Failure To Furnish Bank Details For GST Registration Is Curable Lapse: Calcutta High Court

The Calcutta High Court has observed that failure to furnish bank details, though a violation of Rule 10A of the Central Goods and Services Tax Rules, can be cured by producing the correct bank details and supporting documents to establish the taxpayer's bona fides.Justice Smita Das De made the observation while considering a plea against cancellation of GST registration for non-submission of bank details. The court noted that cancellation of GST registration has severe civil consequences and...

GST Authorities Arrest Man Who Appeared On Court's Direction: Punjab & Haryana HC Orders Immediate Release

The Punjab & Haryana High Court has ordered the immediate release of a man arrested by GST authorities after he appeared before them pursuant to the court's direction to cooperate with the investigation.A Bench of Chief Justice Ashwani Kumar Mishra and Justice Rohit Kapoor observed that Goyal had appeared before the authorities with the documents sought by them. The matter was already pending before the court and was listed for September 29, when the authorities were expected to report on...

CGST Act Permits Tax Liability To Be Determined After Death Of Person: Delhi High Court

The Delhi High Court has held that the Central Goods and Services Tax (CGST) Act permits tax, interest, or penalty liability to be determined even after the death of the person against whom the underlying liability arises.The Division Bench of Justices Anil Kshetarpal and Vimal Kumar Yadav held that Section 93 of the CGST Act does not require adjudicatory proceedings to have commenced during the lifetime of the deceased for liability to be determined after his death.“The provision preserves...

Delhi High Court Upholds ₹10.57 Crore GST Demand, Says Parallel Proceedings Barred Only For Same Subject Matter

The Delhi High Court has dismissed a plea challenging the ₹10.57 crore GST demand, holding that the subsequent proceedings initiated by the Delhi GST authorities were not barred merely because the Directorate General of GST Intelligence (DGGI) had earlier initiated proceedings against the Petitioner concerning overlapping transactions.The Division Bench of Justices Anil Kshetarpal and Rajneesh Kumar Gupta held that Section 6(2)(b) of the Central Goods and Services Tax Act, 2017, which seeks to...

Sikkim High Court Sets Aside ₹37.93 Lakh Recovery Against Lupin Limited, Directs Fresh Review

On 23 September, the Sikkim High Court set aside a Rs. 37.93 lakh recovery against Lupin Limited under the Budgetary Support Scheme, directing the tax authorities to reconsider the matter after examining the company's explanation and supporting documents. Chief Justice A. Muhamed Mustaque found that the authorities had not properly considered Lupin's explanation on the ITC reflected in its GSTR-2A before concluding that it had received excess benefit under the scheme. The Bench observed: “If...

Madhya Pradesh High Court Advises GST Department To Send SMS/Email Alerts For Hearing Dates

The Madhya Pradesh High Court has advised the GST Department to introduce SMS or email alerts to parties or their advocates about hearing dates, after noting that many taxpayers were approaching the court complaining that they had not been served with hearing notices.A Division Bench of Justice Subodh Abhyankar and Justice Alok Awasthi made the suggestion while allowing a petition filed by Maple Overseas Trade Private Limited. The court set aside the dismissal of the company's appeal against a...

Pre-Deposit For GST Appeal To Be Governed By Law Existing On SCN Date: Delhi High Court

The Delhi High Court has held that the requirement of pre-deposit for filing an appeal under the Central Goods and Services Tax (CGST) Act would be governed by the statutory provision in force on the date of issuance of the show cause notice (SCN).The Division Bench of Justices Anil Kshetarpal and Bharat Parashar made the observation while dealing with a petition challenging a GST adjudication order concerning allegations that Petitioner had created and controlled 13 firms through which input...

Delhi High Court Rejects Challenge To GST Rule Making Supplier Tax Payment A Condition For ITC

The Delhi High Court has rejected a challenge to the constitutional validity of Section 16(2)(c) of the Central Goods and Services Tax (CGST) Act, 2017, which makes payment of tax by the supplier a condition for availing Input Tax Credit (ITC).The Division Bench of Justices Anil Khetarpal and Shail Jain held that the provision has already been upheld by the Supreme Court and that a recipient seeking ITC must establish, through cogent material, that the tax charged on the supply was actually...

Patna High Court Upholds CBIC Circulars Assigning 'Proper Officer' Functions Under GST Act To Central Tax Officers

The Patna High Court has rejected a challenge to three CBIC circulars assigning “proper officer” functions to Central Tax officers under the GST law, agreeing with the Bombay High Court's reasoning on the issue.“An analysis of the Notification dated 19.06.2017 and the other two Circulars would lead this Court to agree with the views expressed by the Hon'ble Bombay High Court,” a Division Bench of Justice Rajeev Ranjan Prasad and Justice Sunil Dutta Mishra observed.“Now, in our considered...

Delhi High Court Sets Aside Rejection Of GST Cancellation Revocation Plea Over Unidentified Officer

The Delhi High Court has set aside an order rejecting a taxpayer's application for revocation of cancellation of its GST registration, after finding that the notice granting an opportunity of personal hearing did not disclose the details of the officer before whom the taxpayer was required to appear.The Division Bench of Justices Anil Kshetarpal and Amit Mahajan directed the GST authorities to grant the taxpayer a fresh opportunity of personal hearing and thereafter pass a fresh order on its...

Gauhati High Court Bars Coercive GST Recovery During Search, Directs Authorities To Follow Investigation Guidelines

The Gauhati High Court has directed GST authorities not to take coercive steps against a taxpayer for discharge of any liability during an ongoing search and directed them to adhere to the prescribed GST investigation guidelines till the returnable date.Justice Manish Choudhury passed the order while hearing a writ petition filed by Deepak Construction Co., a partnership firm having its principal place of business at Hijuguri, Tinsukia, Assam.The petitioner's principal place of business was...

Digital Film Delivery Does Not Make It 'IT Software': Bombay HC Quashes GST Demand Against Dharma Productions

The Bombay High Court has quashed a ₹12.11 crore GST demand against Dharma Productions over licensing of copyright in cinematographic films, holding that electronic delivery of film content cannot by itself make the transaction one involving “Information Technology Software”. A bench of Justice M.S. Karnik and Justice Sandesh D. Patil was considering whether the manner in which the films were delivered, physically through encrypted hard disks or electronically, could determine their GST...