https://www.taxtmi.com/caselaws?id=780767 HC allowed the petition, holding that imposition of penalty under Section 11AC(1)(c) read with Section 122(2)(b) of the CGST Act was unjustified. The Court followed its earlier reasoning in an identical matter where only a token penalty was imposed when ineligible input tax credit was availed without resulting advantage, and Section 74 (fraud or willful misstatement) was inapplicable. Here the petitioner, though delayed in reversing proportionate input tax credit on obsolete/slow-moving inputs, suffered no benefit and reversed the credit in accounts; accordingly the penalty was set aside. en-us Wed, 08 Oct 2025 00:00:00 +0530 Wed, 05 Nov 2025 08:35:13 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=780767 HC allowed the petition, holding that imposition of penalty under Section 11AC(1)(c) read with Section 122(2)(b) of the CGST Act was unjustified. The Court followed its earlier reasoning in an identical matter where only a token penalty was imposed when ineligible input tax credit was availed without resulting advantage, and Section 74 (fraud or willful misstatement) was inapplicable. Here the petitioner, though delayed in reversing proportionate input tax credit on obsolete/slow-moving inputs, suffered no benefit and reversed the credit in accounts; accordingly the penalty was set aside. Case-Laws GST Wed, 08 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=780767