Coir Felt/Sheets Classified as Bedding Articles (HSN 9404), Taxable at 12% Issue Whether “coir felt/sheets” manufactured from coir fibre and low melt polyester binder (used for mattresses and padding) should be classified as “Articles of yarn/twine” under Heading 5609 (attracting 5% GST) or as “Mattress supports and bedding articles” under Heading 9404 (attracting 12% GST).… Read More »
Liquidated Damages for Breach of Concession Contract Are Not Taxable Consideration; GST Not Applicable Issue Whether liquidated damages or penalty amounts paid by a concessionaire (applicant) to the authority (SSL) for material default, breach, or non-performance under a Concession Agreement constitute consideration for a taxable “supply” (such as “agreeing to tolerate an act” under Schedule… Read More »
SC to Examine Validity of Central SCN When State Proceedings Close Without Adjudication Issue Interpretation of Section 6(2)(b): Does the statutory bar on parallel proceedings prevent Central GST authorities from issuing a Show Cause Notice (SCN) on a subject matter for which State GST authorities had already issued an SCN, even if the State proceedings… Read More »
Madras HC Examines Validity of Section 74 SCNs Issued Allegedly Without ‘Jurisdictional Foundation’ Issue Parallel Jurisdiction: Can the DGGI Chennai unit initiate fresh proceedings under Section 74 for a tax period that has already been investigated and covered by a Show Cause Notice (SCN) issued by the DGGI Vadodara unit? Misuse of Section 74: Can… Read More »
Gujarat HC Quashes Demand; ITC Allowed on Insurance for Stock & Premises. Issue Whether Input Tax Credit (ITC) availed on insurance premiums for stock, plant & machinery, and business premises (under a Standard Fire and Special Perils Policy) can be denied by treating it as “motor vehicle insurance” under the blocked credit provisions of Section… Read More »
HC Flags Systemic Portal Lapses: Mere Upload Without Alerts is Not Valid Service; Order Quashed Issue Whether the mere uploading of a Show Cause Notice (SCN) or order on the GST portal constitutes valid service under Section 169 of the CGST Act, particularly when no alerts are generated, key dates are missing, and the “systemic… Read More »
System-Generated Notice Without Officer’s Name is Invalid; Allahabad HC Quashes Cancellation Order Issue Whether a Show Cause Notice (SCN) for cancellation of GST registration is legally valid if it is a “System Generated Notice” that fails to mention the name, designation, or office of the issuing authority, and merely bears the digital footer “Jurisdictional Officer… Read More »
Chhattisgarh HC Allows CGST Proceedings After SGST Closed Case Without Adjudication Issue Whether the statutory bar under Section 6(2)(b) of the CGST Act, which prohibits parallel proceedings by Central and State authorities on the same subject matter, applies when the State GST (SGST) authorities issued a summary notice (DRC-01) but subsequently closed the proceedings without… Read More »
Bombay HC Dismisses Frivolous Petition on Fraudulent GST Registration; Natural Justice Not a Straitjacket Issue Whether a writ petition challenging the cancellation of GST registration can be entertained on grounds of “violation of natural justice” when the petitioner has made false statements on affidavit, admitted during site verification that he had no connection to the… Read More »
Delhi HC Quashes “Mechanical” Cancellation of boAt’s GST Registration; Imposes Costs on Revenue The Delhi High Court has delivered a stern judgment in the case of Imagine Marketing Limited (parent company of boAt) vs. Joint Commissioner, CGST Appeals II, quashing the department’s order to cancel the company’s GST registration. The Court criticized the Revenue… Read More »