Indirect Tax Weekly Flashback for the period 9 to 15 March 2025.
Delhi High Court
Delhi High Court Dismissed Writ On Advance Authorisation For Raw Pet Coke Imports to SEZs, Citing Forum Conveniens
The Delhi High Court has dismissed the writ petition on advance authorisation for raw pet coke imports to Special Economic Zones (SEZs), citing Forum Conveniens.
The bench of Chief Justice Devender Kumar Upadhyay and Justice Tushar Rao Gedela has observed that the mere appending of his signature at a particular location would not, ipso facto, be the primordial consideration while examining the issue of “cause of action” or territorial jurisdiction of a High Court under clause (2) of Article 226 of the Constitution of India. Thus, for all intents and purpose, the Regional Authority had rejected the application seeking Advance Authorisation at Hyderabad, even though he was seated at Delhi.
Notices U/S 28(1), S. 28(4) Of Customs Act 1962 Can’t Be Issued Interchangeably: Delhi High Court
The Delhi High Court has held that the notices under Section 28(1) and Section 28(4) Of Customs Act 1962 cannot be issued interchangeably.
The bench of Justice Yashwant Varma and Justice Harish Vaidyanathan Shankar has observed that the show cause notice issued under section 28(4) of the Customs Act post the issuance of the SCN under Section 28(1) could be termed a “Supplementary Notice”.
Delhi High Court Directs Customs Dept. To Release Silver Coated Gold Chains Of Iranian National, Waives Warehouse Charges
The Delhi High Court has directed the customs dept. to release silver coated gold chains weighing 255.74 grams of Iranian National and has also waived the Warehouse Charges.
The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta have observed that the prescribed period of six months for issuance of a Show Cause Notice has already elapsed. No personal hearing was also granted to the Petitioner and as directed in the above order in the previous writ petition, no order-in-original has been served upon the Petitioner till date.
Delhi High Court Upholds Rejection Of CENVAT Credit On Countervailing Duty Paid On Imported Capital Goods
The Delhi High Court has upheld the rejection of cenvat credit on countervailing duty (CVD) paid on imported capital goods on the grounds that only after the investigation was started, the Petitioner tendered the amount in order to avoid prosecution and approach the Settlement Commission.
Bombay High Court
Plea Challenging CBIC Notification Extending Time Limit For Issuance Of SCN And Order: Bombay High Court Stays Garnishee Notice
The Bombay High Court has granted the interim stay on the Garnishee Notice issued citing the CBIC Notification No. 56/2023-Central Tax dated 28th December 2023 which extended the time limit for issuance of show cause notice (SCN) and order.
The bench of Justice B. P. Colabawalla and Justice Firdosh P. Pooniwalla has observed that the issues raised in the Writ Petition are pending adjudication in several other Writ Petitions, including Writ Petition No.5146 of 2024 and Writ Petition No. 5471 of 2024. The Gauhati High Court has in fact already struck down these CBIC Notifications. Though on this issue, the Telangana High Court has held in favour of the Petitioner before it, the Telangana High Court came to the conclusion that because of the order of the Hon’ble Supreme Court in “Re-Cognizance for extension of limitation in (2022) (1) TMI 385-SC ORDER”, the assessment was not time barred.
