The court ruled that Section 74 proceedings cannot be invoked in the absence of fraud or wilful suppression, especially where tax and interest were voluntarily paid before investigation.
The Court upheld the Tribunal’s view that interest cannot be levied when duty paid is fully creditable to downstream units. It confirms that compensatory interest requires actual revenue loss.
The court ruled that a CBIC circular on deemed exports cannot block ITC refunds for actual exporters. Refunds under Section 54(3) must follow the statute when no deemed export benefits are claimed.
The High Court held that mandating monthly ISD credit distribution through rules exceeded the powers granted under the CGST Act. Procedural rules cannot impose time limits absent legislative authorization.
The Court admitted the Revenue’s appeal against a tribunal ruling that set aside excise demands as revenue neutral. The key takeaway is that the legal question on valuation under Rules 8 and 9 remains open for final determination.
The High Court held that a review cannot be entertained without a clear error or new evidence. Re-arguing the case on merits was found impermissible.
The Court ruled that “sufficient cause” must explain the entire limitation period, not just post-expiry delay. Negligence or inaction, including by government bodies, cannot justify condonation.
The Supreme Court ruled that duty-free imports under export incentive licences cannot be denied without evidence of fraud. Valid licences and verified exports were held sufficient to retain benefits.
The Court held that a buyer cannot be saddled with purchase tax merely because the seller failed to remit tax when the transaction was otherwise taxable at the seller’s end.
The Court held that alleged overlap between State and Central GST proceedings involves factual scrutiny, not a pure legal issue. Taxpayers must pursue statutory appeals instead of writ remedies.
