Crack the Code

Court Room Series — Bhandari Scrap Traders v. Union of India COURT ROOM SERIES Bhandari Scrap Traders v. Union of India: Section 16(2)(c) of the CGST Act and the ITC Risk for a Bona Fide Recipient The Supreme Court's affirmation of the conditional nature of Input Tax Credit Background: The Supreme Court's decision in Bhandari Scrap Traders v. Union of India & Ors., arising out of Special Leave Petitions (Civil) Nos. 23931/2026, 24088/2026 and 24103/2026, marks an important development in the continuing controversy surrounding Section 16(2)(c) of the Central Goods and Services Tax Act, 2017 ("CGST Act"). The controversy concerns a fundamental question under the GST regime: Can a bona fide recipient be denied Input Tax Credit ("ITC") merely because the supplier, after collecting GST from the recipient, has failed to...

INCOME TAX UPDATE: Notification No. 114/2026 dated 14 August 2026 — Key Points Subject: Foreign Assets of Small Taxpayers – Disclosure Scheme Rules, 2026 01 Key Points Effective date: The Rules come into force from 16 August 2026. Purpose: Provides the procedural framework for the Foreign Assets of Small Taxpayers – Disclosure Scheme, 2026, introduced under Chapter IV of the Finance Act, 2026. Valuation date: Foreign assets/income are generally valued with reference to 31 March 2026. ...