TIOL-DDT 663 · the untouched capture
Rendered as it looked. Links and images are disabled in this view; the file itself is untouched.
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN"
"http://www.w3.org/TR/html4/loose.dtd">
<html>
<head>
<title>Untitled Document</title>
<meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1">
</head>
<body>
<p align="justify"><font size="2"><b><font color="#663399" size="3" face="Verdana, Arial, Helvetica, sans-serif">TIOL-DDT 663</font><font face="Verdana, Arial, Helvetica, sans-serif"><br>
24.07.2007<br>
Tuesday</font></b></font></p>
<p align=center><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Income Tax - Who is your assessing officer? </b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">It has come to the notice of the Board that there is some lack of clarity and uniformity at the field level about the income limits for cases that are to be assigned to the Deputy Commissioners/Assistant Commissioners and to the Income tax Officers.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Does it mean the Department is confused as to who should assess whom?</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Board reiterates its earlier instructions issued in 2001 as per which the officers' powers are as follows.</font></p>
<table width="450" border=1 align="center" cellpadding=3 cellspacing=0>
<tr>
<td width=48 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1</font></p></td>
<td width=351 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">cases with latest returned income of Rs.10 lakhs and above in <st1:City w:st="on">Delhi</st1:City>, Mumbai, Kolkata, Chennai, <st1:place w:st="on"><st1:City w:st="on">Bangalore</st1:City></st1:place>, Pune and Ahmedabad</font></p></td>
<td width=81 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DC/AC</font></p></td>
</tr>
<tr>
<td width=48 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2</font></p></td>
<td width=351 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Less than Rs. 10 Lakhs in the above cities</font></p></td>
<td width=81 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">ITO</font></p></td>
</tr>
<tr>
<td width=48 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3</font></p></td>
<td width=351 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">cases with latest returned income of Rs.5 lakhs and above in other places</font></p></td>
<td width=81 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DC/AC</font></p></td>
</tr>
<tr>
<td width=48 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4</font></p></td>
<td width=351 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Less than Rs. 5 Lakhs in these cities</font></p></td>
<td width=81 valign=top>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">ITO</font></p></td>
</tr>
</table>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Board has now added <st1:place w:st="on"><st1:City w:st="on">Hyderabad</st1:City></st1:place> to the list of metros in Sl. No.1 above.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">But what will happen if there is an uneven distribution of work among DC/AC and ITOs due these limits? The Chief Commissioner can redistribute! </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=67&filename=notification/cbdt/2007/instruct0706.htm" target="_blank">INSTRUCTION NO. 6/2007, Dated: July 18, 2007</a></font></p>
<p align=center><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>No double orders by the Principal Bench - TIOL gets the Restoration of Appeal order from Revenue</b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399">Within
a few hours of our yesterday's story on the CESTAT Principal Bench double
orders in case of M/s Padmini Polymers, TIOL received feedback that
the CESTAT had in fact recalled the earlier order and restored the Appeal
Numbers 818 and 819 of 2004. The first order was an ex parte order and
the appellant filed application for restoration of the Appeals on the
ground that</font> </strong>on the date of hearing, the counsel was arguing
before the other Bench and he could not appear at the time of hearing
of the appeal. Therefore the Final Order dated 31.5.2006 dismissing the
appeal was recalled and appeal was restored to its original number and
was tagged with the Department's Appeal. So the appeal was not decided
twice as reported.</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">While
thanking the CDR's office for the prompt response to the story, it is surprising
that the counsel arguing before another bench did not seek a 'pass over'
in this bench and the Tribunal's third order does not make any mention
about the second order (restoration). </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Please see the full text of the Restoration of Appeal Order -</font><font size="1" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=52&filename=legal/cestat/2007/2007-TIOL-999-CESTAT-DEL.htm" target="_blank"> 2007-TIOL-999-CESTAT-DEL</a></font></p>
<p align=center><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>FM TO INAUGURAGE(?) CONFERENCE OF CCs OF CUSTOMS </b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Yes, the press release says that he is going to <b><font color="#663399">inaugurage</font> </b>but this obviously is only a spelling mistake; what the FM is apparently going to do is <b><font color="#663399">inaugurate</font></b> the conference of the Chief Commissioners & Director Generals of Customs and Central Excise. What's the difference between a <b><font color="#663399">g</font> </b>and a <b><font color="#663399">t</font></b>?</font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Long ago the British army had a very logical method of allotting trades to its newly recruited soldiers. Those who wrote <b><font color="#663399">miscellaneous</font></b> wrongly were made clerks and those who spelt it correctly were made store men. The idea was that the clerks will in any case be corrected by the signing officer (which is the only job done by all our signing officers ever since) while no such checking was required or possible in the stores - whether you wrote gin as jin or ghin, it would give the same kick! Maybe CBEC should follow the same logic. Those who can spell <b><font color="#663399">inaugurate</font></b> correctly should be posted in PR and those who can't, be posted in the Notifications section, where there could be a hierarchy of spell checkers. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Will the FM announce the much awaited promotion orders to the cadre of Chief Commissioner? Or has it wait till the conference is over?</font></p>
<p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><st1:place w:st="on"><st1:country-region
w:st="on"><b><font color="#006600">INDIA</font></b></st1:country-region></st1:place><font color="#006600"><b> EMPOWE<font color="#FF0000">RED</font></b></font></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">If you write this in four lines, it would read as </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><st1:country-region w:st="on"><st1:place
w:st="on"><b><font color="#663399">INDIA</font></b></st1:place></st1:country-region></font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>EMP</b></font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>OWE</b></font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>RED</b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">And
this is all about journalism according to SitaramYechury, the left intellectual. </font></p>
<p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#006600">From our Legal Corner - tomorrow's cases<br>
</font><b><b><img src="http://www.taxindiaonline.com/RC2/image/stories/ddt_31.gif" alt="Legal Corner Icon" width="191" height="160" hspace="5" border="0" align="left"></b></b></b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong> </strong></font><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Central Excise </strong></font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Marketability is essentially a question of fact - Gold Chloride solution that emerges as an intermediate product is not marketable, hence not excisable : Tribunal </b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#FF0000">Service Tax </font></strong></font><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong> </strong></font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>CESTAT orders Idea <st1:place w:st="on">Mobile</st1:place> Communications to pay Rs 50 lakhs for getting stay in Service Tax case </b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">THE CCE, Meerut, passed an order in January 2007 confirming a demand of Rs.1.74crores on the ground that the mobile communication company had wrongly taken/availed/utilized Cenvat credit on the inputs service received on the basis of documents issued prior to 10.9.2004 or without having date of issue. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Hopefully, when the final order comes, we will be in a better position to tell you what the case was all about. As of now we have no <b><font color="#663399">IDEA</font></b><font color="#663399"><strong>!</strong></font></font></p>
<p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Income Tax</strong></font></p>
<p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>Block assessments cannot be initiated without a valid search : HC </b></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399">CAN</font> </strong>block assessment proceedings under XIV-B be initiated on its own or there are conditions precedent to its invocation? This was the issue which came up before the court in a writ petition, and the court decided it in favour of the assessee by holding that the block proceedings within Ch.XIV-B can be initiated only in consequence of a valid search u/s 132 or requisition u/s 132A which in turn can be authorised on the basis of information with the authorising authority to form a reasonable belief that there is undisclosed income or assets with the person or he fails to produce or will not produce the relevant books of accounts. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <b><u><font color="#663399">See our columns tomorrow for the judgements</font></u></b></font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until Tomorrow with more DDT</font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice day.</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">vijaywrite@taxindiaonline.com</a></font></p>
</body>
</html>