Commercial vehicle depreciation, scientifically determined warranty provisions and exempt-income disallowances were resolved in favour of the taxpayer...
Inherited property sale proceeds require capital-gains treatment where ownership is supported by evidence, not suspicion or unverified signature doubt...
Cross-examination of retracted statements is essential where foundational evidence supports a benami allegation and documented funding explanations re...
The HC dismissed the writ petition. Rule 86A of the Central GST Rules, 2017 allows blocking of electronic credit ledger where ITC was obtained from fake/non-existent suppliers. Though the initial communication lacked detailed reasons, subsequent communications provided grounds for blocking ITC. Blocking ITC does not amount to recovery but prevents using ineligible ITC. Recording reasons initially in a cryptic manner in the order, with subsequent elaboration, meets principles of natural justice. The scheme u/r 86A is to set aside wrongfully utilized ITC, awaiting assessment/penalty order u/ss 73/74 read with Section 122 of the GST Act. The HC disagreed with the views of Gujarat and Telangana HCs on this issue.
The HC dismissed the writ petition. Rule 86A of the Central GST Rules, 2017 allows blocking of electronic credit ledger where ITC was obtained from fake/non-existent suppliers. Though the initial communication lacked detailed reasons, subsequent communications provided grounds for blocking ITC. Blocking ITC does not amount to recovery but prevents using ineligible ITC. Recording reasons initially in a cryptic manner in the order, with subsequent elaboration, meets principles of natural justice. The scheme u/r 86A is to set aside wrongfully utilized ITC, awaiting assessment/penalty order u/ss 73/74 read with Section 122 of the GST Act. The HC disagreed with the views of Gujarat and Telangana HCs on this issue.
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