2024 (2) TMI 1176 - HC - GST

Availment of wrongful input tax credit - case of petitioner is that he had applied for cancellation of his DVAT Act Registration and never applied for migration to the GST Scheme - HELD THAT - Respondent No.3 prays for some more time to take instructions. Respondent No.3 shall place on record the documents and material available in their record with regard to the alleged migration of the petitioner from DVAT to GST Scheme. At request, list on 21.02.2024. In the meantime further proceedings on the Show Cause Notice shall remain stayed.

Summary

Issues involved: Impugning a Show Cause Notice alleging wrongful input tax credit availed by the petitioner under the DVAT Act prior to the enactment of the CGST Act.

Summary:
The petitioner challenged a Show Cause Notice dated 27.02.2023, accusing them of availing wrongful input tax credit. The petitioner, registered under the DVAT Act before the CGST Act, claimed to have never applied for migration to the GST Scheme but found that someone misused their credentials for this purpose. The respondents identified individuals who allegedly used the petitioner's DVAT Registration for GST migration, despite the petitioner's registration cancellation on 01.04.2017.

The petitioner's counsel argued that no application for migration was made, and the dealer profile confirmed the lack of such an application. Respondent No.3 sought additional time to gather relevant information and documents regarding the alleged migration from DVAT to the GST Scheme. The court granted the request and scheduled the next hearing for 21.02.2024, with proceedings on the Show Cause Notice temporarily stayed.