitted <strong>'without any pre-shipment certificate</strong>'. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Board says that this was <em>"inadvertent"</em> since Policy conditions for import of shredded metallic scrap are prescribed in Para 2.54 (b) of HBP (2015-2020) which clearly mention that the importer shall furnish to the Customs, a pre-shipment inspection certificate from the designated inspection & Certification agencies. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Para 3(i) of the Circular No. <a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA3MDc="><strong>48/2016 </strong></a>-Customs, therefore,stands modified to the said extent. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=wnew/cuscir.htm"><strong>Circular 53/2016-Customs dated November 18, 2016. </strong></a></font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em><a name="f3"></a>IDS declarations without PAN </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>IT</strong> has come to the notice of Member (L&C), CBDT that some declarations under IDS, 2016 received manually without PAN are still pending for issuance of Form -2 due to non-availability of PAN. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Therefore, in a communication addressed to the field formations, the Member says -</font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ I also understand that Directorate of Systems have sent e-mail and SMS to the <strong><em>concerned </em></strong> officers to update PAN in Form-1 or to communicate the PAN application number to the Directorate for expediting PAN allotment in such cases. Further, attempts have also been made by the e-filing team to telephonically contact the officers to <em>sensitise </em> about the urgency of this matter. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ Despite such efforts, I understand that several such cases are still pending and the relevant information has not been sent to the Directorate of Systems. In view of the approaching deadline for payment of first installment under the IDS, 2016, please take all necessary steps, including contacting the declarant to obtain the PAN or ensuring that the declarant removes all deficiencies in the PAN application, so that allotment of PAN can be expedited. It is expected that issuance of Form-2 in all such cases, in accordance with instruction <a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA1ODE="><strong>No.10 of 2016 </strong></a> dated 28.09.2016 is done by <strong>25.11.2016</strong>. </font></p>
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<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>Hope all concerned meet this deadline. </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA3ODU=" target="_blank"><strong>D.O. F.No.370142/8/2016-TPL (Part) dated November 17, 2016. </strong></a></font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em><a name="f4"></a>Order passed without authorization is non est </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>AN</strong> o-in-o was passed by the Commissioner of Customs (Adjudication), Mumbai on 26/10/2004. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Against this order, the Revenue is before the CESTAT. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Bench noted -</font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">++ Initially, by an order No. 437/1/97-Cus-IV dated 03/07/2003, the Commissioner (Adjudication) was appointed to decide the case for the show-cause notice issued to the respondents. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">++ Subsequently, by another order dated 23/09/2004 for the show-cause notice issued by the respondent, nomination of adjudicating authority is changed to Commissioner of Customs, Customs House, Mumbai. </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Observing that the Commissioner of Customs (Adjudication) who passed the impugned order was not authorized to do so, the same was held to be <em>non est </em> and set aside. </font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>A double whammy! </em></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Please see <a href="http://www.taxindiaonline.com/RC2/caseLawDet.php?QoPmnXyZ=MTIwMTQ1" target="_blank">2016-TIOL-3018-CESTAT-MUM</a></strong></font></p>
<p align="center"><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><strong><em><a name="f5"></a>Reporting High Court proceedings -norms for accreditation </em></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>IN </strong><a href="http://www.taxindiaonline.com/RC2/NewsDesc.php?MpoQSrPnM=Mjc2OTc="><strong>TIOL-DDT 2900</strong></a>, dated 1<sup>st</sup> August 2016,it was reported - </font></p>
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<td><p align="center"><font face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600" size="2">No Ban on Journalists from attending and reporting Court Proceedings: Kerala High Court </font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE </strong><strong> </strong>Kerala High Court has clarified that there is no ban imposed on the Journalists from attending and reporting Court Proceedings. The Committee to formulate Code for the Press and Electronic Media in relation to Reporting of Court Proceedings will look into the issue of framing <strong>guidelines </strong> to provide prompt and easy access for the Journalists to judgments and orders which are pronounced and issued. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court however added that taking into account the requirements to insulate the Chamber and Office of each Judge and attached Staff, including Private Secretaries and Personal Assistants, the individual Judges will be at liberty to decline access to any person to their Chambers and the Office of the Private Secretaries and Personal Assistants. </font></p></td>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Norms for accreditation of legal correspondents in the High Court of Kerala have been approved at the meeting of the Full Court held on 10.11.2016. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>Inter alia</em>, they are - </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ He must have a Law degree recognized by the Bar Council of India constituted under the Advocates Act. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ Any working journalist/ correspondent who desires to regularly report the High Court proceedings may be eligible to be considered for regular accreditation by the High Court of Kerala. An applicant can also procure for temporary accreditation. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ The conditions laid down would be required to be fulfilled by the working journalist/correspondent/applicant. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ Temporary accreditation granted shall be valid for a maximum period of three years. On being granted regular/temporary accreditation, the legal correspondent so accredited will be issued an identity Card. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ The accreditation, whether regular or temporary, shall be liable to be withdrawn by the Chief Justice, at any time, without assigning any reason and such decision shall be final and binding. Not more than two correspondents of a newspaper/news channel shall be granted accreditation at a time. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ The Registrar General may in his discretion also grant temporary reporting facility to a working journalist for a day/short duration or for a specific case on fulfilling the laid down criteria. The working journalist who has been granted temporary reporting facility shall comply with the conditions which are to be observed by accredited journalists. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ An Accredited Legal Correspondent, regular or temporary shall while in Court precincts be in formal dress in a manner befitting the decorum of the court and shall display prominently his identity card. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ An Accredited Legal Correspondent, regular or temporary, shall, at all time, maintain decorum in the court and refrain from doing anything that may disturb the proceedings of the court and shall always abide by the instructions/orders of the Presiding Judge, for the smooth conduct of the court proceedings and shall also confine to area/seats provided for them. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">+ An Accredited Legal Correspondent, regular or temporary, shall make only a true and correct reporting of court proceedings/ orders/judgments, without any distortion and <strong>embellishment</strong>. </font></p>
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<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>See <a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MjA3ODg=" target="_blank">Norms </a></strong></font></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"><strong>Have a nice day. </strong></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@tiol.in"><strong>vijaywrite@tiol.in </strong></a></font></p>
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