Updates – UBR Legal – Professional Law Firm

Printing of book, calendars etc. using digital offset printer is not a service taxable under the category of “photography services” both prior and post introduction of negative list regime

UpdatesOctober 29, 2024551Views 0Likes 0Comments

The department challenged the order passed by CESTAT wherein, the tribunal, inter alia, held that the activity of digital offset and offset printing amounts to manufacture and the same is classifiable under heading chapter 4911 of the Central Excise Tariff. Therefore, no service tax would be payable on such activity. The department/ revenue contented that…

Delay in adjudication is fatal and proceedings which are stale cannot be proceeded with

UpdatesOctober 29, 2024497Views 0Likes 0Comments

The department had challenged the order passed by the Bombay High Court, wherein, show cause notices were pending adjudication for a period from ten to seven years and the same were transferred to the call book. No communication was sent by the department regarding the same. The assessee was informed when they sought a closure…

Service tax is not leviable on Corporate Guarantee given by the Holding Company, without consideration, to banks/ financial institutions against the credit facility availed by subsidiary/ group companies

UpdatesOctober 29, 2024492Views 0Likes 0Comments

The assessee provided corporate guarantees to banks/financial institutions lending to subsidiary/related companies. There was no consideration. The revenue alleged that they have provided "banking or financial service" as corporate guarantee is like a bank guarantee. For period post July, 2012, it was alleged that it is a "service" under section 65B(44) of the Finance Act.…

Section 13(8)(b) & Section 8(2) of the IGST Act are constitutional and valid. However, no CGST & SGST would be leviable

UpdatesOctober 29, 2024490Views 0Likes 0Comments

The above provisions are valid in so far as the provisions of the IGST Act are concerned. The same cannot be borrowed and/or extended to the provisions of CGST & SGST Act. The state legislature does not have legislative competence to levy tax on exports. UBR Comments: Whether or not a supplier is an intermediary…

Condition of furnishing bank guarantee or making pre-deposit of the tax under dispute at the time of granting bail for offence punishable under Section 132 of the CGST Act, is not valid

UpdatesOctober 29, 2024486Views 0Likes 0Comments

The Supreme Court set aside the condition of furnishing bank guarantee imposed by the High Court of Gujarat while granting bail to the appellant for alleged offence under Section 132 of the CGST Act. The Additional Solicitor General stated that such a condition cannot be imposed while granting bail. The Court reaffirmed its decision in…

Laying of railway siding is exempt from Service Tax

UpdatesOctober 29, 2024484Views 0Likes 0Comments

The respondent assessee was undertaking laying of railway lines for NTPC. A demand of service tax amounting to about Rs.16 crores along with interest and penalty were confirmed. The case of the Revenue was that: (i) exemption under notification no. 25/2012-ST was only for government or public railway and not private railway siding; and (ii)…