Author: admin_gst

GST refund claims for Jan 2019-Mar 2021 filings and Covid limitation exclusion (Notification 13/2022) treated as within time; rejection set aside
Case-Laws
GST
Rejection of a tax refund claim as time-barred was held unsustainable because the record showed the claimant had filed an initial refund application on 09.05.2023 within the statutory period for January 2019 to March 2021, and also filed a further claim on 28.02.2024, the date the authority itself treated as the outer limit, yet

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Deemed RSP-based valuation for pan masala and tobacco products under new CGST Rule 31D, effective Feb 2026
Notifications
GST
Inserts rule 31D in the CGST Rules, 2017 to prescribe a deemed valuation method for specified goods (including pan masala and specified tobacco and nicotine-inhalation products): the value of supply is the declared retail sale price (maximum price on the package, inclusive of all taxes and levies) reduced by the applicable GST computed by a prescribed back-calcula

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RSP-based valuation for pan masala and specified tobacco/nicotine supplies added to tax notification, effective 1 February 2026
Notifications
GST
Notification No. 49/2023-Central Tax is amended to insert a new clause covering supplies of specified RSP-declared goods, namely pan masala (2106 90 20) and specified tobacco and nicotine products under headings 2401, 2402, 2403 (excluding biris), 2404 11 00 and 2404 19 00. “Retail sale price” is defined as the maximum price declared on the pa

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IGST rate changes for tobacco goods: biris at 18%, pan masala and cigarettes at 40%, effective 1 Feb 2026
Notifications
GST
Amends Notification 09/2025-Integrated Tax (Rate) to revise the IGST rate schedules for specified tobacco-related goods by inserting biris (HS 2403 19 21, 2403 19 29) in Schedule II at 18%, and inserting pan masala (HS 2106 90 20), unmanufactured tobacco and tobacco refuse (HS 2401), cigars/cigarettes and similar products (HS 2402), other manufactured tobacco exclu

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CBI Arrests One IRS-C&IT Officer and Two Superintendents of CGST Jhansi for Taking Bribe of Rs. 70 Lakh
GST
Dated:- 2-1-2026

The Central Bureau of Investigation (CBI) has busted a bribery racket in the office of Central Goods & Services Tax, (CGST) Jhansi, Uttar Pradesh during an operation launched on 30.12.2025 and has arrested a Deputy Commissioner (IRS-C&IT), Two Superintendents, an Advocate and Owner of a Private Company, in a bribery case.
The CBI registered the instant case on 30.12.2025 against the Deputy Commissioner (IRS-C&IT 2016); Two Superintendents, all posted at CGST, Jhansi; an Advocate; Owners of private companies and unknown others on the allegation of demand of undue advantage of Rs. 1.5 crore for f

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Rupee rises 6 paise to 89.92 against US dollar in early trade
GST
Dated:- 2-1-2026
PTI
Mumbai, Jan 2 (PTI) The rupee witnessed range-bound trade in the morning session on Friday, appreciating by 6 paise to 89.92 against the US dollar as thin liquidity conditions accentuated everyday demand-supply imbalances, keeping the rupee tilted toward weakness.
Forex traders said the USD/INR pair is expected to trade in a narrow range as the 90 level is being protected by the Reserve Bank of India.
Moreover, the support from positive domestic equities was offset by sustained foreign fund outflows.
At the interbank foreign exchange market, the rupee opened at 89.95 against the US dollar, then gained some ground and touched 89.92, risin

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which gauges the greenback's strength against a basket of six currencies, was trading marginally down by 0.15 per cent at 98.17.
Brent crude, the global oil benchmark, was trading 0.38 per cent higher at USD 61.08 per barrel in futures trade.
“With early-year liquidity still thin and domestic fundamentals offering a mixed but stable backdrop, the rupee appears set to remain range-bound in the near term. As long as USD/INR stays below the 90 handle, the balance of risks tilts mildly in favour of the rupee,” CR Forex Advisors MD Amit Pabari said, adding that against this backdrop, USD/INR is expected to trade in a 89.30–90.20 range.
On the domestic equity market front, the 30-share benchmark index Sensex climbed 158.19 points to 85,34

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Parallel GST show-cause notices on same transaction: State action barred once CGST proceedings begin u/s 6(2)(b)
Case-Laws
GST
Where CGST authorities have already initiated proceedings on a given subject matter, the State GST authorities lack jurisdiction to commence parallel/dual proceedings on the same subject matter, being barred by Section 6(2)(b) of the CGST Act. Applying this statutory bar and the binding principle that only the originally seized GST authority can proceed further

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Input tax credit claim denied for late return filing; decision allows regularisation on documents, with rectification option directed.
Case-Laws
GST
Denial of input tax credit solely on the ground of belated filing of returns was held unsustainable where the taxpayer can substantiate entitlement through requisite documents. The authority was directed to consider the statutory intervention permitting regularisation of the default in return filing and to pass appropriate orders to regular

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Exported group support services and accumulated ITC refund dispute: “intermediary services” label rejected; refund denial quashed u/s16
Case-Laws
GST
Refund of accumulated unutilized ITC on export of services was rejected by treating the petitioner's zero-rated supplies under s.16 IGST Act as “intermediary services.” On construing the service agreement with the foreign group entity and considering consistent refund sanctions under pre- and post-GST regimes along with binding precedent,

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GST recovery u/s79(1)(f) after ignored show-cause notice; adjudication set aside for final reply chance with costs
Case-Laws
GST
Recovery proceedings were initiated under s.79(1)(f) pursuant to an order under s.73 of the KGST Act, 2017, passed after the noticee failed to file a reply to the show-cause notice or contest the proceedings. The court held that where non-participation is pleaded to be due to bona fide reasons, unavoidable circumstances, and sufficient cause, a justice-oriente

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Electronic credit ledger blocking u/r 86A and alleged fake ITC claims quashed for no hearing and no reasons
Case-Laws
GST
Blocking of the petitioner's Electronic Credit Ledger under Rule 86A was held invalid because the authority neither granted a pre-decisional hearing nor recorded independent, cogent “reasons to believe” as mandated by Rule 86A. Reliance merely on enforcement reports amounted to impermissible borrowed satisfaction, and the order contained only vague assertions of ITC

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GST service classification: intermediary vs export status for refund of unutilized ITC; refund denial quashed, interest ordered.
Case-Laws
GST
Whether services treated as local supply could be reclassified as export by denying refund on the ground that the claimant was an “intermediary” under GST law was the dominant issue. On examining the record and applying settled principles on intermediary services, it was held that the claimant was not an intermediary and the services qualified as

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Flavoured milk GST classification: whether it is milk under Tariff 0402 or beverage under 2202; demand quashed, refund ordered.
Case-Laws
GST
Flavoured milk's GST classification was in issue, specifically whether it falls under Tariff Heading 0402 (milk containing added sugar or other sweetening matter) taxable at 5% or under Heading 2202 as a beverage. Applying the special-entry-over-general-entry principle and relying on binding precedent in materially identical facts, flavoured/sweet

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CGST show-cause notice vs adjudication demand exceeding SCN; writ refused, appeal route ordered; 10% pre-deposit basis queried
Case-Laws
GST
Challenge to an order-in-original raising demand exceeding the show-cause notice was not entertained in writ because an efficacious statutory appeal remedy was available; the petitioner was relegated to file an appeal before the appellate authority. On the pre-deposit dispute, the court recorded a prima facie view that, under s.75 CGST Act, the adj

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Transitional input tax credit claim rejected for missing documents; verification report set aside and claim sent back for reconsideration.
Case-Laws
GST
Transitional input tax credit was denied based on a verification report holding that the claimant failed to furnish supporting documents. The court held that, given the claimant's specific undertaking to appear and produce relevant pleadings and documents if granted another opportunity, a justice-oriented approach warranted interference

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Refund claim timing dispute: application filed within prescribed limitation period, rejection set aside and remanded for fresh decision
Case-Laws
GST
The dominant issue was whether the refund application was time-barred. Relying on its earlier ruling in an identical factual matrix, the Court held that rejection of the refund solely on limitation was contrary to facts and law because the refund claim had been filed within the prescribed time. Consequently, the impugned rejection order wa

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Fake input tax credit claims without actual supply u/s132 CGST-anticipatory bail granted, no statutory bar; conditions imposed.
Case-Laws
GST
Anticipatory bail was sought for alleged fraudulent availment and passing of fake input tax credit without actual supply, attracting offences under s.132(1)(b) and (c) CGST Act for amounts exceeding the statutory threshold. The court held there is no statutory bar on pre-arrest bail under the CGST Act, and although the allegation concerns an econo

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Provisional release of seized imported electronic stock in alleged GST evasion case questioned; issue sent to GST Council.
Case-Laws
GST
Confiscation proceedings concerning alleged excess stock of imported electronic goods were challenged on the ground that, although the authority offered offering provisional release, it neither quantified the amount payable nor stipulated any conditions for such release, rendering the option illusory. The forum noted that the seized goods were imported

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GST portal-only service of GST notices under “Additional Notices and Orders” held inadequate; order set aside for lack of notice.
Case-Laws
GST
Service of GST notices and the impugned order solely by uploading them under “Additional Notices and Orders” on the GST portal, without any other mode of service, was held insufficient to impute due knowledge to the taxpayer when awareness arose only upon email intimation. Applying the principle that effective service must reasonably convey noti

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Electricity supplied to intermediary for onward export: treated as domestic sale, so no zero-rated IGST refund
Case-Laws
GST
Whether supply of electricity by the petitioner to an intermediary for onward supply outside India qualified as “export of goods” (zero-rated) for IGST refund was decided by construing Article 286(1)(b) and Sections 2(5) and 16 of the IGST Act. Since the petitioner had no privity of contract with the foreign buyer and title passed at the domestic delivery point fr

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HIGHLIGHTS
GST
Dated:- 1-1-2026
PTI
New Delhi, Jan 1 (PTI) Following are the top stories at 9.10 PM NATION DEL40 MEA-INDOPAK-LD LISTS (5.16 PM)
India, Pakistan exchange list of nuclear installations, civilian prisoners New Delhi: In continuing an annual practice that began in 1992, India and Pakistan on Thursday exchanged lists of their nuclear installations that cannot be attacked in the event of hostilities.
DEL62 DEF-GOVT (8.02 PM)
In FY 2025-26, till Dec, def min signed capital contracts amounting to Rs 1.82 lakh crore: Govt New Delhi: In the financial year 2025-26, till the end of December, the defence ministry has signed capital contracts amounting to Rs 1.82 lakh crore for the modernisation of the armed

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31 PM)
PM Modi to inaugurate international exposition of sacred Piprahwa Relics connected to Buddha New Delhi: Prime Minister Narendra Modi will inaugurate here on Saturday the grand international exposition of sacred Piprahwa Relics, which were discovered in 1898 and hold a central place in the archaeological study of early Buddhism.
DEL46 ED-WINZO (5.46 PM)
ED freezes fresh Rs 192-cr deposits of WinZO in money laundering case New Delhi: The Enforcement Directorate (ED) on Thursday said it has conducted searches at the accounting firm of real money online money gaming app WinZO and has frozen fresh bank deposits, mutual funds and fixed deposits worth Rs 192 crore.
DEL42 NCR-GANGRAPE (5.22 PM)
Faridabad gang-rape: Accuse

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Delhi: Courts in Delhi disposed of significantly more POCSO cases than were registered in 2025, with the city recording second-highest disposal rate in the country at 178 per cent, a report said.
BUSINESS DEL64 BIZ-LDALL TAX-TOBACCO (8.31 PM)
Govt hikes excise duty on cigarettes, levies health cess on pan masala from Feb 1 New Delhi: The government has imposed an additional excise duty on cigarettes and other tobacco products effective February 1, under a revised tax structure that levies the steepest increase on longer, premium cigarettes.
DEL59 BIZ-LD ATF-PRICE-CUT (7.24 PM)
ATF price cut by steep 7 pc; commercial LPG rate up Rs 111 per cylinder New Delhi: Price of aviation turbine fuel (ATF), or jet fuel, was reduced

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Assam govt to hand over state GST collected from Zubeen's last film to his foundation: Himanta
GST
Dated:- 1-1-2026
PTI
Guwahati, Jan 1 (PTI) The Assam government will transfer Rs 2.90 crore, the share of the state GST earned from Zubeen Garg's last film ' Roi Roi Binale' to a foundation set up by the late singer by Friday, Chief Minister Himanta Biswa Sarma said here.
The film has grossed Rs 32 crore, which is a record in the Assamese film industry.
The state GST will be transferred to 'Kalaguru Foundation' set up by Garg, the chief minister said at an interaction with media persons in a programme titled 'Natun Diner Alap' (Conversations of a new day) on the occasion of the new year.
The state government will also appoint a

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rcumstances while swimming in the sea on September 19.
Assam police investigated the case and submitted the charge sheet within three months but now ''we want justice to be delivered'', Sarma said.
The trial of the seven accused in the Zubeen Garg death case began last month at Kamrup (Metro) District and Sessions Court.
The accused persons North East India Festival (NEIF) chief organiser Shyamkanu Mahanta, the singer's secretary Siddhartha Sharma, the singer's cousin Sandipan Garg, and his two Personal Security Officers (PSOs) appeared from the Baksa Jail while musician Shekharjyoti Goswami and singer Amritprava Mahanta were present online from Haflong Jail.
The SIT had charged Mahanta, Sharma, Goswami and Amritprava with murder i

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Rupee falls 10 paise to close at 89.98 against US dollar
GST
Dated:- 1-1-2026
PTI
Mumbai, Jan 1 (PTI) The rupee depreciated 10 paise to close at 89.98 (provisional) against the US dollar on Thursday, the first trading session of 2026, as sustained foreign fund outflows and a negative trend in domestic equities dented investor sentiments.
Forex traders said the USD/INR pair traded in a tight range, as support from easing crude oil prices was offset by a positive tone in the US dollar index and foreign fund outflows.
The Indian rupee declined on the first day of the year, after registering a 5 per cent slump in 2025, as significant fund outflows kept dollar demand elevated and the rupee under pressure.
At the interbank forei

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8 per cent higher at USD 60.85 per barrel in futures trade.
Forex traders said the USD/INR pair is trading under pressure due to multiple factors, including a shift toward risk aversion, driven by persistent capital withdrawals from foreign investors ahead of the holiday break, alongside heightened greenback demand from importers.
On the domestic equity market front, the stock market ended the first trading session of 2026 on a flat note. Sensex dipped 32 points to 85,188.60, while the Nifty was up 16.95 points to 26,146.55.
Foreign Institutional Investors offloaded equities worth Rs 3,597.38 crore on Wednesday, according to exchange data.
On the domestic macroeconomic front, gross GST collections rose 6.1 per cent to over Rs 1.74 l

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GST collections rise 6 pc to over Rs 1.74 lakh cr in December 2025
GST
Dated:- 1-1-2026
PTI
New Delhi, Jan 1 (PTI) Gross GST collections rose 6.1 per cent to over Rs 1.74 lakh crore in December 2025, on slow growth in revenues from domestic sales following the sweeping tax cuts, according to government data released on Thursday.
Gross Goods and Services Tax (GST) revenue in December 2024 was over Rs 1.64 lakh crore.
Gross revenue from domestic transactions rose 1.2 per cent to ov

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Excise duty on tobacco: Manufacturers to install CCTV, preserve footage for 24 months from Feb 1
GST
Dated:- 1-1-2026
PTI
New Delhi, Jan 1 (PTI) Manufacturers of chewing tobacco, gutkha and similar products will have to install a functional CCTV system from February 1, covering all packing machines and preserve the footage for at least 24 months, according to a government notification.
Such manufacturers will also have to disclose to excise authorities the number of machines and their capacities, and can also claim abatement in excise duty in case a machine is non-functional for a minimum of 15 consecutive days, according to the Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Coll

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l packing machine areas and to preserve the footage for a minimum period of 24 months.
Manufacturers of such tobacco products packed in pouches will have to disclose the number of machines, the specifications of the machines, such as maximum rated capacity and gearbox ratios, and the details of retail sale prices to the excise tax authorities.
The jurisdictional Deputy Commissioner of Central Excise or the Assistant Commissioner of Central Excise, as the case may be, will determine the annual production capacity after conducting a physical inspection of the factory and verifying the technical specifications of the machines.
The annual production capacity shall be determined by multiplying the quantity of notified goods deemed to be pr

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