GST: ITC cannot be denied if the supplier’s GSTIN was active at the time of the transaction
Here is a favourable Judgment on Subsequent Cancellation of Supplier’s GST Registration in the case of Solvi Enterprises v. Additional Commissioner [2025] 173 taxmann.com 25 (Allahabad) by Hon’ble High Court of Uttar Pradesh vide its order dated 24-03-2025.
The issue was with regard to the date of the transaction was prior to the cancellation of the supplier’s GST registration. The supplier was duly registered under GST at the time of the transaction. The court held that no adverse inference can be drawn against the purchasing dealer (petitioner) merely because the supplier’s registration was cancelled later. Input Tax Credit (ITC) cannot be denied if The supplier’s GSTIN was active at the time of the transaction, GSTR-1 (outward supply return) and GSTR-3B (summary return) were properly filed reflecting the transaction.
The copy of the order is as under:
