Delhi HC Restrains Overlapping Coercive GST Interest Recovery for same period

By CA Sandeep Kanoi Goods and Services Tax Judiciary September 1, 2025

TaxGuru Citation: 2025 taxguru.in 6002
Case Name: Shiningkart Ecommerce Private Ltd Vs Union of India & Ors (Delhi High Court)
Appeal Number: Only available for paid members
Date of Judgement/Order: Only available for paid members
Courts: All High Courts, Delhi High Court

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Shiningkart Ecommerce Private Ltd Vs Union of India & Ors (Delhi High Court)

The Delhi High Court has temporarily restrained tax authorities from initiating coercive recovery measures against Shiningkart Ecommerce Private Ltd. for an interest demand of Rs. 91,40,383. The demand, imposed by an order dated September 2, 2022, is for the period of July 2017 to March 2018.

The petitioner argued that for the identical financial period, two other overlapping interest demands have already been raised through separate notices and orders by both the Delhi GST and Central GST authorities. The High Court, after reviewing all three orders, acknowledged the clear “overlapping” in the demands.

Given that the petitioner is already pursuing appeals against the two earlier orders—one from Delhi GST dated December 9, 2023, and another from Central GST dated January 31, 2025—the court decided to prevent immediate coercive action on the latest demand. While no coercive measures are to be taken for the September 2, 2022 order, all other proceedings in the case will continue. The court has sought a counter-affidavit from the respondents within four weeks, with a rejoinder to follow within two weeks, before listing the matter for further hearing in October.

FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT