The Legal Library section collates quality and in-depth reports on regulatory developments, court rulings and policy changes authored by India's top law firms and consultants. These reports offer BloombergQuint's subscribers an opportunity to expand their understanding of law and policy.
EY Update
This tax alert summarises a recent ruling of the division bench of Orissa High Court.
In the writ petition, the issue involved was whether pre-deposit required as per Section 107(6) of the Odisha Goods and Services Tax Act, 2017 can be paid by debiting the electronic credit ledger (ECRL).
The petitioner contended that the amount paid as pre-deposit was a percentage of the 'output tax' and thus, balance in ECRL can be used.
The high court observed that the term 'output tax', as defined under Section 2(82) of the Act, cannot be equated with the pre-deposit required to be made under Section 107(6).
Further, Section 41(2) of the Act limits the usage to which the ECRL could be utilised. It cannot be debited for making payment of pre-deposit at the time of filing appeal.
Thus, the high court held that payment of pre-deposit cannot be made by debiting ECRL.
Click on the attachment to read the full report:
DISCLAIMER
This alert does not constitute legal advice and is for information purpose only. This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
