High Court of Karnataka3 June 2026

GR Tech Services (P.) Ltd. v. Assistant Commissioner of Commercial Taxes

For assesseeRemanded

WRIT PETITION NO. 15670 OF 2026 (T-RES)

The ruling in brief

Where registered person paid IGST on transaction initially considered inter- State which was later found to be intra-State requiring CGST/KGST, original authority erred in demanding additional tax, interest, and penalty without proper adjustment or refund, necessitating quashing of demand orders and restoration for fresh adjudication in compliance with statutory provisions and refund rules

Provisions considered

Section 77, read with sections 73 and 79, of Central Goods and Services Tax Act, 2017/Karnataka Goods and Services Tax Act, 2017 - Rule 92, read with rule 145, of Central Goods and Services Tax Rules, 2017/Karnataka Goods and Services Tax Rules, 2017

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Where SCN and penalty proceedings were initiated against legal representative of deceased alleged to have fraudulently availed ITC and IGST refunds, in view of fact that section 93 permitted post-death determination of tax, interest and penalty liability accruing to extent of deceased's estate, investigation and recovery actions were jurisdictionally valid against legal heirs. GST: Where department, after assessee's death, proceeded against legal representative for tax penalty based on alleged fraudulent refunds by deceased, while provisions of section 93(1)(b) was challenged under Article 14 as arbitrary and denying defence, since liability was limited to estate of deceased, representative was not deemed to be a wrongdoer, particularly when effective hearing and appeal safeguards existed; thus, constitutional challenge to Section 93(1)(b) was untenable and was rejected. GST: Amount seized during search could not be retained indefinitely merely on alleged voluntary deposit; Department was required to establish lawful basis for retention/appropriation, furnish complete account of principal and FD interest, and release any amount lacking statutory basis with interest actually earned after reasoned adjudication

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CGST S.73

Calcutta High Court24 Sept 2026

For assesseeRemanded

Arup Datta v. State of West Bengal

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Related rulings

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Jaiwanti v. Union of India

GSTAT Raipur24 Sept 2026

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CGST S.73

Calcutta High Court24 Sept 2026

For assesseeRemanded

GR Tech Services (P.) Ltd. v. Assistant Commissioner of Commercial Taxes

The ruling in brief

Provisions considered

GR Tech Services (P.) Ltd. v. Assistant Commissioner of Commercial Taxes

The ruling in brief

Provisions considered

Read the full analysis

Read the full analysis

Jaiwanti v. Union of India

Hindalco Industries Ltd. v. Commissioner State Tax Chhatisgarh

Arup Datta v. State of West Bengal