Supreme Court Stays Tripura HC's Section 16(2)(c) Ruling
The Supreme Court has stayed the Tripura High Court's ruling that protected a bona fide GST purchaser from Input Tax Credit denial caused solely by its supplier's tax default, listing the matter for final disposal on 17 September 2026.
Read the briefingP&H HC: Improvement Trust, Bathinda's Plot-Sale Surplus Doesn't Deny Charitable Status
The Punjab and Haryana High Court has held that a statutory improvement trust does not lose its charitable status merely because it earns a surplus selling developed plots, where that surplus funds genuine public welfare.
Read: Case ExplainedIncome Tax
The ITAT Delhi has quashed a Rs 53.50 lakh reassessment because the Assessing Officer never issued the mandatory Section 143(2) notice — holding that the taxpayer's complete participation in proceedings could not cure the missing notice.
Read: ITAT Delhi: Missing Section 143(2) Notice Invalidates Reassessment Even With Taxpayer ParticipationDid You Know
Section 292BB is often assumed to broadly protect the Department once a taxpayer cooperates — but it only cures defects in HOW a notice was served, never the complete absence of one. A fully cooperative taxpayer still won this week because the required Section 143(2) notice was never sent at all.
Read: A notice that was never sent, and a shield that couldn't be improvisedWhat's the Penalty?
Your client's supplier collected GST, disclosed it in GSTR-1, but never deposited it — filing 'Nil' GSTR-3B instead. The department now wants to reverse your client's entire ITC under Section 16(2)(c), with no allegation of collusion. Your client has heard of a High Court ruling protecting honest buyers in exactly this situation.