Rule 86A- ITC cannot be blocked for more than a year- HC lifts restriction

Advent India PE Advisors Private Limited Vs Union of India and Ors. (Bombay High Court)

Having regard to the statutory mandate in sub-rule (3) of rule 86A, the petitioner is entitled to claim that the input tax credit ought to have been unblocked immediately after one year of the restriction being imposed under sub-rule (1) thereof. If indeed the respondents were of the view that the petitioner had not been cooperating with the department, they ought to have proceeded against it in a manner known to law. However, to say that

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