GOODS AND SERVICE TAX REPORTS (GSTR)

Volume 30 Part 7 (Issue dated 16-2-2015)

SUBJECT INDEX TO CASES REPORTED IN THIS PART

HIGH COURTS

Customs duty --Appeal--Appeal to High Court--Jurisdiction--Territorial jurisdiction--Maintainability of appeal--Assessee situated within Union Territory of Dadar and Nagar Haveli--Omission of section 131C(b) defining, term “High Court†in relation to Union Territories of Dadar and Nagar Haveli to be Bombay High Court, from date to be notified--No such date notified till date--Appeal not maintainable before Gujarat High Court--Assessee to present appeal before Bombay High Court having territorial jurisdiction--

Customs Act, 1962, ss. 129A, 131C-- Commissioner of Customs v . Kobian Electronics (India) P. Ltd. (Guj) . . . 504

Excise duty --Appeal--Appeal to Appellate Tribunal--Recovery of duty--Suppression of facts--Limitation--Extended period of limitation--Finding of suppression while filing declaration and availing of Cenvat credit of fact regarding material used--Without displacing this basic finding of fact, Appellate Tribunal ought not to have disturbed order passed--Matter remanded--Central Excise Act, 1944-- Commissioner of Customs, Central Excise and Service Tax v .Dewan Sugar Mills (All) . . . 506

----Rebate--Benefit of Cenvat credit and rebate availed of on basis of mere paper transactions--Concurrent findings of fact by authorities that transactions fake--Conclusions based on evidence on record and not perverse--No interference called for--Constitution of India, art. 226--Central Excise Rules, 2002, r. 18--Central Excise Act, 1944, s. 11BB--Cenvat Credit Rules, 2004, r. 15(2)-- Diwan Brothers v . Union of India
(Guj) . . . 484

Service Tax --Taxable service--Rent-a-cab service--Possession and control over vehicle should have been passed to hirer under rent-a-cab scheme for transaction to be a taxable service--Difference between “rent-a-cab†and “hiringâ€--Finance Act, 1994, s. 65(91), (105)(o)--Motor Vehicles Act, 1988, s. 75-- Commissioner of Customs and Central Excise v . Sachin Malhotra (Uttarakhand) . . . 511

CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL

Customs duty --Confiscation of goods--Redemption fine--Import clearance of restricted goods--Failure to submit valid Bureau of Indian Standard certification or establish goods covered under exempted category--Order directing confiscation and redemption of goods for re-export--Appeal--Home clearance permitted instead of re-export against same fine--Department failing to show how redemption fine low with no reference to margin of profit--No justification for interfering with order--Bureau of Indian Standards Act, 1986--Customs Act, 1962, s. 111(d)--Pneumatic Tyres and Tubes for Automotive Vehicles (Quality Control) Order, 2009-- Commissioner of Customs, Central Excise and Service Tax v. Aban Exim P. Ltd . (Trib.-Delhi) . . . 558

----Exemption--Import of hospital equipment--Notification requiring that imported goods be used in specified hospitals and importer to furnish certificate to that effect--No requirement that import to be done by hospitals listed in notification--Not case of Department that equipment imported used by Government hospitals and conditions of end-use not followed--Assessee-third party importer entitled to benefit of notification--Notification No. 21/2002-Customs, dated 1-3-2002--Customs Act, 1962-- CCE, Customs and Service Tax v . Vishal Surgical Equipment Company
(Trib.-Bang) . . . 529

Excise duty --Valuation of goods--Assessable value--Assessable value of transformers determined in accordance with Cost Accounting Standard-4 by qualified chartered accountant--No evidence to show actual quantum of oil used higher than indicated in Cost Accounting Standard-4 and why chartered accountant’s certificate not accepted--No case of suppression or misdeclaration--Determination of assessable value based on quantum of oil indicated in contract not sustainable--Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000, rr. 4, 11-- Raghavendra Industries v. CCE, Customs and Service Tax (Appeals) (Trib.-Bang) . . . 525

----Valuation of goods--Assessable value--Liquid chlorine manufactured and sold either in own tonners or in customers’ tonners or even through pipeline marketable as such--Cylinder testing charges for customer’s tonners--Not includible in assessable value of liquid chlorine--Central Excise Act, 1944-- CCE v. Grasim Industries Ltd .
(Trib.-Delhi) . . . 496

Service tax --Cenvat Credit--Input services--March, 2005 to March, 2011--Assessee manufacturing vehicles and also selling motor vehicles imported from principals abroad--Availing of credit of input services common to both manufacturing and trading activity--Explanation added to definition of “exempted service†with effect from 1-4-2011 not applicable--Trading activity not a service much less an exempted service--Credit of service tax paid on common input services to be apportioned in same ratio as turnover of manufactured and traded cars--Cenvat Credit Rules, 2004, rr. 2(e), (l) 6(3D), Expln. I, cl. c--Mercedes Benz India P. Ltd. v . CCE (Trib.-Mum) . . . 533

----Recovery of tax--Limitation--Penalty--Assessee engaged in manufacture and trading--Taking credit of input services exclusively used in trading activity but not disclosing in return or documents--Extended period of limitation available--Penalty attracted for normal period also--Central Excise Act, 1944, s. 11AC--Finance Act, 1994, s. 73(1), proviso--Cenvat Credit Rules, 2004, r. 15-- Mercedes Benz India P. Ltd . v. CCE (Trib.-Mum) . . . 533