GST
Bombay High Court Stays Multiple GST Notices On Leasehold Transfers Until Supreme Court Ruling
The Bombay High Court on 25 February granted interim protection to taxpayers facing GST proceedings on the assignment of leasehold rights, directing that recovery actions and adjudication of show cause notices be stayed until the Supreme Court of India decides the issue. A Division Bench of Justices G.S. Kulkarni and Aarti Sathe was hearing multiple writ petitions filed by companies challenging GST demands on the transfer or assignment of leasehold rights in industrial plots and buildings,...
Cash Seizure Without 'Reason to Believe' Violates CGST Act: Bombay High Court
The Bombay High Court on 10 March quashed the seizure of Rs. 1 crore in cash by the Directorate General of GST Intelligence (DGGI) from Smruti Waghdhare, holding the action arbitrary and without authority under the CGST Act. A Division Bench of Justice G.S. Kulkarni and Justice Aarti Sathe was hearing a writ petition challenging the seizure, under which Rs. 60 lakh was recovered from her premises and Rs. 40 lakh from her parents' residence during search operations. The judges held: “On a...
GSTAT New Delhi Directs Tata Play To Deposit ₹450 Crore In Consumer Welfare Funds For GST Profiteering
The Principle Bench of the Goods and Services Tax Appellate Tribunal (GSTAT) in New Delhi on 11 March directed Tata Play Ltd. to deposit Rs. 450.18 crore in the Central and State Consumer Welfare Funds in a 50:50 ratio, holding that it engaged in GST profiteering. A Division Bench comprising President Justice (Retd.) Dr. Sanjaya Kumar Mishra and Technical Member A. Venu Prasad concluded that the company had failed to pass on the tax benefit to consumers as mandated under the GST...
Bombay High Court Allows GST Fraud Case Accused To Travel Abroad, Says Right To Travel Part Of Personal Liberty
The Bombay High Court has recently observed that the right to travel abroad forms part of the fundamental right to personal liberty under Articles 14 and 21 of the Constitution and that such liberty cannot be restricted merely on the basis of apprehensions that are not supported by material on record. The court permitted a businessman facing prosecution in a GST fraud case to travel overseas for business as well as personal reasons, observing that conditions requiring prior permission before...
Input Tax Credit Transfer On Company Amalgamation Not Restricted By State: Gujarat High Court
The Gujarat High Court on 5 March held that input tax credit (ITC) cannot be denied on the amalgamation of companies merely because the transferor and transferee entities are registered in different States. A Division Bench comprising Justice A. S. Supehia and Justice Pranav Trivedi heard a petition filed by Emerson Process Management (India) Pvt. Ltd. challenging the refusal of GST authorities to allow the transfer of ITC following the amalgamation of Pentair Valves and Controls India Pvt....
No Separate GST Treatment For Ultra-Processed Foods, High-Fat Items: Finance Ministry Tells Lok Sabha
The Union government has informed the Lok Sabha that the Goods and Services Tax (GST) framework does not provide separate tax treatment for ultra-processed foods (UPFs) or foods high in fat, sugar, or salt (HFSS), and that no formal assessment has been undertaken on the potential health and economic benefits of imposing higher taxes on such products. Responding to a question asked by Congress MP G. Kumar Naik from Raichur in Karnataka, Minister of State for Finance Pankaj Chaudhary said on...
Govt Spent ₹88.74 Crore On Advertising 'GST Bachat Utsav': Finance Ministry Tells Lok Sabha
The Union Government spent Rs 88.74 crore on advertising for the “GST Bachat Utsav," a publicity campaign to spread awareness about GST rate rationalisation, the Ministry of Finance informed the Lok Sabha in response to a question on March 9, 2026.Responding to a question raised by Jagdish Chandra Barma Basunia, BJP MP from Cooch Behar, West Bengal, the Minister of State for Finance Pankaj Chaudhary, stated that the government incurred Rs 88.74 crore on advertising for the campaign. GST Bachat...
Samsung India Anti-Profiteering Case: GSTAT Directs DGAP To Re-Examine Cost, CSD Supply Issues
The Goods and Services Tax Appellate Tribunal (GSTAT) at New Delhi has directed the Director General of Anti-Profiteering (DGAP) to re-examine certain issues in the anti-profiteering proceedings involving Samsung India Electronics Pvt. Ltd. after the matter had earlier been reserved for pronouncement of the final order. A bench comprising President Justice (Retd.) Dr. Sanjaya Kumar Mishra and Technical Member A. Venu Prasad passed the order after considering the matter and holding a conference...
Supreme Court Issues Notice On Plea Over Denial Of Use Or Refund Of Compensation Cess ITC After Coal Cess Scrapped
The Supreme Court on Monday issued notice on a writ petition challenging the denial of utilisation or refund of accumulated Compensation Cess input tax credit (ITC) after the cess on coal was scrapped. The petition, filed by Carbon Resources Pvt. Ltd., claims the change has left the company with around Rs 23 crore in compensation cess credit that has become unusable because no mechanism was provided to either utilise or refund it. A bench comprising Chief Justice of India Surya Kant and...
GST Summary Notice Cannot Replace Statutory Show Cause Notice: Gauhati High Court
The Gauhati High Court has held that a summary of a show cause notice issued in Form GST DRC-01 cannot substitute the requirement of a proper show cause notice under the GST law.Justice Soumitra Saikia quashed the order dated August 29, 2024, issued against the taxpayer, Md. Shoriful Islam, under the GST regime after observing that the tax authorities had only issued a summary of the show cause notice along with an attachment containing the determination of tax.The petitioner was issued a...
Madras High Court Upholds Same-Month ISD Credit Rule Under CGST, Dismisses Reliance Jio's Challenge
The Madras High Court on 5 March upheld the validity of Rule 39(1)(a) of the Central Goods and Services Tax Rules, 2017, which mandates that an Input Service Distributor (ISD) must allocate tax credits within the same month in which an invoice is received. A Bench comprising Chief Justice Manindra Mohan Shrivastava and Justice G. Arul Murugan was hearing a batch of writ petitions filed by Reliance Jio Infocomm Ltd, challenging the provision governing the timing of distribution of Input Service...
Gujarat High Court Grants Bail To Lawyer Accused Of Filing GST Return For 'Non-Existent, Fake Entities'
The Gujarat High Court recently granted bail to an advocate who was arrested for allegedly filing GST returns for firms that are claimed to be non-existent, fake entities.Sanghani has been booked under Sections 132 (1)(b) (whoever issues any invoice or bill without supply of goods or services or both in violation of the provisions of the Act, or the rules made thereunder leading to wrongful availment or utilisation of input tax credit or refund of tax), and 132 (1) (c) (whoever avails input tax...