Village Officer and others vs Chunayamakkal Joseph and another

Civil Appeal · 2022 INSC 68Decided 19 Jan 2022
Civil Appeal No. 207 of 2022
M.R. Shah · B.V. Nagarathna

Background

Land in Naduvil village, Kerala, that respondents Chunayamakkal Joseph and another held on Purchase Certificates issued under land reform law was later notified as vested "private forest" belonging to the government under the 1971 Act, and subsequent surveys found part of their claimed land actually fell within the vested forest. Their certificates were eventually cancelled by the Land Tribunal, and their applications and civil suits challenging that were ultimately dismissed, with courts holding that only the specialised Forest Tribunal (not civil courts) could decide such forest-land disputes. Instead of pursuing that statutory forest-law remedy, the respondents filed a writ petition asking the High Court to simply direct the Village Officer to accept basic land tax from them under the Kerala Land Tax Act, relying on earlier affidavits filed by a Forest Officer that had acknowledged their possession. Both the Single Judge and Division Bench of the Kerala High Court granted this relief.

Decision Breakdown

The Supreme Court held that the High Court had overlooked the crucial fact that the respondents' jenmam rights and purchase certificates had already been legally cancelled, and that the land had been validly notified as vested forest land back in 1975-77: a notification the respondents had unsuccessfully challenged before the Forest Tribunal, with no further challenge since. Since no valid title or ownership remained with the respondents once their certificates were cancelled and the forest-vesting notification stood unchallenged, there was no legal basis for directing the government to accept basic tax from them, as doing so would effectively let them establish ownership through the back door by tax acceptance instead of through the proper forest-law dispute process under Section 8 of the 1971 Act. The Court set aside the High Court's judgments and allowed the appeal, quashing the direction to accept basic tax, without awarding costs.

Lesson Learnt

A person cannot use an unrelated administrative remedy, like asking a revenue officer to accept property tax, as a shortcut to establish ownership over land that a specialised tribunal has already found to be validly vested in the government; disputes over forest-land status must go through the statutory forest-tribunal process, not around it.

Tax & Customs LawSupreme Court of India

Mepco Industries Ltd. v. Commissioner of Income Tax, Madurai

The Supreme Court dismissed the appeal and upheld treatment of this subsidy as a taxable revenue receipt. It applied the purpose test: the scheme had to be read as a whole to determine whether the assistance supported capital investment or the running of an established business. Here, payment tracked actual electricity charges incurred in production and was not earmarked for plant, machinery, factory construction or repayment of capital borrowing. The scheme's broad aim of industrial development did not override those operative features, and payment after production began was relevant to the overall scheme rather than decisive by itself.

Decided 7 Oct 2026Read case
Tax & Customs LawDelhi High Court

M/S Kuku Overseas vs. Commissioner of Customs & Anr.

The Court found the petitioner's non-disclosure of the earlier adjudication order was material, since the core premise of the petition (indefinite non-finalisation) no longer held true once formal orders existed. It held the petitioner now had an effective alternate remedy, a statutory appeal under Section 128(1) of the Customs Act, to raise all its arguments, including about delay, and declined to keep the writ petition pending just because a related Supreme Court case on delay in adjudication was ongoing. The writ petition was dismissed as not maintainable in its present form, with liberty to appeal.

Decided 6 Oct 2026Read case
Tax & Customs LawDelhi High Court

M/s Aparna Collection vs. Union of India & Ors. and connected matters

The Court rejected the argument that limitation under Section 74(2) must be measured from the date on Form GST DRC-01, because DRC-01 is only a summary of the show cause notice. On Section 74(10), the Court held that the statute requires the order, not the DRC-07, to be issued within the prescribed period, and that DRC-07 is a summary uploaded later under Rule 142. Because the petitioner had a statutory alternative remedy of appeal under Section 107, and the questions raised needed factual findings, the Court declined to decide the merits in writ jurisdiction. The petitions were disposed of, with liberty to appeal under Section 107 and to raise all contentions there, including limitation and exclusion of the time spent in these proceedings.

Decided 5 Oct 2026Read case
Tax & Customs LawSupreme Court of India

Additional Commissioner, Commercial Tax & Others v. Cadila Health Care Ltd. & Another

The Supreme Court dismissed the authorities' appeals and upheld the classification accepted by the High Court. It held that, under the statutory entries at issue, classification depended on the goods' form when sold, rather than what customers might later prepare with them. The beverage entry grouped beverages with syrups, cordials, juices and other liquid preparations, and did not expressly include powders used to make drinks. Packaging instructions and general tests of popular meaning or function could not expand that clear statutory description. Because the products did not fit the specific beverage entry, they belonged in the residual category; precedents involving differently worded entries or liquid products did not change that result.

Decided 5 Oct 2026Read case
Tax & Customs LawDelhi High Court

Zoom Insurance Brokers Pvt. Ltd. vs. Assistant Commissioner of Income Tax, Circle 25(1) & Anr.

The Court dismissed the writ petition. Except for the assessment year, the facts were identical to the earlier case, and the Court held that judicial discipline required it to follow the Coordinate Bench's decision in the petitioner's own case. The Court did not accept the petitioner's reliance on an interim order in another company's case, and noted that the earlier judgment in the petitioner's own case was final. The earlier judgment also left it to the Assessing Officer to examine, after the notice is answered, whether the Rs 82 lakh amount is a spurious transaction.

Decided 1 Oct 2026Read case
Tax & Customs LawDelhi High Court

Ms Devi Electronics Pvt. Ltd. vs. Commissioner CGST Delhi South & Ors.

The High Court dismissed the petition. It held that the Commissioner could validly invoke Section 54(11), because an anti-evasion investigation was already underway when the impugned order was passed and the Commissioner had formed an opinion of fraud or malfeasance based on contemporaneous material. The Court held that the power to withhold refund is distinct from the adjudication and appellate scheme under Sections 73, 74 and 107, and that the absence of a statutory appeal does not bar judicial review. However, an appeal had already been filed before the GST Appellate Tribunal (GSTAT), so the Court declined to decide disputed factual questions and left all issues open before the GSTAT.

Decided 1 Oct 2026Read case