Not providing opportunity of cross examination is violation of principles of natural justice

The Allahabad HC has held that if the department has relied on the statement of any witness, the  assesee has the right to cross examination the witness. Not providing the assesse with an  opportunity to cross examine the witness amounts to violation of the principles of natural justice.

[CCE vs M/s Kurele Pan Products Pvt Ltd & others (2014-TIOL-690-HC-ALL-CX)]

Demand raised upon automatic vacation of stay previously granted not tenable

The Rajasthan HC has held that the department cannot initiate proceedings against an assesse where  stay has been granted earlier and the appeal could not be disposed off within the period of stay,  for no fault of the assesse.

[M/s Chhote Lal Virendra Kumar Jain vs Union of India & Others (2014-TIOL-647-HC-RAJ-ST)]

Manufacture, erection, installation and commission of lifts is works contract

The Constitutional bench of the Hon’ble Supreme Court, over-ruling the earlier decision of  three-member Bench, has   held that the activity of manufacture, erection, installation and  commissioning of lift is indeed a ‘works contract’ and not a ‘contract for sale of goods’.

The Apex Court held that the dominant nature test may not be applicable if the contract is a  composite one falling under the definition of works contracts under clause (29A)(b) of Article 366  of the Constitution.

[M/s Kone Elevators Pvt Ltd vs State of Tamil Nadu & Ors (2014-VIL-12-SC-LB)]