Petitioner can’t be held liable for contravention of provision of GST law by any other person in supply chain: HC
- Blog|News|GST & Customs|
- < 1 minute
- By Taxmann
- |
- Last Updated on 13 February, 2022
Latest from Taxmann
Case Details: Shiv Enterprises v. State of Punjab - [2022] 135 taxmann.com 123 (Punjab & Haryana)
Judiciary and Counsel Details
-
- Ajay Tewari and Pankaj Jain, JJ.
- Sandeep Goyal, Adv. for the Petitioner.
- Ms. Sudeepti Sharma for the Respondent.
Facts of the Case
The proceeding under Section 130(1) was initiated against the petitioner on the ground that sellers/suppliers of the petitioner were not having inward supply but only engaged in outward supply without paying any tax. It challenged the proceedings and filed petition against the same.
High Court Held
The Honorable High Court observed that no discrepancy has been pointed out in invoice and e-way bill of the petitioner and no finding was there with respect to contravention of any provision by petitioner with intent to evade payment of tax. The department alleged contravention of provisions of GST against supplier of petitioner on the ground of showing outward supply without having inward supply. The invocation of Section 130 must have nexus with action of person against whom proceedings would be initiated. Therefore, it was held that petitioner cannot be held liable for contravention of provision of law by any other person in supply chain and notice issued under Section 130 and order passed by authorities was liable to be set aside.
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
CA | CS | CMA
