Goods and Services Tax

Challenge assessment order time limit. GST taxability from 01.07.2017 irrelevant. Fresh order after 10% tax deposit in 30 days.
Case-Laws
GST
Challenge to assessment order – time limitation. It is not required to dilate on taxability under GST regime from 01.07.2017. Matter requires consideration on merits. Prayer for quashing cannot be considered. However, balancing interests, impugned orders set aside by remitting cases to pass fresh orders, subject to depositing 10% of disputed tax w

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Order quashed for lack of natural justice. Fresh orders within 60 days on Rs. 38L recovery treating impugned order as show cause addendum.
Case-Laws
GST
Impugned order quashed due to violation of principles of natural justice as second notice failed to mention time or date for personal hearing. Case remitted to pass fresh orders on merits and in accordance with law within 60 days, treating impugned order as addendum to preceding show cause notice, considering recovery of Rs. 38 lakhs fr

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Respondent didn't pass GST rate cut benefit, profiteered Rs. 54L+ on cinema tickets. Directed to reduce prices, deposit profiteered amount.
Case-Laws
GST
Respondent resorted to profiteering by not passing on benefit of GST rate reduction from 28% to 18% on cinema ticket prices above Rs. 100 during 01.01.2019 to 30.04.2019, profiteering Rs. 54,44,642 including GST. Directed to reduce prices commensurately, deposit profiteered amount of Rs. 54,44,642 with 18% interest equally in Central a

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Profiteering by cinema on GST rate cut, not passing benefit to customers. Directed to reduce prices. Violated law, but penalty can't be retrospective.
Case-Laws
GST
Respondent resorted to profiteering by not reducing selling price commensurately despite GST rate reduction from 28% to 18% on cinema tickets above Rs. 100, from 01.01.2019 to 05.02.2019, profiteering Rs. 13,99,061 including GST. Respondent directed to reduce prices keeping rate reduction in view, having revised ticket price

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Central Govt exempts Unit Run Canteen supply of goods under 2202 heading to authorized customers from GST Compensation Cess, effective 15/07/2024.
Notifications
GST
Central Government exempts supply of goods falling under heading 2202 by Unit Run Canteen (URC) to authorized customers from entire Goods and Services Tax Compensation Cess leviable u/s 8 of Goods and Services Tax (Compensation to States) Act, 2017, exercising powers under Central Goods and Services Tax Act, 2017, Goods and

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GST Exemption for Railway Services: Platform Tickets, Rooms, and Student Accommodations Now Tax-Free Under Amended Notification No. 12/2017. /2017.
Notifications
GST
Amends Notification No. 12/2017-Central Tax (Rate) to exempt supply of services by Ministry of Railways to individuals for sale of platform tickets, retiring/waiting rooms, cloak rooms, battery car services; services between zones/divisions of Railways; services by SPVs to Railways allowing use of infrastructure and mainten

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Exempts supply of farm produce > 25kg/25L from pre-packaged labelling norms under Legal Metrology Act from 15/7/24.
Notifications
GST
Notification amends Notification No. 2/2017-Central Tax (Rate) dated 28th June, 2017 by inserting proviso to Explanation clause (ii) exempting supply of agricultural farm produce in packages containing quantity exceeding 25 kilograms or 25 litres from being considered as pre-packaged and labelled under Legal Metrology Act, 2009 and rules thereunder. Amend

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GST Rate Changes: 6% on Paper Cartons, 9% on Non-Paper Cartons; Effective July 15, 2024.
Notifications
GST
Notification amends Schedule II (6% GST rate) by inserting cartons, boxes, cases of corrugated/non-corrugated paper or paperboard, milk cans made of iron, steel or aluminium, and solar cookers. In Schedule III (9% GST rate), cartons etc. other than those of corrugated/non-corrugated paper or paperboard are substituted, milk cans of iron/steel excluded, solar cookers included in woo

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HC quashed order for violating natural justice. Case remanded for fresh order after petitioner deposits 10% tax & files reply in 30 days.
Case-Laws
GST
The HC quashed the impugned order for violating principles of natural justice, as the petitioner's explanation during personal hearing was not discussed. It remanded the case to the respondent to pass a fresh order on merits after the petitioner deposits 10% of disputed tax and files a consolidated reply within 30 days, treating the quas

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Natural justice breached as SCN u/s 73 not uploaded; petitioner can appeal with condonation within 30 days.
Case-Laws
GST
Principles of natural justice violated due to non-uploading of show cause notice (SCN) u/s 73 on portal's “view notices and orders” section. Despite email communications informing petitioner about SCN's location, confusion persisted due to portal redesign. Petitioner permitted to challenge adjudication order before appellate authority within 30 days by filing appeal

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Order upheld, pay tax demand & interest. Fresh orders on penalty in 6 months, Penalty may drop if 53rd GST Council norms applied.
Case-Laws
GST
Impugned order partially upheld, petitioner directed to pay balance tax demand without prejudice to rights under remand order; petitioner also required to pay interest amount; respondents directed to pass fresh orders on merits regarding penalty u/s 122 of GST Act within six months, penalty may be dropped if 53rd GST Council recommendations impl

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Order u/s 107 set aside. Remanded to treat deposit as per notification. Hear appeal within 8 weeks, allow personal hearing.
Case-Laws
GST
The appellate authority's order passed u/s 107 of the CGST Act, 2017/WBGST Act, 2017 is set aside. The matter is remanded back to the appellate authority with a direction to treat the deposit made by the petitioner in Form GST DRC-03 dated 30th January, 2024, as a deposit within the meaning of the notification dated 2nd November, 2023. The appellate a

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Tax demand set aside for lack of proper notice. Petitioner gets chance to contest after remitting 10% disputed amount.
Case-Laws
GST
Show cause notice served on petitioner by uploading in GST portal tab without other communication mode; petitioner unaware of proceedings; tax demand confirmed due to non-reply; considering facts, interest of justice warrants opportunity to contest demand; impugned order set aside; matter remanded for reconsideration subject to condition of remitting 10% d

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Amended notification reduces TCS rate from 1% to 0.5% for e-commerce operators on inter-state supplies & where consideration is collected.
Notifications
GST
Notification seeks to amend Notification No. 02/2018-Integrated Tax, dated 20th September, 2018 regarding rate of tax collection at source (TCS) to be collected by every electronic commerce operator for inter-State taxable supplies and other suppliers where consideration is collected by said operator. The amendment substitutes words

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Rate of TCS by e-commerce operators for intra-State supplies reduced to 0.25% from 0.5% of net taxable value.
Notifications
GST
Rate of tax collection at source (TCS) to be collected by every electronic commerce operator for intra-State taxable supplies reduced from 0.5 per cent to 0.25 per cent of net value of intra-State taxable supplies. Notification amends earlier notification No. 52/2018-Central Tax. Effective from date of publication in official gazette.
TMI Updates – Highligh

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MSME taxpayers with turnover upto Rs. 2Cr exempted from filing annual GST return for FY24. Easing compliance burden.
Notifications
GST
This notification exempts registered persons with aggregate turnover up to Rs. 2 crores in FY 2023-24 from filing annual return for said financial year. Issued by Central Board of Indirect Taxes and Customs, Ministry of Finance, under powers conferred by section 44 of Central Goods and Services Tax Act, 2017, on recommendations of GST Council.
TMI Up

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Aadhaar exemption for GST revoked. Biometric authentication mandatory. Effective from gazette publication date.
Notifications
GST
This notification rescinds a previous notification (No. 27/2022-Central Tax dated 26th December 2022) which provided exemption from biometric-based Aadhaar authentication u/r 8(4A) of Central Goods and Services Tax Rules, 2017. The rescission is effective from the date of publication in the Official Gazette, except for actions taken or omitted before such res

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Revised Process for CSD Electronic Refunds: File Quarterly for 50% Tax Refund on Supplies via FORM GST RFD-10A, Rule 89 Applies.
Circulars
GST
Circular provides revised procedure for electronic filing and processing of refund applications by Canteen Stores Department (CSD) u/s 55 of CGST Act. CSD can electronically file refund application in FORM GST RFD-10A on common portal for 50% refund of central, state, UT and integrated tax paid on inward supplies for subsequent supply to Unit Run

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Exporters Guide: Claim Refunds on IGST for Price Revisions Post-Export Using FORM GST RFD-01.
Circulars
GST
Circular prescribes mechanism for refund of additional IGST paid on upward revision in price of exported goods subsequent to exports. Exporter to file refund claim in FORM GST RFD-01 electronically on common portal under “Any other” category until separate category developed. Claim processed by jurisdictional GST officer based on documents establishing admissibility. Details of sh

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New Rule 28(2) CGST: Corporate Guarantees Valued at 1% Annually or Actual Consideration; ITC Available; GST on New Guarantees Only.
Circulars
GST
Sub-rule (2) of Rule 28 of CGST Rules provides for valuation of supply of services of providing corporate guarantee between related persons. It applies to guarantees issued/renewed on or after 26.10.2023. Value is 1% of guaranteed amount per annum or actual consideration, whichever is higher. ITC is available irrespective of loan disbursal. No

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Guidelines for Taxpayers: Secure Stay on Recovery by Pre-Deposit Amid Appellate Tribunal Non-Operation; Use DRC-03A for Adjustments.
Circulars
GST
Guidelines clarify recovery proceedings in cases where first appeal is disposed but taxpayer cannot file further appeal due to non-operation of Appellate Tribunal. Taxpayers can make pre-deposit payment through Electronic Liability Register to avail stay on recovery. Undertaking to file appeal when Tribunal operationalizes is required. Amount

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Jailed petitioner's registration cancelled sans response opportunity. HC revoked cancellation order subject to tax compliance.
Case-Laws
GST
Petitioner was in jail custody from February 3, 2022, to July 30, 2023. Show-cause for cancellation of registration was issued on July 27, 2023, and order of cancellation was passed on August 23, 2022, without petitioner's opportunity to respond or apply for revocation. Petitioner was released on July 20, 2023, after acquittal and preferred an appe

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Provisional attachment order challenged for exceeding 1-year limit. Court upheld mandatory time limit, quashing order dated 19.05.2023.
Case-Laws
GST
Provisional attachment order u/s 83 of CGST Act challenged for completion of one year's period. Court held that Section 83 employs mandatory language, and impugned provisional attachment order dated 19.05.2023 ceased to have effect upon expiry of one year period from issuance date, i.e., 19.05.2023. Petition disposed of.
TMI Updates –

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Supreme Court Rules Writ Petition Maintainable in Limited Cases Despite Alternative Remedies Under CGST/APGST Act, 2017.
Case-Laws
GST
Maintainability of petition discussed – availability of alternative remedy considered – cancellation of registration under CGST/APGST Act, 2017 – alleged violation of principles of natural justice – Supreme Court held writ petition maintainable in contingencies like enforcement of fundamental rights, violation of natural justice, proceedings without juri

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E-way Bill: Typographical error not indicative of tax evasion intent. Active GSTIN, residential address not adverse. Penalty quashed for lack of evidence.
Case-Laws
GST
Petitioner challenged order passed u/s 129(3) of Goods and Services Tax Act, 2017 for alleged tax evasion due to typographical error in date on E-way Bill and Tax Invoice. Court held typographical error was bona fide, not indicative of mens rea to evade tax, essential for imposing penalty. Selling dealer had active GSTIN

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