Stay on Section 74 SCN: Jurisdictional Challenge Over 1/3rd Land Deduction (2026) 1. The Conflict: Mandatory 1/3rd Abatement for Land The controversy stems from Paragraph 2 of Notification No. 11/2017-Central Tax (Rate), which imposes a mandatory deeming fiction. It requires builders to deduct exactly 1/3rd of the total consideration as the value of land, regardless… Read More »
Assessment Order Deemed Withdrawn: Condonation of Delay in Belated GSTR-3B Returns 1. The Core Dispute: “Best Judgment” vs. Belated Compliance The case involves a registered taxpayer who failed to file GSTR-3B returns for seven months. Following the statutory procedure, the department issued notices under Section 46 and subsequently passed “Best Judgment” assessment orders under Section… Read More »
Landmark Relief on ITC Limitation: Impact of New Section 16(5) and CBIC Circular 1. The Core Dispute: Section 16(2) vs. Section 16(4) The petitioner challenged the denial of Input Tax Credit (ITC) for the second half of FY 2018-19. The credit was availed in October 2019, which the Revenue claimed was beyond the deadline prescribed… Read More »
IMPORTANT GST CASE LAWS 04.02.2026 Relevant Act Section Case Law Title Brief Summary Citation CGST Act, 2017 Section 11 / Exemption Advanced Hair Restoration India (P.) Ltd., In re [Healthcare Exemption] Treatments for Psoriasis, Dermatitis, and Anti-fungal infections are exempt as “Healthcare Services” (Sl. No. 74). However, Hair Transplants solely for aesthetics remain taxable. Click… Read More »
GSTAT Remands Anti-Profiteering Case to DGAP for Correct Data Re-Investigation 1. The Core Dispute: Erroneous Data Submission The respondent (APV Realty Limited) was under investigation for allegedly failing to pass on the benefits of Input Tax Credit (ITC) or GST rate reductions to its customers, as mandated by Section 171 of the CGST Act. The… Read More »
Supreme Court Verdict: Education Consultancy Classified as Export of Service (2026) 1. The Core Dispute: Agency vs. Independent Export The dispute focused on whether educational consultants recruitment for foreign universities are “Intermediaries” or “Service Exporters.” Revenue’s Stand: They argued consultants are Intermediaries under Section 2(13) of the IGST Act, acting as agents between students and… Read More »
Bombay High Court Ruling: Clubbing of Financial Years in Section 74 SCN 1. The Core Dispute: Consolidated vs. Year-Wise Notices The petitioner challenged a Show Cause Notice (SCN) issued by the Deputy Director, DGGI, which clubbed multiple financial years—FY 2017-18, 2018-19, and 2019-20—into a single composite demand under Section 74 of the CGST Act. Petitioner’s… Read More »
Case Summary: High Court Quashes “Negative Blocking” of Electronic Credit Ledger 1. The Core Dispute: Blocking Non-Existent Credit The jurisdictional GST authority blocked the Electronic Credit Ledger (ECL) of the assessee. However, since the ledger had a Nil balance at the time, the department recorded a negative entry. The Problem: By inserting a negative balance,… Read More »
Kerala AAR Ruling: GST Exemption for Skin Disease Treatments 1. The Core Issue: Healthcare vs. Cosmetic Treatment The applicant, a Kochi-based clinical establishment, sought an advance ruling on whether services provided for treating specific dermatological conditions qualify for GST exemption. The primary question was whether these treatments constitute “healthcare services” or taxable “cosmetic/aesthetic treatments.” Ailments… Read More »
GSTN Launches New “Application for Unbarring Returns” Module The Goods and Services Tax Network (GSTN) has operationalized a new online facility on the GST Portal, allowing taxpayers to request the unblocking of returns that have been system-barred due to non-filing. Key Highlights of the Module: The Problem: Under Rule 59(6) of the CGST Rules,… Read More »