2025 (10) TMI 607

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....: Mr. N. Venkataraman Ld, A.S.G., Mr. Mukesh Kumar Maroria, AOR, Mr. Udai Khanna, Adv., Ms. V.C. Bharathi, Adv., Mr. B.K. Satija, Adv., Mr. Gaurang Bhushan, Adv. For the Respondent(s): Mr. Varinder Kumar Sharma, AOR. ORDER PER 1. Heard learned counsel for the appellant and perused the record. 2. In these appeals the short issue that arose for consideration before the Delhi High Court [High ....

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....fit of ITC and, accordingly, allowed the said benefit to them after due verification of invoices. 4. A similar issue later arose for consideration before the High Court in On Quest Merchandising India Pvt. Ltd. vs. Government of NCT of Delhi and Ors., 2017 SCC OnLine Delhi 13037 in the context of the provisions of Section 9(2) (g) of Delhi Value Added Tax Act, 2004 [DVAT Act]. 5. Section 9(1) of....

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....b-section (2) of Section 9, in On Quest Merchandising India (supra), the Delhi High Court held: "62. In light of the above legal position, the Court hereby holds that the expression 'dealer or class of dealers' occurring in Section 9 (2) (g) of the DVAT Act should be interpreted as not including a purchasing dealer who has bona fide entered into purchase transactions with validly registered sell....

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....would be to proceed against the defaulting selling dealer to recover such tax and not deny the purchasing dealer the ITC. Where, however, the Department is able to come across material to show that the purchasing dealer and the selling dealer acted in collusion then the Department can proceed under Section 40A of the DVAT Act." 6. The aforesaid decision of the High Court was challenged before th....