Gujarat High Court
Cross-State ITC Transfer Cannot Be Denied on Amalgamation: Gujarat High Court
The Gujarat High Court has held that Input Tax Credit (ITC) cannot be denied on the ground that the transferor and transferee companies are located in different States in a case of amalgamation. A Bench of Justice A.S. Supehia and Justice Pranav Trivedi held, "The transfer of the ITC on amalgamation of the company is permissible as per the provision of Section 18(3) of the CGST Act read with Rule 41 of the CGST Rules. Neither of the provision prohibits or debars transfer of the ITC on the...
Search Year Included In Extended 10-Year Limit For Reopening Income Tax Assessments: Gujarat High Court
The Gujarat High Court has recently held that while computing the extended ten-year period for reopening income tax assessments following a search, the assessment year in which the search was conducted must be included in the reckoning.The bench stated that "..... the assessment year relevant to the previous year of search becomes the reference year and the ten-year period is counted from the end of that assessment year. This necessarily includes the search assessment year within the ten-year...
Gujarat High Court Grants Bail To Accused In ₹42 Crore GST ITC Fraud Case
The Gujarat High Court has granted regular bail to Keyur Dipakkumar Shah, accused of allegedly availing and passing on fraudulent input tax credit (ITC) of around Rs 42 crore under GST laws, noting that he has no criminal antecedents and faces a maximum sentence of five years. “Without discussing the evidence in detail, prima facie, this Court is of the opinion that this is a fit case to exercise the discretion and enlarge the applicant on regular bail,” Justice Nikhil S. Kariel said while...
Gujarat High Court Quashes Reassessment Based On GST Proceedings Set Aside, Finds No Independent Material
The Gujarat High Court has quashed reassessment proceedings initiated against an individual taxpayer, holding that reopening of assessment was uncalled for where it was based on GST proceedings that had already been set aside by the appellate authority and where no independent material existed to indicate escapement of income. “Apart from this, there is no other material which is in possession of the respondent No.1, which could prove that there has been an escapement of income and hence the...
Gujarat High Court Condones Delay In Filing Income Tax Return, Finds Accountant's Error Caused Genuine Hardship
The Gujarat High Court has held that a taxpayer's delay in filing its income tax return due to a bona fide misunderstanding of audit requirements under Section 44AB of the Income Tax Act, resulting in denial of a tax deduction under Section 80-IAB for Special Economic Zone developers, constitutes “genuine hardship” warranting condonation.The case arose from the petitioner firm's failure to file its return of income for Assessment Year 2023–24 within the prescribed due date of 31 July 2023. The...
Bona Fide Delay Justifies Tax Benefit, “Genuine Hardship” Must Be Liberally Applied: Gujarat High Court
The Gujarat High Court on 16 March, held that a bona fide delay of 53 days in filing Form 10-IC cannot deprive an eligible taxpayer of concessional tax benefits. The expression “genuine hardship” under the Income Tax Act must be given a liberal, justice-oriented interpretation. Form 10-IC is a declaration filed by a company to opt for the concessional corporate tax rate under Section 115BAA of the Income Tax Act.A Bench comprising Justice A.S. Supehia and Justice Pranav Trivedi allowed...
Amendment Allowing Customs Duty Exemption For Machinery Installed In Premises Applies Retrospectively: Gujarat High Court
The Gujarat High Court has held that an amendment to a customs exemption notification under the Export Promotion Capital Goods (EPCG) scheme, which allowed installation of imported machinery in the importer's “factory or premises," will apply retrospectively, and exemption cannot be denied merely because the machinery was installed outside the factory. Allowing an importer's appeal, a Division Bench of Justice A.S. Supehia and Justice Pranav Trivedi observed that the benefit earlier denied due...
Gujarat High Court Sets Aside GST Order After Taxpayer's Request For Personal Hearing Was Ignored
The Gujarat High Court has set aside an adjudication order passed under the Central Goods and Services Tax Act, 2017, on the ground of violation of principles of natural justice, holding that failure to grant a personal hearing despite specific requests vitiates the proceedings. A Division Bench comprising Justice A.S. Supehia and Justice Pranav Trivedi was dealing with a writ petition filed by K.D. Engineers challenging an order-in-original dated August 20, 2025, and a consequential demand...
Indemnity Bond Not Required When Succession Certificate Is Filed Under IEPF Rules: Gujarat High Court
The Gujarat High Court on 9 March held that where a claimant has already furnished a valid succession certificate under the Investor Education and Protection Fund (IEPF) Rules for transfer of shares, an indemnity bond cannot be insisted upon. Justice Hemant M Prachchhak observed that the requirement to furnish an indemnity bond arises only in the absence of documents such as a succession certificate, and authorities cannot impose additional conditions not contemplated under the Rules. He noted:...
Gujarat HC Refuses Injunction In 'Shree Kshetrapal' Trademark Dispute, Imposes ₹50 Thousand Costs For Suppression
The Gujarat High Court on Monday dismissed an appeal filed by Anil Gopalji Thacker, upholding a trial court's refusal to grant an interim injunction against Davda Jaydeepkumar Jagdishchandra for using the trade name “Kshetrapal Construction.”In a judgment delivered on March 16, 2026, Justice Niral R. Mehta held that the applicant was not entitled to equitable relief because he had suppressed material facts regarding a prior business relationship with the rival developer. The court observed that...
Gujarat High Court Rejects Delayed Challenge To Arbitral Award Over No Plea Of Non-Delivery Of Signed Copy
The Gujarat High Court recently observed that a party challenging an arbitral award cannot seek to overcome limitation by claiming that it came to know of the award during execution proceedings, if its Section 34 application does not contain a clear and categorical plea that the signed copy of the award had never been delivered to it as required under the Arbitration and Conciliation Act. A division bench of Chief Justice Sunita Agarwal and Justice D.N. Ray made the observation while dismissing...