https://www.taxtmi.com/caselaws?id=182102 Input tax credit reversal cannot be sustained solely on vendor verification where the purchasing dealer has produced purchase invoices and supporting particulars, and the assessment order does not meaningfully consider the dealer's reply. The governing principle is that adverse action must follow a fair process and relevant material must be examined before denying credit. If the purchasing dealer shows purchases from a registered seller and the record supports the claim, the Revenue should not mechanically reject the credit on a summary vendor-based objection and may instead proceed against the defaulting vendor. On these facts, the reversal of input tax credit was held unsustainable and the impugned order was quashed. en-us Thu, 12 Mar 2015 00:00:00 +0530 Tue, 03 May 2016 09:30:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=182102 Input tax credit reversal cannot be sustained solely on vendor verification where the purchasing dealer has produced purchase invoices and supporting particulars, and the assessment order does not meaningfully consider the dealer's reply. The governing principle is that adverse action must follow a fair process and relevant material must be examined before denying credit. If the purchasing dealer shows purchases from a registered seller and the record supports the claim, the Revenue should not mechanically reject the credit on a summary vendor-based objection and may instead proceed against the defaulting vendor. On these facts, the reversal of input tax credit was held unsustainable and the impugned order was quashed. Case-Laws VAT and Sales Tax Thu, 12 Mar 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=182102