Welspring Universal vs. Additional Commissioner Of Central GST
Held
The Court held that the impugned GST demand notice and order were unsustainable because they failed to consider the subsequent CESTAT order which had set aside the appellate order relied upon by the respondent. The Court found that the adjudicating authority could not proceed on the basis of an order that had already been nullified.
Facts
The petitioner sought to quash a GST demand notice and order, which were based on grounds that were subject to prior litigation. The prior litigation involved a refund order, an appeal against it, and a subsequent CESTAT order that upheld the petitioner's refund entitlement.
Key Issues
Whether a GST demand can be sustained when the basis for it has been overturned by a higher appellate authority in prior proceedings. Whether the adjudicating authority erred by relying on an order that was subsequently set aside.
Sections Cited
Rule 5 of the CENVAT Credit Rules, 2004
AI-generated summary — verify with the full judgment below
W.P.(C) 11957/2025 $~ * IN THE HIGH COURT OF DELHI AT NEW DELHI
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Judgment reserved on: 19.08.2026 Judgment pronounced on: 14.09.2026
Judgment uploaded on: 14.09.2026
# CNR No. DLHC010552522025 + W.P.(C) 11957/2025, CM APPL. 48790/2025 and CM APPL. 44034/2026
WELSPRING UNIVERSAL
.....Petitioner Through: Mr. Kunal Sharma and Ms. Rishika Goyal, Advs.
versus
ADDITIONAL COMMISSIONER OF CENTRAL GST .....Respondent Through: Mr. Brijesh Yadav, SPC with Ms. Nikita, Mr. Sandeep Yadav, Mr. Sawan Saini, Mr. Anirudh Nagar, Mr. Atul Yadav & Mr. Kunal Chaudhary, Advs.
CORAM: HON'BLE MR. JUSTICE ANIL KSHETARPAL HON'BLE MR. JUSTICE SHAIL JAIN J U D G M E N T ANIL KSHETARPAL, J.:
The issue which arises for consideration in the present Petition is whether the demand confirmed against the Petitioner pursuant to the Demand-cum-Show Cause Notice dated 10.12.2019 can be sustained, Signed By:JAI NARAYAN Signing Date:14.09.2026 14:
The judgment continues below.
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