Political contribution deductions require genuine transactions; banking records and party registration alone cannot defeat evidence of accommodation e...
Post-death GST liability permits fresh proceedings against legal representatives, while discontinued-business recovery remains limited to the inherite...
Non-confirmation of FEMA seizure prevents adjudicators from overriding pending appellate findings on recorded reasons and suspected foreign asset hold...
Blocking the input tax credit against the petitioners - The High Court emphasizes that Rule 86(A) allows restricting debit from the electronic credit ledger for an amount equivalent to fraudulently availed credit. Rule 86(A) doesn't authorize negative balance insertion in the ledger; it only permits blocking of the credit available. The Court rules that blocking ITC effectively deprives the petitioner of the right to discharge liabilities. The respondents should have initiated recovery proceedings under Section 73 or Section 74 if the petitioner had fraudulently availed ITC. The action of the respondents is deemed unsustainable as it violates Rule 86(A) and previous court decisions. Consequently, the impugned order is set aside, and the respondents are directed to recall the order of blockage immediately.
Blocking the input tax credit against the petitioners - The High Court emphasizes that Rule 86(A) allows restricting debit from the electronic credit ledger for an amount equivalent to fraudulently availed credit. Rule 86(A) doesn't authorize negative balance insertion in the ledger; it only permits blocking of the credit available. The Court rules that blocking ITC effectively deprives the petitioner of the right to discharge liabilities. The respondents should have initiated recovery proceedings under Section 73 or Section 74 if the petitioner had fraudulently availed ITC. The action of the respondents is deemed unsustainable as it violates Rule 86(A) and previous court decisions. Consequently, the impugned order is set aside, and the respondents are directed to recall the order of blockage immediately.
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TaxTMI 
TaxTMI 
