🚨 Landmark Ruling Alert: Guwahati High Court Sets Precedent in GST Input Tax Credit Recovery 🚨

In a groundbreaking decision that's catching the eyes of businesses and tax professionals across India, the Guwahati High Court has made a pivotal ruling.

The court examined the complexities of recovering ineligible Input Tax Credits (ITC) from suppliers who haven't filed their GSTR-3B returns, based on the controversial Notification no. 09/2023-Central Tax.

The heart of the matter?

Whether the authorities were justified in issuing Demand-cum-Show Cause Notices for ITC recovery under specific conditions?

In a move that clarifies the scope of 'force majeure' under the CGST Act, the court held that post-2022, the absence of a COVID-19 pandemic means the pandemic can no longer serve as a basis to extend compliance deadlines.

This decision is especially significant as it aligns with the interim protections granted by other High Courts, creating a strong legal precedent for future cases.

This ruling not only navigates through the intricacies of GST and ITC recovery but also sets a crucial legal benchmark.

Title: Indus Towers Limited (Formerly knows as Bharti Infratel Limited) vs Union of India
Court: Guahati High Court
Citation: WP(C)/529/2024
Dated: 12-Feb-2024