I. Reassessment Quashed: Addition Unrelated to “Reasons to Believe” Issue Whether a reassessment order is valid if the Assessing Officer (AO) makes an addition (commission income) completely unrelated to the specific “reasons to believe” (accommodation entries from specific entities) recorded for reopening the case. Facts The Trigger: The AO reopened the assessment based on specific… Read More »
“Bogus Purchases” Addition u/s 69C Deleted; GST Returns & Affidavits Proved Genuineness Issue Whether purchases can be treated as “unexplained expenditure” under Section 69C (Bogus Purchases) merely because notices to suppliers were returned unserved or they were not found at the given address during a later enquiry, especially when the assessee has furnished robust documentary… Read More »
Testamentary Trust Taxed at Maximum Marginal Rate (MMR) due to Filing Error; Matter Remanded for Verification Issue Whether a private discretionary trust created under a Will (Testamentary Trust) should be taxed at the Maximum Marginal Rate (MMR) because the assessee erroneously selected “AOP/BOI” status and indicated “indeterminate shares” in the ITR, or if it is… Read More »
Important GST case law 12.12.2025 Relevant Act Section Case Law Title Brief Summary Citation Central GST Act, 2017 Section 6 (Cross-Empowerment) Pinnacle Vehicles and Services (P.) Ltd. v. Joint Commissioner, (Intelligence & Enforcement), Kozhikode The jurisdiction of State GST officers to issue authorization and SCN for CGST determination is valid. 6 provides for automatic cross-empowerment of… Read More »
GST Demand for Pre-CIRP Period Quashed; IBC “Clean Slate” Extinguishes Past Dues Issue Whether the GST Department can validly raise a demand under Section 73 for a period prior to the approval of a Resolution Plan (FY 2017-18), once the National Company Law Tribunal (NCLT) has approved the plan under the Insolvency and Bankruptcy Code… Read More »
Negative Blocking of Electronic Credit Ledger (ECL) under Rule 86A held Invalid Issue Whether the GST authorities can invoke Rule 86A to create a “negative balance” (negative blocking) in the Electronic Credit Ledger (ECL) when the actual available credit is insufficient to cover the alleged ineligible amount. Facts Petitioner: A registered taxpayer under CGST/PGST. The… Read More »
Writ against GST Order not entertained; Assessee Relegated to Statutory Appeal u/s 107 despite Natural Justice Plea Issue Whether a Writ Petition under Article 226 is maintainable against an adjudication order alleging violation of natural justice (non-supply of documents and denial of cross-examination), or if the petitioner must exhaust the alternative statutory remedy of appeal… Read More »
GST Demand for Pre-CIRP Period Quashed; IBC “Clean Slate” Extinguishes Past Dues Issue Whether the GST Department can raise a demand under Section 73 for a period prior to the approval of a Resolution Plan (FY 2017-18) once the National Company Law Tribunal (NCLT) has approved the plan under the Insolvency and Bankruptcy Code (IBC).… Read More »
IGST Refund Directed despite Wrong Drawback Code in Shipping Bill; Cost imposed on Officers for negligence Issue Whether a clerical error by a Customs House Agent (CHA) in selecting the wrong Drawback Code (3215 ‘A’ instead of 3215 ‘B’) in the Shipping Bill can be a ground to deny the refund of IGST paid on… Read More »
Interest Demand on Belated ITC Quashed; Retrospective Regularization of Section 16(4) applies to Interest too Issue Whether interest under Section 50 can be demanded on Input Tax Credit (ITC) claimed belatedly (beyond the Section 16(4) deadline), when the substantive ITC claim itself has been regularized by a retrospective statutory amendment (or court order giving effect… Read More »