Goods and Services Tax

Cancellation of GST registration upheld due to delay; restoration possible within 7 days after fulfilling requirements.
Case-Laws
GST
Petition challenging cancellation of GST registration dismissed on grounds of limitation. Petitioner directed to approach competent authority for restoration of GST number within seven days, subject to completion of requisite formalities, filing returns, and depositing taxes, penalty, and interest. Order based on similar previous decisions, without examin

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Firm's bank accounts attached over directors' personal liability; High Court orders reconsideration within 1 month.
Case-Laws
GST
This legal matter concerns the attachment of two bank accounts belonging to the petitioner, a private limited company, due to personal liability imposed on its directors. The High Court disposed of the petition by directing the respondent to consider and resolve the petitioner's representation dated 20-9-2023 within one month. The respondent must provide a re

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Seizure order & penalty quashed due to lack of intent for tax evasion; Refund ordered within 8 weeks.
Case-Laws
GST
The petitioner challenged the seizure order and show cause notice (SCN) on grounds that the address provided in the invoice was not the registered place of business at the time of detention. The court examined whether there existed mens rea (guilty mind) for tax evasion. It held that the revenue failed to establish mens rea, rendering the detention process, SCN, and penalt

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Fake firms & tax credit fraud: Bail granted due to lack of evidence & co-accused's role. Conditions apply.
Case-Laws
GST
Bail granted in case involving creation of fake firms and passing of fake input tax credit. Considering nature of offense, punishment, available material, lack of evidence regarding device used for creating fake firms, and co-accused with more serious role already granted bail, applicant deemed eligible for bail upon furnishing personal bond and sureties to court's sa

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Dealers Not Penalized for Seller's Tax Failures; Court Overturns Orders, Allows Action on Non-Bona Fide Purchases.
Case-Laws
GST
Sections 16(2)(c) and 16(2)(d) of the Assam and Central Goods and Services Tax Acts, 2017, were challenged regarding the validity of punishing a purchasing dealer for the selling dealer's failure to deposit collected tax. The High Court held that the controversy is covered by the Delhi High Court's decision in On Quest Merchandising India Pvt. Ltd. case, where

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Unutilized Input Tax Credit Transfer Denied in AP GST Regime.
Case-Laws
GST
The petitioners sought transfer of unutilized input tax credit available in their ledgers as on 02.06.2014 to the AP GST regime. The court held that Section 56 of the Andhra Pradesh Reorganisation Act, 2014 deals with refund of excess tax collected, but is inapplicable to unutilized input tax credit, which is not excess tax paid. Consequently, the impugned demand orders in Form GST DRC-07 issued by the responden

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Tax Dispute Over Turnover Reporting Violation: Court Remands Case for Fresh Consideration.
Case-Laws
GST
Petition challenged impugned order passed by respondent for assessment year 2018-19, contending violation of principles of natural justice due to non-issuance of notices. Court held petitioner may have merits as dispute pertained to difference in turnover reported in GSTR-7 and GSTR-3B. Partial relief granted by setting aside impugned order and remitting case to respondent for fresh

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Bail cancelled for concealing criminal history in economic offense case.
Case-Laws
GST
Bail was procured through misrepresentation and suppression of material facts by the applicant, who failed to disclose criminal history and prior conviction in a similar case. Despite objections raised in the first bail application, the applicant withdrew it and filed a second application without disclosing the material facts. The court held that economic offenses are serious, and the sessions judge r

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Tax assessment remanded for fresh orders; 25% disputed tax to be paid from e-cash ledger.
Case-Laws
GST
Petitioner challenged assessment orders for Assessment Years 2017-2018 and 2020-2021. Court set aside impugned orders, remitting cases to respondent for fresh orders on merits. Petitioner directed to pay 25% of disputed tax from Electronic Cash Ledger and respond to Show Cause Notices within 30 days for respective Assessment Years. Impugned orders treated as addenda to Show Cause Noti

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Nationwide Crackdown on Fake GST Registrations: Suspensions, Cancellations, and Recoveries Planned from Aug 16 to Oct 15, 2024.
Circulars
GST
Comprehensive guidelines issued for second special All-India drive against fake GST registrations from 16th August to 15th October 2024. Suspicious GSTINs identified through data analytics by GSTN/DGARM to be shared with tax authorities for verification. Non-existent GSTINs to be suspended/cancelled, with input tax credit blocked and recovered. No

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High Court quashed seizure order as E-way bill produced before order; no contravention occurred. Authorities didn't verify transaction.
Case-Laws
GST
The High Court quashed the seizure order and allowed the petition, holding that once the E-way bill was produced before the seizure order could be passed, it could not be said that any contravention of the Act's provisions had occurred. The court observed that although the goods were initially detained due to the absence of an E-way bill,

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Illness grounds for quashing assessment orders. Remanded for fresh orders considering petitioner's reply & medical condition within 30 days.
Case-Laws
GST
Assessment orders quashed due to petitioner's illness, remanded for fresh orders. Petitioner directed to file consolidated reply within 30 days. Cases remitted to respondent to pass fresh orders on merits and in accordance with law after considering petitioner's reply and medical condition. Petitioner had not replied to show cause not

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GST Registration cancellation: violating natural justice. Registration restored but ITC utilization barred until fresh proceedings.
Case-Laws
GST
The show cause notice for cancellation of registration u/s 29(2)(e) was invalid as it lacked specific factual details and reasons for alleging fraud, misstatement, or suppression of facts. The subsequent orders cancelling registration were quashed due to the defective notice violating principles of natural justice. While the registration was r

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State GST officer suspended for issuing refund to fake exporter challenged. Lack of evidence and proper verification cited. Suspension quashed.
Case-Laws
GST
Challenge to suspension order of State GST officer for issuing refund to a fake exporter without proper verification. Petitioner contests suspension citing lack of strong prima facie evidence and non-application of mind by respondents. High Court notes quasi-judicial nature of refund process, requiring timely processing and balanci

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Court allowed fresh chance to petitioner due to discrepancies in turnover. Responding to notices could have changed the outcome.
Case-Laws
GST
The High Court addressed a challenge to an assessment order due to discrepancies in turnover between GSTR-7 and GSTR-3B. The petitioner failed to respond to notices preceding the order. The court noted that had the petitioner responded, the outcome may have been different. The petitioner is granted a fresh chance to present their case. The impugn

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Petitioner challenged GST Assessment Orders, lacked info, charges may be taxable. Court quashed orders, remitted for fresh assessment.
Case-Laws
GST
The case involves a challenge to Assessment Orders for multiple Assessment Years u/s 74 of the respective GST enactments, 2017. The petitioner failed to provide proper information to the department, leading to shortcomings in the assessment process. The Court noted that certain charges collected by the petitioner may be taxable under GST la

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Goods Transfer from FTWZ to DTA Confirmed as Bonded Transactions under CGST Act; IGST and Input Tax Credit Rules Clarified.
Case-Laws
GST
The case involves the transfer of title of goods from a Free Trade Warehousing Zone (FTWZ) unit to customers in the Domestic Tariff Area (DTA), or multiple transfers within the FTWZ followed by removal from the FTWZ unit. It examines whether this constitutes a bonded warehouse transaction under the CGST Act. The ruling confirms that such transfers fal

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Writ petition maintainability depends on statutory redressal mechanism availability, not purely legal issues. High Court discretion upheld.
Case-Laws
GST
Petition maintainability hinges on alternative remedy availability. Excess tax refund due to ignorance and legal ambiguity. Supreme Court ruled that purely legal controversies without factual disputes should be decided by High Court, not dismissed for alternative remedy availability. However, where statute provides grievance redressal

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Bio-fertilizers classified under different chapters leading to disparate GST rates. Order quashed, remanded for fresh hearing.
Case-Laws
GST
Contradictory findings by Appellate Authority regarding classification of bio-fertilizers produced by petitioner and another manufacturer under different chapters leading to disparate GST rates of 12% and 5% respectively. Impugned order classifying petitioner's bio-fertilizers under Chapter 3002 quashed and matter remanded to Appellate Authority fo

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Validity of GST demand notice challenged for licensing services on minerals from 1/7/17 to 31/12/18. HC issued notice, no coercive recovery.
Case-Laws
GST
Validity of SCN issued u/s 73 of CGST Act challenged – recovery of demand of differential tax for tax period from 1-7-2017 to 31-12-2018 – transactions related to licensing services for right to use minerals including exploration and evaluation under Service Code 9973 37 – retrospective operation of CBIC circular dated 6-10-2021 – Hig

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AAR denied error rectification. Queries not ruled. No error found. Differential IGST ineligible for ITC. Application rejected.
Case-Laws
GST
Rectification of certain errors apparent on face of order denied in AAR ruling. AR contended AAR should have ruled on all queries. Held: No error apparent on record noticed, so no rectification required. As Customs Act provisions not attracted, differential IGST paid by applicant ineligible for ITC u/s of CGST Act, 2017. No apparent error or mistak

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Plastic parts like rope handle & vent plug for lead acid batteries fall under heading 8507, not plastic chapters.
Case-Laws
GST
Plastic articles rope handle, vent plug, and split top/bottom support, used as parts/accessories for lead acid batteries, are classifiable under heading 8507 (electric accumulators) and not under headings 3901 to 3914 or 3926 (plastic articles). Though made of plastic, they are excluded from Chapter 39 by Note 2(s). They attract 14% CGST and SGST under Sl. No.

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Summary order quashed, bank accounts unattached due to lack of order. Lift attachment directed.
Case-Laws
GST
Summary order quashed due to absence of underlying order – Annexure-A summary dated 13.08.2019 in Form GST DRC-07 set aside as no order passed under Act – consequent recovery action including attachment of bank accounts quashed – respondents directed to lift attachment of petitioner's bank accounts forthwith – petition disposed of.
TMI Updates – Highlights, quick notes, marq

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Extension of time for tax recovery order contested. Affidavits required. Jurisdictional issue raised. Interim stay till Dec 2024.
Case-Laws
GST
Extension of time for issuance of order u/s 73(9) for recovery of unpaid/short-paid tax or wrongly availed/utilized input tax credit. State GST authorities contend affidavits required. Jurisdictional issue raised, writ petition to be heard. Affidavit-in-opposition within 4 weeks, reply within 3 weeks thereafter. Prima facie case made out, interi

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Appeal rejected wrongly. Explanation overlooked. Hear appeal on merits soon per HC order.
Case-Laws
GST
Appeal rejected on limitation grounds but petitioners' explanation ignored; appellate a

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