Case Law Details
Bio Med Ingredients Pvt. Ltd. Vs Assistant Commissioner (ST) (Madras High Court)
In a recent verdict, the Madras High Court issued a directive in the case of Bio Med Ingredients Pvt. Ltd. against the Assistant Commissioner (ST) regarding the denial of GST registration. The court has mandated the GST Department to grant registration to the petitioner-company, emphasizing the need for property demarcation in case both the lessor and lessee operate in the same premises.
Background of the Case: Bio Med Ingredients Pvt. Ltd. filed an application for GST registration on two occasions, both of which were rejected. The rejection was based on the ground that both the lessor and lessee were running businesses in the same premises, which was deemed unacceptable.
Court’s Intervention: The petitioner contended that they operated on a three-acre land with a clear demarcation, and the rejection was erroneous. On a previous hearing, the court directed officials to conduct a physical verification to ascertain the nature of business operations and demarcation.
Verification Outcome: After the visit, the officials reported that two entities were indeed operating in the same premises, with separate GST numbers. The court, however, awaits the petitioner’s demarcation report to resolve the matter conclusively.
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