https://www.taxtmi.com/article/detailed?id=12922 Input Tax Credit (ITC) under GST is vulnerable to fake invoicing, where fabricated invoices are used to claim credit; liability can attach to recipients unless they demonstrate genuine transactions and statutory compliance. Courts have required detailed evidentiary examination before denying ITC and indicated that supplier registration cancellation alone does not justify automatic disallowance if the buyer maintained proper records. Recommended safeguards include stronger laws, better detection mechanisms, supplier verification, buyer education, and robust documentation practices. en-us Fri, 13 Sep 2024 10:20:26 +0530 Fri, 13 Sep 2024 10:20:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=12922 Input Tax Credit (ITC) under GST is vulnerable to fake invoicing, where fabricated invoices are used to claim credit; liability can attach to recipients unless they demonstrate genuine transactions and statutory compliance. Courts have required detailed evidentiary examination before denying ITC and indicated that supplier registration cancellation alone does not justify automatic disallowance if the buyer maintained proper records. Recommended safeguards include stronger laws, better detection mechanisms, supplier verification, buyer education, and robust documentation practices. Articles Goods and Services Tax - GST Fri, 13 Sep 2024 10:20:26 +0530 https://www.taxtmi.com/article/detailed?id=12922