Fraudulent ITC Claims Severely Harm GST System, Writ Jurisdiction to Be Used Sparingly: Delhi HC

The Delhi High Court has stated that "fraudulent ITC claims severely harm the GST system" and "writ jurisdiction should be used sparingly" in such cases. The court observed that while writ petitions are a constitutional remedy, they should not be routinely entertained for disputes involving blatant fraudulent Input Tax Credit claims, as such activities undermine the entire GST framework. This stance indicates the court's strict approach against tax evasion, emphasizing that taxpayers involved in fraudulent activities should primarily seek remedies through the regular appeal mechanisms rather than directly invoking extraordinary writ jurisdiction.