Karnataka HC: Swiggy's payment made during investigation is not considered as ascertained tax, refund of same allowed


Quick Summary
The Karnataka High Court has ruled that payments made by Swiggy during an investigation, which were allegedly made under duress, cannot be considered as self-ascertained tax. The court directed the tax department to refund the amount of over ₹27.5 crore that was collected from Swiggy. This decision came after Swiggy filed a writ petition arguing the funds were illegally collected without a show cause notice.

Court :
Karnataka High Court

Brief :
The Honorable Karnataka High Court ("Karnataka HC") in the matter of M/S. Bundl Technologies Private Limited v. Union of India [WP 4467/2021 (T-RES) dated September 14, 2021], held that Swiggy’s payment made as goodwill gesture during investigation cannot be taken as self-ascertained tax. Furthermore, the Honorable Karnataka HC directed the Department to refund money deposited during the investigation.

Citation :
WP 4467/2021 (T-RES) dated September 14, 2021

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1 Year PLAN
1999
(Excl. of GST ₹359)

BEST VALUE
2 Years PLAN
3499
(Excl. of GST ₹629)

3 Months PLAN
999
(Excl. of GST ₹179)

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Bimal Jain
Published in GST
Views : 284

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