GST Proceedings Revived as ITC Reversal During Inspection Found Non-Voluntary

Assistant Commissioner (HPU) Vs Kum Internationals (Karnataka High Court) The case involves writ appeals filed by the Revenue challenging an order of the Single Judge that had set aside a closure order passed under Section 74(6) of the Central Goods and Services Tax Act, 2017 and directed refund of tax, interest, and penalty paid by the assessee. The central issue relates to whether the reversal of Input Tax Credit (ITC) and subsequent payments made during inspection were voluntary, and the legal consequences of setting aside such closure. An inspection was conducted at the assessee’s premis...