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Exporters Win Partial Relief: Tax Refund Challenge Succeeds with Procedural Safeguards Under Natural Justice Principles
Case-Laws
GST
The HC partially allowed the petitioner's writ petition challenging the refund rejection order for export goods. The court found that the Joint Commissioner of State Tax exercised quasi-judicial functions improperly by considering extraneous materials while rejecting the refund. The original order dated 05.12.2023 was treated as a show-cause notice, directing the petitioner to submit explanatory documents within eight weeks. The Joint Commissioner was mandated to pass a detailed speaking order addressing the petitioner's contentions and adhering to Supreme Court principles of natural justice. The appellate authority's order was set aside, and the refund rejection order was converted into a fresh show-cause notice for reconsideration.
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GST revenue hits record high of Rs 2.37 lakh cr in April; FM says it reflects economic resilience
GST
Dated:- 1-5-2025
PTI
New Delhi, May 1 (PTI) Goods and Services Tax (GST) collection rose 12.6 per cent Y-o-Y to an all-time high of about Rs 2.37 lakh crore in April, which the government said shows resilience of the Indian economy and the effectiveness of cooperative federalism.
The gross GST mop-up was Rs 2.10 lakh crore in April 2024 the second highest collection ever since GST was rolled out on July 1, 2017. The net mop-up was Rs 1.92 lakh crore.
In March 2025, the collection was Rs 1.96 lakh crore.
In a post on X, Finance Minister Nirmala Sitharaman expressed gratitude to the taxpayers, congratulated the finance mini

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year indicates a strong economic performance in the last month of the previous fiscal year as these relate to transactions in goods and services in March 2025.
“The GST collections during the month have been uniformly high in all the major producing/consuming states and have been in the range of 11 per cent to 16 per cent, unlike previous months where there were some large states having lower growth.
Central GST collection from domestic transactions stood at Rs 48,634 crore in April, while state GST mop-up was Rs 59,372 crore. Integrated GST and cess collection were Rs 69,504 crore and Rs 12,293 crore, respectively, from domestic transactions.
EY Tax Partner Saurabh Agarwal said the record GST collections underscore the Indian economy

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Reporting of HSN codes in Table 12 and list of documents in table 13 of GSTR-1/1A
GST
Dated:- 1-5-2025

Vide Notification No. 78/2020 – Central Tax dated 15th October 2020, it is mandatory for the taxpayers to report minimum 4 digits or 6 digits of HSN Code in table-12 of GSTR-1 on the basis of Aggregate Annual Turnover (AATO) in the preceding Financial Year. To facilitate the taxpayers, these changes are being implemented in a phase-wise manner on GST Portal wherein Phase 2 was impl

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GST revenue hits record high of Rs 2.37 lakh crore in April, up 12.6 pc
GST
Dated:- 1-5-2025
PTI
New Delhi, May 1 (PTI) Goods and Services Tax (GST) collection rose 12.6 per cent Y-o-Y to an all-time high of about Rs 2.37 lakh crore in April, reflecting strong economic activity and March-end reconciliation of books by businesses.
The GST mop-up was Rs 2.10 lakh crore in April 2024 the second highest collection ever since GST was rolled out on July 1, 2017. In March 2025, the collection was Rs 1.96 lakh crore.
According to the latest government data released on Thursday, GST revenue from domestic transactions rose 10.7 per cent to about Rs 1.9 lakh crore, while revenue from imported goods was up 20.8 per cent to Rs 46,913 cr

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transactions stood at Rs 48,634 crore in April, while state GST mop-up was Rs 59,372 crore. Integrated GST and cess collection were Rs 69,504 crore and Rs 12,293 crore, respectively, from domestic transactions.
EY Tax Partner Saurabh Agarwal said the record GST collections underscore the Indian economy's underlying strength in the face of global economic uncertainties.
“The government's proactive measures to accelerate export and other GST refunds have eased the working capital burden on industries, a benefit likely to translate to consumers over the medium to long term,” Agarwal said.
While a potential moderation in absolute GST collections is anticipated next month due to the current global economic climate, the overall outlook for

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Gross and Net GST revenue collections for the month of Apr, 2025
GST
Dated:- 1-5-2025

The gross and net GST revenue collections for the month of April, 2025.
News – Press release – PIB

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GST mop-up rises 12.6 pc to highest-ever at Rs 2.37 lakh crore in April
GST
Dated:- 1-5-2025
PTI
New Delhi, May 1 (PTI) Goods and Services Tax (GST) collection rose 12.6 per cent Y-o-Y to an all-time high of about Rs 2.37 lakh crore in April, government data showed on Thursday.
The GST mop-up was Rs 2.10 lakh crore in April 2024 the second highest collection ever since the roll-out of the indirect tax regime on July 1, 2017. In March 2025, the collection was Rs 1.96 lakh crore.

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GST Notifications on COVID-19 Deadline Extensions Challenged, Provisional Relief Pathways Recommended for Six Case Categories
Case-Laws
GST
HC found multiple GST notifications challenging deadline extensions during COVID-19 potentially procedurally defective. While the core validity issue is pending before SC, the court provisionally recommended case-specific relief approaches. The HC suggested allowing petitioners opportunities to present arguments, pursue appellate remedies, and challenge ex-parte orders across six identified case categories. Parties were directed to provide further instructions, with potential interim relief mechanisms to be finalized, recognizing potential procedural irregularities in the original notifications without definitively ruling on their ultimate legal standing.
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Creditors Cannot Raise New Claims After NCLT Resolution Plan Approval, Tax Demands Quashed to Preserve Insolvency Process Integrity
Case-Laws
GST
HC ruled on the legality of creating additional dues by GST Department after NCLT's Resolution Plan approval. The court held that once a Resolution Plan is approved under IBC, subsequent claims by creditors are impermissible as they would disrupt the resolution process. The court specifically noted that the tax department was aware of IBC proceedings and had previously filed claims through the Resolution Professional. Consequently, the court quashed the assessment order and demand notice issued under Section 74 of CGST Act, 2017, which were raised post-Resolution Plan approval, thereby protecting the sanctity of the resolution mechanism and preventing potential disruption to the insolvency resolution process.
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Tax Fraud Case: Anticipatory Bail Denied Due to Systematic Invoice Manipulation and Potential Investigative Obstruction
Case-Laws
GST
HC denied anticipatory bail in a tax fraud case involving fraudulent input tax credit and invoice manipulation. The court carefully examined the accused's role, referencing SC precedents on parity principles. Despite arguments about punishment quantum, the court prioritized broader societal interests and potential investigation impediment. The HC determined that granting anticipatory bail would potentially compromise the investigative process, considering the prima facie evidence of systematic fraudulent activities. The court emphasized that anticipatory bail is not a shield against serious accusations that adversely affect societal integrity. Accordingly, the anticipatory bail application was dismissed, preserving the investigative agency's ability to conduct a comprehensive inquiry into the alleged financial misconduct.
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Tax Order Quashed: Procedural Flaws Invalidate Original Decision, Mandates Fresh Review Under Section 75(6)
Case-Laws
GST
HC allowed the petition challenging an impugned tax order, finding procedural irregularities in the original decision. The court determined that the order dated 27.04.2024 failed to meet statutory requirements under Section 75(6), specifically lacking substantive factual basis and reasoning. The HC quashed the previous orders and remanded the matter back to the Deputy Commissioner, directing a fresh review process. The Deputy Commissioner must provide the petitioner an opportunity to respond to the show cause notice within four weeks and subsequently issue a legally compliant order after affording proper hearing.
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GST Recovery Order Invalidated Due to Violation of Natural Justice Principles Under Section 75(4)
Case-Laws
GST
HC allows writ petition challenging GST recovery order due to violation of natural justice principles. The court found that mandatory personal hearing under Section 75(4) was not conducted, rendering the impugned order invalid. While the limitation period argument was rejected, the procedural defect of non-compliance with hearing requirements became the decisive factor. The recovery order was consequently set aside, emphasizing the critical importance of providing opportunity of hearing in administrative proceedings involving tax recovery.
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GST Council Clarifies Multiple Tax Rules, Exempts Penal Charges and Payment Aggregators, Regularizes Service Sector Transactions
Circulars
GST – States
The APGST circular addresses multiple GST-related clarifications following the 55th GST Council meeting. Key outcomes include: (1) No GST on penal charges levied by Regulated Entities per RBI instructions, (2) GST exemption confirmed for Payment Aggregators settling transactions up to 2,000, (3) Regularization of GST payment for research and development services from 2017-2024, (4) Restoration of GST exemption for NSDC-approved Training Partners, (5) Regularization of GST on commercial property rental under Reverse Charge Mechanism for composition levy taxpayers, and (6) Regularization of GST on incidental electricity transmission and distribution utility services from October 2024 to January 2025, all implemented on an 'as is where is' basis.
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Late Fees for Incomplete Annual GST Returns Clarified, Section 47 Applies to FORM GSTR-9C Filing Requirements
Circulars
GST – States
The CCST clarifies the applicability of late fees for delayed filing of FORM GSTR-9C under the APGST Act, 2017. Late fees under section 47 are leviable for incomplete annual returns where FORM GSTR-9C is required but not furnished. The late fee calculation covers the period from the due date until complete filing, encompassing both FORM GSTR-9 and FORM GSTR-9C. For financial years up to 2022-23, late fees are waived if the reconciliation statement is filed by 31st March 2025, with no additional charges beyond the standard late fee under section 47. No refunds will be provided for previously paid late fees related to FORM GSTR-9C filing.
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Government Clarifies Tax Treatment for Co-Insurance and Reinsurance Transactions Under GST Regulations, Providing Retroactive Compliance Relief
Circulars
GST – States
Circular regularizing GST payment for co-insurance and reinsurance transactions retroactively from 01.07.2017 to 31.10.2024. The circular clarifies that apportionment of co-insurance premiums and ceding/reinsurance commissions will be treated neither as goods nor service supplies under Schedule III of CGST Act, subject to specific tax payment conditions. The GST Council recommended normalizing past tax treatments on an 'as is where is' basis, effectively providing tax compliance relief for insurers and reinsurers during the specified period.
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Procedural Flaws Invalidate GST Tax Order, Restore Petitioner's Right to Fair Hearing Under DRC-07 Guidelines
Case-Laws
GST
HC quashed the summary order in GST DRC-07 for procedural irregularities, specifically violation of natural justice principles. The court found the tax authority passed an order on 30.12.2023 without considering petitioner's objections, which were due on 28.12.2023. The impugned order was set aside conditionally, mandating petitioner to deposit 25% of disputed tax amount within four weeks. This judicial intervention restored procedural fairness by providing an opportunity for the petitioner to present their case on merits, ensuring compliance with principles of natural justice and due process in tax assessment proceedings.
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GST Registration Cancellation Upheld: Failure to File Returns and Respond to Notices Leads to Dismissal of Petition
Case-Laws
GST
HC dismissed the petition challenging registration cancellation under CGST Act. The petitioner failed to furnish final returns as mandated by Section 29(2)(c), did not respond to show cause notice, and did not avail hearing opportunity. Despite statutory provisions for revocation under Section 30 and appellate remedy under Section 107, petitioner remained inactive for over 13 months. The court held that procedural requirements were followed, and the petitioner is estopped from challenging the cancellation order due to acquiescence. The petition was consequently dismissed.
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Tax Assessment Against Resolved Corporate Debtor Blocked, Protecting Insolvency Resolution Integrity and Preventing Post-Approval Claims
Case-Laws
GST
HC ruled that ex-parte tax assessment against a corporate debtor post-CIRP resolution plan approval is impermissible. The court held that once the NCLT approves a resolution plan, subsequent claims by creditors are barred to preserve the integrity of the insolvency resolution process. The tax department's argument of lack of awareness was rejected, as the corporate debtor had previously communicated the resolution plan approval. The court emphasized that initiating fresh tax demands after NCLT's resolution plan approval would fundamentally undermine the Corporate Insolvency Resolution Process, thereby protecting the sanctity of the resolution mechanism and ensuring finality in corporate restructuring.
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Procedural Fairness Prevails: Notice Defect Invalidates Demand Order, Grants Petitioner 30-Day Response Window Under Natural Justice Principles
Case-Laws
GST
HC ruled that the Petitioner was denied natural justice due to improper service of Show Cause Notice (SCN), which was uploaded on an 'additional notices tab' without actual knowledge. The court directed the Petitioner be granted a 30-day period to file a reply to the SCN. The Adjudicating Authority must provide a fair hearing before proceeding, and the previous demand order was consequently set aside. The petition was disposed of, ensuring procedural fairness and the Petitioner's right to respond to allegations.
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Tax Liability After Death: Section 93 Requires Legal Representatives' Notification Before Proceeding Against Deceased Taxpayer
Case-Laws
GST
HC held that Section 93 addresses tax liability post-death but does not authorize determination against a deceased person. Issuance of show cause notice (SCN) and demand against a deceased individual without notifying legal representatives is procedurally invalid. The statutory requirement mandates serving SCN on legal representatives and obtaining their response before initiating any determination proceedings. The impugned order was consequently deemed unsustainable, with the court allowing the petition and invalidating the tax determination against the deceased taxpayer.
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Late GST Appeal Dismissed: Statutory Limitation Bars Challenge to Registration Cancellation Under Section 107
Case-Laws
GST
HC dismissed petitioner's appeal as time-barred under Section 107 of CGST Act, 2017. The appeal was filed on 29.09.2023, approximately one year and three months beyond the prescribed limitation period. The court held that the appellate authority lacks power to entertain appeals beyond the statutory 30-day extension period. The petitioner's failure to file regular returns and late appeal submission precluded any relief. The court found no perversity in the original registration cancellation order and upheld the appellate authority's decision, thereby conclusively rejecting the petitioner's challenge to the GST registration cancellation.
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Procedural Fairness Prevails: GST Department Ordered to Rectify Notice Deficiencies and Ensure Proper Hearing Mechanisms
Case-Laws
GST
HC remanded the matter to the Department for fresh consideration due to violation of natural justice principles. The Petitioner was not afforded an opportunity to file a reply or receive a personal hearing. The Court directed the Department to ensure service of notices through GST portal, personal email, mobile number, and speed post as per Section 169 of Central Goods and Services Act, 2017, to prevent similar procedural lapses in future. Petition was disposed of with instructions for the Department to place final standard operating procedure on record.
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GST Clarifications: Loan Penalties, Payment Aggregators, R&D Services, and Multiple Sector Guidelines
Circulars
GST – States
Clarifications on several tax-related matters including: (1) no GST is payable on penal charges levied by Regulated Entities for loan contract non-compliance; (2) GST exemption is available to RBI-regulated Payment Aggregators for settlement of transactions up to 2,000; (3) regularization of GST payment for research and development services provided by Government Entities from 2017-2024; (4) restoration of GST exemption for Training Partners approved by NSDC; (5) GST applicability on facility management services for MCD Headquarters; (6) confirmation that Delhi Development Authority is not a local authority; (7) regularization of GST on commercial property rental by unregistered persons to registered composition levy taxpayers; (8) regularization of GST on support services by electricity transmission utilities; and (9) regularization of GST for Goethe Institute/Max Mueller Bhawan services from 2017-2023.
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Late Fee Clarification for GSTR-9C: Mandatory Annual Return Filing Penalties and Waiver Under Section 47 of CGST Act
Circulars
GST – States
Legal clarification issued by tax authorities regarding late fee applicability for delayed submission of FORM GSTR-9C. The circular establishes that late fees under section 47 of CGST Act are leviable for incomplete annual return filing, specifically when FORM GSTR-9C is mandatorily required but not submitted alongside FORM GSTR-9. Late fees will be calculated from the original due date until complete return submission. For financial years up to 2022-23, late fees for delayed FORM GSTR-9C submission are waived if filed by 31st March 2025, with no additional penalties beyond original late fee calculation period.
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Simplified GST Guidelines: Pepper, Raisins, Popcorn, Concrete Blocks, and Motor Vehicle Cess Clarified
Circulars
GST – States
The GST clarification on various several taxation issues. Key points include: (1) pepper of genus Piper attracts 5% GST under HS 0904, with agriculturists supplying dried pepper exempt from registration, (2) agriculturists supplying raisins are GST-exempt, (3) ready-to-eat popcorn is classified under different HSN codes with varying GST rates (5-18%) depending on ingredients and packaging, (4) autoclaved aerated concrete blocks with over 50% fly ash content attract 12% GST under HS 6815, and (5) amended motor vehicle compensation cess entry effective from 26.7.2023. The circular aims to ensure uniform GST implementation across jurisdictions.
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Legal Clarity on WBGST Act Section 128A: Tax Payment Eligibility and Dispute Resolution Mechanism for Taxpayers
Circulars
GST – States
The Trade Circular addresses key interpretative issues regarding Section 128A of the WBGST Act, 2017, clarifying two primary concerns: (1) taxpayers who paid taxes through FORM GSTR-3B prior to 1st November 2024 remain eligible for benefits under Section 128A, subject to proper officer verification; and (2) for notices/orders spanning periods partially within and outside Section 128A's scope, taxpayers may file FORM SPL-01/SPL-02 after paying tax liability for covered periods, with appellate authorities empowered to adjudicate remaining periods independently, thereby providing a flexible mechanism for resolving complex tax dispute scenarios while maintaining procedural compliance.
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