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2022 (3) TMI 1153 - HC - GSTRestriction on Input Tax Credit (ITC) - Constitutional validity of Section 17(5)(d) of the Central Goods and Services Tax Act, 2017 - vires of Articles 14, 19(1)(g), 300A and 265 respectively of the Constitution of India or not - HELD THAT:- It appears on plain reading of the provision in question that the input tax credit has not been made available in respect of the goods or services or both received by a taxable person for construction of an immovable property [other than plant or machinery] on his own account including when such goods or services or both are used in the course or furtherance of business - Sub-section (5)(d) of Section-17 has provided an explanation. According to the explanation, the expression “construction” would include re-construction, renovation, additions or alterations or repairs, to the extent of capitalization of the said immovable property. It has been brought to our notice that the very same provision of the Act, 2017 was made a subject matter of challenge before the High Court of Orissa in the case of M/S. SAFARI RETREATS PRIVATE LIMITED AND ANOTHER VERSUS CHIEF COMMISSIONER OF CENTRAL GOODS & SERVICE TAX & OTHERS [2019 (5) TMI 1278 - ORISSA HIGH COURT] wherein, the High Court declined to declare Section-17(5)(d) of the Act as ultravires, but thought fit to read it down. Let Notice be issued to the respondents, returnable on 06.04.2022. Notice shall also be issued to the learned Attorney General of India. Notice to the respondents nos.1, 2 and 3 respectively shall be served by E-mail.
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