Karnataka HC Quashes ITC Blocking for Lack of Hearing & Cogent Reasons

Narasimhan Engineering Contractors Private Limited Vs. Principal Commissioner of Central Tax & Ors. (Karnataka High Court) Bengaluru, Karnataka – In a significant ruling, the High Court has sided with a petitioner challenging the Goods and Services Tax (GST) department’s actions of blocking their Electronic Credit Ledger (ECL) and provisionally attaching their bank account. The court found these actions to be illegal and arbitrary, emphasizing the need for due process, proper application of mind, and adherence to statutory provisions. The petitioner had approached the court see...