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Court Upholds GST Limitation Extensions Due to COVID-19; Validates Broad Interpretation of “Actions” for Past Cases.
Case-Laws
GST
The HC upheld the validity of notifications extending the limitation period u/s 73(10) of the GST Act through Section 168A, which allows the government to extend time limits due to force majeure like COVID-19. The words “in respect of actions” were interpreted broadly to cover previous incomplete actions during the pandemic. The HC held that the Council's re

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Cancellation of GST registration upheld for non-compliance on change of principal place of business, but opportunity granted for fresh application.
Case-Laws
GST
Appellant's GST registration cancellation upheld for non-compliance with Section 28(1) of WBGST Act, 2017 and Rule 19(1) of WBGST Rules, 2017 regarding procedure for change of principal place of business. However, HC granted opportunity to file appropriate application with supportive documents before Assistant Commissioner, who

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Interim relief granted against final order by tax authorities over alleged invoice suppression.
Case-Laws
GST
Petitioner challenged jurisdiction u/s 74(5) of CGST Act for alleged suppression regarding invoices raised on NHAI. HC held petitioner made prima facie case for interim relief. Respondents can proceed with show-cause notice hearing but no final order without HC permission during petition pendency. Matter listed on 04.09.2024.
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Unfair Order Blocking Electronic Credit Ledger Quashed for Lack of Valid Reasons and Procedural Lapses.
Case-Laws
GST
The HC quashed the order blocking the petitioner's Electronic Credit Ledger u/r 86A of CGST Rules, 2017 due to the absence of a pre-decisional hearing and lack of independent or cogent reasons to believe. The order impermissibly relied on borrowed satisfaction from another officer's report, contrary to the HC's decision in K-9-Enterprises's case. The absence of valid mat

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Petition challenging adjudication order dismissed; statutory appeal remedy available to examine natural justice claim.
Case-Laws
GST
The HC dismissed the petition challenging the adjudication order passed u/s 73(9) of the MGST/CGST/IGST Acts, holding that an efficacious statutory appeal remedy was available. The appellate authority could examine the petitioner's claim of violation of natural justice principles in passing the adjudication order.
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Unreasoned refusal of adjournment for contentious hearings quashed by HC; procedural fairness upheld.
Case-Laws
GST
HC quashed impugned order dated 16 August 2024 passed by Assistant Commissioner u/s 73(9) of Central Goods and Services Tax Act, 2017. HC held Assistant Commissioner took narrow, pedantic view in refusing adjournment without assigning reasons, despite contestation regarding petitioner's participation in hearings. Petition allowed.
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Arbitrary GST Registration Cancellation Without Proper Notice Violates Natural Justice, HC Rules.
Case-Laws
GST
The HC held that the final order cancelling GST registration failed to record reasons supporting allegations in the show cause notice, violating natural justice principles. The authorities arbitrarily cancelled registration retrospectively without indicating such intent in the notice. Consequently, the impugned cancellation order could not be sustained, and the petition was al

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Congress alleges slowdown in GST collections, asks govt to focus on complexities of economy
GST
Dated:- 3-1-2025
PTI
New Delhi, Jan 3 (PTI) The Congress on Friday expressed concern over the “disappointing” latest GST numbers and urged the government to focus on the complexities of the economy instead of imposing tax on popcorn.
In a statement on the latest GST numbers, Congress general secretary in-charge communications Jairam Ramesh claimed India was locked in a “pernicious cycle of low consumption – low investment – low growth – low wages”.
He said, “The litany of demoralising news on the economic front from the deceleration in growth to the poor GST revenue collections demands that the government apparatus shift its focus

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Chewing tobacco products classified under higher GST slab, manufacturers' plea rejected.
Case-Laws
GST
The HC held that the petitioners' chewing tobacco products are to be classified under Heading 2403 99 10 of the Customs Tariff Act, 1975, attracting a higher compensation cess of 160% under the GST (Compensation to States) Act, 2017. The petitioners cannot change the classification merely for rate benefit. The Advance Rulings classifying the products under 2403 99 10 are binding. The f

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Petitioner's reply to be considered before initiating tax recovery proceedings under GST Act.
Case-Laws
GST
Petitioner challenged order u/s 73 of Odisha Goods and Services Tax Act, 2017. HC held Section 61(2) requires consideration of explanation furnished. Section 61(3) states if no satisfactory explanation is given, proper officer may initiate action u/s 73. Initiation of proceeding u/s 73 was without jurisdiction. Impugned order quashed. Petitioner's reply dated 29.07.2021 to be deal

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Bombay HC sets aside tax order, grants petitioner time to pay Rs. 1 crore and file reply; orders tax authority to reassess after fair hearing.
Case-Laws
GST
Impugned order set aside by HC. Petitioner to remit Rs.1 crore within two weeks, submit reply within two weeks thereafter treating impugned order as show cause notice. Respondent authority to complete assessment in accordance with law after providing reasonable opportunity of hearing to petitioner.
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Improper service of show cause notices & order violates natural justice; 25% tax deposit required within 2 weeks.
Case-Laws
GST
Principles of natural justice violated as show cause notices and impugned order not served properly. Petitioner to deposit 25% disputed tax within two weeks. Impugned order treated as show cause notice, petitioner to submit objections with supporting documents within four weeks. HC disposed petition.
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Bakery selling cakes, ice creams on premises qualifies as restaurant service, taxed 5% GST; goods like stickers, balloons taxed separately.
Case-Laws
GST
The AAAR held that the petitioner's supply of cakes, bakery items, ice creams, chocolates, and other edible products prepared on the premises and supplied from the counter with facility to consume on air-conditioned premises constitutes a composite supply of restaurant services, taxable at 5% GST without input tax credit. However, the

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Leasing electric vehicles without operator classified under 'Financial & related services' by AAAR.
Case-Laws
GST
The AAAR held that leasing of electric vehicles (E-Bikes/EVs) without operator is classifiable under heading 9971 for Financial and related services under Sl. No. 15(ii) of Notification No. 11/2017-CT(R) dated 28.06.2017 as amended. The rate of tax will be the same as applicable on supply of like goods involving transfer of title. The AAAR examined the Vehicle Lease Agreemen

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High Court rules forex gains on export sales are taxable turnover under state sales tax law.
Case-Laws
GST
HC dismisses revision. Differential amount received by petitioner due to foreign exchange fluctuation constitutes “turnover” under KGST Act. Amount represents consideration for sale of goods despite exchange rate benefit. Statutory definition of turnover encompasses such foreign currency amounts when converted to Indian rupees. Permissible deductions already granted, differential a

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High Court remands GST case for fresh order on merits due to absence of statutory appellate tribunal.
Case-Laws
GST
HC allowed petition by remanding case to pass fresh order on merits within 3 months. Appeal against order u/s 107 of CGST Act lies before GST Tribunal u/s 112, but Tribunal not yet constituted. HC struck down Circular 135/05-2020-GST dated 31.03.2020 on which impugned order based, following decisions of Guwahati, Calcutta, Rajasthan and Delhi HCs.
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Petitioner allowed personal hearing on penalty for unloading goods without proper documentation chain.
Case-Laws
GST
The HC allowed the petitioner's request for a personal hearing on 18.12.2024 at 11:00 am regarding the levy of penalty u/s 129(1)A of the CGST Act for unloading goods at an unauthorized location without proper documentation. The HC directed fresh orders to be passed after considering the petitioner's submissions. The petitioner can request provisional release of goods bef

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Timelines for Impounding Vehicles Violated, Proceedings Set Aside and Vehicle Release Ordered.
Case-Laws
GST
Petitioner challenged proceedings u/s 129(3) for failure to comply with mandatory timelines. Relying on TVL. UDHAYAN STEELS PRIVATE LIMITED, HC held impugned proceedings contravened Section 129 timelines, set aside proceedings, and directed vehicle bearing Registration No. TN-29-AB-7887 be released forthwith. Petition disposed.
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Punjab's revenue collection from VAT, CST, GST crosses Rs 30,000 crore in Apr-Dec: Cheema
GST
Dated:- 2-1-2025
PTI
Chandigarh, Jan 2 (PTI) Punjab Finance Minister Harpal Singh Cheema on Thursday said the state has, for the first time, surpassed the Rs 30,000-crore mark in revenue collection as VAT, CST, GST, PSDT (state development tax), and excise in the first nine months of a fiscal year.
“In the current fiscal year, the total revenue received from these taxes up to December is Rs 31,156.31 crore, whereas in the fiscal year 2023-24, the total revenue collection from these taxes was Rs 27,927.31 crore,” Cheema said in an official statement here.
Cheema said the state has also witnessed a significant increase in its net GST

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Voucher trading not taxable under GST, but commission for agents & ancillary services like marketing are taxable; Unredeemed vouchers exempt.
Circulars
GST
CBIC clarified that transactions in vouchers, whether recognized as pre-paid instruments by RBI or not, are neither supply of goods nor services. Trading of vouchers on principal-to-principal basis is not leviable to GST. However, commission/fee earned by agents for distribution is taxable service. Additional services like advertisin

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Online suppliers & e-commerce operators must collect state details from unregistered buyers for tax invoice.
Circulars
GST
The CBIC clarified that for online services supplied by suppliers or through e-commerce operators to unregistered recipients, irrespective of the supply value, the tax invoice must mandatorily mention the recipient's state name. This state name shall be deemed the recipient's address on record for determining the place of supply u/s 12(2)(b)(i) of IGST Act as the re

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Registered recipient gets ITC when supplier delivers goods to transporter under ex-works contract, not actual receipt.
Circulars
GST
As per clause (b) of sub-section (2) of section 16 of CGST Act, 2017, a registered person is deemed to have “received” goods when the supplier delivers them to a transporter at supplier's premises under Ex-Works contract, even though physical receipt may occur later at recipient's premises. ITC is available to recipient at time of such delivery by supplier

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Clarification on Tax Liability and Input Tax Credit for E-Commerce Operators under GST.
Circulars
GST
Electronic commerce operators (ECOs) required to pay tax u/s 9(5) of CGST Act for specified services supplied through their platform are not required to reverse proportionate input tax credit on inputs and input services utilized for such supplies u/s 9(5). However, ECOs cannot utilize the input tax credit for discharging tax liability u/s 9(5) which must be paid in cash through electro

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Exporters can claim refund of additional IGST paid due to export goods' price hike post-shipment: CBIC guidelines.
Circulars
GST – States
The CBIC issued guidelines allowing exporters to claim refund of additional IGST paid due to upward revision in export goods' prices after shipment. Exporters can file refund claim electronically on common portal using Form GST RFD-01 under “Any other” category until dedicated category is enabled. The claim requires documents proving price revision, a

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CBIC Sets 1% GST Valuation Rule for Corporate Guarantees Issued After Oct 26, 2023; Clarifies ITC and Co-guarantor Obligations.
Circulars
GST – States
The CBIC has clarified the following key points regarding taxability and valuation of supply of services of providing corporate guarantee between related persons: Sub-rule (2) of Rule 28 of CGST Rules prescribing 1% valuation applies to corporate guarantees issued/renewed on or after 26.10.2023. For prior periods, valuation to be done as

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