Leaf No : 25
Month : April
Year : 2012
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Greetings from Team SA!

The topic of right to free and compulsory education is back in media and public attention following the judgment of the Hon’ble Supreme Court in the case of Society for unaided private schools in Rajastan vs. Union on India. The Hon’ble Supreme Court, on a challenge to the provision of Right to Education Act, 2009 requiring unaided private schools to reserve 25% of their total seats to Economically Weaker sections (EWS), has upheld the validity of provision with specific observations on intent and purpose of Article 21A read with Directive Principles of State Policy (rather termed as policies for a welfare State) as envisaged in Articles 41,45 and 46 of Indian Constitution. The judgment is worth a mention in an era marked by liberalisation of license raj, as it has proved that both the Government and Judiciary are committed to basic welfare and social integration on horizontal and vertical spheres, inspite of strong advocacy for autonomy and laissez faire. While doing so , the Apex Court has once again drawn attention to the responsibility of supreme judiciary to uphold the basic tenets in the Preamble to the Constitution.

But alas, dream and reality often runs in parallels. Same applies for the implementation of this noble dream where lack of policies and co ordination is reducing the legislation to a paper tiger. Media is abuzz with reports as to how private schools are flouting the norms as laid down under RTE Act. To mention a few, there is a screening process still conducted by schools when same is forbidden under RTE Act, no proper disclosure of allotment of 25% of quota inspite of specific requirement, non maintenance of teacher student ratio as 1:30 as prescribed by Act, lethargy as to setting of School management Committe as required under the Act etc. The private institutions also takes the opportunity to raise the fee from remaining 75% of students in pretext of meeting necessary expenses to provide education to 25% as prescribed. This it is to be noted is inspite of specific provision in Act to compensate such schools for education provided to EWS.

As far as the parents are concerned, the elite, for principles of nicety, may accept the reservation for EWS as a welfare measure but is exaggeratedly worried about mingling of their children with the reserved category. The poor on the other hand sees this as an opportunity to bring their children at par with the much proclaimed higher standard and etiquette imagined to be exhibited by upper strata. As far as the children are concerned, they are too innocent and naive to understand the differences and is hence the happier lot, as usual!

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In the tax world, April is the monsoon month where it would be raining returns. Here I had tried to compile the various returns to be filed in the month of April...

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Two certain things in life are death and taxes...we @ swamy associates cant help you in the former but definitely in the latter...


genie in aladdin’s lamp

# Goods manufactured by EOU out of rawmaterials purchased from another EOU and cleared to DTA held as eligible for benefit of Notification No.08/97- CE... CCE vs. Favourite Industries 2012 TIOL 30 SC CX.

# If duty of excise itself is not leviable, it is not proper for Department to demand interest on ground that since assessee paid duty voluntarily, there is a liability to pay interest... CCE vs. Gujarat Narmada Fertilisers Company Limited 2012 TIOL 273 HC AHM.

# The expression 'place or premises from where the excisable goods are to be sold' used in Section 4(3)(c) of Excise Act, cannot be interpreted to mean a place or premises where the excisable goods are delivered to the buyers... CCE vs. Mukat Pipes Limited 2012 TIOL 400 CESTAT DEL.

# Facility to convert free shipping bills to DEPB shipping bills is available retrospectively and hence benefit not to be denied on technical ground that relevant public notice was not available on date of shipment... Sree Rayalaseema Dutch Kassenbouw Ltd vs. Commr. Of Customs 2012 TIOL 428 CESTAT MAD.

# EPCG authorisation holder can claim benefits of exports by third party towards fulfilment of export obligation only if such third party is a supporting manufacturer... Lakshmi Automatic Loom Works Limited vs. Commr. Of Customs 2012 TIOL 416 CESTAT MAD.

# Sale of fully built flats not taxable prior to 01.07.2010 as service is treated as rendered to oneself... CCE vs. Skynet Builders Developers Colonizer 2012 TIOL 440 CESTAT DEL.

# Commissioner (Appeals) remanding appeal for requantification of eligible credit under Rule 5 of Cenvat Rules, when substantive issue is decided by higher judicial forum - is pursuant to guidelines laid down by Board's Circular dated 19.1.2010... CCE vs. Outsource Partners International Private Limited 2012 TIOL 414 CESTAT BANG.

# Construction of villas as per common plan and lay out amounts to construction of residential complex and service tax is primafacie leviable... Isha Homes India Private Limited vs. CST 2012 TIOL 424 CESTAT MAD.

# When liability to pay freight is on manufacturer, fact of payment of same by consignment agent does not absolve manufacturer from their liability... M/s. Amaravathi Sree Venkatesa Paper Mills Limited vs. CCE 2012 TIOL 422 CESTAT MAD.

# No service tax is payable on those expenses incurred by CHA on behalf of their customer where reimbursement is on actuals... CST vs. Lee & Muirhead Private Limited 2012 TIOL 420 CESTAT MAD.

before parting ...         -  jk

latest news

 CBDT notifies new ITR forms for 2012 -13.

 Loksabha passes Judicial Accountability Bill.

 RBI circular on use of international debit cards by resident Indians while on trip abroad... Click here for copy of the  Circular.

 Central Government approves SPV for IT infrastructure for roll out of GST. 

 Union Cabinet approves amendment of Bill for Registration of Births and Deaths Act 1969 to be amended to incorporate registration of marriages as well.

 Union Cabinet approves introduction of Public procurement Bill 2012 in Budget session of parliament.

 Government invites applications for post of members in Customs & Central Excise Settlement Commission... Click here for details.

 Committee constituted to review the scheme for electronic refund of service tax paid on taxable services used for export of goods.

 Centre agrees to pay CST compensation if States agree to implement GST from April 1, 2013.


# Hon’ble Highcourt of Kerala issues instructions to Government to devise measures to combat difficulty faced by property developers in setting of payment of stamp duty against VAT liability – Alliance Habitat and Real Estate Private Limited vs. Government of Kerala and Others 2012 49 VST 274 (Ker).

# Tool development charges collected from buyers not eligible for export benefits in absence of physical movement of tool to a place outside India – Ibex Engineering Private Limited vs. State of Karnataka 2012 49 VST 302 (Kar)


# Guidelines issued for engagement of Standing Counsels to represent the Incometax Department before High Courts and other judicial forums... Click here for the Guidelines.

# Issuance of TDS Certificates in Form No.16A downloaded from TIN website - Circular under section 119 of the Income-tax Act 1961... Click here for copy of the Circular.


circulars & notifications


# Cenvat Credit Rules, 2004 amended... Click here for copy of the Notification.

# Central Excise Rules, 2002 amended... Click here for copy of the Notification.

# Amendment to Notification 12/12-CE, 18/12-CE dated 17.03.2012... Click here for copy of the Notification.

# Proviso to Rule 12 of Central Excise Rules, 2002 amended to provide for filing of quarterly return for the 1% duty items covered under Notification No. 12/2012... Click here for copy of the Notification.

# Clarification on issues relating to clearance of goods to mega power projects... Click here for copy of the Circular.

# CBEC clarifies Cenvat eligibility of parts of boilers... Click here for copy of the Circular.

# CBEC releases draft circular and a format for the registration in EST for excise and service tax. Board invites comments from their officers and trade to be sent to R. K. Kapur, OSD (Service Tax), CBEC (Telefax. 011-23095387) at kapurrk@hotmail.com... Click here for copy of the Draft Circular and Form.

# Clarification regarding admissibility of exemption under area-based Notification No.56/2002-CE dated 14.11.2002... Click here for copy of the Circular.



# DGFT has notified the 'Indian Trade Classification (Harmonised System) of Export and Import Items, 2012' [ITC (HS), 2012] to be effective from 18.04.2012... Click here for copy of the Notification.

# Government prohibits import and export of hazardous wastes specified in Scheduled VI to the Hazardous Waste (Management, Handling and Transboundary Movement) Rules, 2008... Click here for copy of the Notification.

# Corrigendum and amendments to Notification No.12/12–Cus dated 17.03.2012... Click here for copy of the Notification.

# Amendment to notification No. 16/11 dated 01.03.2011 issued... Click here for copy of the Notification.

# Kannur, Kerala notified as ICD... Click here for copy of the Notification.

# Tariff Rate of Gold and Silver amended... Click here for copy of the Notification.

# Amendment to Notification 9/12-Cus granting exemption to cut and polished diamonds re-imported by gems and jewellery exporters issued... Click here for copy of the Notification.

# Clarification issued regarding disposal of confiscated goods... Click here for copy of the Circular.

# Clarification on interest payment when warehousing period of goods are extended... Click here for copy of the Circular.


# Clarification on Point of taxation in respect of tickets issued by airlines prior to 01.04.2012 issued... Click here for copy of the Circular.


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