Input Tax Credit can't be denied for declaration of wrong GSTIN without giving relief as per Circular No. 183

Last updated: 07 October 2023

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Quick Summary

The Calcutta High Court has ruled that Input Tax Credit (ITC) cannot be denied solely due to a mismatch in GSTIN declarations without considering relief as per Circular No. 183. The court directed the Revenue Department to rehear an appeal, stating that the department should have investigated the mismatch using available evidence and considered the circular's clarifications. This ruling ensures that taxpayers are not unfairly penalised for errors like incorrect GSTIN reporting by suppliers.

Court :
Calcutta High Court

Brief :
The Hon'ble Calcutta High Court in M/s. Makhan Lal Sarkar and anrs. vs. the Assistant Commissioner of Revenue, State Tax B.I. and Ors. [WPA/2146/2023 dated September 18, 2023] directed the Revenue Department to hear the appeal afresh as the benefit of Input Tax Credit ("ITC") was denied due to a mismatch of ITC claimed in Form GSTR-3B and that reflected in Form GSTR-2A in accordance with Circular No. 183/15/2022-GST dated December 27, 2022.

Citation :
WPA/2146/2023 dated September 18, 2023

Daily Limit Reached