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Corporate News *  Missing seized records must be considered while testing ITC claim; duplicate GST demands ordered corrected: Delhi High Court. *  GST appeal can’t be rejected without addressing taxpayer’s grounds: Allahabad High Court. *  Surplus IGST credit can offset CGST, SGST shortfall: GSTAT. *  GST refund can’t be denied when cancelled airfares are returned with tax: GSTAT. *  3 Hearing notices issued within 2 minutes: Gujarat High Court flags portal flaw, seeks report. *  GSTR-9, GSTR-9C filing for FY 2025-26 enabled; pending GSTR-1 and GSTR-3B must be filed first. *  Dupattas are exempt fabrics, can’t be taxed as fibres at 4%: Madras High Court. *  Full transitional credit allowed on capital goods received after GST rollout: GSTAT denies Rs. 6.99 lakh export duty credit. *  GST return mismatch alone can’t justify fraud proceedings: GSTAT orders fresh adjudication under section 73. *  Supplier found non-existent later can’t alone justify input tax credit denial: GSTAT. *  GST interest stops once tax reaches government account, can’t run until return filing: GSTAT. *  Cancelled flat booking- GST refund can’t be denied without excluding COVID period from limitation: GSTAT. *  India notifies rules of origin for India–New Zealand FTA. *  Incomplete E-bike kits classifiable as complete vehicles, but not eligible for CKD duty concession: CESTAT. *  Same GST rate on main input and output can’t by itself bar inverted duty refund: GSTAT. *  Unjust enrichment doesn’t apply to customs refunds from assessments finalised before July 13, 2006: Gujarat High Court. *  CENVAT credit can’t be denied solely because plant And machinery are embedded in earth: Karnataka High Court. *  DFIA exports ineligible for RoDTEP benefits; customs directs repayment with applicable interest. *  Second E-Way bill alone doesn’t prove another supply: GSTAT. *  Bail denied in Rs. 1.19 crore fake GST refund case over risk of accused absconding again: Punjab and Haryana High Court. *  GST registration can be restored after revocation deadline if outstanding dues are paid: Gauhati High Court. *  Multiple GST proceedings over same suppliers: Calcutta High Court directs dept. to share findings for adjudication. *  E-Governance portal services not OIDAR, fixed deposit interest not taxable: CESTAT. *  Rs. 500 Stamp duty required on authority letters for CAs, CMA and GST practitioners in Pune GST division.  *  Rs. 1.10 crore GST refund must be paid in cash after business closure: Allahabad High Court. *  Godown rent attracts 18% GST even when used exclusively for exempt agricultural warehousing: AAR. *  GST portal launches "Multi-State Registration" facility: one master TRN for registration applications across multiple States/UTs. *  RoDTEP scheme extended till 31st December, 2026.  *  Mere disagreement with order can’t override Rs. 20 lakh appeal limit: GSTAT. *  Customs interest can’t be backdated before confiscation liability is determined; nearly 8 year period excluded: Delhi High Court.
Subject News *  GST summons: anticipatory bail maintainable without arrest order, but relief denied in evasion case: Allahabad High Court. *  GST Appeal can’t be decided without hearing taxpayer’s objections to fresh evidence: Allahabad High Court. *  GST ITC can’t be reversed merely because supplier grants discount without reducing tax liability: GSTAT. *  Mere quoting of GST provision is not a valid charge: GSTAT quashes ITC denial. *  Personal hearing mandatory before adverse GST order, even without taxpayer’s request: Rajasthan High Court. *  Parallel bail pleas without full disclosure amount to abuse of process Rs. 43.08 crore GST case sent for fresh hearing: Supreme Court. *  GST refund based on unchallenged advance ruling can’t be recovered using later circular: GSTAT. *  Payment of GST alone doesn’t end interest and penalty liability when tax and interest remain unpaid beyond 30 days of notice: GSTAT. *  GST demand over builders’ 80% procurement rule requires reasoned adjudication: GSTAT. *  Eligible ITC doesn’t automatically entitle taxpayers to compensation cess refund on domestic sales: GSTAT. *  GST confiscation order passed before reply deadline invalid: GSTAT. *  GST interest can’t be retained after tax refund on delayed export receipts: Punjab & Haryana High Court. *  GST appeal can’t be dismissed over pre-deposit shortfall without opportunity To respond: Bombay High Court. *  DGGI SCN can’t be challenged before reply and adjudication:Chhattisgarh High Court. *  GST input tax credit can’t be denied solely due to supplier’s retrospective registration cancellation: GSTAT. *  GST notice must explain fraud allegations; merely repeating section 74 Is not enough:  Himachal Pradesh High Court. *  Audit detection alone can’t justify GST fraud penalty; specific suppression must be proved: GSTAT. *  GST order uploaded only under ‘Additional Notices’ tab without separate intimation set aside: Calcutta High Court. *  Service Tax appeal can’t be rejected for missing pre-deposit proof when payment is already recorded: CESTAT. *  SGST dept. can’t hear appeal against CGST order: Calcutta High Court. *  Mere dispatch of tax order can’t prove service or make appeal time-barred: CESTAT. *  Dealer incentives can’t be taxed merely on ledger entries: CESTAT. *  DGFT orders quashed for failure to supply DRI letter relied upon in SCN: Bombay High Court. *  GST penalty u/s 122(1A) can’t apply to Pre-2021 transactions; unregistered beneficiaries also covered: Delhi High Court. *  Expired E-way bill caused by wrong PIN code can’t justify GST penalty without intent to evade tax: GSTAT. *  Used railway rails can’t be taxed as track material without proof they are fit for reuse: CESTAT. *  Earlier DGGI notice doesn’t bar separate GST demand on different issue: Delhi High Court. *  ITC dispute involves no question of law: GSTAT directs appeal to Vice-President. *  Earlier DGGI notice doesn’t bar separate GST demand On different issue: Delhi High Court. *  No E-way bill required for interstate goods movement in november 2017: GSTAT quashes detention and penalty.  

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PJ/CASE LAW/2016-17/3104

Whether permission for handling hazardous Cargo be routed through custodian?

Case:-DBC PORT LOGISTICS LTD. VERSUS UNION OF INDIA

Citation:-2015 (326) E.L.T. 244 (Bom.)

Brief Facts:-The Petitioners applied for permission for handling hazardous cargo. That was dated 28th November, 2014. In that application, copy of which is at Page 109 of the paper book, the Petitioners pointed out that they are making a complete application for handling the hazardous cargoes as per the requirement of the Customs Department. The application was first submitted on 10th October, 2014, but the Commissioner of Customs (CFS) Management Cell, Jawaharlal Nehru Customs House, Sheva, Navi Mumbai informed the Petitioner that they must re-submit the application via JNPT. That was done on 22nd October, 2014, but the JNPT has not submitted their application to the Commissioner of Customs. In these circumstances, by this application, the Petitioners prayed to process their case and grant the handling permission. They specifically stated that the matter involving them and Customs is sub-judice and will take its own time to resolve.

By the impugned communication, this application has been refused or in a way the Petitioners have been informed that it cannot be processed further. Reference is made to the very legal proceedings.

Appellant’s Contention:-The Petitioner has invited our attention to the Handling of Cargo and Customs Area Regulations, 2009 and the definitions therein particularly of the words “Customs Cargo Service Provider” in Regulation 2(b). The Petitioner has invited Court’s attention to the conditions to be fulfilled by the Customs Cargo Service Provider. The Petitioner has also invited Court’s attention to the details of the application and equally the stand of Respondent Nos. 1 and 2 as reflected in their affidavit-in-reply. The arguments center around the submission and furnishing of Bank Guarantee, which the Petitioners submitted that they are not required to furnish, as Regulation 5 itself clarifies this aspect.
 
Respondent’s Contention:-The Respondent submits that in the light of these Regulations, the Petitioners’ application can be processed further and without the tag/label that it is submitted through JNPT. If the appointment is sought in terms of the Regulations, then, irrespective of what is stated in the impugned communication and the issues in the pending litigation, in terms of these Regulations, the Petitioners’ application can be processed. It can be processed and a decision taken thereon in accordance with law. The respondent also has not disputed the position that the application can be considered independent of the proceedings before this Court and the stand of the JNPT, but in terms of the Regulations.
 
Reasoning of Judgment:- The High Court heard the both parties and therefore, direct that the application of the Petitioner shall be processed without in any manner being influenced by the impugned communication and the issues in the pending litigation, but strictly in terms of the Regulations and in accordance with law. Let that application be processed and accordingly the decision communicated to the Petitioners as expeditiously as possible and within a period of six weeks from the date of receipt of a copy of this order. We clarify that we have not expressed any opinion on the rival contentions.
 
Decision:-With the aforesaid directions, the Petition is disposed of.

Comment:-The Crux of this case is that the assessee has filed application for handling hazardous cargo. But as per Custom Areas Regulations, 2009. application by person for engaging in cargo handling require to be routed through custodian only. The High Court rightly decide that the Petitioner’s application can be processed in terms of impugned Regulations. The High court directed the department to give a decision on petitioner’s application within six weeks
 
Prepared by: Bharat Rathore

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