Jharkhand HC quashes vague SCN on wrongful availment of ITC

Last updated: 24 October 2021
Quick Summary
The Jharkhand High Court has quashed a Show Cause Notice (SCN) issued to M/s Nkas Services Private Limited concerning the wrongful availment of Input Tax Credit (ITC). The court found the SCN to be vague, lacking specific details of the alleged offense, and a mere reproduction of legal provisions. This failure to clearly state the charges was deemed a violation of natural justice, preventing the petitioner from adequately defending themselves. While the notice was quashed, the authorities were permitted to initiate fresh proceedings if conducted correctly.

Court :
Jharkhand HC

Brief :
The Jharkhand High Court (Jharkhand HC) in the matter of M/S. Nkas Services Private Limited v. The State of Jharkhand and Ors. [WP (T) No. 2444 of 2021 dated October 06, 2021] quashed the Show Cause Notice ("SCN") in respect of wrongful availment of Input Tax Credit ("ITC") as it was vogue, unclear and lacked serious details.

Citation :
WP (T) No. 2444 of 2021 dated October 06, 2021

Daily Limit Reached

You have reached your daily limit of 2 Free Judgements

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Broadcasts
  • Daily E-Newsletter
  • Unlimited Judgements Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits

Already a PRO member? Login here for an ad-free experience.

 

Bimal Jain
Published in GST
Views : 213
Share Report Abuse
Comments


Recent Judgments :

  1. CESTAT Sets Aside ₹60 Crore Service Tax Demand: Best-Judgment Assessment Cannot Be Based on Guesswork
  2. CESTAT: Excess Service Tax Paid by Mistake Is a Deposit — Refund Not Barred by Section 11B Limitation
  3. CESTAT Denies Service Tax Exemption on Rent to Educational Institution for Lack of Evidence
  4. CESTAT Upholds Customs Duty Demand on Undervaluation of Imported Goods Based on Chinese Customs Documents
  5. IGST Paid Under a Wrong Head to be Adjusted Against CGST/SGST Liability Before Any Recovery of Tax Interest or Penalty
  6. Assessee entitled to fresh opportunity of hearing where adjudicating authority ignored reply filed to DRC-01A intimation
  7. Typographical Error in the SCN Cannot Be a Shield for the Assessee Who Participated in the Proceedings Without Raising Any Objection
  8. Penalty on partners under Section 122(1A) of the CGST Act upheld where complicity in fake invoicing and hawala-linked ITC fraud stands established
  9. Forest Development Tax Demand, Collection and Refund Subject to Final Outcome of Pending Cases
  10. SC : Extended Limitation Cannot Be Invoked Where Department Was Aware of Valuation Facts

View More Judgments »


Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Pro Member S Chandra Sekhar ReddyS Chandra Sekhar ReddyPro Member Chandrasekhar gaddeChandrasekhar gaddePro Member PARAS CHHAJEDPARAS CHHAJEDPro Member RATI MALURATI MALUPro Member P.S.Satya narayanaP.S.Satya narayana
Subscribe to Pro
Join an elite circle of professionals

Browse by Category