Input tax credit under Section 16(5) supported a prima facie case, leading to a stay of the tax demand order.

Section 16(5) of the CGST Act, 2017 was relied on to support the availment of input tax credit for the relevant financial year up to 30 November 2021, and the petitioner argued that the return filing date brought the claim within that beneficial window. The Court held that a prima facie case had been made out and that the writ petition required hearing, so the impugned order under Section 73(9) of the CGST/WBGST regime was stayed until the next date of hearing.

---

---

Issues: Whether the impugned order under Section 73(9) of the CGST/WBGST regime should be stayed in view of the insertion of Section 16(5) of the CGST Act, 2017 and the petitioner's claim to input tax credit for the relevant tax period.

Analysis: The petitioner relied on the newly inserted Section 16(5) of the CGST Act, 2017, which permits availment of input tax credit for specified financial years up to 30 November 2021, and contended that the return filing date placed the case within that beneficial regime. The Court found that the petitioner had made out a prima facie case and that the writ petition required hearing.

Outcome: The impugned order dated 26 April 2024 was stayed till the next date of hearing.

---