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Informative

GST Refund Cannot Be Withheld u/s 54(11) Without Pending Appeal: Delhi HC Directs Payment with Interest

Update / Judgement Date

26 Aug 2025

Source

Taxscan

Author

Team — WCP Legal Desk

Reading Time

1 min read

GSTOther Legal Matters

The Delhi High Court has directed the payment of a "GST refund with interest," ruling that it "cannot be withheld without a pending appeal." The court's decision, which is a significant victory for the taxpayer, was made on the grounds that the company's claim was not supported by evidence. The ruling clarifies that a tax authority can't add a tax to a company's account without a valid reason.