Transitioned CENVAT Credit Valid For Service Tax Appeal Pre-Deposit: Karnataka High Court

The Karnataka High Court on 4 August held that CENVAT credit transitioned to the Goods and Services Tax (GST) regime can be used to meet the mandatory pre-deposit requirement for a service tax appeal. A Division Bench of Justices S.G. Pandit and K. Manmadha Rao set aside the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) order rejecting a pre-deposit of Rs.79,77,301 made by debiting the Electronic Credit Ledger through Form GSTR-3B. The judges held: "The mandatory pre-deposit...

Karnataka High Court Refuses Plea Seeking $2.5 Million From eBay Over Alleged Copyright Infringement

The Karnataka High Court has recently declined to entertain a writ petition by retired Army officer Lt. Col. D.K. Havanoor seeking USD 2.5 million in damages from eBay entities over alleged copyright infringement.Justice M.G.S. Kamal passed the order on August 3, 2026, while giving Havanoor liberty to pursue his grievance before a competent court.Havanoor's grievance concerned a book that he claimed belonged to him and which, according to the order, was displayed and sold through eBay.com for...

Karnataka High Court Quashes GST Recovery Against Company For Deceased Proprietor's Business' Dues

The Karnataka High Court has quashed GST recovery notices issued against a private limited company for dues of a proprietary concern run by a deceased proprietor. It observed that the company was a distinct and separate entity from the proprietary concern and could not be proceeded against for its GST dues. Justice B. M. Shyam Prasad was hearing a writ petition filed by BKR Services Private Limited along with the son and wife of late Rudraswamy B K, who died on May 25, 2023. The dispute arose...

Bank Cannot Mark Lien On Cooperative Society Account For TDS On Cash Withdrawals: Karnataka High Court

The Karnataka High Court has recently held that Bank of Baroda had no statutory authority to create a lien over a cooperative society's current account for collection of TDS on cash withdrawals. It held that the responsibility to deduct the tax under Section 194N of the Income Tax Act rested on the bank.Justice M.G.S. Kamal observed that Section 194N placed the responsibility for deducting the prescribed tax on the banking company making the payment. “Perusal of the aforesaid provision indicate...

2010 IT Act Amendment Bringing Overseas Technical Services Into Tax Net Cannot Apply Retrospectively: Karnataka HC

The Karnataka High Court has recently held that a 2010 amendment to the Income Tax Act, which widened the scope of taxation of fees for technical services paid to non-residents, cannot be applied retrospectively to create a tax liability on past transactions. The court found that the amendment did more than clarify the existing law, as it widened the charging provision by removing the requirement that the technical services must have been rendered in India.“The impugned Amendment Act—Finance Act...

Karnataka High Court Dismisses Income Tax Appeals, As Additions Were Based On Uncorroborated Search Material

The Karnataka High Court has dismissed two Income Tax Department appeals concerning alleged unaccounted fees at an educational trust. It ruled that alleged unaccounted fee additions could not be sustained merely on the basis of loose sheets and similar seized documents in the absence of corroborative material.“Thus, the Revenue has not been able to corroborate the loose sheets and other seized materials on the basis of which the additions have been made. In the absence of any corroborative...

Karnataka High Court Upholds VAT On Swiping Machine Rentals By Axis Bank To Merchants

The Karnataka High Court has recently upheld the levy of VAT on rental charges collected by Axis Bank for card-swiping machines installed at merchant establishments.A Division Bench comprising Justice S.G. Pandit and Justice K. Manmadha Rao dismissed a Sales Tax Revision Petition filed by Axis Bank. “the rental charges collected by the petitioner in respect of EDCT machines constitute consideration for transfer of the right to use goods and are liable to tax under the KVAT Act.”, the court...

Qatar Holding Moves Karnataka High Court To Enforce SGD 7.2 Million SIAC Award Against Byju Raveendran

Qatar Holding LLC has moved the Karnataka High Court seeking enforcement of a SGD 7.2 million (₹53.2 Crore) arbitral award passed under the Singapore International Arbitration Centre (SIAC) Rules against Byju Raveendran and Byju's Investments Pte. Ltd. (BIPL).The present proceedings are Qatar Holding's second plea before the Karnataka High Court arising from the arbitration. The earlier plea concerned the Partial Final Award dated July 14, 2025, while the present petition seeks enforcement of...

Company's Name Change Cannot Defeat Execution Of Decree Against It: Karnataka High Court

The Karnataka High Court has recently held that a change in a company's name does not affect the enforceability of a decree, holding that procedural law cannot be used to defeat substantial rights.Justice Lalitha Kanneganti made the observation while dismissing a writ petition filed by Lilly Labels challenging execution proceedings in a money recovery case brought by Sajawat Industries Ltd.“A change in the name of a company does not result in the creation of a new Juristic entity. The legal...

No Supply Of Service In Building Plan Sanction Process, GST Cannot Be Levied: Karnataka High Court

The Karnataka High Court has held that Goods and Services Tax (GST) cannot be levied on charges collected for sanctioning a building plan, as the process does not involve any supply of goods or provision of services. Justice R. Nataraj on 21 July, partly allowed a petition filed by Sai Sravanthi Infra Projects Pvt. Ltd. and others against the Bangalore Development Authority (BDA) and other authorities, holding that the authorities lacked statutory authority to impose several charges while...

Describing ECIR An Administrative Document Cannot Shield It From Judicial Review: Karnataka High Court

The Karnataka High Court on Wednesday ruled that merely describing an Enforcement Case Information Report (ECIR) as an internal or administrative document does not place it beyond judicial scrutiny. It held that an administrative label cannot shield it from review where its continuance causes injustice or frustrates the efficacy of an order passed under the Code of Criminal Procedure."Therefore, the description of an ECIR as an internal or administrative document does not, by itself, erect an...

Gameskraft Case | Search And Seizure Under PMLA Is Not An Independent Civil Exercise, Consequence Of ECIR: Karnataka High Court

Observing this, the court rejected the Enforcement Directorate's preliminary objection and held that Gameskraft's writ petition challenging the ECIR and consequential freezing orders is maintainable.