Interest & penalty under GST not justified as wrongly availed ITC not utilised

Fairmacs Shipstores Private Limited Vs Deputy Commissioner (ST) (Madras High Court) Madras High Court held that imposition of interest and penalty unwarranted as Input Tax Credit wrongly availed is reversed without utilization. Accordingly, since Input Tax Credit is not utilised, interest and penalty is not justified. Facts- On 17/6/2023, petitioner had received ASMT – 10 notice and replied to the same on 20/6/2023 in ASMT 11. The petitioner had admitted the credit and reversed the same and states that he has not utilised the credit. On 20/7/2023, DRC-01A notice was issued to the petitioner ...