TaxTMI 
TaxTMI 
2026 (9) TMI 1654
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.... Proper Officer, in exercise of the powers conferred under Section 61 of the GST Act read with Rule 142(1A) of the GST Rules, 2017, scrutinized the returns filed by the appellant and, upon noticing certain discrepancies therein, issued a notice in Form GST ASMT-10 dated 13.07.2023. However, the appellant failed to submit any reply to the said notice within the prescribed period. Consequently, a show-cause notice in Form GST DRC-01 dated 29.09.2023 was issued to the appellant under Section 73(1) of the GST Act, which proposed demand as under: DRC-01 Act Tax Interest Penalty Other Total IGST 0 0 0 0 0 CGST 99,610 96,182 10,000 0 2,05,792 SGST 99,610 96,182 10,000 0 2,05,792 CESS 0 0 0 0 0 TOTAL 1,99,220 1,92,364 20,000 0 4,11,584 Even after expiry of the period of 30 days prescribed period under Section 73(8), CGST Act, the dealer neither paid the amount demanded in accordance with the provisions of the Act nor submitted any reply. Accordingly, an order was passed under Section 73(9) of the GST Act, 2017, creating the following additional deman....
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....d grounds raised by the appellant and also raised a preliminary objection that the appellant had not furnished any details or documentary evidence in support of the exempted, nil-rated or non-GST supplies in Table 5 of its annual return in Form GSTR-9 or in the reconciliation statement in Form GSTR-9C at the stage of scrutiny. It was further submitted that the appellant had claimed the benefit of Notification No. 12/2017 dated 28.06.2017 for the first time before this Tribunal and that such a claim was an afterthought. According to the respondent, this factual plea had never been disclosed in the appellant's returns and was not supported by any documentary evidence, such as ledger accounts, borrower-wise recovery statements, resolutions relating to write-off of loans, or any other corroborative evidence, either before the Proper Officer or before the First Appellate Authority. The respondent further submitted that all statutory pre-conditions, opportunities of hearing and procedural safeguards prescribed under Sections 61, 73 and 107 of the GST Act, 2017, had been duly complied with. The appellant was specifically called upon, through the notice issued under Section 61 of the G....
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....d on 24.08.26.but the period of limitation was already expired on 04.05.26. Appellant was given loan to his consumers. It is not supply, therefore, not taxable in GST Act. Charted Account on behalf of appellant was appeared before Assessing Officer on 08.08.24 and filed reply with annexures but CA's presence was wrongly not mentioned in the order. CA filed a representation on 29.10.24 in this regard. According to him, he uploaded his reply along with annexures on portal also on 06.08.24 but reply was not considered by Assessing Officer. 8. The argument of the learned authorized representative appearing on behalf of the respondent is that the appellant has taken new stand of notification no.12 dated 28.06.2017 for the first time in the Tribunal. The case of appellant is also not covered in non-GST supply. The cross Objection is well within time after receiving notice of Tribunal. There are no documents on record which prove the transaction related to write off loan. Even after calling of documents by Proper Officer appellant did not submit, it. 9. Questions of Law and Fact Involved in the Appeal 1. Whether the recovery of write-off amount of a housing loan account....
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....d tax calculated at the rate as specified in the corresponding entry in column (4) of the said Table, unless specified otherwise, subject to the relevant conditions as specified in the corresponding entry in column (5) of the said Table, namely:- 27 Heading 9971 Service by way of- (a) Extending deposits, loans or advances in so for as the consideration is represented by way of interest or discount (other than interest involved in credit card services): (b) Inter se sale or purchase of foreign currency amongst banks or authorized dealers of foreign exchange or amongst banks and such dealers. 4. This notification shall come into force on the 1st day of July. 2017. [F.No.334/1/2017-TRU] (Ruchi Bisht) Under Secretary of the Government of India 13. According to Entry No. 27 of the aforesaid Notification No. 12/2017, services by way of extending deposits, loans, and advances are exempt from the levy of GST. Therefore, it is evident that the transaction relating to the recovery of a loan amount is covered by the aforesaid exemption. Accordingly, the first question of law is answered in favour of the appellant. On question of ....
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....381;चात् विवरणियों में निम्नलिखित विसंगतियां पाई गईं हैं:- 1. आपके द्वारा GSTR-9 में उल्लेखित Exempted Nil Rated Non-GST Supply की सूची साक्ष्य सहित प्रदर्शित करें। 2. भुगतान किए गए भुगतान राशि विलंब शुल्क एवं ब्याज राशि की जानकारी साक्ष्य स....
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....ted 24.03.25 para number 1 that the appellant has not produced the evidence of Non-GST Supply therefore the proceeding under section 73 was initiated against him. 18. Learned C.A. appeared on behalf of appellant argued that he uploaded reply with annexures on GST portal on 6.08.2024 and appeared before Appellate Authority on 8.08.2024 but his presence did not get mentioned and produced documents did not get considered. 19. We perused the record of learned Appellate Authority. In the record there is document related to write off loan account no. 01102060001944 in which a cheque of Rs. 11,50,000/- cheque number 174854 was deposited by one Mr. Vinoj Kumar Jadhav on1.1.2018. In this account there are some expenses Total 43,218/- are entered in various head like Account closure of 01102060001944 Rs. 100, Being amt trf to sarfaesi charge receivable of Mr Jadhav Rs. 40,157, sus bal recovered from Mr Jadhav Rs, 2961. If we deduct 43,218/- from 11,50,000/- the remining amount is 11,06,782/ -. According to appellant, this has been considered as a taxable supply by the Assessing Officer and imposed tax. 20. In this account it is entered that Rs. 40,157 SARFAESI charge receivable of M....