GST Officer's Competence Can Be Challenged Before Appellate Authority: Delhi High Court Declines Writ

The Delhi High Court has declined to entertain a batch of writ petitions challenging GST proceedings and penalty orders. The court held that the petitioners can raise their objections, including the alleged lack of competence of the officers who issued the show-cause notices, before the statutory appellate authority.The Division Bench of Justices Anil Kshetarpal and Shail Jain held that the objection regarding the competence of the officers did not constitute a “patent or self-evident absence...

GST Notice To Deceased Invalid, Legal Heirs Must Be Separately Notified: Calcutta High Court

The Calcutta High Court on 27 August held that GST authorities cannot issue a show cause notice or determine tax liability against a deceased person, and must instead issue the notice to the deceased's legal representatives in their own names. Justice Smita Das De made the observation while quashing a show cause notice issued under Section 74 of the Central Goods and Services Tax Act, 2017 (CGST Act) against Late Haradhan Pan, who died on 20 May 2021, along with the consequential...

Consolidated GST Notice For Multiple Years Valid, But Liability Must Be Decided Separately: Gauhati High Court

The Gauhati High Court has ruled that while the GST department can issue a consolidated show-cause notice covering multiple financial years, it must determine the tax liability separately for each year and apply the provision applicable to that period.“The authorities are therefore required to determine the liability separately for each financial year, apply the provision applicable to that year, and examine the question of limitation and the ingredients necessary for invoking the respective...

Calcutta High Court Directs Post-Decisional Hearing On ₹4.43 Crore ITC Blocking

The Calcutta High Court on 1 September directed GST authorities to grant a post-decisional personal hearing to a company whose Electronic Credit Ledger was blocked to the extent of Rs. 4.43 crore, holding that it must be given an opportunity to substantiate the genuineness of its purchases and suppliers. Justice Smita Das De disposed of a writ petition filed by SPL Steel Processors Private Limited challenging the blocking of its Electronic Credit Ledger for the period from 1 February 2026 to 17...

Karnataka High Court Directs Authorities To Decide Contractor's ₹2.99 Crore GST Claims

The Karnataka High Court on 29 August directed government authorities to consider and decide a civil contractor's claim for payment of Goods and Services Tax (GST) on road construction and improvement works. Justice Sachin Shankar Magadum noted that government authorities must examine a civil contractor's claim for payment of GST on road construction and improvement works by scrutinising the tender conditions, invoices, bills and payments to determine whether the GST component had already been...

Supreme Court Refuses To Interfere With HC Order Quashing ₹363 Crore GST Demand Against Vodafone Mobile Services Post Merger

The Supreme Court on Monday refused to interfere with the Bombay High Court's order quashing GST proceedings involving a ₹363 crore demand against Vodafone Mobile Services Ltd. after its merger with Idea Cellular Ltd.A bench of Justices J.B. Pardiwala and K. Vinod Chandran dismissed the Union of India's special leave petition at the threshold. The High Court had held that GST proceedings initiated against Vodafone Mobile Services Ltd after its merger with Idea Cellular Ltd and Vodafone...

Centre Failed To Curb Fraudulent GST Registrations Using Innocent Citizens' PAN and Aadhaar: Delhi High Court

The Delhi High Court has observed that the Central government has failed to curb the practice of obtaining fraudulent GST registrations by misusing the PAN and Aadhaar details of innocent citizens, despite nearly nine years having elapsed since the enforcement of the Central Goods and Services Tax (CGST) Act, 2017.The Division Bench of Justices Anil Kshetarpal and Shail Jain made the observation while considering petitions alleging fraudulent GST registrations obtained using the PAN and Aadhaar...

Gujarat High Court Quashes GST Demand Against Deceased Proprietor, Says Legal Heir Must Be Properly Heard

The Gujarat High Court has held that GST proceedings initiated against a deceased taxpayer cannot be sustained when the legal heir was neither made a noticee nor given a meaningful opportunity to respond, quashing proceedings initiated against a proprietor who had died several years earlier. A Division Bench comprising Justices A.S. Supehia and Vaibhavi D. Nanavati allowed a petition filed by Ushaben Kalpeshbhai Patni, the wife of the deceased proprietor, Kalpeshbhai Ramubhai Patni, and quashed...

Madras High Court Upholds GST Authorities' Power To Block Electronic Credit Ledger For Tax Recovery

The Madras High Court on 25 August held that Goods and Services Tax (GST) authorities can block an electronic credit ledger, including through a negative blocking entry, to recover tax dues, even where recovery proceedings arising from the assessment order have been stayed. Justice Senthilkumar Ramamoorthy passed the ruling while disposing of a writ petition filed by Zigma Machinery & Equipment Solutions against the Assistant Commissioner, Coimbatore-I Division. The Bench held: “In...

GST Authority Not Bound To Seek Additional Documents: Supreme Court Refuses To Interfere With Delhi HC Order

The Supreme Court on Thursday dismissed an appeal against the Delhi High Court's order holding that a GST adjudicating authority is not bound to seek additional documents or clarifications from a taxpayer before passing an order merely because it finds the material already furnished insufficient. The case arose from a plea by Sodexo India Services Private Limited challenging the GST adjudication order.The High Court dismissed its challenge to a GST demand of around ₹8.75 crore under Section 74...

Rajasthan High Court Sets Aside Unsigned GST Notice And ₹3.13 Lakh Demand Against Mayur Timber

The Rajasthan High Court on 11 August set aside an unsigned Goods and Services Tax (GST) show-cause notice and consequential demand of over Rs. 3.13 lakh raised against Mayur Timber, along with interest of Rs. 4,26,002 and an equivalent penalty. A Division Bench comprising Justices Arun Monga and Ashutosh Kumar held that mere generation of a document on the GST portal or allotment of a reference number cannot replace the mandatory requirement of authentication under Rule 26(3) of the Central...

Supreme Court Stays Tripura HC Ruling Allowing ITC To Buyer Despite Supplier's Failure To Deposit GST

Today, the Supreme Court issued notice in the Union of India's challenge to a Tripura High Court judgment which allowed a purchaser to claim Input Tax Credit (ITC) despite the supplier having failed to deposit the GST collected from the purchaser with the Government. A Division Bench of Justices J.B. Pardiwala and K. Vinod Chandran also stayed the operation of the High Court's 6 January 2026 judgment. The case concerns the interpretation of Section 16(2)(c) of the Central Goods and Services...