Input tax credit - proof of actual receipt of goods - Burden of proof on input tax credit claimant - Multiple penalties for same act or omission Entitlement to input tax credit on purchases from suppliers found to be bogus and non-existent, where actual physical movement and receipt of the goods were not established - HELD THAT: - The reports concerning the transport vehicles, coupled with findings that the suppliers were bogus and non-existent, constituted unrebutted material indicating that... ... ...

Refund of accumulated input tax credit-zero-rated export turnover where goods are exported after the relevant period Refund of accumulated input tax credit-zero-rated export turnover where goods are exported after the relevant period - Refund of accumulated input tax credit on export invoices issued during the relevant period, where the goods were exported subsequently. - HELD THAT: - Under Rule 89(4), turnover of zero-rated supply for the relevant period is determined with reference to invoi... ... ...

Territorial jurisdiction over renting of immovable property - Combined show cause notice for multiple financial years - Section 74 extended-period demand-foundational facts for suppression - Input tax credit despite non-reflection in GSTR-2A Territorial jurisdiction over renting of immovable property - Territorial jurisdiction of the Chandigarh GST authorities to demand tax on rent from immovable property situated in Punjab. - HELD THAT: - Jurisdiction depended upon the location of the suppli... ... ...

Strict compliance with direct movement condition for merchant-export concession - Fraud or wilful suppression for extended GST demand - Compensatory interest on delayed GST payment - Cum-tax valuation of GST liability Concessional GST rate for merchant-export supplies - Direct movement condition under export concession - Entitlement to the concessional IGST rate on HDPE drums supplied for export where the drums were first moved to third-party distilleries. - HELD THAT: - The concessional rate... ... ...

Transitional credit of unavailed CENVAT credit on capital goods - TRAN-1 disclosure of multiple capital-goods invoices Transitional credit of unavailed CENVAT credit on capital goods - Entitlement to transitional credit under section 140(2) for the full duty paid on pre-GST capital goods where no CENVAT credit had been availed under the existing law. - HELD THAT: - Section 140(2), read with its Explanation, permits transition of credit remaining unavailed on capital goods, provided it was adm... ... ...

Input tax credit-retrospective cancellation of supplier registration - Input tax credit-proof of actual receipt of goods - Fraud-based tax demand-foundational facts in show-cause notice - Deeming of section 74 notice as section 73 notice Input tax credit-retrospective cancellation of supplier registration - Burden of proof of input tax credit eligibility - Denial of input tax credit on supplies from a supplier whose registration was retrospectively cancelled, without verification of actual re... ... ...

Communication of reasons to believe before arrest - Retrospective operation of judicial precedents Retrospective operation of judicial precedents - Applicability of a subsequent Supreme Court ruling on pre-existing arrests under the Act - HELD THAT: - A judgment of a constitutional court declares the law as it already exists and applies retrospectively, unless the court expressly restricts its operation prospectively. The fact that the arrest preceded the Supreme Court ruling did not exclude ... ... ...

General penalty for delayed filing of GST returns - Late fee for delayed filing of GST returns HELD THAT: - Following the earlier decisions of the Court in MS. KANDAN HARDWARE MART [2026 (1) TMI 383 - MADRAS HIGH COURT] and TVL. JAINSONS CASTORS & INDUSTRIAL PRODUCTS [2025 (2) TMI 1000 - MADRAS HIGH COURT], delayed filing of returns could attract late fee, but imposition of general penalty in addition to such late fee was not sustainable. [Paras 6] The penalty was set aside, while the peti... ... ...

Restoration of cancelled GST registration for tax compliance - Consequential show-cause notices - HELD THAT: - Although the explanation for the petitioner's lapses was found unsatisfactory, the Court considered it appropriate, in the interests of justice and having regard to the constitutional freedom to carry on trade or business, to afford a one-time opportunity to regularise compliance. [Paras 5, 6] The cancellation order and the consequential show-cause notices were quashed. The GS... ... ...

Cancellation of GST registration for non-filing of returns - Cancellation of GST registration for failure to furnish returns, where the application for revocation could not be filed through the GST Portal after expiry of the prescribed timeline HELD THAT: - Finding the material facts analogous to those considered in Motaleb Bhuyan Vs. The State of Assam and Ors. [2025 (3) TMI 670 - GAUHATI HIGH COURT] the Court held that the petitioner was entitled to similar relief. [Paras 9, 10] The canc... ... ...

Bail in GST offences involving alleged fake invoices - Pre-trial detention not punitive - Presumption of innocence - Speedy trial Entitlement to bail in a GST prosecution alleging creation of fake entities and passing of input tax credit on fake invoices - HELD THAT: - Pre-conviction detention is not punitive and bail is intended to secure the accused's attendance at trial. Though a prima facie case may exist in a non-bailable offence, continued custody is unwarranted where the investigat... ... ...

Condonation of delay in GST appeal - Failure to consider grounds for delay - Rejection of a delayed GST appeal came to be preferred after a delay of 148 days HELD THAT: - Irrespective of whether the pleaded grounds were ultimately tenable, the appellant was entitled to have them considered. As none of the grounds in the delay-condonation application had been considered, the appellate order could not be sustained. [Paras 13] The appellate order was set aside and the delay was condoned, subj... ... ...

Public-interest petition to challenge GST rate applicable to online legal research and legal educational data services HELD THAT:- The petitioner, an Advocate, has nowhere in the petition even indicated as to what suddenly has been the cause for the petitioner to become aware of the rate being higher despite the fact that the rate continues to exist since the year 2017. The public-interest petition challenging the GST rate on online legal research and legal educational data-based services ... ... ...

Bail conditions restricting foreign travel and deposit of passport Modification of bail condition requiring deposit of passport - Foreign travel by accused on prior intimation to trial court - Modification of the bail condition requiring the accused to deposit the passport and obtain prior permission for foreign travel. - HELD THAT: - The applicant had regularly obtained release of the passport for foreign travel and re-deposited it. The requirement of continued deposit was found to hinder tr... ... ...

Condonation of delay in GST appeal - Failure to consider grounds for condonation - Rejection of an application to condone delay in filing a GST appeal came to be preferred with a delay of 289 days - HELD THAT: - The appellate authority rejected the application by referring to the statutory limitation provision, but completely failed to consider the specific plea that the appeal could not be filed in time because the accountant had not apprised the appellant of the limitation period. Grounds rais... ... ...

Limitation for GST show-cause notice - Statutory service of notice - Service through common portal HELD THAT: - The three-month period prescribed for issuance of notice before the outer limit for passing an order under Section 73 is a mandatory minimum intended to secure a meaningful opportunity of response. Though the outer limit for the order stood extended, the notice had to be issued by 31.05.2024. A notice generated on an internal system, awaiting GSTN confirmation and without a CRN, was... ... ...

Pre-deposit for appeal against disputed interest - Deemed stay of recovery pending appeal Requirement of percentage-based pre-deposit of disputed interest, and availability of deemed stay against its recovery, where the entire underlying tax has been paid - HELD THAT: - The statutory pre-deposit scheme requires payment of admitted amounts and a percentage of the remaining tax in dispute; it contains no requirement to make a percentage-based pre-deposit of disputed interest where the entire ta... ... ...

Penalty for delayed payment of admitted GST liability Delayed payment of admitted tax - Penalty and interest on unpaid tax liability - Liability to penalty despite subsequent payment of the admitted GST amount. - HELD THAT: - The Court held that where the assessee did not dispute the quantum of tax, failure to pay it within the stipulated period attracted penalty and interest. Subsequent payment of the tax did not displace the penalty consequence. The Court also noted the petitioner's lack of... ... ...

Writ jurisdiction - alternative statutory remedy under the CGST Act - Show-cause notice for ineligible input tax credit Exercise of writ jurisdiction against an order founded on a show-cause notice alleging availment and passing on of ineligible input tax credit, where a statutory appeal is available - HELD THAT: - The availability of a statutory appeal was a material consideration warranting restraint in writ jurisdiction. The show-cause notice set out the alleged transactions, network of fi... ... ...

Under the statutory appellate pre-deposit scheme, where the entire underlying tax has been paid, no percentage-based pre-deposit of disputed interest is required. Compliance with applicable pre-deposit conditions results in a deemed stay of recovery of the balance demand while the appeal remains pending. Recovery communications for disputed interest, consequential bank notices, and bank restrictions are therefore barred during that period and must be withdrawn. The basis and computation of the interest demand remain open for determination in the pending appellate proceedings.