Blogs
Kerala High Court’s Landmark Judgment on GST and Associations
The recent judgment of the Kerala High Court dated April 11, 2025, in the case of Indian Medical Association (IMA) Kerala State Branch vs. Union of India marks a watershed moment in the taxation of services provided by associations to their own members under the Goods and Services Tax (GST) regime. This decision not only struck down a key retrospective amendment, including Section 7(1)(aa) and section 2(17)(e), which had attempted to tax such services but also reaffirmed a...
Read moreCommon mistakes while filing RoDTEP Annual Return
If the RoDTEP claim of an exporter exceeds Rs. 1 crore, he is required to file the ARR within 31st March of the subsequent financial year. For FY 2023-24, the due date to file this return is extended till 30 June 2025[i]. Since this is a new return and involves estimations and assumptions, the exporters and consultants are still familiarizing themselves with the process and computation methods. This increases the chances of inadvertent errors, and wrong filings which may lead to a...
ISD - Advanced Issues
Introduction
Input Service Distributor (ISD) is a concept existing from the Service tax era. In GST regime, by way of Circular 199/2023 and specific interpretation of ISD provisions it was understood to be an optional compliance till 31.03.2024. However, from 1st April 2025 it is mandatory with necessary changes in the ISD definition w.r.t third party invoices which is attributable to another GSTIN or is attributable to two or more GSTINs with same PAN.
Key Features of GST-ISD are:... Read more
GST on Branch Transfers in the Textile Industry: Issues and Solutions
The implementation of GST in India has significantly impacted branch transfers within the textile industry, where the movement of goods between units with separate GSTINs (even under the same PAN) is considered a taxable supply. According to Para 2 of Schedule-I of the Central Goods and Services Tax (CGST) Act, 2017, supplies of goods or services or both between distinct persons, even without consideration, are treated as taxable supplies. This has led to several issues affecting...
Read moreImpact of the US Tariffs on the Textile Industry in India
The United States plays a pivotal role in the global textile and apparel market, both as a major importer and exporter. In 2024, the U.S. imported textiles and apparel valued at approximately $107 billion, marking a 2.6% increase from the previous year. However, during the first half of 2024, imports experienced a 3.58?cline, totaling $49.3 billion, influenced by inflationary pressures and supply chain challenges. The U.S. market is one of the most critical destinations for Indian...
Read moreCase law summary – Indirect Taxation – Mar ‘25
Case law 1 - ITC CANNOT BE DENIED FOR INADVERTENT ERROR IN INVOICE BY THE SUPPLIER
M/s. B. Braun Medical India Pvt Ltd. Vs Union of India & ORS. 2025 (3) TMI 774 – Delhi High Court
Facts:
- Petitioner is engaged in the sale of pharmaceutical products and medical devices.
- Petitioner has purchased a large quantity of products from M/s. Ahlcon Pvt. Ltd. (Supplier).
- The invoices issued by the Supplier inadvertently reflected the Bombay address and GSTIN instead of Delhi...
GST Administration and Dual Jurisdiction: Lessons from the Pinnacle Vehicles Case
The introduction of the Goods and Services Tax in India marked a paradigm shift in the country's indirect tax structure, aiming to create a unified and efficient taxation system. The 101st amendment established the constitutional framework for the GST by giving the Centre and the States simultaneous legislative authority, with the exception of interstate trade and commerce, where the Centre retained sole authority.
However, the implementation of GST has not been without challenges. One of...
Read moreTax Deduction at Source (TDS) under GST – Inter-State Supply
Section 51 of the Central Goods and Services Tax Act, 2017 (Act) is the provision relating to Tax deduction at Source (TDS) under GST, as per which certain recipients (‘customer’), as mentioned in the said provision and also notified vide various notifications, are required to deduct 1 % from payment made or credited to supplier of taxable goods or services and remit to the Government exchequer. This provision has come into force w.e.f. 01-10-2018[1].
However, there is a confusion in...
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