Boby Mathew vs. The Deputy Commissioner

WP/27108/2026HC KarnatakaGSTCNR KAHC01060150202629 August 2026Bench: R. NATARAJ9 pages
For Petitioner: SRI. NARENDRA GOWDA., ADVOCATE
AI SummaryAllowed

Held

The High Court held that compulsory acquisition of immovable property is not a 'supply of goods or services' under the GST Act. Therefore, GST cannot be levied or deducted from the compensation paid for such acquisition, and the deduction was quashed.

Facts

The petitioner's land and structures were compulsorily acquired for a highway project. The acquiring authority deducted 18% GST from the compensation amount, which the petitioner challenged as unlawful.

Key Issues

The key legal issue was whether Goods and Services Tax (GST) is applicable to compensation paid for compulsory acquisition of land and structures by the State.

Sections Cited

Central Goods and Service Tax Act, 2017, Article 366(12A) of the Constitution of India

AI-generated summary — verify with the full judgment below

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HC-KAR

CNR: KAHC010601502026 NC: 2026:KHC:47192 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29TH DAY OF AUGUST, 2026 BEFORE THE HON'BLE MR. JUSTICE R. NATARAJ WRIT PETITION NO. 27108 OF 2026 (LA-RES) BETWEEN:

BOBY MATHEW W/O HARISH M.P AGED ABOUT 52 YEARS, BASAVANAHALLI VILLAGE KUSHAL NAGAR TALUK KODAGU DISTRICT 571234 …PETITIONER (BY SRI. NARENDRA GOWDA.,ADVOCATE) AND:

1.

THE DEPUTY COMMISSIONER KODAGU DISTRICT, KODAGU-571201

2.

THE SPECIAL LAND ACQUISITION OFFICER AND COMPETANT AUTHORITY, NATIONAL HIGHWAY 275 (MYSORE - MADIKERE DIVISION), NO 984, 1ST FLOOR, GEETHA ROAD CHAMARAJPURAM, MYSORE 570005

3.

NATIONAL HIGHWAY AUTHORITY OF INDIA MINISTRY OF ROAD TRANSPORT AND HIGHWAYS GOVT OF INDIA, REGIONAL OFFICE BESIDE HEMALATHA J Location: HIGH COURT OF KARNATAKA HC-KAR

CNR: KAHC010601502026 NC: 2026:KHC:47192 NAGASANDRA METRO STATION BANGALORE 560073 REP BY ITS DEPUTY GENERAL MANAGER

4.

PROJECT DIRECTOR N

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Reproduced from the public record of the Karnataka High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.