CA in Jaipur | CA. Yogesh Jangid |ITR Filing 2023 | Company Registration | NGO Registration | Income Tax Raid Cases | Audit | Inc Incroporation | CPA in India | Subsidy | Project Funding | GST | GST Raid Cases | Income Tax Notice Faceless | DRI Cases | https://www.nyca.in ITR Filing 2023 | Company Registration | NGO Registration | Income Tax Raid Cases | Audit | Inc Incroporation | CPA in India | Subsidy | Project Funding | GST | GST Raid Cases | Income Tax Notice Faceless | DRI Cases Fri, 12 Apr 2024 10:29:32 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.1 https://www.nyca.in/wp-content/uploads/2022/08/9060CA_logo_icai-1.jpg CA in Jaipur | CA. Yogesh Jangid |ITR Filing 2023 | Company Registration | NGO Registration | Income Tax Raid Cases | Audit | Inc Incroporation | CPA in India | Subsidy | Project Funding | GST | GST Raid Cases | Income Tax Notice Faceless | DRI Cases | https://www.nyca.in 32 32 Calcutta High Court’s Verdict on GST Pre-Deposit Requirements https://www.nyca.in/calcutta-high-courts-verdict-on-gst-pre-deposit-requirements/ https://www.nyca.in/calcutta-high-courts-verdict-on-gst-pre-deposit-requirements/#respond Fri, 12 Apr 2024 10:29:32 +0000 https://www.nyca.in/?p=8519 In a recent ruling, the Calcutta High Court addressed the clarification of GST pre-deposit requirements, specifically focusing on the interpretation discrepancy between the GST Department and the GST Law.

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Introduction:

In a recent ruling, the Calcutta High Court addressed the clarification of GST pre-deposit requirements, specifically focusing on the interpretation discrepancy between the GST Department and the GST Law.

Facts of the Case:

  • A writ petition challenged an interim order dated January 25, 2024, demanding a pre-deposit of 20% of the disputed unpaid interest.
  • The dispute stemmed from interest demands on belatedly filed returns for a specific financial year, with the petitioner seeking relief due to the non-constitution of the appellate tribunal.

Issue:

  • The central concern was whether the petitioner must pre-deposit 20% of the disputed interest alongside the tax in dispute before filing an appeal, as indicated by the interim order.

Petitioner’s Argument:

  • The petitioner argued that while the GST Act mandates a pre-deposit of 20% of the remaining tax amount in dispute, it does not explicitly extend this requirement to disputed interest.

Respondent’s Argument:

  • The respondent countered, asserting that the interim order was discretionary and aimed at safeguarding revenue interests, without any procedural error.

Held:

  • The Calcutta High Court overturned the portion of the order mandating the petitioner to pay 20% of the remaining interest, directing a halt to recovery proceedings until the writ petition is heard and disposed of.

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]]> https://www.nyca.in/calcutta-high-courts-verdict-on-gst-pre-deposit-requirements/feed/ 0 High Court of Madras sets aside GST penalty, emphasizes fair hearing and pre-assessment payments in tax disputes. https://www.nyca.in/high-court-of-madras-sets-aside-gst-penalty-emphasizes-fair-hearing-and-pre-assessment-payments-in-tax-disputes/ https://www.nyca.in/high-court-of-madras-sets-aside-gst-penalty-emphasizes-fair-hearing-and-pre-assessment-payments-in-tax-disputes/#respond Tue, 09 Apr 2024 07:10:27 +0000 https://www.nyca.in/?p=8389 The High Court of Madras recently ruled on a case involving a works contractor for government departments, addressing penalties imposed under the Tamil Nadu Goods and Services Tax Act, 2017.

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Introduction

The High Court of Madras recently ruled on a case involving a works contractor for government departments, addressing penalties imposed under the Tamil Nadu Goods and Services Tax Act, 2017. The court emphasized the importance of fair hearings and pre-assessment payments in tax disputes.

Facts of the Case

  • The petitioner, a works contractor, received an assessment order on April 19, 2023, due to discrepancies in their GSTR 1 and GSTR 3B returns.
  • A show cause notice was issued in February 2023.
  • On April 12, 2023, before the assessment order was issued, the petitioner paid Rs. 3,00,000/- towards their tax liability, citing delayed payments from government departments as the reason for the discrepancies and delayed payment.
  • The petitioner contested the imposition of a 100% penalty on the dues under Section 74 of the Tamil Nadu Goods and Services Tax Act, 2017.

Issue

The core issue revolves around the justification of imposing a 100% penalty on the petitioner, considering the pre-order payment and the circumstances leading to the discrepancies.

Petitioner’s Argument

  • The petitioner argued that the payment made before the assessment order was not taken into account.
  • Contesting the 100% penalty imposition, the petitioner expressed willingness to remit an additional Rs. 3,00,000/- for a remand.

Held

The court set aside the impugned order and directed the respondent to remit an additional Rs. 3,00,000/-. Moreover:

  • The respondent was directed to provide a fair opportunity, including a personal hearing, before issuing a fresh order.
  • The lack of a hearing for the petitioner before the initial order was recognized by the court.

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]]> https://www.nyca.in/high-court-of-madras-sets-aside-gst-penalty-emphasizes-fair-hearing-and-pre-assessment-payments-in-tax-disputes/feed/ 0 Bombay HC Invalidates Tax Order Without Personal Hearing https://www.nyca.in/bombay-hc-invalidates-tax-order-without-personal-hearing/ https://www.nyca.in/bombay-hc-invalidates-tax-order-without-personal-hearing/#respond Wed, 03 Apr 2024 09:35:47 +0000 https://www.nyca.in/?p=8197 In the case of Cowtown Software Design Pvt. Ltd. versus Union of India, heard in the Bombay High Court under Writ Petition (L) No. 31152 of 2023

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In the case of Cowtown Software Design Pvt. Ltd. versus Union of India, heard in the Bombay High Court under Writ Petition (L) No. 31152 of 2023, the court addressed the crucial issue of whether the denial of a personal hearing to the petitioner by tax authorities was in compliance with Section 75(4) of the GST Laws.

Facts of the Case & Timelines:

  • The petitioner contested an Order issued by the tax authorities, alleging a violation of Section 75(4) of the GST Laws and principles of natural justice.
  • The petitioner raised concerns over the issuance of an adverse Order without affording them a personal hearing.

Issue:

  • The central issue pertained to the denial of a personal hearing to the petitioner before the issuance of an adverse Order, a right claimed under the CGST Act.

Petitioner’s Argument:

  • The petitioner asserted that the Order was invalid due to its failure to adhere to the provisions of the CGST/MGST Act, which mandate a personal hearing before making adverse decisions. They emphasized the breach of principles of natural justice.

Respondent’s Argument:

  • The respondent contended that no personal hearing was necessary as the petitioner did not explicitly opt for one in the system, and their written response was deemed sufficient to address their contentions.

Held:

  • The Bombay High Court ruled in favor of the petitioner, declaring the impugned Order invalid. The court emphasized that a personal hearing is mandatory under the CGST Act, both upon request and when an adverse decision is anticipated. Consequently, the respondent was directed to provide a hearing and reconsider the case in light of the principles of natural justice.

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