HC issued notice in writ challenging Rule 36(4) of the CGST Rules restricting ITC availment

Last updated: 27 March 2021

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Quick Summary

The Gujarat High Court has issued a notice to the revenue department regarding a writ petition challenging the constitutional validity of Rule 36(4) of the CGST Rules. The petitioner argues that this rule, which restricts Input Tax Credit (ITC) based on supplier declarations on the common portal, is arbitrary and violates Article 14 of the Constitution. The court's notice indicates a significant legal challenge to the current ITC availment conditions.

Court :
Gujarat High Court

Brief :
The Hon'ble Gujarat High Court, in M/s Surat Mercantile Association v. Union of India [R/Special Civil Application No. 13289 of 2020 with Civil Application No. 1 of 2020 in R/Special Civil Application No. 13289 of 2020, decided on December 18, 2020] issued notice to the revenue department with respect to the writ challenging constitutional validity of Rule 36(4) of the Central Goods and Services Tax Rules, 2017 ('CGST Rules').

Citation :
R/Special Civil Application No. 13289 of 2020 with Civil Application No. 1 of 2020 in R/Special Civil Application No. 13289 of 2020, decided on December 18, 2020

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