Jurisprudentiol– Tomorrow's cases

By Vijay Kumar

Legal Corner Icon — the image was hosted by the publisher and was not captured.Income Tax

Penalty was leviable even in a case where addition of concealed income reduces the returned loss. Law is well settled that the applicable provision would be the law as it existed on the date of the filing of the return. - Virtual Soft Systems over-ruled – Supreme Court

Law is well settled that the applicable provision would be the law as it existed on the date of the filing of the return. It is of relevance to note that when any loss is returned in any return it need not necessarily be the loss of the concerned previous year. It may also include carried forward loss which is required to be set up against future income under Section 72 of the Act. Therefore, the applicable law on the date of filing of the return cannot be confined only to the losses of the previous accounting years.

Central Excise

An appeal lies not against the finding but against the order - Issue of marketability can be taken in subsequent proceedings: Tribunal

On going through the order-in-original, the Tribunal observed that the adjudicating authority had taken a short cut approach while giving his findings and hence it could not be ascertained as to whether the evidences were produced before the adjudicating authority and that he had considered those evidences.

Customs

Imported goods assessed to higher Duty only on account of omission by AO. If the importer is compelled to pay huge revenue, for fault of AO it would definitely amount to mis-carriage of justice: CESTAT

THE appellant urged the Tribunal that it is the primary responsibility of the Assessing Officer to assess the imported goods and determine the appropriate duty leviable thereon. In the process, the Assessing Officer also has the primary responsibility to provide benefit of any exemption notifications applicable to such imports and thereafter compute the duty liability. Ignorance of the appellant in not claiming the benefit of an exemption notification at the time of import cannot be held against the importer and deny the refund claim filed after the appellant becomes aware of the eligibility to such benefits.

Service Tax

Terms 'Guaranteed Public Telephone' and 'Local Calls' are highly technical terms not decipherable by Revenue – DoT is appropriate authority to resolve conflict

SOMETIMES it defies logic as to why there is no co-ordination between various Government Departments. TIOL has been continuously stressing the need for a “setu” between the Ministry of Commerce and the Ministry of Finance so that the SEZ issue is sorted out. But then, litigation is what actually everyone, including Revenue craves for, for the reason that one wishes the Apex Court to have a final say in the matter and obviously if the final say is not to the Revenue's liking, then there is always the spectre of retrospective legislation.

So, it was a pleasant surprise to find the Tribunal decide the present set of appeals filed by Bharat Sanchar Nigam Limited, Sangli in the most logical manner although it appeared midway that the matter may go the Revenue way.

See our columns Tomorrow for the judgements