Aathi Hotel Vs Assistant Commissioner, State Tax, Mayiladuthurai

Date: December 8, 2021

Court: High Court
Bench: Madras
Type: Writ Petition
Judge(s)/Member(s): C S Saravanan
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Subject Matter

Penalty and Interest u/s 73 & 74 are attracted only when ITC is wrongfully availed AND utilised

Input Tax CreditInterestPenalty

Summary

Before levying penalty or interest, a proper excise was required to be made by a proper officer under Section 74(10) after ascertaining whether the credit was wrongly availed and wrongly utilised. Though under Sections 73(1) and 74(1) of the Act, pro…

The petitioner had challenged the impugned order dated 06.02.2020, which reads as under:- ____ 2. It is the case of the petitioner that though the petitioner had filed TRAN-1 and claimed a credit of Rs.3,86,271/-, the aforesaid credit was never utilized and therefore even though the petitioner had failed to reply to the Show Cause Notice dated 09.05.2019 followed by a summary Show Cause Notice dat…

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