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Search results for: itc claim

Delhi High Court's Order In Case of Banson Enterprises vs. Assistant Commissioner CGST & ORS

Delhi High Court: Fraudulent Input Tax Credit Claims Violate Core GST Principles

The Delhi High Court has ruled that claiming Input Tax Credit (ITC) under the Goods and Services Tax (GST) system in a dishonest way, especially when there hasn’t been any real supply of goods or services, goes against the very purpose of the ITC program. This practice not only undermines the system but also compromises […]

Delhi HC's Order In the Case of Mukesh Kumar Garg Vs. Union of India

Delhi High Court Expresses Concern Over Misuse of Section 16 for Wrongful Availment of GST ITC

The Delhi High Court has expressed concerns about the misuse of Section 16 of the CGST Act, 2017. Many traders have been taking advantage of this provision to wrongfully claim input tax credits, which is not permitted. This situation has raised alarms regarding fairness and legality in tax practices. Through the provisions, the businesses are […]

Delhi HC's Order for in The Case of M/S Mahesh Fabrinox PVT. LTD vs. Union of India & ANR

Delhi High Court Slams Misuse of Writ Petitions in Fraudulent ITC Cases Under GST

The Delhi High Court has strongly criticised the recurring trend of individuals who either fraudulently claimed Input Tax Credit (ITC) or facilitated such claims, and then sought to challenge penalty orders under Section 74 of the CGST Act, 2017, by misusing the Court’s writ jurisdiction on technical grounds. A division bench of Justices Prathiba M. […]

Madras HC's Order in the Case of TVL T.Selvam Civil Contractor vs. The State Tax Officer-4

Madras HC Refers GST Mismatch Dispute (26AS, GSTR-2A & ITC) to Appellate Forum as an Effective Remedy

The Madras High Court has addressed the GST (Goods and Services Tax) demand that arose due to discrepancies in the Income Tax Return (ITR) Form 26AS, inconsistencies in the Input Tax Credit (ITC) shown in GSTR-2A, and ITC reversals resulting from received credit notes. The court has directed the petitioner to seek resolution from the […]

GST Officers Bust 25,009 Fake Firms in AY 2025-26

GST Officials Uncover ₹61,545 Crore ITC Fraud for AY 2025–26

As per officials, 25,009 fake firms have been detected by the Central and state GST officers who are fraudulently passing input tax credit (ITC) worth ₹61,545 crore during the assessment year 2025-26. During the A.Y. 2025–26, ending March 2025, central and state GST officers recovered ₹1,924 crore by blocking ITC and arrested 168 individuals. 42,140 fake firms […]

Madras HC's Order In Case of Ms Shanker Impexx vs. The Assistant Commissioner

Madras HC: Late GSTR-3B Filing Not Grounds to Deny GST ITC Post CGST Act Amendment

The High Court of Madras quashed the refusal of the GST Input Tax Credit (ITC) for late filing of GSTR-3B, mentioning the retrospective revision to the Central Goods and Services Tax(CGST) Act,2017. The applicant, Shanker Impexx, had contested the order passed by the first respondent dated 19.04.2023. The counsel of the petitioner said that the […]

Uttarakhand HC's Order in The Case of Kotdwar Steel Limited vs. Office of the Deputy Commissioner Kotdwar

Uttarakhand HC Slams Dept Over Unlawful GST ITC Blocking, Questions Legal Basis for Coercive Action

In a recent ruling, the Uttarakhand High Court expressed serious concerns over the GST department’s action of negatively blocking the input tax credit (ITC) without issuing a prior notice, questioning the legal authority for such coercive measures. “The working of the Department is startling and shocking. It is not known and incomprehensible as to which […]

Bombay HC's Order In Case of Sai Service Private Limited Vs Union of India

Bombay HC Allows GST ITC on Demo Vehicles, Citing Circular No. 231/25/2024

The Bombay High Court has resolved the case of Sai Service Private Limited against the Union of India regarding the availability of Input Tax Credit on demo vehicles under the GST Act. The matter became moot following the issuance of GST circular number 231/25/2024 by the CBIC on September 10, 2024. The circular validated that businesses like […]

Karnataka HC' Order in Case of A.M. Enterprises vs. State of Karnataka

Karnataka HC Rejects ITC Blocking Under GST Rule 86A Due to Lack of Independent Justification

The Karnataka High Court, in its ruling, quashed the blocking of Input Tax Credit (ITC) under Rule 86A of the CGST/KGST Rules, stating that it was based solely on enforcement authority reports without independent and compelling justification for such measures. The case was brought by A.M. Enterprises, a Bengaluru-based taxpayer, via a writ petition contesting […]

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