Jurispruden tiol – Monday' s cases
Legal Corner Icon — the image was hosted by the publisher and was not captured.Income Tax
Mandatory audit could not be done by coop-society as govt did not appoint auditor - No penalty: High Court
STRANGE are the ways of Revenue. They took a Co-operative society to the High Court for not filing the audited report on time – the penalty involved – a huge sum of Rs 24,362/-!
How much money the government must have spent for this and how much they made the poor society spend? Revenue is certainly not safe in the hands of the Revenue officers – they are always more worried about audit than revenue.
Central Excise
Annual capacity of production – by the time order was passed on remand by CCE , Section 3A was omitted; secondly rule 3 is held ultra vires Section 3A – on both counts order unsustainable: Majority decision by Tribunal
THE issue involved is regarding the determination of the Annual Capacity of Production of a textile processor under the provisions of Section 3A of the CEA '44 & the Rules made there under.
It is the contention of the appellant that the provisions of Section 3A are omitted from the statute w.e.f . 11.5.2001 and as such, the order passed by the Commissioner in March 2004 re-determining the capacity of the appellant is without jurisdiction; that the issue is no more res integra in view of Tribunal decision in the case of Mitra Steels and Alloys Pvt. Ltd. vs. CCE , Raigad . [ ]
Central Excise
Scrap sold in e-auction to highest bidder – Once scrap is cleared on payment of duty, company is no way concerned with whether consignment is delivered to destination reflected on invoice or diverted elsewhere; Amendment to rule 26 is prospective: Tribunal
IMAGINE hounded by the department and drawn into litigation for no fault of yours. Apart from the time money that is spent in fighting the case, you ultimately conclude that there is no peace of mind even if you sell that “damn scrap” & that too in an auction on payment of Central Excise duty.
This is what precisely happened in the present case. The appellant company conducted an e-auction for selling the scrap generated in the factory premises & sold the same to the highest bidder.
Until Monday with more DDT (tomorrow is a holiday)
Have a nice time.
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