Newsletter 16th January 2017 Issue 2.pdf

SGA LAW - 2017 Issue 2, published on January 16, 2017, features various court judgments and news related to taxation. The newsletter includes a nominal index of court cases, notifications, and news articles. Some key points include:

The GST rollout has been delayed and is now likely to occur on June 1.
The definition of agriculture has been revised to include absentee landlords and food processing firms under the GST net.
States are demanding tax on high sea sales and higher compensation.
The GST Council meeting resulted in a deadlock over high sea taxes, making the April 1 target unlikely.
Tax refunds to exporters under GST will be provided within seven days.
States have recorded a jump in VAT collections after the note ban.
The Finance Minister is hopeful of resolving issues to roll out GST from April 1.
The GST Network may require security clearance.

Court judgments include:

CESTAT, Ahmedabad: Recovery of outstanding dues of ED cannot be made from the Lessor by attachment of the property.
CESTAT, New Delhi: Split-up of works contract into 80% towards supply of materials and 20% towards value of taxable service is allowed.
SC: Payment of handling expenditure made by 'GACL' to 'GSFC' cannot be treated as common service provided by 'GFSC' to 'GACL' for levying service tax.
CESTAT, Mumbai: Order demanding service tax on the value of invoices is sustained, and the appeal is rejected.
CESTAT, New Delhi: Refund benefits allowed to the appellant on GTA services utilized for transportation of goods to the SEZ Unit.
Madhya Pradesh HC: Leasing of Broadband Lines is not liable for VAT.
SC: The court cannot interpret the law to read into the Act an inherent power of condoning the delay by invoking Section 5 of the Limitation Act 1963.
CESTAT, Chandigarh: CENVAT credit cannot be denied on the ground that the dealer was non-existent at the time of investigation.
CESTAT, Bangalore: The appellant is entitled to a refund of cenvat credit in respect of Renting of Immovable Property Services received.
Karnataka HC: Mobile battery charger sold along with a mobile phone in one retail package is taxable at a separate rate of tax.