https://www.taxtmi.com/caselaws?id=782663 HC reiterated that Rule 86A of the CGST Rules permits temporary blocking of ITC in the Electronic Credit Ledger only where statutory preconditions are met and that prior show cause notice is not mandatory, given the emergent nature of the power. However, it held that "negative blocking" of ITC, i.e., blocking in excess of the credit actually available in the ECL, is impermissible. Relying on its earlier decision in a similar matter, HC set aside the impugned orders/entries insofar as they disallowed debit beyond available ITC and allowed the writ petition on those terms, leaving recovery to regular proceedings under Sections 73 and 74. en-us Mon, 17 Nov 2025 00:00:00 +0530 Tue, 02 Dec 2025 08:35:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782663 HC reiterated that Rule 86A of the CGST Rules permits temporary blocking of ITC in the Electronic Credit Ledger only where statutory preconditions are met and that prior show cause notice is not mandatory, given the emergent nature of the power. However, it held that "negative blocking" of ITC, i.e., blocking in excess of the credit actually available in the ECL, is impermissible. Relying on its earlier decision in a similar matter, HC set aside the impugned orders/entries insofar as they disallowed debit beyond available ITC and allowed the writ petition on those terms, leaving recovery to regular proceedings under Sections 73 and 74. Case-Laws GST Mon, 17 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782663