Tag: Allahabad HC

ArticleGST Article

HC rules that confiscation and penalty proceedings cannot be initiated under Section 130 of the CGST Act in cases where excess stock is found; directs for refund of amount already deposited

byCA Bimal Jain

The Hon’ble Allahabad High Court in the case of M/s Maa Amila Coal Depot held that proceedings under Section 130 of the CGST Act cannot be initiated in cases where excess stock is found and thus the confiscation and penalty proceedings initiated under Section 130 were quashed, directing for refund of any amount already deposited.

ArticleGST Article

Goods cannot be detained by the Department where there is no intent of tax evasion & E-way bill could not be generated due to technical glitch

byCA Bimal Jain

The Hon’ble Allahabad High Court in M/s T.K. Printers held that tax and penalty under Section 129 of the CGST Act cannot be imposed in absence of intent to evade tax, where e-way bill was generated before passing of the detention order and the goods were part of a stock transfer which were clearly not meant for sale.

ArticleGST Article

SCN issued under Section 74 arising out of earlier SCN issued under Section 73 quashed as allegations of fraud, wilful misstatement or suppression of facts not invoked

byCA Bimal Jain

The Hon’ble Allahabad High Court in the case of Bharat Mint & Allied Chemicals held that where the proceedings were initially instated under Section 73 of CGST Act and subsequently a SCN arising out of the earlier SCN was issued under Section 74 of the CGST Act by the same officer without alleging fraud, suppression or wilful misstatement, then such an action is without jurisdiction…

ArticleGST Article

Buyer cannot be asked to reverse ITC in case of default by the Supplier in filing of returns & deposit of tax

byCA Bimal Jain

The Hon’ble Allahabad High Court in the case of R.T. Infotech set aside the order denying ITC claimed on seven tax invoices for recharge coupons received from M/s Bharti Airtel Ltd. The Hon’ble Court held that the purchasing dealer, having duly paid tax through banking channels and complied with all legal formalities, cannot be penalized for the supplier’s failure to deposit tax.

ArticleGST Article

GST Registration Cancellation order set aside as no physical notice was served

byCA Bimal Jain

The Hon’ble Allahabad High Court in Kanhaiya Traders , has held that the cancellation of GST registration without issuance of physical/ offline notice to the assessee prior to adjudication order amounts to violation of natural justice, and therefore the cancellation order is to be set aside with directions to afford the assessee opportunity to submit final reply and personal hearing before passing a fresh order.

Lawgics

Lawgics – Judgment No. 196

byNidhi Aggarwal

Once revenue taken particular stand same cannot be completely changed by different reason or ground and therefore demand order was quashed as initially authorities physically verified goods and accompanying documents without noting any discrepancies but later served demand stating goods being different as mentioned in documents without valid reasons.