Judicial rulings clarify that Section 54 focuses on timely investment of capital gains, not rigid legal ownership milestones. The exemption depends on when and how the investment is made.
The Tribunal held that interest from bank fixed deposits lacked a direct nexus with credit facilities. Deduction under Section 80P was denied as investment income dominated.
The Tribunal held that reopening based solely on third-party information without independent application of mind is invalid. Income escaping assessment must be based on the Assessing Officer’s own reason to believe.
The High Court upheld rejection of a limitation plea raised only at the hearing stage. It held that without supporting facts on record, such a plea cannot be entertained.
The Tribunal held that no commission income can arise from circular transactions within group entities. Additions based on estimated commission for such intra-group sales were deleted.
The High Court held that the “relevant period” under Rule 89(4) must be applied uniformly for ITC, turnover, and adjusted turnover. Selective interpretation for refund computation was rejected.
The High Court held that Notifications extending GST limitation were vitiated and illegal. As a result, the assessment order based on them was set aside and remanded for fresh consideration.
The Court held that once copies of DRT proceedings are supplied as un-relied documents, the accused cannot compel the investigating agency to produce original tribunal records.
Authorities detected large-scale ITC fraud involving invoices without actual supply of goods. The arrests signal strict enforcement against GST credit misuse.
High Courts are declining to entertain GST writs now that GSTAT is operational. Taxpayers must pursue statutory appeals, with courts granting limited transition relief to avoid hardship.
