Finance Act, 2007

Bajaj Auto Ltd., a manufacturing unit in Uttarakhand, was granted a ten‑year exemption from central excise duty under Notification No. 50/2003‑C. The company, however, did not pay National Calamity Contingent Duty (NCCD), Education Cess and Secondary & Higher Education Cess, which were demanded through a show‑cause not…

The Supreme Court examined whether service tax could be levied on indivisible works contracts entered into after the Finance Act, 1994 but before the 2007 amendment that expressly made such contracts taxable. It held that the 1994 Act neither charged nor provided machinery to assess service tax on composite works contr…

GVK Industries Ltd. and its director entered into an agreement with a Swiss non‑resident company (NRC) to act as a financial advisor for a power project, receiving a "success fee" of 0.75% of the debt on loan closure. The Income Tax Officer refused to issue a No‑Objection Certificate for remittance of the fee, directin…

SRD Nutrients Private Ltd, a manufacturer in Assam, claimed refund of Education Cess and Higher Education Cess paid along with excise duty on goods that were exempted from excise duty under Notification 20/2007‑CE dated 25‑Apr‑2007. The lower authorities and CESTAT held that the notification only exempted excise duty, …

Unicorn Industries, a manufacturer in Sikkim, claimed that a 2003 exemption notification under Section 5A of the Central Excise Act, 1944, which exempted basic excise duty and certain additional duties, also covered the National Calamity Contingent Duty (NCCD), education cess and secondary/higher education cess imposed…

The Union of India challenged the Andhra Pradesh High Court judgment that exempted chit fund companies from service tax on the ground that their activities fell within the definition of "banking and other financial services" under s.65(12)(a)(v) of the Finance Act after the 2007 amendment. The issue was whether the ope…

The Supreme Court considered a group of civil appeals challenging service‑tax assessments on composite (indivisible) works contracts that were levied for periods before the Finance Act, 2007 introduced a definition of "works contract" under s.65(105)(zzzza) of the Finance Act, 1994. The Revenue argued that service tax …