Delhi ITAT ruled that purchases from paper companies cannot be treated as normal business expenses under Section 37(1). Fraudulent transactions with no goods delivered attract unexplained expenditure taxation under Section 69C and 115BBE.
Failure to appoint a whole-time Company Secretary within the statutory timeline led to substantial penalties on the company and its directors. The order reinforces strict adherence to Section 203 compliance requirements.
An incorrect statutory filing led to misclassification of the company on the MCA portal. The ruling clarifies that directors remain liable for accuracy of e-forms even when errors are voluntarily reported.
The appellate authority had mechanically rejected additional evidence without reasons, resulting in denial of fair opportunity. The tribunal restored the quantum issue for reconsideration and quashed the consequential penalty.
The Tribunal held that revision cannot be based on alleged lack of enquiry when detailed verification was already done. A mere change of opinion does not justify section 263 action.
Applying the timelines prescribed in Rajeev Bansal, the Tribunal found the notice issued after the permissible window. The ruling reinforces strict adherence to limitation in reassessment cases.
This decision clarifies that affiliation and related functions lack commercial intent and consideration. As a result, GST cannot be imposed on such statutory activities.
The judgment quashed GST demands raised after resolution plan approval for earlier periods. It reinforces that authorities must submit claims during CIRP or lose the right to recover.
The GST system has moved to strict ledger-based validation of ITC claims. Excess or unsupported ITC will now result in GSTR-3B filing blocks and possible cash liability.
The Tribunal held that a notice dated 31.03.2021 but dispatched after 01.04.2021 is governed by the new reassessment regime. Failure to follow section 148A procedures rendered the entire reassessment void.
