https://www.taxtmi.com/caselaws?id=790199 Purchase tax demand was held unsustainable where the dealer had paid sales tax on output turnover and the statutory input tax credit mechanism was affected by a defective online return system. The court accepted that the software fault caused the purchase tax entry to appear on both the tax payable and credit sides, creating a practical impediment to correct compliance and leaving the transaction revenue neutral. The Tribunal's formal objection that the entry was shown in the input tax credit column was rejected because it overlooked the departmental defect and the appellate finding based on the statutory scheme. The common order was set aside and the revisions were allowed. en-us Tue, 21 Apr 2026 00:00:00 +0530 Wed, 22 Apr 2026 08:47:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=790199 Purchase tax demand was held unsustainable where the dealer had paid sales tax on output turnover and the statutory input tax credit mechanism was affected by a defective online return system. The court accepted that the software fault caused the purchase tax entry to appear on both the tax payable and credit sides, creating a practical impediment to correct compliance and leaving the transaction revenue neutral. The Tribunal's formal objection that the entry was shown in the input tax credit column was rejected because it overlooked the departmental defect and the appellate finding based on the statutory scheme. The common order was set aside and the revisions were allowed. Case-Laws VAT / Sales Tax Tue, 21 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=790199