Refund of ITC on account of IDS allowed where goods supplied under concessional rate notification

Last updated: 19 September 2022
Quick Summary
The Telangana High Court has ruled that businesses supplying goods under concessional rate notifications are eligible for refunds of accumulated Input Tax Credit (ITC) due to an inverted duty structure. This decision clarifies previous interpretations, stating that the intention was never to deny refunds in such specific scenarios. The court has remanded the case back to the assessing authority for reconsideration based on this clarification.

Court :
Telangana High Court

Brief :
The Hon'ble Telangana High Court in Micro Systems and Services v. Union of India and 5 others [Writ Petition No.37465 of 2021 dated September 5, 2022] remanded back the matter to the assessing authority for reconsidering the refund claimed by the assessee noting that refund of accumulated Input Tax Credit ("ITC") on account of inverted duty structure ("IDS") is allowed where the goods have been supplied under concessional rate notification. 

Citation :
Writ Petition No.37465 of 2021 dated September 5, 2022

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 : 282
Share Report Abuse
Comments


Recent Judgments :

  1. Forest Development Tax Demand, Collection and Refund Subject to Final Outcome of Pending Cases
  2. SC : Extended Limitation Cannot Be Invoked Where Department Was Aware of Valuation Facts
  3. SC : Selling Shares While in Possession of UPSI Constitutes Insider Trading Even if No Profit Is Made
  4. SC : Laser Imagers Compatible with Machines Under Different Tariff Headings Classifiable Under CTH 9033
  5. Education Consultancy Services to Foreign Universities Not Intermediary Services; Refund of IGST on Export of Services Allowed
  6. Penalty Cannot Be Confirmed Beyond What is Specified in Statutory Form GST DRC-01
  7. Non-Supply of Field Visit Report Vitiates Rejection of Revocation Application
  8. Alternative Remedy before GSTAT to be Exhausted Despite Allegation that Adjudication Travelled Beyond SCN
  9. ITAT Jodhpur: AO Allows ₹2.61 Crore Deduction under Sections 54EC and 54F; Assessee's Appeal Dismissed as Infructuous
  10. CESTAT Revokes Suspension of Customs Broker Licence for Non-Compliance with Mandatory 15-Day Hearing Requirement

View More Judgments »


Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Pro Member RAVI GUPTARAVI GUPTAPro Member Verma ManojVerma ManojPro Member CA Aman GargCA Aman GargPro Member S. AGARWAL & ASSOCIATESS. AGARWAL & ASSOCIATESPro Member CA CS DISA FAFD AJAY SINGHCA CS DISA FAFD AJAY SINGH
Subscribe to Pro
Join an elite circle of professionals

Browse by Category