Incomplete Review of E-Invoice and E-Way Bills: Madras HC Criticises GST Dept, remands Order

The Madras High Court criticized the GST department for an incomplete review of e-invoices and e-way bills, leading to an inappropriate penalty on the petitioner. The court highlighted that the petitioner, Tvl. M.S.V. Lakshmi Traders, was incorrectly penalized despite their annual return indicating a turnover below the e-invoice threshold of ₹5 crore. This error was rectified in the GSTR-9 filing, but the penalty and detention of goods were imposed based on the earlier mistake. The court quashed the penalty order and allowed the petitioner to seek a refund, underscoring the importance of accurate filings and fair tax administration practices.