Swamy Traders vs. The Principal Commissioner Of Central Tax
Held
The Court held that the blocking of ITC and provisional attachment of bank accounts are valid only for a period of one year. Since this period had expired, these orders were no longer subsisting and deserved to be quashed. The GST registration was ordered to be restored subject to the petitioner filing returns and paying dues.
Facts
The petitioners challenged orders cancelling their GST registration, blocking their Input Tax Credit (ITC), and provisionally attaching their bank accounts. The primary contention was that the impugned orders were issued without proper adherence to statutory timelines and procedures.
Key Issues
Whether the blocking of ITC and provisional attachment of bank accounts under GST law are time-bound. Whether cancellation of GST registration warrants restoration if statutory timelines are not followed.
Sections Cited
Rule 86A, Section 83
AI-generated summary — verify with the full judgment below
Heard together (4 matters)
Read from the judgment's own cause title. This page is filed under one of them.
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HC-KAR NC: 2025:KHC:54381 WP No. 29461 of 2024 C/W WP No. 28950 of 2024 WP No. 29143 of 2024 WP No.29860/2024
IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 18TH DAY OF DECEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 29461 OF 2024 (T-RES) C/W WRIT PETITION NO. 28950 OF 2024 (T-RES) WRIT PETITION NO. 29143 OF 2024 (T-RES) WRIT PETITION NO. 29860 OF 2024 (T-RES)
IN WP No. 29461/2024
BETWEEN:
SUBHASH PROPRIETOR OF M/S HOOVINAHALLI TRADERS, NO.1, A P M C YARD B-MAIN ROAD, SAGARA ROAD, SHIVAMOGGA - 577 204. AGED ABOUT 62 YEARS
…PETITIONER (BY SRI. CHANDRASHEKARA K, ADVOCATE)
AND:
THE PRINCIPAL COMMISSIONER OF CENTRAL TAX GST BHAVAN, S1 AND S2, VINAY MARG SIDDARTH LAYOUT, MYSURU - 570 011. 2. THE ASSISTANT COMMISSIONER OF CENTRAL TAX SHIVAMOGGA DIVISION, 6TH CROSS ASWATHNAGAR, OFF SAVALANGA ROAD, SHIVAMOGGA - 577 204. 3. THE SUPERINTENDENT OF CENTRAL TAX SHIVAMOGGA NORTH RANGE, 6TH CROSS, SREEDHARAN BANGALORE SUSHMA LAKSHMI Location: High Court of Karnataka HC-KAR NC: 2025:KHC:5
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