Calcutta High Court Stays Demand Order Confirming Payment Reversal Of ITC Due To Cancellation Of Supplier's Registration

The Calcutta High Court has stayed an order demanding payment reversal and Input Tax Credit (ITC) cancellation due to a supplier's registration cancellation, stating that the GST authority's actions were premature. \r

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The court noted that the cancellation was pending appeal, making the demand unsustainable. It emphasized that such actions should await the outcome of appeal processes to ensure fairness and compliance with legal principles. This decision underscores the importance of procedural fairness in GST disputes and protects the rights of affected parties pending final adjudication.