Disparity in GSTR-3B and GSTR 2A/2B due to ITC claimed in Respect of Cus-toms Duty: Madras HC quashes GST Order with Condition

Subh Sri Agencies Vs Deputy State Tax Officer (Madras High Court) In a recent case before the Madras High Court, Subh Sri Agencies challenged an assessment order dated 04.07.2023, highlighting a significant disparity between their GSTR 3B returns and GSTR 2B statements. The crux of the issue lay in the Input Tax Credit (ITC) claim concerning customs duty. Despite the petitioner’s explanation in their response dated 17.03.2023, the tax demand was confirmed under the impugned order. The petitioner’s counsel emphasized that the discrepancy stemmed from the ITC claimed on customs duty,...