GST
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...
Affiliation Fees Collected By Universities From Colleges Liable To GST: Madras High Court
The Madras High Court has held that affiliation fees collected by universities from colleges are liable to Goods and Services Tax (GST). The Court ruled that such services do not fall within the GST exemption for services relating to the admission of students or the conduct of examinations.The Division Bench comprising Justice G. Jayachandran and Justice K. K. Ramakrishnan answered a reference arising from writ petitions filed by Bharathidasan University challenging GST notices issued by the...
Assignment Of Leasehold Rights Is Transfer of Immovable Property, Not Taxable as GST Supply: Bombay High Court
The Bombay High Court at Nagpur, recently following a Gujarat High Court ruling, has held that assignment of leasehold rights in an industrial plot amounts to transfer of benefits arising out of immovable property and does not constitute “supply of services” under the GST law, and therefore GST cannot be levied on such transactions. A division bench of Justices Anil L. Pansare and Nivedita P. Mehta passed the ruling while allowing a writ petition filed by Vidarbha Beverages and its partners...
Bombay High Court Sets Aside Customs Orders On IGST Refund Interest To Jindal Drugs, Directs Fresh Determination
The Bombay High Court has recently set aside orders passed by customs authorities determining the interest payable on an IGST refund to Jindal Drugs Pvt. Ltd., holding that the authorities failed to explain how the interest had been calculated under Section 56 of the Central Goods and Services Tax Act, 2017. A division bench of Justice G. S. Kulkarni and Justice Aarti Sathe found that the impugned orders contained no reasoning showing that the statutory provision governing interest on delayed...
Value Of Materials Supplied Free Of Cost By Service Recipient For Manufacturing Not Taxable Under GST: Andhra Pradesh HC
The Andhra Pradesh High Court has recently reiterated that the value of materials supplied free of cost by a service recipient for manufacture of a product cannot be included in the taxable value under GST, setting aside a tax demand raised on a ready mix concrete supplier. A bench of Justice Cheekati Manavendranath Roy and Justice Tuhin Kumar Gedela observed that when components required for manufacturing a product are supplied free of cost, their value is not liable to tax. The Court...
Denial Of Input Tax Credit Limited To Depreciated Portion: Kerala High Court
The Kerala High Court on 18 February clarified that Section 16(3) of the CGST Act bars input tax credit only on the part of a capital good's tax component where depreciation is claimed, not on the whole tax component. Justice Ziyad Rahman A A quashed the show-cause notices issued to banking companies that had denied input tax credit on the entire tax component solely because depreciation was claimed on the unavailed portion. The Bench observed: “as far as prohibition contemplated under...