Denial of Input Tax Credit on Motor Vehicle Expenses Upheld Under Sections 16(1), 16(2), and 17(5) of CGST Act

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....The HC upheld the denial of input tax credit (ITC) claimed on invoices related to motor vehicle purchase, repair, and maintenance, finding violations of Sections 16(1), 16(2), and 17(5) of the CGST Act, 2017, and Section 20 of the IGST Act, 2017. The petitioner failed to demonstrate payment to sundry creditors within the mandatory 180-day period as required under Section 16(2), relying solely on a chart without furnishing corroborative bank statements or documentary evidence. The Court affirmed the proper officer's conclusion that the petitioner did not substantiate timely payment, thereby justifying disallowance of excess ITC availed in GSTR-3B vis-à-vis GSTR-2A. Jurisdictional validity of the authority's action was not disput.........