GST – Availment of Input Tax Credit – Actual physical movement of goods is essential including vehicle number, payment of freight, acknowledgement of taking delivery of goods, payment, etc.
GST – Availment of Input Tax Credit – Actual physical movement of goods is essential including vehicle number, payment of freight, acknowledgement of taking delivery of goods, payment, etc.
The Petitioner – registered dealer engaged in purchase and sale of waste materials, plastic / paper and metal scrap. In April 2018 to September 2019, the turn of Rs.34,22,634/- was disclosed with input tax credit of Rs.6,16,074.12/-.
On 23.1.2019, the show cause notice under Section 74 of the UP GST Act was issued on the ground of wrong availment of input tax credit. After considering the reply, it was declined vide demand order dated 4.10.2019.
The appeal was rejected by the order dated 6.3.2021.
In this case, the petitioner had produced tax invoices, e-way bills, GR and banking payment but rest of the details showing actual physical movement of goods and genuineness of transaction were not produced.
The writ petition was dismissed by the judgment dated 18.10.2023 in the case of M/s. Malik Traders Vs. State of U.P. and two others (Allahabad High Court)
