Taxand India bring you an important Indirect Tax update. There has been a significant judgement by the Hon’ble Delhi High Court in the matter of Polytech Trade Foundation vs. Union of India & Ors.
Taxand India bring you an important Indirect Tax update. There has been a significant judgement by the Hon’ble Delhi High Court in the matter of Polytech Trade Foundation vs. Union of India & Ors.
The central issue before the High court was whether the petitioners, were entitled for waiver of penal demurrage charges and detention charges which were due and payable as per the contract between the parties i.e. Petitioners and Container Freight Stations (CFSs), Inland Container Depots and shipping lines by virtue of instructions, contained in Office Orders and Circulars issued by Ministry of Shipping (MOS), Directorate General of Shipping (DGS) and Central Board of Indirect Taxes & Customs (CBIC), in view of the lockdown.
The Hon’ble High Court while dismissing the Petitions filed by the Petitioners gave various key findings on whether the MOS, DGS or CBIC, can invoke provisions of the Disaster Management Act, Merchant Shipping Act, Major Port Trust Act or the Customs Act to interfere in contractual matters and direct one party to not charge/levy charges that it is entitled to charge under a contract.
Continue reading: India: Tax Litigation Update
For similar content to our Global Guide, subscribe to our mailing list and keep up to date.
