https://www.taxtmi.com/caselaws?id=429392 The HC allowed a petition challenging penalty imposition on transitional credit claims under Section 140 of CGST Act 2017. The assessee's claim of Rs.6,55,99,154 was upheld while Rs.30,73,908 was rejected. The court distinguished between Sections 73 and 74, noting Section 74 applies only when there is intent to defraud revenue through misrepresentation or suppression of facts. Since the larger claim was valid and no fraudulent intent existed regarding the balance amount, the entire 100% penalty was set aside. The court emphasized this was a transitional period issue involving credit carry-forward, not a case warranting penalty imposition. en-us Wed, 19 Oct 2022 00:00:00 +0530 Thu, 10 Apr 2025 12:54:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=429392 The HC allowed a petition challenging penalty imposition on transitional credit claims under Section 140 of CGST Act 2017. The assessee's claim of Rs.6,55,99,154 was upheld while Rs.30,73,908 was rejected. The court distinguished between Sections 73 and 74, noting Section 74 applies only when there is intent to defraud revenue through misrepresentation or suppression of facts. Since the larger claim was valid and no fraudulent intent existed regarding the balance amount, the entire 100% penalty was set aside. The court emphasized this was a transitional period issue involving credit carry-forward, not a case warranting penalty imposition. Case-Laws GST Wed, 19 Oct 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=429392