Rule 43's 2022 amendment excluding duty credit scrip values from exempt supplies is presented as prospective from 5 July 2022, not applicable to transactions during 2017-20. The amendment is characterised as creating a new benefit in calculating proportionate input tax credit reversal rather than clarifying an existing ambiguity; input tax credit is treated as concessional and not retrospectively vested. The monetary-limit circular is described as binding departmental officers but not the Tribunal, with aggregate tax involved in a composite order and recurring interpretive issues requiring consideration. Section 74(1) requires proof of fraud, wilful misstatement, or deliberate suppression intended to evade tax; absent such material, liability should be determined under Section 75(2) using the Section 73(1) mechanism.

Section 171 of the CGST Act requires additional input tax credit benefits to be passed to recipients through commensurate price reductions. Verified beneficiary-wise shortfalls remain payable where invoices and receipts do not establish full pass-through. Rule 133(3)(b) requires return of unpassed benefit with interest at 18% per annum from the commencement of GST until payment. Section 171(3A) applies a 10% penalty to profiteering attributable to the period after its commencement, subject to the exception where the amount is deposited within 30 days of the order. The residual input tax credit shortfall is therefore recoverable with applicable interest and penalty consequences.

Provisional attachment of a bank account under the CGST Act may continue during an ongoing investigation where the account was used for payout transactions connected with alleged online gaming and betting activities. Inadequate verification of the counterparty, including reliance on an undertaking without checking its business, invoices, or relevant particulars, supported the revenue-protection rationale. Because investigation of beneficiary accounts and underlying transactions remained incomplete, de-freezing the attached account was not warranted.

GST demand based on multiple e-way bills against a single invoice requires factual verification before treating them as evidence of under-declared GSTR-1 turnover or short payment of tax. Where a large quantity of teak wood is stated to have been transported in separate vehicles, the assessment must examine vehicle carrying capacity, whether multiple vehicles were necessary, and transactional records, including bank statements, supporting the sale consideration. Without these determinations, the demand is unsustainable.

GST registration under Rule 8(1) requires material establishing the applicant's prima facie legal possession of the business premises. Lease documents, co-lessees' authorisation, the managing partner's lessee status, and prior rent-control proceedings can establish that possession for registration purposes. Registration authorities need not decide disputes over the scope of tenancy rights or an alleged unauthorised sublease, as interpretation of lease terms falls within the competent civil or rent-control forum. An unresolved landlord-tenant dispute alone therefore does not justify refusing GST registration where legal possession is prima facie shown.

Works contractors seeking adjustment of the incremental tax burden arising from the VAT-to-GST transition must pursue contractual remedies against the concerned employer. Identification of pre-GST work and VAT-regime payments, calculation of post-1 July 2017 work, deduction of applicable VAT and service-tax components, and addition of GST support a comprehensive representation for time-bound employer consideration. GST levy, assessment, recovery, interest, penalty and return filing remain governed by the statutory framework; no direction can require tax authorities to alter statutory treatment or accept revised returns contrary to law. Challenges to assessment orders remain separately available in accordance with law.

Writ jurisdiction was not exercised to determine the objection that Central and State GST proceedings involved the same subject matter under Section 6(2)(b) of the CGST Act, because resolution required a factual comparison of the respective show-cause notices, periods, allegations, transactions, computations and supporting material. The petitioner had participated in adjudication, and the statutory appellate forum could examine the parallel-proceedings objection and challenges to the demand. The writ petition was disposed of with all contentions left open for the Appellate Authority.

Section 74 may be invoked only where a show cause notice discloses fraud, wilful misstatement, or suppression of material facts with intent to evade tax. Absence of these statutory ingredients deprives the notice of the jurisdictional basis required for proceedings under that provision. A notice that merely invokes Section 74 without setting out the relevant allegations is invalid and liable to be set aside, while leaving open the possibility of issuing a fresh notice in accordance with law.

Section 107 provides an effective first appellate remedy against an assessment under Section 63. Writ jurisdiction may still be invoked for an apparent illegality or jurisdictional error that requires no factual inquiry, but whether pre-registration transactions of an existing registered person fall within Section 63 requires fact-finding and adjudication. The assessment is therefore not facially without jurisdiction. The jurisdictional objection remains open for consideration in the statutory appeal, which may be pursued within six weeks; the appellate authority may also consider delay where sufficient cause is shown.

Bail in alleged fraudulent input tax credit cases should be assessed against investigation status, trial prospects, offence severity, evidentiary nature and risks to the proceedings. Where investigation is complete, a complaint has been filed, the trial is unlikely to conclude promptly, offences are Magistrate-triable, and evidence is mainly documentary, continued pre-trial custody is unwarranted absent material showing flight risk, evidence tampering, witness intimidation or trial obstruction. Criminal antecedents alone do not justify denial of bail without exceptional risk-based circumstances. Pre-trial detention must not become punitive and must respect the presumption of innocence, personal liberty and the right to a speedy trial.

Bail in alleged fraudulent input tax credit prosecutions must be assessed against personal liberty, the presumption of innocence and the right to a speedy trial. Pre-trial detention cannot be punitive where investigation is complete, the evidence is principally documentary, no charge has been framed, and timely completion of trial is unlikely. Criminal antecedents alone do not warrant refusal unless exceptional circumstances show a real risk of evidence tampering, witness intimidation, absconding or interference with justice. The absence of assessment proceedings under sections 73 and 74 may bear on the criminal prosecution, while those proceedings remain independent. Bail may be conditioned to secure attendance and protect proceedings.

Assessment order was quashed and remitted for fresh adjudication despite expiry of the statutory appeal period and non-availment of personal hearing. The petitioner undertook to deposit 50% of the disputed tax in cash and submit a reply supported by documents. Fresh adjudication was made conditional on compliance with those deposit and reply requirements.

Uploading a show-cause notice only under the portal's 'Additional Notice and Orders' tab, without separate intimation, prevented the petitioner from responding and breached principles of natural justice. Dismissal of the statutory appeal solely as time-barred, without examining merits, could not cure that denial of opportunity. The appellate and underlying adjudication orders were unsustainable; the petitioner must be allowed to respond to the show-cause notice and receive a fresh reasoned determination after a hearing.

GST registration cancellation requires a show-cause notice stating the factual particulars of alleged fraud, wilful misstatement or suppression, so that the registered person can respond effectively. Mere reproduction of statutory grounds, coupled with a same-day appearance requirement, denies a meaningful opportunity to reply. A cancellation order that fails to disclose its basis indicates non-application of mind and is invalid. Writ jurisdiction under Article 226 remains available despite an alternate remedy where the action displays apparent illegality affecting a registered trader's rights. The deficient notice and unreasoned cancellation were liable to be set aside.

Bail pending trial was granted after considering the accused-applicant's limited alleged role as a mediator, lack of apparent knowledge that the concerned firm was allegedly non-existent, filing of the charge sheet, and absence of criminal history. No view was expressed on the merits of the prosecution allegations.

Bail in GST prosecutions involving alleged fraudulent input tax credit depends on whether detention is necessary to secure trial attendance or prevent interference with justice. Criminal antecedents alone do not justify refusal without material indicating a risk of absconding, witness intimidation, evidence tampering, repetition of offences, or other obstruction. Pre-trial detention is not punitive, particularly where investigation is complete, the prosecution rests on documentary evidence, and trial may be delayed. The offence being triable by a Magistrate and carrying limited maximum punishment, together with the absence of assessment proceedings that could affect the alleged contravention, supported release on conditions protecting the trial and prosecution evidence.

Bail in GST prosecutions involving alleged fraudulent input tax credit through fake invoices should not be denied solely because of criminal antecedents where no exceptional risk of evidence tampering, witness intimidation, evasion, or misuse of liberty is shown. Completed investigation, a filed complaint, predominantly documentary evidence, Magistrate-triable offences, and the absence of an immediate prospect of trial completion support release, consistent with the presumption of innocence and the non-punitive nature of pre-trial detention. Bail was granted subject to conditions preventing interference with evidence or witnesses, similar offences, unauthorised foreign travel, and requiring attendance before the trial court.

Extended limitation under Section 74 of the SGST/CGST Act requires a show-cause notice to specifically allege fraud, wilful misstatement, or suppression of material facts with intent to evade tax. A notice issued for the relevant tax period without disclosing these statutory ingredients cannot be sustained. The impugned notice was quashed, while the tax authorities retained liberty to issue a fresh notice in accordance with law.

Parallel GST proceedings are barred only where Central and State proceedings concern the same subject matter. Common input tax credit issues or the same financial year alone do not establish that condition; the respective show-cause notices, allegations, transactions, computations, evidentiary material and proposed liabilities require comparison. Where an effective statutory appeal is available and the objection requires examination of the underlying record, writ jurisdiction need not be exercised. Failure to raise the objection in a written reply and participation in adjudication may be relevant to discretionary writ relief, without deciding the objection on its merits. The parallel-proceedings issue and demand challenge remain available for appellate consideration.

GST registration requires the registering authority to verify whether the applicant has legal possession of the business premises, without conducting a detailed adjudication of landlord-tenant disputes over the scope of lease rights. Lease documents permitting showroom operations, co-lessees' authorisation for a managing partner to form and operate a partnership firm, and landlords' own proceedings indicating the partner's possession may prima facie establish the firm's legal possession for registration purposes. Where a registration application lacks required supporting documents, a fresh application may be filed with those documents and must be considered in accordance with these principles within the stipulated period.