Gujarat HC issues notices to Centre, State on limiting input tax credit in GST

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The Gujarat High Court has issued notices to Centre and the State Government, besides three others, on limiting the input tax credit to assessees in case the details have not been uploaded by the supplier.

The Central Board of Indirect Taxes & Customs (CBIC) tweaked the ITC norms by bringing in a new section ‘36(4)’ in the Central Goods and Services Tax Rules, 2017 and it was notified on October 9.

This section has been challenged in the High Court of Gujarat. After the first hearing, the Court issued notices to five respondents, including the GST Council, the CBIC and the Goods and Services Tax Network (GSTN), and fixed December 18 as the next date of hearing.

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