Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
Contingency expenses, exempt-income disallowance, and royalty benchmarking: unsupported adjustments were deleted under consistent accounting and trans...
The HC held that registered dealers who discontinued business on June 30, 2017, with closing stock of unsold goods, were not entitled to carry forward unutilized Input Tax Credit (ITC) accrued under the UP VAT Act into the GST regime. Per s.13(6) of the VAT Act and r.21(1)(y) of the UP VAT Rules, dealers with closing stock must debit unutilized ITC upon business discontinuation. The Court determined that ITC could only be claimed upon fulfilling statutory conditions, including the actual sale of goods. Since the dealers possessed unsold inventory and had effectively discontinued business by operation of law, they were required to debit their ITC rather than carry it forward. The Tribunal's judgment allowing the ITC benefit was set aside and all revisions were allowed.
The HC held that registered dealers who discontinued business on June 30, 2017, with closing stock of unsold goods, were not entitled to carry forward unutilized Input Tax Credit (ITC) accrued under the UP VAT Act into the GST regime. Per s.13(6) of the VAT Act and r.21(1)(y) of the UP VAT Rules, dealers with closing stock must debit unutilized ITC upon business discontinuation. The Court determined that ITC could only be claimed upon fulfilling statutory conditions, including the actual sale of goods. Since the dealers possessed unsold inventory and had effectively discontinued business by operation of law, they were required to debit their ITC rather than carry it forward. The Tribunal's judgment allowing the ITC benefit was set aside and all revisions were allowed.
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