ITC Denial to Bona Fide Purchaser Solely Due to Retrospective Cancellation of Seller’s GST Registration – Supreme Court Issues Notice

 

 

The Hon’ble Supreme Court was pleased to issue notice in SLP(C) No. 31296/2025 (Roshan Sharma v. Dy. Commissioner of Revenue, State Tax & Anr.), arising from Calcutta High Court’s order dated 28.08.2025 in MAT 1212/2025, which refused interference with the adjudication order and directed the petitioner to pursue appellate remedy.

The petitioner’s principal argument, was that Input Tax Credit cannot be denied solely because the seller’s GST registration stood cancelled retrospectively post-transaction; at the time of purchase, the seller held valid registration and was filing returns, rendering the subsequent retrospective cancellation insufficient to deny the benefit of ITC.

The Hon’ble Division Bench of Justice J.B. Pardiwala and Justice K.V. Viswanathan was pleased to issue notice to the State Respondents vide its order dated 10.11.2025.

The copy of the order is as under:

61042_2025_8_33_65581_Order_10-Nov-2025