High Court
Gujarat High Court Quashes ₹98 Lakh GST SCN, Says Construction ITC Bar Not Applicable To Leasehold Rights Transfer
The Gujarat High Court has held that Section 17(5)(d) of the Central Goods and Services Tax Act, 2017, which blocks input tax credit on goods or services used for construction of immovable property on one's own account, did not apply in a case where the taxpayer had only transferred leasehold rights and had undertaken no construction activity. A Division Bench of Justice A.S. Supehia and Justice Pranav Trivedi quashed a show cause notice issued under Section 74(1) of the Act and directed the...
Waiver Under Maharashtra Settlement Of Arrears Of Tax Act Available Only On Disputed Tax: Bombay High Court
The Bombay High Court at Aurangabad has recently held that under the First Phase of the Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee Act, 2019, one hundred percent of undisputed tax must be paid and no waiver is available on such amount, dismissing a writ petition filed by a sugar manufacturing co-operative. A Division Bench of Justice Vibha Kankanwadi and Justice Hiten S. Venegavkar held, “for undisputed tax, amount to be paid is 100% of the amount in column B i.e....
Bombay High Court Continues Stay On GST Notice Over 1/3rd Land Deduction Amid Pending Proceedings
Bombay High Court questions jurisdiction of GST authorities to issue show cause notice based on Notification 11/2017, stays further action in light of Gujarat and Delhi High Court rulings on 1/3rd land deduction.
GST Authorities Cannot Enforce IGST Demand Against SREI Finance During Moratorium: Delhi High Court
The Delhi High Court on 12 February held that Goods and Services Tax (GST) authorities cannot pursue coercive recovery of tax dues against a corporate debtor during the moratorium under the Insolvency and Bankruptcy Code (IBC). A Bench of Justice Nitin Wasudeo Sambre and Justice Ajay Digpaul, set aside a demand of Rs. 67.5 lakh of Integrated Goods and Services Tax (IGST), including a penalty of 100% of the tax demand, raised on SREI Equipment Finance Limited (SEFL), observing that the GST...
Kerala High Court Quashes Composite GST Notices Issued to Actor Honey Rose
The Kerala High Court on Monday refused to set aside composite GST show cause notices and assessment orders issued to actor Honey Rose Varghese and several other taxpayers, holding that it was bound by earlier Division Bench rulings requiring separate proceedings for each assessment year. Allowing the batch of petitions, Justice Ziyad Rahman A.A. observed that there was no stay on the earlier orders of the court and was therefore bound by it. “In this case, evidently, no stay is also obtained...
GST Appeal Cannot Be Entertained Beyond Statutory Limit Of 120 Days: Gujarat High Court
The Gujarat High Court has held that delay in filing an appeal against cancellation of GST registration cannot be condoned beyond the statutory maximum period of 120 days (3+1 months) prescribed under Section 107 of the CGST Act. A Bench of Justice A.S. Supehia and Justice Pranav Trivedi, in a judgment dated 22 January 2026, dismissed a writ petition filed by Rajesh Industries, a proprietorship firm, holding that writ jurisdiction under Article 226 cannot be invoked to override...
First Appeal Pre-Deposit Sufficient: Jharkhand High Court Permits GSTAT Appeal Without Additional Deposit
The Jharkhand High Court has permitted Ranchi-based manufacturer Ashirwad Food Industries to file an appeal before the GST Appellate Tribunal without making any additional pre-deposit, noting that ₹23.85 lakh had already been deposited at the first appellate stage. A Division Bench of Chief Justice M.S. Sonak and Justice Rajesh Shankar found “substance in the contention” of the petitioner and held: “Considering the deposit of Rs.23.85 lakhs already made at the first appellate stage, we agree...
Madras High Court Orders Adjudication Of GST On Royalty Paid To State, Bars Implementation Till Supreme Court Ruling
The Madras High Court has directed GST authorities to adjudicate a show cause notice proposing to levy GST on seigniorage/royalty fee payable to the Government of Tamil Nadu but ordered that implementation of the assessment order shall remain in abeyance until the Supreme Court decides the issue. Justice C. Saravanan was hearing a petition challenging Show Cause Notice dated September 29, 2025. The notice proposes to levy GST on seigniorage/royalty fee payable to the State. The court noted...
Composite GST Show Cause Notices For Multiple Financial Years Maintainable: Allahabad High Court
The Allahabad High Court has recently held that a composite show cause notice issued under Sections 73 and 74 of the GST Act covering multiple financial years is legally maintainable, rejecting the contention that adjudication proceedings must be confined to a single “tax period” or financial year. A Bench of Justice Saumitra Dayal Singh and Justice Indrajeet Shukla ruled that the statutory scheme expressly permits the Proper Officer to issue statements for periods beyond those mentioned in the...
Karnataka High Court Quashes Rs 85.51 Crore IGST Demand On Salaries Paid To Foreign Nationals By Huawei India
The Karnataka High Court has recently quashed a show cause notice issued to Huawei Technologies India Private Limited demanding Rs. 85.51 crore in Integrated Goods and Services Tax (IGST), along with interest and penalty, on salaries paid to foreign national employees. Justice S R Krishna Kumar held that this was not a case of secondment at all, but one where Huawei India had a direct employer-employee relationship with the foreign nationals working for it. The Court made it clear that once...
Bombay High Court Restores Trader's GST Registration After Defective 'Cyclostyled Notice'
The Kolhapur Bench of the Bombay High Court recently restored the cancelled GST registration of a trader, observing that the grounds cited in the show‑cause notice and those relied upon in the cancellation order were materially different. A Bench of Justice R.G. Avachat and Justice Ajit B. Kadethankar examined the effect of retrospective cancellation of GST registration and emphasised the need to issue a reasoned notice rather than a generic, template-based communication. The Bench observed: ...