Goods and Services Tax

CBIC Member Shri Surjit Bhujabal inaugurates GST Bhawan at Itanagar
GST
Dated:- 4-5-2026

Shri Surjit Bhujabal, Member (Compliance management and Zonal member), Central Board of Indirect Taxes & Customs (CBIC), inaugurated the new 'GST Bhawan' at Itanagar, Arunachal Pradesh, in the august presence of Shri Kul Prakash Singh, Chief Commissioner, CGST & Central Excise, Guwahati Zone, and Shri Shyam Kanu Mahanta, Commissioner, CGST & CX, Itanagar.

The GST Bhawan, located at Niti Vihar, MOWB-II, Itanagar, has been established as a modern office complex for the Itanagar Commissionerate under CBIC. The facility is envisaged as a dedicated taxpayer facilitation centre aimed at strengthening service delivery, improving accessibility,

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Pradesh on this significant milestone and emphasised on the foundational principles of GST, and stated that the success of GST lies not merely in enforcement, but in trust, voluntary compliance, and a collaborative partnership between taxpayers and the administration. Drawing from the inherent values of sincerity and community trust that characterise Arunachal Pradesh, he noted that the department is committed to nurturing a similarly responsive and people-centric tax administration. He added that this GST Bhawan will not just be an office, but a centre of facilitation, dialogue, and mutual confidence.

Highlighting the State's performance under GST, he noted that revenue collection in Arunachal Pradesh reached Rs.526 crore during F

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all interactions. He also highlighted that this is the third GST Bhawan in the North Eastern region, underscoring the Government's continued focus on strengthening tax administration in the region.

Shri Shyam Kanu Mahanta, Commissioner, CGST & CX, Itanagar, stated that the new GST Bhawan will significantly enhance accessibility and efficiency in taxpayer services. He highlighted the steady increase in the number of registered taxpayers is a reflection of growing trust in the GST system. He remarked that the strength of our tax system lies in the trust we build with taxpayers, and our constant endeavour will be to make compliance simple, transparent, and hassle-free. He assured that regular outreach and awareness programmes will be condu

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Deemed valuation for solar power composite supply applies despite separate invoices; differential 18% levy on entire turnover set aside.
Case-Laws
GST
A High Court held that supply of solar power generating systems under the relevant notifications is governed by the 70:30 deemed valuation mechanism, under which 70% of the gross consideration is treated as goods taxable at 5% and 30% as services taxable at 18%. It rejected the revenue's contention that separate invoices for goods and services excluded the supply from this treatment, finding that the notifications contemplate such composite supplies and that contractual supply could not be displaced by invoicing alone. The assessment was also unsustainable because no separate valuation of goods and services had been undertaken before taxing the entire turnover at 18%. The differential levy was set aside.
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GST proceedings against a non-existent amalgamating company are void ab initio; merger intimation defeats jurisdiction under Section 87.
Case-Laws
GST
GST proceedings initiated against an amalgamating company after the scheme of merger took effect were void ab initio because the entity had ceased to exist in law. The Court held that once the merger was intimated to the GST authorities, a show-cause notice and any consequential order could not validly be issued against the non-existent company, as this was a jurisdictional defect. Section 87 of the CGST Act was confined to the interregnum between the effective date of amalgamation and the date of the order, and did not authorise proceedings against a dissolved entity after merger. The impugned order was therefore unsustainable and the petition was allowed.
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Reasoned GST cancellation orders are mandatory; a non-speaking cancellation order was set aside despite the taxpayer's delay.
Case-Laws
GST
Cancellation of GST registration was quashed because the order was non-speaking and failed to record reasons as required by FORM GST REG-19 and Rule 22. The High Court held that, although non-filing of returns may justify cancellation, the proper officer must still disclose the basis for forming the opinion to cancel registration; mere reference to the show cause notice and the effective date was insufficient. The assessee's failure to reply or appear did not excuse the duty to pass a reasoned order. The Court also held that the delayed approach to writ jurisdiction did not outweigh this defect. The matter was restored to the show cause stage for fresh decision in accordance with law.
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Condonation of delay in GST appeal allowed where circumstances beyond control justified hearing the matter on merits.
Case-Laws
GST
The High Court addressed delay in filing a GST appeal and held that, although the Appellate Authority remains bound by the limitation under the CGST/RGST Act, the explanation showed circumstances beyond the petitioner's control. It found that denying adjudication on merits in such circumstances would cause grave prejudice, so the delay was condoned and the appellate remedy was directed to be entertained on merits. The challenge to the validity of the notifications was not pressed and was left open.
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Provisional attachment cannot be reissued on the same facts after expiry, and it cannot serve as a post-assessment recovery device.
Case-Laws
GST
A second provisional attachment issued after the earlier order had expired was unsustainable where it rested on the same facts and no change in circumstances was shown. The Court held that Section 83(2) does not permit a fresh attachment on substantially identical grounds after the statutory one-year period, as this would defeat the built-in safeguard against misuse. It also held that provisional attachment is only a pre-emptive protective measure and cannot be used as a post-assessment recovery device once assessment has culminated in a final order. The petition was allowed and the attachment was quashed.
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GST summons during inquiry upheld as proper officer's statutory power cannot be stalled by writ intervention.
Case-Laws
GST
Summons issued under the GST law were upheld because the proper officer was conducting an ongoing inquiry under Section 70 and was authorised to require attendance, evidence, and documents in the manner of a civil court. The High Court held that judicial interference at that stage would improperly obstruct and scuttle the inquiry, particularly where the summons concerned alleged availment of fake input tax credit. The challenge to the summons was therefore rejected and the writ petition was dismissed with costs.
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Statutory remedy and ongoing investigation barred writ relief against GST registration cancellation and blocked input tax credit.
Case-Laws
GST
Cancellation of GST registration based on alleged violation of Section 16 read with Rule 21(e) was not entertained in writ jurisdiction because the cancellation order recorded reasons and the petitioner had an efficacious statutory remedy of revocation under Rule 23 read with Section 30 within the prescribed period. The challenge to the e-mail blocking input tax credit was also declined, as the blockage was linked to allegations of fake or non-existent firms and the investigation was still continuing; judicial restraint was therefore warranted. The writ petition was dismissed, leaving the petitioner to pursue the available statutory remedy and other remedies in accordance with law.
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Non-consideration of material evidence invalidates denial of transitional credit and requires fresh speaking order.
Case-Laws
GST
Denial of transitional credit could not be sustained where the appellate authority ignored material documentary evidence placed by the claimant, including a certificate and receipt evidencing payment of service tax into the Government treasury. That non-consideration amounted to clear non-application of mind and rendered the appellate order unsustainable; the original order, which rested on the same foundation, also failed. The HC therefore quashed both orders and remanded the matter for de novo consideration by a reasoned speaking order after granting personal hearing, leaving all contentions open.
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Non-obstante clause in GST ITC rules overrides the filing-time bar, requiring reconsideration of a delayed claim.
Case-Laws
GST
Section 16(5) was held to contain a non-obstante clause that overrides the time bar in Section 16(4) for the specified financial years, so input tax credit could not be denied solely for delay where the returns were filed before 30.11.2021. Because the impugned order rejected the claim only on the basis of Section 16(4), and the returns had been filed on 30.09.2020, the Court set aside the order-in-original and the show cause notice and remitted the matter for fresh adjudication under Section 16(5), leaving other contentions open.
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Vague GST cancellation notice and undisclosed retrospective effect violated natural justice, leading to quashing of the order.
Case-Laws
GST
A show cause notice and retrospective cancellation of GST registration were vitiated because the notice gave no meaningful reasons, did not annex the supporting material it relied on, and failed to disclose that retrospective cancellation was proposed. The Court applied the principle of natural justice that the person affected must be clearly put to notice of the intended action and the material relied upon; absence of such disclosure invalidates the proceedings. The impugned notice and cancellation order were quashed, with liberty to the authorities to proceed afresh in accordance with law.
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Anti-profiteering on additional ITC: Tribunal upheld refund of unpassed benefit, GST component, interest, and penalty exposure.
Case-Laws
GST
The Tribunal held that the respondent contravened the anti-profiteering mandate by failing to pass on the incremental input tax credit benefit to homebuyers in a uniform and commensurate manner. It accepted the DGAP's computation that the post-GST ITC ratio increased, and ruled that any excess adjustment in some cases could not cure the shortfall in others, leaving the balance benefit refundable to eligible buyers. It further held that the profiteered amount, computed on values exclusive of GST but collected from buyers inclusive of GST, had to include the GST component. Interest at 18% per annum was directed on the amount not passed on, and penalty exposure under Section 171(3A) was recorded for the relevant period.
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Punjab records highest GST collections in April: FM Cheema
GST
Dated:- 2-5-2026
PTI
Chandigarh, May 2 (PTI) Punjab Finance Minister Harpal Singh Cheema on Saturday said the state has achieved its highest-ever monthly Goods and Services Tax (GST) collection of Rs 2,987.38 crore, simultaneously topping the nation in overall GST revenue growth.

Cheema said, “The state has recorded a Gross GST collection of Rs 2,987.38 crore alongside a net GST collection of Rs 2,725.08 crore.” This exceptional performance reflects a remarkable year-on-year Net GST growth of 70.70 per cent, translating to an impressive increase of approximately Rs 1,129 crore over our collections in April 2025, he said.

According to the official data, Punjab

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Input tax credit under GST requires proof of supplier tax payment; reading down of the condition was refused
Case-Laws
GST
Section 16(2)(c) of the CGST Act was upheld as a cumulative condition for input tax credit, and the purchaser must prove that tax charged on the supply was actually paid to the Government. The Court held that clauses (a) to (d) of Section 16(2) must be read conjointly, that ITC is a statutory concession rather than a vested right, and that non-payment by the supplier cannot be ignored merely because the recipient has the invoice and goods or services. Reading down was refused because the provision is clear, fits the GST scheme, and preserves revenue integrity against fraudulent transactions.
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Damages under arbitral award are not taxable supply where settlement is merely consequential to award satisfaction
Case-Laws
GST
Payment of damages under an arbitral award did not amount to a taxable supply under the CGST Act because the settlement before the Delhi High Court was not an independent commercial arrangement to refrain from an act or tolerate a situation. The withdrawal or suspension of enforcement proceedings in the UK and US followed only from full satisfaction of the award and did not create separate consideration or a distinct service. In the absence of an independent contract and consideration, Section 7 and Entry 5(e) of Schedule II were inapplicable, and the IGST charge could not be sustained. The intimation and show cause notice were quashed for lack of jurisdiction, and the writ petition was entertained despite the alternate remedy rule.
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Consolidated GST show cause notices upheld, while limitation must still be tested separately for each period covered.
Case-Laws
GST
Sections 73 and 74 of the CGST Act do not bar a common or consolidated show cause notice for more than one tax period or financial year. The Court held that the references to “any period” and the limitation provisions do not confine notice issuance to a single financial year, while each component of a consolidated notice must still independently satisfy the applicable limitation test. It also rejected the objection based on pecuniary jurisdiction of the proper officer. Where Orders-in-Original were challenged, the Court restored the statutory position and granted time to file appeals, with limitation objections not to be raised if appeals were filed within the period allowed.
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Document Identification Number defect invalidates GST assessment orders; delayed writs entertained subject to partial tax deposit and remand.
Case-Laws
GST
Absence of a Document Identification Number rendered the assessment orders invalid, as the High Court followed its earlier view that DIN is an inherent requirement for such orders. Although delay in filing the writ petitions was objected to on the basis of portal service, the Court entertained the delayed petitions in light of practical difficulties under the online GST regime, subject to deposit of 20% of the disputed tax. The impugned orders were set aside and the matter was remanded for fresh assessment after granting due opportunity of hearing, with adjustment of amounts already paid or recovered and exclusion of the intervening period for limitation.
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Directory waiver filing period under GST notification cannot be treated as a mandatory bar on delayed applications.
Case-Laws
GST
A waiver application under Notification No. 21/2024-Central Tax was treated by the High Court as subject to a directory, not mandatory, three-month filing period because the notification used the word may. The rejection of the application solely on the ground of delay was therefore based on an erroneous interpretation of law. The Court quashed the rejection in FORM GST SPL-07 and directed the authority to reconsider the waiver application on merits in accordance with law, while keeping the show cause notice, summary notice and order in original in abeyance until that reconsideration.
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Interim bail and writ protection under CGST Act confined to criminal proceedings, leaving revenue adjudication under Sections 73 and 74 unaffected.
Case-Laws
GST
Interim protection granted in writ proceedings against criminal proceedings under the CGST Act was confined to the criminal process and did not restrain the Revenue from pursuing adjudicatory action under Sections 73 or 74. The HC noted that the challenged order was only an interim bail order, that custody was not shown to be required for further investigation, and that the connected writ orders stayed criminal proceedings alone. On that basis, the Court declined to interfere and dismissed the appeal, leaving open the question of maintainability of the writ petition in light of the Magistrate's earlier refusal of bail.
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Natural justice in GST adjudication: replies must be considered, with fresh hearing granted after a conditional deposit undertaking.
Case-Laws
GST
Allegations that the taxpayers failed to produce documents showing inward movement of goods, and thus wrongly availed and passed on input tax credit, led to proceedings under the GST penalty provisions. The Court noted the grievance that the replies had not been considered in the impugned order, raising a natural justice concern. Recording the taxpayers' undertaking to deposit 10% of the disputed tax, the Court remitted the matters for fresh adjudication on merits, directed filing of replies with supporting documents, and ordered that the bank attachment be lifted on compliance.
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Educational institution exemption denied for supplementary coaching; services treated as taxable commercial training and coaching under GST.
Case-Laws
GST
Academic coaching for students of Standards 5 to 12 was treated as supplementary tuition, not as services supplied by an educational institution. The Authority found that the activity did not amount to pre-school education, education up to higher secondary level or equivalent, curriculum-based education leading to a recognised qualification, or approved vocational education. As the applicant did not fall within the definition of “educational institution” under the exemption notification, Entry 66 exemption was unavailable. The service was therefore classified as commercial training and coaching under SAC 999293 and held taxable at 18% GST.
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Electric bus hiring with operator classified as vehicle rental; electricity is not “fuel”, so residual GST rate applies.
Case-Laws
GST
An AAR held that hiring electric buses with drivers, where the recipient controlled routes, frequency and schedules, is rental of road vehicles with operator under SAC 996601. It further held that the word “fuel” in Entry 10(i) of Notification No. 11/2017-CT(R) carries its ordinary meaning as a combustible material and does not include electricity. Because electricity was outside the scope of fuel, the concessional entry did not apply and the service fell under the residual Entry 10(iii), attracting GST at 18%.
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Andhra nets Rs 5,542.7 cr tax revenue in April, 'highest-ever' monthly collections
GST
Dated:- 1-5-2026
PTI
Amaravati, May 1 (PTI) Andhra Pradesh recorded total tax collections of Rs 5,542.7 crore in April 2026, marking the highest-ever monthly revenue since the introduction of Goods and Services Tax.

Chief Commissioner of State Tax A Babu noted that the strong performance came despite structural challenges arising from GST 2.0 rate rationalisation, which had an estimated annual revenue impact of Rs 8,000 crore.

“April 2026 recorded total collections of Rs 5,542.70 crore, the highest-ever monthly revenue, reflecting strong administrative efficiency and compliance,” said Babu in an official press release on Friday.

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xpayer base.

For the April month trend since GST implementation, the state has maintained consistent year-on-year growth, demonstrating sustained compliance improvements and robust administrative capacity, the release said.

Total collections across all sectors rose significantly, supported by gains in petroleum VAT, professional tax and key service sectors such as real estate and construction, even as GST revenues were partially impacted by rate cuts on select goods.

Key measures supporting revenue growth included AI-driven data analytics, automated scrutiny systems, and targeted compliance drives to detect tax evasion, identify mismatches and prevent ineligible input tax credit claims.

The department also intensified enforc

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Punjab records highest-ever GST collection of Rs 2,987.4 cr in April
GST
Dated:- 1-5-2026
PTI
Chandigarh, May 1 (PTI) The Punjab government has set a benchmark in tax revenue with the highest-ever monthly collection of Goods and Services Tax (GST) at 2,987.38 crore in April, Finance Minister Harpal Singh Cheema said on Friday.

“The state has recorded a gross GST collection of Rs 2,987.38 crore alongside a net GST collection of Rs 2,725.08 crore. This exceptional performance reflects a remarkable year-on-year net GST growth of 70.70 per cent, translating to an impressive increase of approximately Rs 1,129 crore over our collections in April 2025,” the minister for finance, planning, excise and taxation said.

Elaborating o

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c improvements in core tax administration and compliance,” he said, according to an official statement.

Attributing this financial milestone to rigorous administrative measures, the minister said, “Our robust GST growth is directly supported by intensified enforcement activities across Punjab. Through the extensive leverage of data analytics, coordinated field action, and intelligence-based inspections, we have successfully imposed penalties exceeding Rs 175 crore.

He further said that during a special anti-evasion operation in the iron and steel sector this April, the state executed a record enforcement drive by detaining nearly 200 vehicles in a single day.

Reiterating Chief Minister Bhagwant Singh Mann-led Punjab government's

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GST collections surge to record high of Rs 2.43 lakh cr in April
GST
Dated:- 1-5-2026
PTI
New Delhi, May 1 (PTI) Gross GST collection rose 8.7 per cent in April to a record of about Rs 2.43 lakh crore in April as growth in import-led revenues outpaced domestic transactions, government data showed on Friday.

The previous all-time high collection from Central GST, State GST and Integrated GST was recorded in April last year at over Rs 2.23 lakh crore.

Gross revenues from domestic transactions were up 4.3 per cent to over Rs 1.85 lakh crore, while GST mop-up from imports rose by a massive 25.8 per cent to Rs 57,580 crore in April 2026.

Total gross CGST and SGST collection in April stood at Rs 52,140 crore and Rs 61,331

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ease after the initial dip post the implementation of GST 2.0 from September 2025, in which tax rates on about 375 items were slashed. Also, four tax slabs of 5, 12, 18 and 28 per cent were merged into two of 5 and 18 per cent, with the highest 40 per cent slab for a select few ultra-luxury goods and tobacco products.

Deloitte India, Partner & Indirect Tax Leader, Mahesh Jaising said a notable feature of April GST number is the nearly 26 per cent year-on-year growth in import-linked GST, reflecting sustained trade flows even in a volatile external environment.

“Equally important is the steady performance of domestic GST revenues, which suggests that GST-2.0 led rate rationalisation and simplification measures are beginning to suppor

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