Legal Updates

Stay informed with the latest GST, Income Tax & compliance notifications

Supreme Court Grants Relief on GST Input Tax Credit (ITC) Mismatch

Apr 13, 2025 Adv. Mahtab Ali Ansari

In a landmark ruling, the Supreme Court has held that genuine buyers should not be penalized for a supplier’s failure to file GST returns or remit tax. The Court emphasized that if the purchaser has proper tax invoices, proof of payment, and evidence of goods/services received, then denial of Input Tax Credit is unjustified. This decision will greatly aid businesses caught in litigation over ITC mismatches and may lead to revised assessments in pending disputes.