ArticleGST Article

Supreme Court to examine whether the six-month time limit for issuance of show cause notice under Section 74(2) of the CGST Act is mandatory or directory

The Hon’ble Supreme Court in M/s. Bengal Cold Rollers Private Limited issued notice in the challenge laid to the judgment of the Hon’ble Telangana High Court which had held that the time limit prescribed under Section 74(2) of the CGST Act for issuance of a show cause notice is merely directory and not mandatory..

ArticleGST Article

Ratification is no substitute for recommendation – Notifications travelling beyond GST Council recommendations are ultra vires

The Hon’ble Madras High Court (Madurai Bench) in M/s. Guru and Co. ruled that Central Government cannot travel beyond the recommendations of the GST Council, and that the GST Council, whose power under Article 279A of the Constitution of India is only to make recommendations, does not possess any power to ratify Notifications already issued by the Government.