Contravention of section 269SS And No reasonable cause shown by assessee- Leviability of penalty under section 271D

Contravention of section 269SS And No reasonable cause shown by assessee- Leviability of penalty under section 271D

Except for mere statement that the receipt of amount in cash was on account of the business exigency and to meet the liquidity, there was hardly any material to show that in fact there was a real exigency that compelled assessee to go for cash loan, therefore, cash loans taken by assessee were in violation of section 269SS and accordingly, penalty levied under section 271D was justified. - vide P. Baskar v. Commissioner of Income Tax (2012) 45 (I) ITCL 32 (Mad-HC)



SERVICE TAX


Clearing and forwarding agent service-Assessee allowed to sell the goods to independent parties-Levy of service tax
The factual matrix of the case clearly indicates that the assessee never acted as C&F agent or a consignment agent. It is not open to ka C&F agent to sell the goods to independent parties and at a cost which can be decided by himself. In the instant case, it was very clear that that the assessee was allowed to sell the goods even at a price lower than the prices which were indicated by IPCL. All these indicate that the assessee had acted as distributor and not as C&F agent of IPCL. :-XL Laboratories Pvt. Ltd. v. CCE (CESTAT-Del) Stay Order No. ST/741/2011(PB), dated 15-9-2011.