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Petition filed in Supreme Court to compulsory show “Country of origin” for all products on e- commerce site

Petition filed in Supreme Court to compulsory show “Country of origin” for all products on e- commerce site Introduction A writ petition has been filed under Article 32 of the Constitution of India seeking direction to formulate a law that mandates all the e-commerce industry/ business houses selling goods in India, through any channel to display the Country of Origin in such a way that is legible easily by the consumers; making the consumer’s aware of the ‘Country of Origin’ so as the Consumer can make an informed decision. Petition was raised on the following Questions of Law? Whether the consumer has the right to know the ‘Country of Origin’ or not so as to take a conscious decision? Whether Respondent shall attract penalties upon the e-commerce industry for non- disclosure of the ‘Country of Origin’ on the products they are selling, as it is nothing less than cheating with the consumers, as it is a matter of right for the consumers to be aware about the Country ...
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Buyer eligible to avail full ITC even when tax rate charged by seller on goods is higher than the specified rate: HC

Buyer eligible to avail full ITC even when tax rate charged by seller on goods is higher than the specified rate: HC

Buyer eligible to avail full ITC even when tax rate charged by seller on goods is higher than the specified rate: HC

Visteon Automotive Systems (P.) Ltd. v. Deputy Commissioner – [2020] 117

The petitioner registered under Tamil Nadu Value Added Tax Act, 2006 (the Act) had purchased “capital goods” for manufacturing purpose and availed input tax credit. As per the Act, the “capital goods” were liable to VAT at 4%.

However, the dealer who sold the “capital goods” to the petitioner charged VAT at 12.5% and passed on the incidence of such tax to the petitioner.

The petitioner therefore availed the tax paid and reflected in the invoice at 12.5%.

The department has issued show cause notice (SCN) contending that the “capital goods” were liable to VAT only at 4%, therefore, the petitioner was liable to reverse input tax credit in excess of 4% and accordingly the petitioner was required to reverse credit availed equivalent to 8.5% VAT paid in excess by the registered dealer who sold the capital goods to the petitioner.

The honorable Madras High Court observed that input tax credit can be availed on the strength of the invoice on the tax paid by the registered dealer who sells such capital goods or input.

As a person availing input tax credit, the petitioner had to merely satisfy that the tax reflected in the invoice was paid by the registered dealer who sold the capital goods to it.

The High Court relied on its own decision in case Sara Leathers v. Commercial Tax Officer, [2010] 30 VST 581 (Mad.) and held that credit availed by the petitioner could not be disallowed even if registered dealer had deliberately paid tax in excess and passed on incidence of such tax.



Gst update in hindi



क्रेताओं द्वारा पूर्ण आइटीसी प्राप्त करने के योग्य पात्र तब भी जब सामान पर विक्रेता द्वारा लगाया गया कर निर्धारित दर से अधिक हो: एच.सी.

क्रेताओं द्वारा पूर्ण आइटीसी प्राप्त करने के योग्य पात्र तब भी जब सामान पर विक्रेता द्वारा लगाया गया कर निर्धारित दर से अधिक हो: एच.सी.

विस्टोन ऑटोमोटिव सिस्टम्स (पी।) लिमिटेड वी। डिप्टी कमिश्नर - [2020] 117

तमिलनाडु वैल्यू एडेड टैक्स एक्ट, 2006 (अधिनियम) के तहत पंजीकृत याचिकाकर्ता ने विनिर्माण उद्देश्य के लिए "पूंजीगत सामान" खरीदा था और सब्सक्राइबर क्रेडिट क्रेडिट का लाभ उठाया था।  अधिनियम के अनुसार, "पूंजीगत वस्तुएं" 4% पर वैट के लिए उत्तरदायी थीं।

हालाँकि, याचिकाकर्ता को "पूंजीगत सामान" बेचने वाले डीलर ने 12.5% ​​वैट वसूला और याचिकाकर्ता को इस तरह के कर की घटनाओं को पारित किया।

याचिकाकर्ता ने भुगतान किए गए कर का लाभ उठाया और 12.5% ​​चालान में दर्शाया।

विभाग ने कारण बताओ नोटिस (SCN) जारी किया है, जिसमें कहा गया है कि "पूंजीगत सामान" वैट के लिए केवल 4% पर उत्तरदायी थे, इसलिए, याचिकाकर्ता को 4% से अधिक इनपुट टैक्स क्रेडिट को रिवर्स करने के लिए उत्तरदायी था और तदनुसार याचिकाकर्ता को रिवर्स करने की आवश्यकता थी  याचिकाकर्ता को पूंजीगत सामान बेचने वाले पंजीकृत डीलर द्वारा अधिक में भुगतान किए गए 8.5% वैट के बराबर क्रेडिट प्राप्त हुआ।

माननीय मद्रास उच्च न्यायालय ने देखा कि ऐसे पूंजीगत सामान या इनपुट बेचने वाले पंजीकृत डीलर द्वारा भुगतान किए गए कर पर चालान के बल पर इनपुट टैक्स क्रेडिट का लाभ उठाया जा सकता है।

इनपुट टैक्स क्रेडिट का लाभ उठाने वाले व्यक्ति के रूप में, याचिकाकर्ता को केवल यह संतुष्ट करना था कि चालान में परिलक्षित कर का भुगतान पंजीकृत डीलर द्वारा किया गया था जिसने पूंजीगत सामान को बेचा था।

सारा लेवर्स बनाम वाणिज्यिक कर अधिकारी, [2010] 30 वीएसटी 581 (मैड) के मामले में उच्च न्यायालय ने अपने फैसले पर भरोसा किया और याचिकाकर्ता द्वारा लिया गया क्रेडिट रद्द नहीं किया जा सकता था, भले ही पंजीकृत डीलर ने जानबूझकर कर का भुगतान किया हो।  और ऐसे कर की घटनाओं पर पारित कर दिया।


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