Stay updated
The Hon’ble Karnataka High Court in the case of S. A. Enterprises held that blocking the Electronic Credit Ledger (“ECrL”) by a mere text message without providing the Petitioner a pre-decisional hearing, and without independent cogent reasons based on “reasons to believe,” is illegal and liable to be quashed.
The Hon’ble Karnataka High Court in Safan Fasteners set aside the order, since no pre-decisional hearing was granted before passing the order and the order did not any contain independent or cogent reasons to believe, except placing reliance upon reports of enforcement authority, which was impermissible in law.
The Hon’ble Calcutta High Court in Edelweiss Rural & Corporate Services Limited & Anr. instructed the Assessing Officer to reconsider the Refund Sanction Order to the extent that it directed the refund to be credited to the Assessee’s Electronic Credit Ledger instead of their Bank Account.
The recent judgment of the Madras High Court in the case of Tvl. Skanthaguru Innovations Private Limited has sparked a new debate as to whether the revenue department can make the balance of ECL negative by exercising the power of Rule 86A of the CGST Rules.
The Honorable Telangana High Court in Laxmi Fine Chem held that in case assessee has wrongly or fraudulently availed input tax credit, the Revenue department should initiate appropriate recovery proceedings under section 73 or 74 of the CGST Act, 2017, rather than invoking Rule 86(A) of the CGST Rules, 2017.
The Hon’ble Madras High Court in Greenstar Fertilizers Limited held that penalty cannot be demanded under Section 74 of the CGST Act where the assessee has not utilized the ineligible Input tax credit and the same is lying in the E-credit ledger.
The Hon’ble Telangana High Court in Laxmi Fine Chem v. Assistant Commissioner held that in case assessee has wrongly or fraudulently availed ITC, the Revenue department should initiate appropriate recovery proceedings under Section 73 or 74 of the CGST Act rather than invoking Rule 86(A) of the CGST Rules.
HC directed Appellate Authority to consider appeal even if pre-deposit was made from credit ledger The Hon’ble Patna High Court…
HC set aside order blocking credit ledger of petitioner which was passed by an Officer of rank below Asst. Commissioner
The Hon’ble Orrisa High Court in M/s. Kiran Motors v. Addl. Commissioner of CT & GST set aside the appeal rejection order passed by the 1st Appellate Authority and held that a pre-deposit under GST can be made through electronic credit Ledger.