Interglobe Aviation Limited Vs Additional Commissioner CGST South Commissionerate (Delhi High Court)
The matter concerned a refund order passed in FORM-RFD-06 on 5 May 2022 under the CGST Act. Subsequently, a Show Cause Notice dated 26 March 2025 was issued to the petitioner under Section 108 of the Central Goods and Services Tax Act, 2017 for exercise of revisional powers on the ground that excess inadmissible refund had been granted. Thereafter, the Revisional Authority passed an order on 5 December 2025, which was challenged before the Delhi High Court.
The petitioner contended that Section 108(2)(b) of the CGST Act contains a mandatory limitation period of three years and that although a Show Cause Notice may have been issued within that period, no revisional order could legally be passed after expiry of the statutory limitation. Reliance was placed on a judgment of the Andhra Pradesh High Court in Sneha Constructions v. The Joint Commissioner & Ors. The petitioner further argued that the Revisional Authority wrongly exercised powers under Section 74 of the CGST Act to impose penalty, even though the provision concerns determination of tax erroneously refunded and the Show Cause Notice contained no allegation regarding penalty. It was also contended that the Revisional Authority exceeded the scope of the Show Cause Notice and acted contrary to the statutory scheme of Section 74.
