https://www.taxtmi.com/caselaws?id=793055 Input tax credit cannot be denied to a bona fide purchasing dealer who bought from a registered supplier, received the goods, and complied with statutory requirements merely because the supplier failed to deposit tax. The proper remedy lies against the defaulting supplier, not the purchaser, unless the Department shows collusion or lack of bona fides in the transaction. On that basis, demand, interest and penalty were held unsustainable against the purchaser, and the impugned orders were set aside, while the Department's right to proceed on evidence of non-genuine dealings was preserved. en-us Fri, 05 Jun 2026 00:00:00 +0530 Mon, 08 Jun 2026 08:52:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=793055 Input tax credit cannot be denied to a bona fide purchasing dealer who bought from a registered supplier, received the goods, and complied with statutory requirements merely because the supplier failed to deposit tax. The proper remedy lies against the defaulting supplier, not the purchaser, unless the Department shows collusion or lack of bona fides in the transaction. On that basis, demand, interest and penalty were held unsustainable against the purchaser, and the impugned orders were set aside, while the Department's right to proceed on evidence of non-genuine dealings was preserved. Case-Laws GST Fri, 05 Jun 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=793055