Case Law Details
Hero Motocorp Ltd. Vs Union of India & Ors. (Delhi High Court)
Instructions issued by Revenue Department needs to be aligned with the decisions taken by the courts and the position of law as declared by the judgments
The Hon’ble Delhi High Court in M/s. Hero Motocorp Ltd. v. Union of India & Ors [Review Petition 318/2022 in W.P.(C) 2032/2019 dated December 15, 2022] has dismissed the review petition filed by the Revenue Department, and upheld the order passed by the Hon’ble Delhi High Court quashing the Instructions which prohibited the Input Service Distributor (“ISD”) from transitioning accumulated unutilized CENVAT credit. Further, held that, such instructions were not aligned with the decisions taken by the various courts and with the position of law as declared by judgments.
Facts:
M/s Hero Motocorp Ltd. (“the Petitioner”) is an ISD, whose request for allowing credit of unutilized CENVAT credit got rejected by the Revenue Department (“the Respondent”) vide letter dated February 4, 2019 (“the Impugned Letter”) on the basis of Instructions dated February 5, 2018 (“the Instructions”) issued by the Respondent, which prohibited ISDs from transitioning accumulated unutilized CENVAT credit.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
Notable decision indeed.