Section 140(3)(iv) held unconstitutional by Gujarat High Court
Case of Filco Trade Centre Pvt Ltd Vs UoI reported in 2018-TIOL-120- HC-AHM-GST
Issue in brief—Challenge to Section 140(3)(iv) of CGST Act, 2017 on the ground that it prevented first stage dealers from claiming credit on invoices which were more than a year old from the appointed date – Vested right accrued under existing law – provision takes away the right retrospectively.
The Gujarat HC held that no just, reasonable or plausible reason is shown for making such retrospective provision taking away the vested rights - clause (iv) is unconstitutional – It disagreed with the decision of Bombay High Court in JCB India Ltd. - 2018-TIOL-23-HCMUM-GST
However, at the request of counsel for the Revenue this judgment stayed up to 31.10.2018 |