News
Goods and Services Tax (GST) – Relaxations effective October 2020
01 October 2020
Central Board of Indirect Taxes and Customs (‘CBIC’) has on September 30 issued number of notifications to relax or defer certain GST provisions. Some of the important changes worth noticing are, deferment of annual returns for FY 2018-19, relaxation in e-invoicing provisions for a month, deferment of dynamic QR Code for B2C transactions, and extension of exemption to service of transportation of export goods by aircraft/vessel.
Rate of duty when notification issued on same date when bills of entry presented
28 September 2020
Observing that the self-assessment was carried out based on the rate of duty which prevailed at the time of the presentation of the bill of entry, the Supreme Court has upheld the High Court’s Orders setting aside re-assessments, by the Customs department, due to a notification issued later on the date of presenting of bill of entry, enhancing the rate of duty.
Patents – Divisional application when cannot be rejected
16 September 2020
The IPAB has set aside the Order of the Controller of Patents rejecting the divisional application under Patents Act, 1970. The Board observed that the Controller erred in not appreciating that it was technically impracticable to make compound of formula (I) dependent on the main claim of the parent application, which was directed towards compound of formula (III). It observed that it was settled that when an independent sub-claim cannot be made dependent on the main claim...
Transfer of property – Procedural way out for removal of encumbrances
10 September 2020
The Kerala High Court has explained the procedural way out for removal of an encumbrance from an immovable property under Section 57 of the Transfer of Property Act 1882 (‘TPA’). It is noteworthy that an operative, substantive and procedural way out to facilitate the realisation of the intrinsic value of encumbered estates and other immovable properties within the annals of TPA is very rarely been invoked in court of law.
Anti-dumping duty – Action of Designated Authority asking for contemporary data, correct
04 September 2020
The Supreme Court of India has upheld the action of the Designated Authority (“DA”) in the Directorate General of Trade Remedies (DGTR), requiring the domestic industry to furnish relatively contemporary data. Relying on the guidelines contained in the Manual of Operation for Trade Remedy Investigations (Period of Investigation and Injury Investigation period), the Apex Court set aside the impugned order of the Telangana High Court and held that the DA’s action could not be termed as arbitrary.
Micro, Small and Medium Enterprises (MSME) – Clarifications on investment, etc.
25 August 2020
Reiterating a recent clarification by Ministry of Micro, Small and Medium Enterprises, the Reserve Bank of India (RBI) has clarified that the value of plant and machinery or equipment for all purposes of the Notification No. S.O. 2119(E) dated June 26, 2020 and for all the enterprises shall mean the Written Down Value (WDV) as at the end of the Financial Year as defined in the Income Tax Act, 1961 and not cost of acquisition or original price.
Faceless assessment introduced in Income Tax
17 August 2020
With the renaming of E-assessment Scheme 2019, the Central Board of Direct Taxes (CBDT) has launched “Faceless Assessment Scheme” under Income Tax. It may be noted that the Central Board of Indirect Taxes (CBIC) has also recently launched faceless assessment in respect of Customs clearances at various specified ports. While the faceless assessment under Customs will be fully implemented pan India by December 31, 2020, the scheme under Income Tax is effective from August 13, 2020.
Computer program – Invention must be examined as whole, considering technical effect achieved and its technical contribution
17 August 2020
The IPAB has allowed the appeal in a case where the Controller had earlier refused to grant patent to a computer program observing that the objections as regards lacking novelty as well as falling under Section 3(k) of the Patents Act persisted. The invention taught delaying a hit to the web (internet) unless necessary parameters to construe the request were extracted from the user.
Execution proceedings – Delhi High Court formulates detailed affidavit of assets and income of judgement-debtor
06 August 2020
The Delhi High Court has formulated detailed formats of affidavit of assets and income of the judgement-debtor to be filed at the threshold of execution proceedings. The Court in its judgement dated August 5, 2020 also laid down detailed guidelines for the Executing Court. It observed that this will curb the delay and expedite disposal of execution proceedings.
Refund of credit accumulated on input services due to inverted duty structure, available
04 August 2020
The Gujarat High Court has allowed refund of accumulated credit of input services in case of inverted duty structure. Explanation (a) to Rule 89(5) of CGST Rules was read down to the extent it denied refund of ITC as accumulated on account of ”input services”.