Income Tax Dept had Knowledge about Amalgamation: Calcutta HC quashes Re-Assessment Notice against

The Calcutta High Court has quashed a re-assessment notice under section 148 of the Income Tax Act, 1961 against an amalgamated Company since the same was non-existent and the income tax department had knowledge about the process.

The petitioner, M/s SMJ Eximp Limited challenged a notice under Section 148 of the Income Tax Act, 1961 and impugned assessment order under Section 147 read with Section 144 of the Income Tax Act, 1961 on the ground that the noticee company is no more in existence and it has already been amalgamated with effect from 23rd December, 2005 by the order of the High Court, Calcutta, dated December 22, 2005 and the respondent department was intimated on the amalgamation of the noticee company on 13th January, 2009.

The counsel for the assessee, Mr. Avra Mazumder contended in spite of intimation of the fact that the assessee is not existing, still respondent is proceeding with the impugned reassessment proceeding and submits that the whole proceeding and the impugned notice and assessment order are bad and not sustainable in law against the non-existing company.

Quashing the notice, Justice Md. Nizamuddin held that “Considering the submissions of the parties, I am of the view that the impugned notice dated 30th March, 2021 (Annexure P-3 to the writ petition) and assessment order dated March 16, 2022 (Annexure P-4 to the writ petition) are not tenable in the eye of law and all further steps pursuant to the said impugned notice also are not tenable in the eye of law. This writ petition is allowed and the impugned notice is quashed solely on the ground that the impugned notice was issued in the name of non-existing company in spite of revenue having notice and knowledge of non-existence of such company.”

GST Dept Sealed Premises for want of Documents from Assessee: Delhi HC Orders to De-Seal and Directs

The Delhi High Court has recently ordered the GST department to de-seal the business premises of the assessee.

The department has sealed the premises of the petitioner, M/S Shakti Oil and Chemical Co. represented through its Prop. Arun Goel on the ground that no relevant documents were submitted in consequent to a search conducted in the premises.

The petitioner approached the Court alleging malicious prosecution and conceded that the principal grievance of the petitioner is that its premises lie sealed.

Mr Satyakam, on the other hand, contended that in case the petitioner produces the relevant documents, the department will have no objection to the subject premises being de-sealed.

Justice Rajiv Shakdher and Justice Poonam A. Bamba has allowed the petition with the directions that “The authorized representative of the petitioner will present himself/herself with the relevant documents before the concerned officer tomorrow i.e., 13.05.2022, albeit latest by 11:00 A.M. The respondents/revenue will de-seal the subject premises tomorrow i.e., 13.05.2022 by 07:00 P.M. In case the documents produced by the petitioner are found to be deficient, appropriate steps, in accordance with the law, will be taken. However, sealing will not continue, beyond the timeframe indicated herein. 5.1. It is ordered accordingly.”

GST: Govt reminds E-Com Operators to file TCS Return by 10th JuneRead More: https://www.taxscan.in

The Goods and Service Tax Network (GSTN) has reminded the e-commerce operators to file TCS return in form GSTR-8 on before 10th June 2022, as the due date is nearby.

In an advisory published in the GSTN official twitter handle, the GSTN stated that the last date to file GSTR-8 is 10th June.

“Gentle Reminder for all E-Commerce Operators,” the twitter handle said.

GSTR-8 is a return to be filed by the e-commerce operators who are required to deduct TCS (Tax collected at source) under GST. GSTR-8 contains the details of supplies effected through e-commerce platform and amount of TCS collected on such supplies.

In a notification issued yesterday, Central Board of Indirect Taxes and Customs (CBIC) has waived the interest rate on account of non-filing of GSTR-8 by certain e-commerce operators under section 52 of the Central GST Act, 2017.

Section 52 of the CGST Act, 2017 provides for Tax Collection at source, by e-Commerce operator in respect of the taxable supplies made through it by other suppliers, where the consideration in respect of such supplies is collected by him.