HC directs Fresh Review of ITC Misuse, Upholds Unified Credit Ledger Approach

Manissery Jayachandran Vs Union of India (Kerala High Court) Kerala High Court, in the case of Manissery Jayachandran Vs. Union of India, has set aside an assessment order and appellate order that denied Input Tax Credit (ITC) to a petitioner for allegedly availing it under the wrong head in the Electronic Credit Ledger (ECL). The court emphasized that the ECL should be considered a unified pool of funds, regardless of the specific tax head under which the credit was initially claimed. The petitioner, an assessee for the 2017-18 assessment year, reportedly received both interstate and intrasta...