Delhi High Court declined to entertain a writ petition challenging ITC demands, emphasizing appeals are the proper forum for complex fraud-related GST cases.
The High Court dismissed the Revenue’s appeal, affirming that the assessee discharged the initial onus under Section 68 by proving the lender’s identity and creditworthiness via banking channels and subsequent repayment with interest. It was held that doubts regarding the lender’s own creditors are irrelevant for the assessee’s assessment prior to the 2022 amendment, provided the primary transaction is genuine.
The case examines whether bank-account freezing orders can stand without meeting mandatory requirements under Section 20 before invoking Section 8. The Court held that failure to follow the statutory scheme vitiated the confirmation orders. The key takeaway is that procedural lapses render downstream PMLA actions legally unsustainable.
The Court ruled that a fresh demand under Section 73 cannot be raised when the taxpayer’s explanation under Section 61(2) was already accepted. The decision sets aside the SCN and order issued on the same grounds.
Delhi High Court held that security deposit which is nothing more than sale consideration hence the same used as a devise to postpone tax liability towards an uncertain date. Accordingly, the said question is answered in favour of revenue.
Delhi High Court held that CBIC should conduct inter-ministerial consultation in re respect of the uniform policy permitting or prohibiting import of products declared as ‘body massagers’ or sex toys.
Delhi High Court held that writ seeking direction to Central Bureau of Investigation [CBI]; Enforcement Directorate [ED] and Serious Fraud Investigation Office [SFIO] to investigate in gigantic Westland Trade Pvt. Ltd. franchisee scam is dismissed.
Court held that the order confirming fraudulent ITC and penalties is appealable under Section 107, granting petitioner time to file an appeal by December 2025.
Delhi High Court held that gains from legal transaction emanating from an illegal act would still be construed as “proceeds of crime” under the Prevention of Money Laundering Act, 2002. Thus, profits from artificially elevated share price qualifies as proceeds of crime and hence attachment justifiable.
The Delhi High Court held that notices sent to a GST registrant’s registered email constitute valid service, rejecting claims that personal hearing notices were not received. Proper email communication fulfills natural justice requirements.
