TIOL-DDT 347 · the untouched capture
Rendered as it looked. Links and images are disabled in this view; the file itself is untouched.
<html>
<head>
<meta http-equiv=Content-Type content="text/html; charset=us-ascii">
<title>Taxindiaonline's DDT 347</title>
</head>
<body>
<p ><font color="#663399" size="3" face="Verdana, Arial, Helvetica, sans-serif"><strong>TIOL-DDT
347<br>
</strong></font><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">24
04 2006 <br>
</font></strong><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Monday
</font></strong></p>
<p align="center" ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>It’s
our birthday</b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Six
years is not a long time in history but today we are so much taken for granted
as if we have always been there. And that’s a great tribute! This was
the day, in 1800, when the US Congress Library was started with a fund of 5000
Dollars and less than a thousand books. Today it is one of the largest libraries
in the world. We started with far less, two hundred years later. We also share
our birthday with the master blaster Sachin Tendulkar. As our founder is fond
of saying we started as a bridge builders but today we find that a small bridge
cannot cope up with the traffic, so we are into complicated flyovers and connecting
roads – the whole idea is to provide high speed communication highways
in the maze of taxation in the country. In serving our netizens we may appear
very irreverent to the powers that be, but the whole idea is to make tax collection
and payment less painful and we promise to relentlessly strive in that direction.
This is your portal and you have a responsibility. When we are right keep us
right and when we are wrong make us right. </font></p>
<p align="center" ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>No reduction
of duty on plywood – Board clarifies</b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Board
has clarified that there has been no reduction in excise duty on plywood
and allied products in the recent budget. Excise duty at 8% has been imposed
on articles of wood (vide S. No. 1 of notification No. 10/2006-C.E. dated
1st March, 2006). Under the 8-digit excise tariff, which is aligned with
the 8-digit customs tariff, the scope of various items is defined in the
Harmonized Commodity Description and Coding System (Explanatory Notes).
So the Board clarifies that articles of wood are only those goods which
are covered under heading Nos. 4414 to 4421. But strangely and as it is
the practice these days, Board has chosen to issue such an important clarification
through a letter from TRU and not a proper public circular. </font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=31&filename=notification/excise/2006/wood.htm">F. No. 341/10/2006-TRU
Dated : March 22, 2006</a></font></p>
<p align="center" ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>MRP
assessment – Board invites data</b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">MRP
based assessment is to be extended to toothbrush, parts, components and assemblies
for automobiles and plant growth regulators with effect from 1<sup>st</sup>
May, 2006. The government is required prescribe abatement from the retail sale
price to arrive at the assessable value for levy of excise duty. For this purpose
they have an Advisory Committee. And the advisory Committee perhaps requires
some data to arrive at the quantum of abatement. And the Board is in the process
of collecting this information. TRU has requested Industry Associations to furnish
data from their members to enable the Committee to take a view. The information
required is </font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (i) Ex-factory price
of the goods i.e. assessable value;</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (ii) Excise duty paid;</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (iii) Sales tax and other
taxes paid;</font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">
(iv) Wholesale price inclusive of all taxes;</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (v) Retail price (MRP
or printed price);</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (vi) Trade practices
and sale pattern such as sole distributor, wholesale distributor, retailer;</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (vii) Details of trade
discounts. If it is based on written agreement, copy of the agreement may be
obtained and forwarded. Details may be verified with the actual data;</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (viii) Information may
be obtained for different segments of the industry (small, medium and large)
and based on recent data; and </font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> (ix) Any other data relevant
for the purpose of arriving at the abatement.</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The information is asked
from the associations by TRU’s letter dated 21<sup>st</sup> April 2006.
The associations are asked to compile the information from their members and
submit to the Board by 28<sup>th</sup> April, 2006. Based on this the Committee
is to recommend the abatement and government will then notify the rates. 29<sup>th</sup>
and 30<sup>th</sup> are holidays for the government and the abatement is to
come into force from 1<sup>st</sup> May. Are they serious about the data from
the associations or have they already taken a decision?</font></p>
<p align="center" ><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Export
of Goods and Services – RBI extends period of realization</b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Authorised
Dealer (AD) banks have been permitted to grant extension of time for realization
of export proceeds beyond the prescribed period from the date of export, where
invoice value does not exceed US$ 100,000 subject to the conditions prescribed.
Now as a measure of further liberalization, RBI has decided to increase the
invoice value limit to US$ 1 million from existing US$ 100,000 with immediate
effect.</font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=49&filename=notification/rbi/2005/rbi05cir031.htm">RBI CIRCULAR
NO . 31/RBI/ Dated: April 21, 2006</a></strong></font></p>
<p align="center" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#006600">Greek
and Latin<u3:p></u3:p></font><u3:p></u3:p></b></font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><u3:p></u3:p></b></font></p>
<P align=center><B><IMG height=62 src="http://www.taxindiaonline.com/RC2/image/ddt/gnl_txt.jpg" width=375></B></P>
<TABLE cellSpacing=0 cellPadding=0 width=350 align=center border=1>
<TBODY>
<TR>
<TD><IMG height=67 hspace=5 src="http://www.taxindiaonline.com/RC2/image/ddt/gnl_word.jpg" width=67 align=absMiddle vspace=5><B><I> De
jure</I></B></TD>
</TR>
</TBODY>
</TABLE>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>De jure – by
law; Legitimate; lawful, as a matter of law</b></font></p>
<p align="justify" ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The
Tribunal should be a real substitute of the High Court - not only in form and
de jure but in content and <i>de facto.</i> – Supreme Court in the famous
Sampath Kumar case - <a
href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=50&filename=legal/sc/2002/2002-TIOL-406-SC-Constitution.htm">2002-TIOL-406-SC-Constitution</a></font></p>
<p ><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The phrase is often used
with the other phrase <i>de facto</i></font></p>
<p align=center ><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><i>Equity
is the life of a legal fiction</i></b></font></p>
<p ><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until
tomorrow with more DDT</font></p>
<p ><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a
nice Day. </font>
<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"><b>vijaywrite@taxindiaonline.com</b></a></font></p>
</body>
</html>