Rent for Agricultural Land is Exempt from GST, Not Taxable as Real Estate Service. Issue Whether lease rent (or “quit rent”) paid to the State Government for land used for agricultural purposes (specifically, rubber cultivation) is taxable at 18% as a “Real Estate Service” (SAC 9972), or is it classifiable as a “Support Service related… Read More »
Employee Canteen Recoveries Are Taxable Supplies Under GST Issue Whether the subsidized amount recovered from employees for canteen facilities, which are provided via a third-party vendor, constitutes a taxable “supply” under GST. Facts The applicant, a manufacturer, provides a statutory canteen facility for its employees. A third-party canteen service provider operates the facility and raises… Read More »
Using One E-way Bill for Multiple Invoices is a Technical Error, Not Tax Evasion; HC Quashes Penalty. Issue Can a penalty under Section 129 of the CGST Act be imposed for a technical/procedural irregularity (like using a single e-way bill for multiple invoices) when there is no evidence of any mala fide intention to evade… Read More »
Delay in Deficiency Memo Doesn’t Stop Interest on Late GST Refund. Issue Whether the GST department’s failure to issue a deficiency memo within the prescribed 15-day time limit can be used as a reason to delay the processing of a refund application and to avoid the payment of statutory interest for delays beyond 60 days.… Read More »
Delhi HC Stays GST on Leasehold-to-Freehold Conversion, Questioning if it’s a Taxable Supply. Issue Whether the charges collected by the Delhi Development Authority (DDA) for converting a property from leasehold to freehold constitute a taxable “supply of service” under the CGST Act, or if they are part of a non-taxable sale of immovable property. Facts… Read More »
Telangana HC Stays GST on Mineral Royalty, Citing Pending Supreme Court Constitutional Challenge. Issue Whether the levy of GST on royalty, District Mineral Foundation (DMF), and State Mineral Exploration Trust (SMET) contributions is unconstitutional, as the power to tax mineral rights falls exclusively with the State, and whether such payments constitute a “supply” subject to… Read More »
Madras HC Reserves Judgment on GST RCM on TASMAC Bar License Fees. Issue Whether the license fee paid by retail bar operators to the Tamil Nadu State Marketing Corporation Ltd. (TASMAC) constitutes a “service supplied by the Government” under Notification No. 13/2017–CT (Rate), thereby making the bar operators liable to pay GST under the Reverse… Read More »
J&K HC: Cross-Empowerment is Automatic, Intelligence-Based Enforcement is Valid Issue: To challenge the jurisdiction and competence of a Central Goods and Services Tax (CGST) officer to issue Show Cause Notices (SCNs) against a taxpayer who may be assigned to a State GST authority, particularly in intelligence-based enforcement actions involving allegations of massive fraud. Facts:… Read More »
Delhi High Court: Increasing Product Quantity Without Price Cut is Deceptive Issue: Whether a business complies with the anti-profiteering requirements of the GST Act by merely increasing the product quantity or offering freebies without commensurately reducing the Maximum Retail Price (MRP), following a reduction in the GST rate. Facts: The National Anti-Profiteering Authority (NAPA)… Read More »
Garment and Textile Sector Seeks Tax Breaks and Export Support for FY27 Budget Issue: To address the severe impact of US import tariffs and global recessionary pressures, the Indian garments and textiles industry submitted pre-Budget recommendations for FY 2026-27, seeking a package of tax concessions, liquidity support, and rationalization of key export schemes. Facts:… Read More »