2026 (8) TMI 71

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....r is that the orders are in contravention of Section 73(2) of applicable GST enactments. He contends that the said provision mandates a minimum time gap of three months between the show cause notice and the assessment order. In support of this contention, he relies on the judgment of the Bombay High Court in AM Market Places Private Limited v. The Union of India, W.P.No.7941 of 2025, order dated 17.01.2026. In particular, he relies on the reasoning at paragraphs 4 and 5 of the said order. His second contention is that the two orders are contradictory. He points out that impugned order dated 13.11.2025 in W.P.No.25946 of 2026 proceeds on the basis that the petitioner had wrongly availed of input tax credit in respect of exempt supplies. On t....

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....x credit wrongly availed or utilised relates to or within three years from the date of erroneous refund." 5. As can be seen from the text of sub-section (2), said provision is required to be interpreted in light of sub-section (10) thereof. Sub-section (10) prescribes a limitation period for the issuance of an order under sub-section (9) thereof. Said limitation period is three years from the due date for furnishing of the annual return for the financial year that the tax demand relates to. Therefore, sub-section (2) is intended to ensure that the show cause notice preceding adjudication is issued not less than three months before the limitation period for adjudication expires. The object and purpose is not difficult to discern. If sub-s....