Goods and Services Tax

Delayed GST appeal maintainable; revocation possible after paying dues. Time spent in wrong forum excluded.
Case-Laws
GST
Maintainability of appeal u/s 107 against cancellation of GST registration due to non-filing of returns discussed. Delay in filing appeal could have been condoned under sub-sections (3) and (4) as appeal filed within seven months from cancellation order. Appellate authority could alternatively grant opportunity to approach u/s 30 for revocation after paying applicabl

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Appellate order in Andhra Pradesh under CGST Act must be in Hindi & English. Rules require both languages.
Case-Laws
GST
The appellate order u/s 107 of the CGST Act, 2017 in the State of Andhra Pradesh must be issued in both Hindi and English. Central Government Rules mandate the use of both languages for official documents. Communications from Central Government to region “C,” where Andhra Pradesh is, should be in English. The Commissioner (Appeals) must provide orders in English to th

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Refund denied for late ITC claim. Court says strict time limit not a must. No flaws in orders. Petition rejected.
Case-Laws
GST
Rejection of refund of unutilized Input Tax Credit (ITC) due to delay of 2 days beyond the 60-day statutory limit u/s 54(7) of the Act. Court held that the term “shall” in the section is directory, not mandatory, considering the availability of interest on delayed refunds u/s 56. Rigid adherence to the time limit would not serve the legislative intent. The impu

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

High Court Questions CBIC Notification Validity Under CGST Act Section 168(A) Due to Lack of GST Council Input.
Case-Laws
GST
The High Court examined a challenge against a notification issued by the Central Board of Indirect Taxes and Customs, questioning its validity u/s 168(A) of the CGST Act, 2017 due to lack of GST Council recommendation. The court found the notification prima facie inconsistent with the law, indicating potential failure of actions based on it. An assessment of forc

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Bank accounts can be provisionally attached under CGST Act. Commissioner must decide on objections within 3 weeks.
Case-Laws
GST
Provisional attachment of Bank Accounts upheld u/s 83(1) of CGST Act. Objection filed u/r 159(5) CGST Rules. Only Commissioner can order provisional attachment. Impugned order by Additional Director General deemed valid. Court directs Commissioner to decide objections within three weeks. Petition disposed by High Court.
TMI Updates – Highlights, quick note

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Goods detained for incomplete E-way bill. No intent to evade tax. No penalty under sec 129(3) for technical error. HC quashed orders.
Case-Laws
GST
Detention of goods due to incomplete Part B of E-way bill. No dispute on documents/goods. Part B filled before notice/seizure order. No mens rea found to evade tax. Citing M/S ROLI ENTERPRISES case, technical error without tax evasion intent warrants no penalty u/s 129(3). Similar ruling in PRECISION TOOLS INDIA case. Orders dated April 22,

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Court rules penalty under GST Act invalid without proof of tax evasion intent. Vehicle and goods to be released within two weeks.
Case-Laws
GST
The case involved a challenge to a penalty imposed u/s 129 of the Goods and Service Tax Acts. The court held that without proof of intent to evade tax, such penalties lack legal basis. The petitioner had presented all documents during seizure, except one, which was later provided. The court found no factual support for the alleged tax evasion in

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Petition challenges CGST inclusion in turnover, citing Act definition. Lack of hearing violates justice. Appeal can't be avoided. Appellate Authority to assess.
Case-Laws
GST
The petition challenges the inclusion of CGST amount in petitioner's turnover, contrary to CGST Act definition. Lack of proper personal hearing violates natural justice principles. HC holds statutory appeal remedy cannot be avoided despite 10% payment requirement. Appellate Authority can consider filed documents, a

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Challenge to show-cause notice dismissed due to lack of immediate rights impact. Respond to notice and raise concerns.
Case-Laws
GST
Challenge to demand-cum-show-cause – no opportunity for written explanation – violation of natural justice. Writ Court typically doesn't entertain challenges to show-cause notices as they don't affect parties' rights immediately. Show-cause notices can be challenged if issuing authority lacks jurisdiction. Supreme Court in SPECIAL DIRECTOR VERSUS MOHD. GHU

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

High Court overturns cancellation of GST registration due to lack of fair process. Authorities failed to justify decision or allow sufficient time for response.
Case-Laws
GST
The High Court quashed the impugned order canceling the petitioner's GST registration, citing violation of natural justice principles. The order and subsequent show cause notice failed to provide adequate justification for dropping the proceedings. The petitioner was given less than 24 hours to appear before author

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Flying Training Services by Approved Institutes Exempt from GST, AAR Confirms Alignment with Maritime Training Standards.
Case-Laws
GST
The case involves the taxability of supply of flying training services by an Approved Flying Training Institute. The institute fulfills conditions as an Educational institute under GST regime. The Curriculum and training program are approved by the Director General of Civil Aviation (DGCA). The institute issues Course completion Certificates recognized

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Key GST amendments from Finance Act, 2024 now in effect! Section 13 from Oct 1, 2024; Sections 11 & 12 from Apr 1, 2025.
Notifications
GST
Notification issued by Ministry of Finance, Department of Revenue, brings into effect Sections 11, 12, and 13 of the Finance Act, 2024. Effective dates for amendments to the Central Goods and Services Tax Act, 2017 are specified: Section 13 to be enforced from October 1, 2024, while Sections 11 and 12 to be enforced from April 1, 2025. The notificati

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

High Court Overturns Denial of Input Tax Credit, Remits Cases for Fresh Decision Under GST Section 16(4.
Case-Laws
GST
The petitioners' belated input tax credit denial u/s 16(4) of GST Acts overturned by High Court. Orders set aside, cases remitted to Assessing Officer for fresh decision as per Finance Act, 2024. If proposals in Finance Bill, 2024 are enacted, petitioners may benefit. Petitioners to deposit 25% disputed tax, excluding input tax credit denial, for orders on merits. Petit

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Writ of Prohibition Denied: Court Rules on Jurisdictional Limits and Petitioner's Failure to Contest Orders.
Case-Laws
GST
The High Court considered the maintainability of a writ petition seeking a writ of prohibition despite the petitioner not challenging the allegedly erroneous orders. The Court clarified that a writ of prohibition is typically used to supervise and restrict courts or tribunals from acting beyond their jurisdiction. Reference was made to a Supreme Court case emphasizi

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Ruling: No GST on electricity delivery charges! Inward supplies not eligible for CGST and SGST credit.
Case-Laws
GST
Liability to pay Goods and Services Tax (GST) for intra-state and interstate delivery of electrical energy. The applicant questioned if they could claim CGST and SGST paid during the procurement of a solar power plant as input tax credit towards their GST liability. The ruling found that since the applicant invoiced only for the supply of electricity without including del

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Services provided to government under Jal Jeevan Mission are taxable at 18%. Exemption till 31-12-2021. After 01-01-2022, no exemption.
Case-Laws
GST
Services provided to a government entity under Jal Jeevan Mission classified under SAC code 998399. Services to Maharashtra Jeevan Pradhikaran for government functions are taxable at 18%. MJP's setup is lawful as a government-owned body. Exemption applies for services provided before 31-12-2021 under entry No. 3 of Notification No 12/2017.

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Goods like Pani Puri and services like serving cooked food at the counter are taxable at 5% GST rate.
Case-Laws
GST
The case involves the classification of supply of goods or services including Pani Puri, Masala Chat, Punjabi Lassi, Sev Puri, Samosa Chat, Vada Pav, Pav Bhaji without a brand name. It was determined that these items fall under the restaurant sales taxable at 5% GST rate. The service of serving cooked items across the counter is classified under HSN 996331. The applicable

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Input Tax Credit Allowed for Second-Hand Luxury Cars: Evaluation, Refurbishment, and Parts Under CGST Act Sections 16-21.
Case-Laws
GST
Availability of input tax credit is restricted on inward supplies like spare purchases, repairs, and refurbishment costs, except for old or used motor vehicles as per Notification 8/2018-Central Tax (Rate). The applicant, a registered taxpayer dealing in second-hand luxury cars, can claim input tax credit on expenses related to vehicle evaluation, refur

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Demo cars can get Input Tax Credit if used for future supply after demo period. Conditions apply: no depreciation claim, must be used for supply.
Case-Laws
GST
The ruling addressed the eligibility of Input Tax Credit (ITC) for cars used for demonstration purposes. It was held that demo cars can be eligible for ITC if certain conditions are met, particularly if they are intended for further supply after the demo period. The use of cars for demos does not disqualify them from ITC if they

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Insurance Companies Not Liable for GST on Salvage Deductions; Insurers Pay GST When Salvage Ownership Transfers.
Circulars
GST – States
Circular clarifies that insurance companies are not liable to pay GST on salvage/wreck value deducted from claim settlement amount, as salvage remains property of insured. However, if claim settled without salvage deduction, salvage becomes property of insurer who must discharge GST on subsequent supply. For total loss cases where salvage deducted from

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

GST Clarifies Time of Supply for Spectrum Usage; Continuous Service Rules Apply to Telecom Operators with Deferred Payments.
Circulars
GST – States
Clarification provided on time of supply of services for spectrum usage and other similar services under GST. For spectrum allocation, where telecom operator opts for deferred payment, it constitutes continuous supply of services as defined u/s 2(33) of WBGST Act. Time of supply governed by section 13(3) of WBGST Act, being earlier of paymen

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Petition dismissed for violation of natural justice principles. Inadequate time given for GSTR mismatch reply. Adjournment denied due to no written reply.
Case-Laws
GST
Violation of principles of natural justice challenged through ex-parte demand order and show cause notice (SCN). Impugned SCN provided less time than stipulated u/s 73(2) of UP GST Act for submitting reply, citing mismatch in GSTR filed. Court held that adjournment application would have been entertained if petitioner ha

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Jurisdiction challenge rejected for non-participation. 10% deposit within 8 weeks for fresh hearing. File replies in 12 weeks. Final order in 2 months.
Case-Laws
GST
Jurisdiction challenge to assessment orders passed by different officer from investigating officer. Petitioner negligent in non-participation in proceedings emanating from notices. Opportunity given subject to 10% disputed tax deposit within 8 weeks. Impugned quashed orders treated as addendum to notices. Petitioner to file

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

High Court Grants Bail in Fake GST Entities Case Due to Long Custody and Completed Investigation.
Case-Laws
GST
Grant of regular bail in case involving sale/purchase of fake GST entities, issuance of fake firms and fraudulent beneficiaries of fake GST ITC. Considering attending circumstances, materials on record, law laid down in Ratnambar Kaushik and Satendra Kumar Antil cases, maximum punishment of up to 5 years, petitioner's custody for over 4 months, offence based on documentary evi

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Petition disposed, awaiting SC verdict on GST levy on mining under reverse charge. Recovery proceedings stayed pending appeal disposal. No pre-deposit needed.
Case-Laws
GST
The High Court disposed off the petition, awaiting the final decision of the Supreme Court in UDAIPUR CHAMBERS OF COMMERCE AND INDUSTRY & ORS. VERSUS UNION OF INDIA & ORS. regarding the levy of GST on mining activities under the reverse charge mechanism. The recovery proceedings pursuant to the impugned orders shall

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =