Kerala High Court

Yin-Yang Nature of ITC and Supplier-Purchaser Obligations

June 11, 2024June 11, 2024

In a recent decision, the Kerala High Court upheld constitutionality of Section 16, CGST, 2017, specifically Section 16(2)(c) which restricts the ITC of a purchasing dealer (‘purchaser’) if the supplier has not remitted tax collected from the purchaser to the Government. The decision examines validity of the conditions to claim ITC… Read More »

Can Cash be Seized During GST Inspections?

February 26, 2024February 26, 2024

Section 67 of the CGST Act, 2017 deals with powers of inspection, search, and seizure of officers and Section 67(2) specifically empowers the officers carrying out an inspection to seize goods and documents. Courts have arrived at divergent interpretations as to whether the power to seize goods and documents includes… Read More »

NCLT Cannot Declare an Assessment Order as Void: Kerala HC

February 2, 2024February 8, 2024

The Kerala High Court in a recent judgment used strong words against an order of NCLT, Kochi Bench for declaring an assessment order passed under KVAT Act as void ab initio. The High Court observed that NCLT did not have the power to declare an assessment as void ab initio and quashed… Read More »

Religious Vows and Income Tax Obligations: Harmony to Clash

January 29, 2024January 29, 2024

The Supreme Court is currently seized of a matter which, at its core, involves determining to what extent do the religious beliefs of a person exempt them from withholding tax obligations under the IT Act, 1961. In this article, I will focus on the issues involved and refer to the… Read More »

Section 16, CGST Act is Constitutional: Kerala HC

January 18, 2024January 18, 2024

The Kerala High Court recently[1] dismissed a taxpayer’s challenge that Section 16(2)(c) and Rule 36(4) of CGST Rules, 2017 were violative of Article 14 and unconstitutional. The High Court ruled that the taxpayer’s challenge was vague, and the impugned provisions did not suffer from the vice of manifest arbitrariness and were not unconstitutional. Facts The brief… Read More »

Kerala HC Clarifies Scope of Authorisation under Section 67, CGST Act, 2017

November 3, 2023November 3, 2023

In a recent judgment[1], the Kerala High Court clarified that the authorization provided by a Joint Commissioner for inspection, search and seizure could not be in specific terms, but is only granted in general terms. If the criteria of Section 67, Central Goods and Services Act, 2017 and/or relevant State… Read More »

Kerala HC Holds ITC Cannot be Denied Due to Difference in GSTR-2A and GSTR-3B

October 7, 2023October 7, 2023

In a recent judgment[1], the Kerala High Court has aligned with an emerging jurisprudence wherein the High Courts have held that under the GST regime a taxpayer’s ITC cannot be denied merely on ground of difference between GSTR-2A and GSTR-3B. In the impugned case, the Kerala High Court expressly noted… Read More »

Kerala HC Accepts Taxpayer’s Plea Against Denial of ITC

September 21, 2023September 21, 2023

In a crisp judgment[1], the Kerala High Court has held that Input Tax Credit (‘ITC’) cannot be denied to a taxpayer merely because the tax paid is not reflected in GSTR-2A. The Kerala High Court’s conclusion aligns with a recent judgment pronounced by the Calcutta High Court where the taxpayer was provided… Read More »

Time Period for Filing Appeals under GST: Kerala HC Adopts Strict Interpretation

June 22, 2023August 1, 2023

Short Note In a concise judgment[1], the Kerala High Court dismissed writ petition of a taxable person and held that an appeal under CGST Act, 2017 must be filed before the appellate authority in a time bound manner. The High Court held that the time prescribed for appeal under CGST… Read More »