INDIRECT TAX

1. Assessee is entitled to interest on refund granted through appellate order.
VAT/CST : Gujarat Sales Tax/VAT : Refund allowed on modification of assessment order in appeal, can be said to be granted as per 'modified assessment order' and therefore, assessee is entitled to interest on delayed grant of such refund.

2. Burden of proof to take credit lies on assessee; failure to prove receipt of inputs would lead to denial of credit.
Cenvat Credit : Burden of proof to take credit lies on assessee; hence, where department found that input supplier did not have manufacturing facilities and was passing on credit without supply of goods and even assessee failed to prove receipt and consumption of goods in his factory, credit could not be allowed to assessee.

3. Job worker of PSU can’t plead ignorance of law to avoid extended period of limitation.
Excise & Customs : A job-worker of a public sector company can be expected to be aware of amendments/law through said public sector company; hence, such job-worker cannot plead ignorance of law to avoid 'extended period of limitation'.

4. Mere visit of officers of foreign service provider in India doesn't impose ST liability on service provider.
Service-Tax : A foreign company having no business establishment or operations in India, cannot be asked to pay service tax on services provided by it to Indian recipient merely because of a visit of its officers in India in course of providing service.

5. Rajasthan High Court upheld imposition of penalty due to incomplete declaration form.
CST & VAT: Rajasthan VAT - Where Form No. ST-18 accompanied with goods under transport was found incomplete to extent that it did not disclose bill No. and date, levy of penalty under section 78(5) was justified.

6. No attempt to evade tax in absence of proper docs when goods in transit were meant for return and not for sale.
CST & VAT: Punjab VAT - Where Authorised Officer checked a vehicle carrying goods of assessee and having found that bills accompanying goods were not from regular bill book and an attempt to evade tax was made imposed penalty upon assessee under section 14B(7)(ii), since during assessment proceedings Assessing Authority had accepted bill book and stand of assessee that it was an agent of one 'E' and above goods had been returned to 'E' on cancellation of agency, there was no question of attempt to evade tax.

Source : taxmann