2024 (12) TMI 1576 - HC - GST

Constitutional validity of Rule 96(10) and 89(4)b of the Central Goods and Service Tax Rules 2017 have been omitted with effect from 8 October 2024 - HELD THAT - This Court in Prashi Pharma Pvt Ltd Vs Union of India Ors has restrained the Respondents from proceeding with the impugned show cause notice. Considering the submissions made by way of ad interim relief the Respondents is restrained from taking any further steps in pursuance of the impugned show cause notice until the next date. These matters are posted on 4 February 2025.

Summary

Summary:The Bombay High Court, through M.S. Sonak and Jitendra Jain, JJ., addressed multiple writ petitions concerning the omission of Rule 96(10) and 89(4)(b) of the Central Goods and Service Tax Rules, 2017, effective 8 October 2024. Counsel for the Respondents requested time to file replies by 15 January 2025, with rejoinders due by 27 January 2025.The Petitioners highlighted that prior to the omission, the Kerala High Court had declared Rule 96(10) "ultra vires and unconstitutional," and several High Courts had restrained Respondents from acting on show cause notices issued post-omission. The Petitioners further noted this Court's earlier restraint in Prashi Pharma Pvt Ltd v. Union of India & Ors (WP No. 2828 of 2021) against proceeding with similar notices.Relying on these submissions, the Court granted ad interim relief, expressly "restrain[ing] the Respondents from taking any further steps in pursuance of the impugned show cause notice until the next date," and scheduled the matter for hearing on 4 February 2025.