TAMIL NADU NATIONAL LAW UNIVERSITY

(A University established under the Tamil Nadu Act No. 9 of 2012)

Dindigul Main Road, Navalurkuttappattu
Tiruchirappalli 620 027
Tamil Nadu, India

B.A. LL.B. (H) / B.COM. LL.B. (H)

COURSE SYLLABUS

LAW OF INDIRECT TAXATION

Course Objectives

 To gain expert knowledge of the provisions of indirect tax laws under the various
legislations.
 To acquire the ability to apply the knowledge of the provisions of laws to various
situations in actual practice.
 To understand the transition in tax scheme with the introduction of GST and how far it
will be serve the purpose of economic growth

Learning Outcomes

By the end of the course students should be able to :

● Address common issues in GST, including those related to constitutionality of taxation,
classification and valuation.
● Advise clients on tax-planning through the assessment of the legal field.
● Navigate through indirect tax administration in India, and understand the concrete steps
to be taken when a potential client faces a legal issue in GST or customs.

Teaching Methods

Given the fact that the Goods and Services Tax is an entirely new legislation with no prior
jurisprudence, the course will be structured around hypothetical problems based around real life
issues faced by the industry in indirect tax. Students will be expected to solve these problems
using principles from the pre-GST regime or from abroad. The classes will be discussion
seminars centered around these problems, where students would be guided by the instructor
towards “thinking like a lawyer” to strategise feasible solutions for these hypothetical clients.

Introduction, Constitutional Provisions & Basic Concepts of Indirect

MODULE 1
Taxation

1. General understanding of Indirect Tax, Concept and kinds of indirect Taxes levied
2. Allocation of taxing powers between union and state with regard to indirect tax, Scheme
of distribution of revenue between union and state in Part XII. Fiscal Federalism in
India.
3. Benefits of indirect taxation, contemporary scheme of indirect taxation, indirect tax
during pre-reforms, indirect tax in post reforms
 4. Introduction of GST and its implication on the scheme of indirect taxation in India,
salient features of the proposed GST.

Pre-GST Regime: Concepts and Practices MODULE 2

1. Central Excise Act, 1944:Basic concept of manufacture and goods, Nature of excise
Duty, Scope of Excise Duty, Types of Control. Definitions [Section 2]: Excisable Goods,
Factory, Manufacture, Assessee, Deemed Manufacture, Kinds of Excise Duty,
Classification of Excisable Goods, Valuation of Excisable Goods [Section 4, 4A].
2. Central Sales Tax, 1956:Reasons and objectives of the CST Act, Definitions [Section 2]:
Business, Dealer, Goods, Declared Goods, Place of Business, Sales, Sales Price, and
Turnover. Sale or purchase in the course of Interstate trade and commerce [Section 3],
Sale or purchase inside or outside a state or in the course of export and import[Sections
4,5].
3. Value Added Tax, brief introduction, features in India, usefulness and implementation
(taking Tamil Nadu Vat Act 2006 as an example)
4. Service Tax: Taxable service, Meaning and Importance of Service Tax, Constitutional
Perspective, Salient provisions of the Service Tax Law, Negative List. Time and Place of
Supply. Cenvat Credit Rules

Goods and Services Tax MODULE 3

1. Overview of Goods and Services Tax (GST), Overview of the IGST Act and
administration in India, the debate concerned, major features of the Constitutional
amendment, GST Council.
2. Levy of and Exemption from Tax, Definition of Supply, Inter and Intra State Supply,
Place of Supply of Goods and Services, Time of Supply.
3. Classification of Goods under GST, including introduction to HSN system and general
principles of Classification of Good.
4. Valuation in GST , Related Party Transactions and Barter Transactions. Rates of
Taxation.
5. Input tax credit and concept of Input Service Distributor in GST; Common credit for
taxable and exempted supply.
6. Assessment and Audit, Penalties and Prosecution.

Custom Act, 1962 MODULE 4

1. Basic concept of import, export and valuation of goods, Definitions [Section 2]:
‘Goods’, Indian customs waters, fund, customs area, Import manifest, export manifest,
Prohibition on importation and exportation of goods[Section 11],
2. Levy of Tax and exemption,[Section 12-14], Indicating amount of Duty [Section 28C-
28D], Clearances of Imported and exported goods [Section 44-51],
3. Drawback [Section 74-76], Baggage, import or Export through post [section 82-90],
Penalties and prosecution [Sections111-127 & 132-140A].
International Aspects of Indirect Taxation: Theory and Practice MODULE 5

1. This module would cover miscellaneous issues having international implications such as
managing indirect tax in our global supply chain, automation and tax technology, taxing
the digital economy putting special emphasis on the transparency and robustness of
indirect tax processes and controls.
2. Concept of Anti-dumping duties, anti-dumping measure, the international anti-dumping
rules (GATT Article VI and the Anti-dumping Agreement under the WTO), fair price
comparison and recent trends, brief discussion on forward pricing and anti-
circumvention issues, national international implications and solutions.

Essential Readings

1. V. S. Datey, All About GST: A complete guide to model GST Law (4th Edn., Taxmann
Publications 2016).
2. V. S. Datey, Indirect Taxes: Law and Practice (Part 1 and 2,38th edn.,Taxmann Publishers
2017).
3. Atul Kumar Gupta, Arun Kumar Gupta and Trilok C. Bansal, Bharat’s Comprehensive Guide
to Service Tax (14thedn., Bharat Law House Pvt. Ltd. 2016).
4. Gaur Puja and Puri Rajeev Gaur,Wealth Tax Act 1957 and Central Sales Tax Act, 1956
(17thedn.,Kalyani Publishers 2015).
5. GirjeshShukla and Mahima V Tiwari, Tax Law II: Indirect Taxation(Lexis Nexis 2016).
6. Bare Acts of Indirect Taxes.

Additional Readings

1. V. Balachandran, Indirect Taxes (Goods and Services Tax and Customs Law) (Sultan Chand
and Sons, 2019).
2. Davies D. Williams and Geoffery Morse, Davies: Principles of Tax Laws (5thedn., Sweet and
Maxwell 2004).
3. Arvind P. Datar, Kanga and Palkhivala’sLaw and Practice of Income Tax(10thedn.,Lexis
Nexis2014).
4. H. C. Mehrotra, Income Tax and Sales Tax(SahityaBhawan1993).
5. P. Veera Reddy, Guide to Service Tax(Asia Law House 2007).
6. GirishAhuja and Ravi Gupta, Professional Approach to Direct Taxes Law & Practice(Bharat
Law House Pvt. Ltd. 2014).
7. V.P. Gaur and D.B. Narang, Income Tax Law & Practice (Kalyani Publishers 2013).

List of Cases
1. Acer India Ltd. Vs CCE. 2004 (8) SCC 173
2. O.R.G. Systems Vs. CCE [1998 (102) ELT 3 (SC)].
3. Cape Brandy Syndicate Vs. Inland Revenue Commissioners, [(1921) 1 KB 64].
4. W.M. Cory & Sons Ltd. Vs. Inland Revenue Commissioners, (1965) 1 All ER 917
5. In Union of India Vs. Play Win Electronics Pvt. Ltd , (1989) 3 SCC 181]
6. MathuramAgrawal Vs. State of Madhya Pradesh [(1999) 8 SCC 667]
7. Burn Standard Company Ltd. vs Union Of India 1991 SCR (2) 960
8. Empire Industries Limited and Others v. Union of India and Others, [1985] 3 S.C.C. 314
9. Ujagar Prints and Others v. Union of India and Others, [1989] 3 S.C.C. 488
10. In Re: The Bill To Amend The Sea Customs Act. 1964 3 SCR 787
11. Attorney-General of The Province of British Columbia v. The Attorney-General of the Dominion of
Canada (64 Can. S.C.R. 377).
12. Attorney-General of New South Wales v. The Collector of Customs for New South Wales (1907-8) 5
C.L.R. 818.
13. South Bihar Sugar Mills Ltd. Etc .vs Union Of India .AIR 1968 SC 922.
14. D. G. Guose and Co. v. State of Kerala (1980) 2 SCC 410.
15. CCE v. KisanSahkariChinni Mills Ltd. 2001 (132) ELT 523 (S.C.)
16. C.I.T. v. Tollygunge Club Ltd. (1977) 2 SCC 790
17. C.I.T. v. Bijli Cotton Mills (1979) 1 SCC 496
18. Hindustan Sugar Mills v. State of Rajasthan. (1978) 4 SCC 271
19. E.I.D. Parry (I) Ltd. v. Asst. Commissioner of Commercial Taxes (2000) 2 SCC 321
20. The Tata Iron & Steel Co. vs CCE. AIR 2003 SC 144
21. Ujagar Prints Etcvs Union Of India &Ors. AIR 1989 SC 516.
22. McNicol and Another v. Pinch, [1906] 2 K.B 352
23. Hari Krishna Bhargav v. Union of India and Anr., [1966] 2 SCR 22
24. Union of India vs Delhi Cloth & General Mills 1963 SCR Supl. (1) 586
25. All India Federation of Tax Practitioners.Vs. Union of India. AIR2007SC2990
26. Moti Laminates Pvt. Ltd. v. CCE 1995ECR1(SC)
27. The Madurai District Central Co-operative Bank Ltd. v. ITO [1975]101ITR24(SC)
28. Atul Glass Industries (Pvt.) Ltd. Vs. CCE AIR1986SC1730
29. Commissioner of Sales Tax, U.P. v. Macneill& Barry Ltd.1986(23)ELT5(SC)
30. Union Carbide Co. Ltd. v. CCE [1978] E.L.T. 180
31. Commissioner of Central Excise Vs.ShreeBaidyanathAyurvedBhawan Ltd. (2009)12SCC419
32. Commissioner of Central Excise Vs.Fiat India Ltd. (2012)9SCC332
33. BangaruLaxman v. State(2012) 1 SCC 500
34. Commissioner of Central Excise v. Xerographic Ltd. (2006) 9 SCC 556
35. Union of India and Ors. v. Bombay Tyre International Ltd : (1984) 1 SCC 467
36. Burn Standard Company Ltd. and Anr. v. Union of India : (1991) 3 SCC 467
37. Metal Box India Ltd. v. CCE : (1995) 2 SCC 90
38. Calcutta Chromotype Ltd. v. CCE : (1998) 3 SCC 681
39. Commissioner of Central Excise v. Ballarpur Industries Ltd. : (2007) 8 SCC 89
40. Ashok Leyland Ltd. v. Collector of Central Excise, : (2002) 10 SCC
41. Procter and Gamble Hygiene and Health Care Ltd. v. Commissioner of Central Excise, : (2006) 1
SCC 267
42. Union of India v. Hindalco Industries: 2003 (153) ELT 481
43. Eicher Tractors Ltd., Haryana v. Commissioner of Customs (2001) 1 SCC 315
44. Maruti Suzuki Ltd. vs CCE (2009) 9 SCC193
45. CCE v. Ballarpur Industries Ltd. (1989) 4 SCC 566
46. CCE v. Rajasthan State Chemical Works 1991 (55) ELT 444 (SC)
47. Reliance Cellulose Products Ltd. Vs. CCE :AIR1997SC3414
48. Indian Cable Company Ltd. V. CCE 1994ECR20(SC)
49. Dunlop India Ltd. v. Union of India : 1983(13)ELT1566(SC)
50. Mafatlal Industries Ltd. Vs. Union of India. (1997)5SCC536
51. Sales Tax Officer, Benaras and Ors. v. KanhaiyalalMukundlalSaraf : [1959]1SCR1350
52. Kanhaiyalal in State of Kerala v. Aluminium Industries Limited (1965) 16 S.T.C. 689
53. State of Kerala v. Aluminium Industries Ltd. (1965) 16 S.T.C. 689
54. State of Madhya Pradesh and Ors. v. BhailalBhai: [1964]6SCR261
55. Kamala Mills Ltd. v. State of Bombay [1965]57ITR643(SC)
56. Dhulabhai and Ors. v. State of Madhya Pradesh [1968]3SCR662
57. TilokchandMotichand and Ors. v H.B. Munshi[1969]2SCR824
58. R.S. Joshi v. Ajit Mills [1978]1SCR338
59. Shiv Shanker Dal Mills Etc. v. State of Haryana [1980]1SCR1170
60. Woolwich Building Society v. Inland Revenue Commissioners (1993) 1 A.C. 70
61. Commissioner of State Revenue v. Royal Insurance Australia Ltd. (1995) 69 A.L.J. 51
62. All India Glass Manufacturers’ Federation v.Collector Of Customs. 1991 (55) E.L.T. 5 (S.C.)
63. Associated cement companies ltd. v. commissioner of customs 2001 (128) Elt 21 (S.C)
64. Eicher Tractors v. Commissioner of Customs. "AIR 2001 SC 196
65. Garden Silk Mills Ltd v. Union Of India 1999 (113) Elt 358 (S.C.)
66. Union Of India v. JalyanUdyog1993 (68) E.L.T. 9 (S.C.)
67. Union of India v. Solar Pesticide Pvt. Ltd. (2000)2SCC705
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