https://www.taxtmi.com/circulars?id=66559 The circular clarifies that issuance of tax invoices without actual supply does not amount to supply and ordinarily does not attract tax demand under the demand provisions, but issuers are punishable for issuing invoices without supply. Recipients who fraudulently avail and utilize ITC on such invoices are liable to demand, recovery with interest, and penal action under the fraud provision; if penalised under that fraud provision, no duplicate penalty for the same act may be imposed elsewhere. Where fraudulent ITC is passed on by issuing further invoices without supply, no tax demand arises for outward transactions, but the intermediary is liable to penal action for both issuing invoices without supply and improper availment/utilisation of ITC. en-us Fri, 22 Jul 2022 00:00:00 +0530 Wed, 05 Jul 2023 18:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=66559 The circular clarifies that issuance of tax invoices without actual supply does not amount to supply and ordinarily does not attract tax demand under the demand provisions, but issuers are punishable for issuing invoices without supply. Recipients who fraudulently avail and utilize ITC on such invoices are liable to demand, recovery with interest, and penal action under the fraud provision; if penalised under that fraud provision, no duplicate penalty for the same act may be imposed elsewhere. Where fraudulent ITC is passed on by issuing further invoices without supply, no tax demand arises for outward transactions, but the intermediary is liable to penal action for both issuing invoices without supply and improper availment/utilisation of ITC. Circulars GST - States Fri, 22 Jul 2022 00:00:00 +0530 https://www.taxtmi.com/circulars?id=66559