HC to Decide on Tax Liability in Cotton Procurement

Hyderabad: A two-judge bench of the Telangana High Court comprising Chief Justice Ujjal Bhuyan and Justice N. Tukaramji will resolve the issue as to whether agriculturists and purchasers from agriculturists, either directly or from agricultural market committees, would require payment under the reverse charge mechanism. In the case of Shiv Shankar Traders, engaged in cotton trading, the intelligence wing of the Khammam GST division found that the trader had not paid GST on cotton purchased from agriculturists at the Khammam market yard. Authorities pointed out that the petitioner had purchased cotton to the tune of nearly ₹3.7 crore between November 2017 and December 2018. All the cotton purchases were made at the market yard through commission agents, attracting a tax liability of about ₹18.8 lakh. The petitioner argued that the cotton was purchased from commission agents, who, in turn, purchased them from farmers. The incidence of tax must therefore be upon the commission agents, the petitioners contented.

HC to decide on surrogacy tax

In a case where the question of whether in-fertility clinics deduct tax at source when payment is made to surrogate mothers arose, M/s Kiran Infertility Centre Pvt. Ltd was assessed for failure to deduct 1 per cent tax in surrogacy cases at its centre. The argument of the assesses that it was not a “works contract” and therefore, it was not obliged to make such a deduction, was negated by the assessing officer and the tribunal. In a writ Petition M/s Kiran Infertility Centre Pvt. Ltd pointed out that there is a ban on commercial surrogacy under the Surrogacy (Regulation) Act and contended that if surrogacy cannot be commercial, there cannot be income out of the same, much less taxable income.

HC reserves verdict on admissibility of writ against SC, Prez

A two-judge bench of the Telangana High Court of Justice P. Naveen Rao and Justice Nagesh Bheemapaka on Tuesday reserved their verdict on the admissibility of a writ petition filed against the office of the President of India, Supreme Court of India, Governor and the High Court, among others. The petitioner, P. Ranjan Kumar, a former additional district judge-cum-session judge in Jagtial, complained about his termination from service and how he was treated when in service. In a voluminous set of documents, the petitioner complained that the agitation for the separate state of Telangana witnessed toxic reactions, he was understaffed and overworked. He also pointed out various judgments delivered by him, countering allegations that representations made by him reached the Union government. He also alleged that a false complaint against a sitting judge was made in his name without his knowledge. He requested an inquiry by a High Court judge, claiming his complaint before the SP Jagtial went unheeded. Ranjan Kumar sought a direction to order a CBI inquiry or a special team of investigating officers to probe his complaint and register an FIR. The court wondered how such a writ petition was maintainable. Deputy Solicitor General Gadi Praveen pointed out that the writ petition against the Supreme Court and President was wholly misconceived.

HC admits writ on fund limitation for building temple

A two-judge bench of the Telangana High Court on Tuesday admitted a writ questioning limitation of arrears of the Common Good Fund. The writ petition, filed by a temple, challenged the notice issued in 2010 for a period starting from 1997-98 to 2008-09. A single judge dismissed the writ petition on the ground that the founding family member of a temple did not have the authority to file the petition. The bench of Justice T. Vinod Kumar and Justice Pulla Karthik noticed that prima facie demand was barred from limitation. Justice Vinod pointed out that even a devotee can challenge on behalf of a temple and in this case, it is the member of the founder family, and that he cannot be unsuited. On a demand made by the superintendent of Common Good Fund, the court made adverse comments to the executive officer of Sri Sitaram Maharaj Samsthan, Sitarambagh, from properly safeguarding the interests of the temple.

HC sets aside NGT order

A two-judge bench of the Telangana High Court comprising Chief Justice Ujjal Bhuyan and N. Tukaramji on Tuesday set aside an ex parte interim order passed by the NGT (Southern Zone Chennai) and remanded it back to hear both sides. The bench was dealing with a petition filed by M/s. Kaveri Engineering Projects Pvt Ltd challenging an order of the National Green Tribunal (NGT), alleging interference and hindrance to the petitioner from proceeding with the activity of ‘desilting’ in Manair and Godavari rivers in Jayashankar Bhupalpally district, as per its agreement. The bench observed that the tribunal has passed the orders in contravention of the provisions of the Act. The bench, observing that the original application was pending before the tribunal and was coming up for adjudication on July 5, allowed the writ petition.