Benami Transaction vs. Fiduciary-Capacity Exception 1. The Core Dispute: Tribal Land & Fictitious Fiduciaries This case centers on the purchase of tribal lands in the name of Late LCM (the Benamidar), using funds provided by DG (the Beneficial Owner). The Transaction: DG funded the purchase of tribal lands, which were recorded in LCM’s name. It… Read More »
Quashing of Reassessment Due to Incompetent Sanctioning Authority 1. The Core Dispute: Old Regime Approval in a New Regime Era The primary issue revolved around the validity of a notice issued under Section 148 after the overhaul of the reassessment regime by the Finance Act, 2021. The Assessing Officer (AO) initiated reassessment for AY 2017-18… Read More »
Deemed Consideration: Finality of Reference Values The Core Dispute: The assessee sold land for ₹1.30 crores, but the Sub-Registrar valued it at ₹5.75 crores. The Assessing Officer (AO) initially adopted the higher value to compute capital gains. The Ruling: Reference to Authorities: Under Section 47-A of the Indian Stamp Act, if a valuation is referred… Read More »
Jurisdiction of Section 148 Notices in the Faceless Era 1. The Core Dispute: Physical vs. Faceless Reopening The central issue is whether a Jurisdictional Assessing Officer (JAO)—the traditional local officer—retains the power to issue a reassessment notice under Section 148 after the introduction of the Faceless Assessment Scheme. Taxpayer’s Stand: Argued that once the “e-Assessment… Read More »
IMPORTANT GST CASE LAWS 16.01.2026 Relevant Act Section Case Law Title Summary Citation CGST Act, 2017 Section 7 & 18(3) Shilpa Medicare Ltd. v. Union of India [Going Concern Exemption] Transfer of a business unit (e.g., from AP to Karnataka) as a going concern without consideration is an exempt supply of service. Furthermore, unutilized CGST… Read More »
High Court Quashes Cryptic Rejection of Rectification Application 1. The Dispute: ITC Mismatch & Unverified Rectification The case stemmed from an audit where the department alleged two primary discrepancies: Non-reversal of ITC: Pertaining to credit notes issued by suppliers. Excess ITC: Claimed in GSTR-3B compared to the auto-populated GSTR-2A. The Assessee’s Defense: The taxpayer provided… Read More »
Statutory Rigidity of Limitation in GST Appeals 1. The Core Dispute: Delay Beyond the “Outer Limit” The petitioner challenged an order from the Appellate Authority which had rejected their appeal as time-barred. The appeal pertained to a demand order for the period 2020-21 but was filed significantly after the statutory deadline. Assessee’s Stand: Claimed that… Read More »
IT Services to USA Affiliate—Export vs. Intermediary Dispute 1. The Core Dispute: “Principal-to-Principal” vs. “Facilitation” The petitioner, an Indian IT service provider, claimed a refund of unutilized Input Tax Credit (ITC) on software services exported to its Associated Enterprise (AE) in the USA. The department rejected the refund, asserting that the petitioner acted as an… Read More »
Business Transfer as a “Going Concern” & Seamless ITC Mobility I. Exemption on Sale of Business as a “Going Concern” The Core Dispute: A pharmaceutical company transferred an entire R&D unit from Andhra Pradesh to Karnataka for zero consideration. The department sought to tax the transfer of individual assets. Legal Principle: The court held that… Read More »
GST Liability on Merchant Trade Transactions Between Indian Entities for Goods Moving Outside India The applicant, an Indian company, purchased goods from vendors in Spain/USA and sold them to another Indian entity (“Party B”). Crucially: The goods were delivered directly from the foreign vendor to a warehouse in the USA. The goods were eventually sold… Read More »