RK GST Helper

📢 𝐑𝐞𝐠𝐢𝐬𝐭𝐞𝐫𝐞𝐝 𝐮𝐧𝐝𝐞𝐫 𝐑𝐮𝐥𝐞 𝟏𝟒𝐀 𝐚𝐧𝐝 𝐩𝐥𝐚𝐧𝐧𝐢𝐧𝐠 𝐭𝐨 𝐨𝐩𝐭 𝐨𝐮𝐭?

𝐓𝐡𝐞 𝐎𝐩𝐭 𝐎𝐮𝐭 𝐅𝐚𝐜𝐢𝐥𝐢𝐭𝐲 𝐢𝐬 𝐧𝐨𝐰 𝐞𝐧𝐚𝐛𝐥𝐞𝐝 𝐨𝐧 𝐭𝐡𝐞 𝐆𝐒𝐓 𝐏𝐨𝐫𝐭𝐚𝐥. 𝐄𝐥𝐢𝐠𝐢𝐛𝐥𝐞 𝐭𝐚𝐱𝐩𝐚𝐲𝐞𝐫𝐬 𝐜𝐚𝐧 𝐚𝐩𝐩𝐥𝐲 𝐭𝐡𝐫𝐨𝐮𝐠𝐡 𝐅𝐨𝐫𝐦 𝐆𝐒𝐓 𝐑𝐄𝐆 𝟑𝟐.

Please ensure return filing compliance and Aadhaar authentication before applying.

For detailed guidelines, refer to the official advisory here: gst.gov.in/newsandupdates…
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RK GST Helper Adv Rajan Pandey 096705 00090

🚨 GSTN IMS Enhancement!!

A new separate tab has now been provided in Outward IMS to display Rejected Credit Notes etc. - where liability is required to be added back in GSTR-3B

👉 Earlier, we had to manually check all IMS entries to identify such cases.

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RK GST Helper
Adv Rajan Pandey
096705 00090

🚨 URGENT: GST Portal Issue Before 20 Feb GSTR-3B Due Date

As many taxpayers attempt to file January 2026 GSTR-3B, several portal-level restrictions are being reported — despite the GSTN advisory dated 30 January 2026 allowing flexibility in ITC utilisation.

⚠ Reported Issues on Portal:

• SGST ITC not getting utilised towards IGST liability despite sufficient balance
• System forcing complete CGST exhaustion before allowing SGST set-off (Error Code: LG9079)
• Certain auto-populated tables appearing locked / non-editable
• Increased risk of last-minute interest due to system constraints

📌 What the Advisory Clarified (30 Jan 2026)

After exhausting IGST credit, taxpayers are allowed to utilise CGST and SGST in any sequence towards IGST liability.

If the portal restricts this sequence — it appears to be an operational system issue, not a legal non-compliance.

💡 Practical Safeguards for Taxpayers & Advocate's:

✔ Refresh / re-login / try different browser
✔ Take screenshots of: – Electronic Credit Ledger
– Set-off computation
– Error codes (especially LG9079)
✔ Raise grievance ticket quoting advisory dated 30.01.2026
✔ Maintain working papers showing intended utilisation

⚖ Important:

Interest under Section 50 should not arise due to system-level restrictions where credit was validly available.

Documentation is critical.

📢 Are you facing LG9079 error today?

Comment your experience below 👇

Let’s track this collectively.
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🚨 BIG RELIEF FOR CHARITABLE TRUSTS & HOSPITALS UNDER SECTION 12AB! 🚨

A significant ruling by the Delhi ITAT in

ITA No. 3097/Del/2025
Seth Panna Lal Charitable Trust vs. CIT (Exemptions)

has clarified the limited scope of enquiry at the time of 12AB registration / renewal.

🔎 What ITAT Clearly Held:

At the stage of granting or renewing registration u/s 12AB, the Commissioner can examine ONLY:

✅ Whether the objects are charitable (as per Section 2(15))
✅ Whether the activities are genuine in a broad sense

❌ What CANNOT Be Done at 12AB Stage:

The CIT(E) cannot convert renewal into a mini-assessment by questioning:

Heavy year-end donations
Donations in round figures
Same-day receipt & onward donation
Related party loans/transactions
Surplus parked in fixed deposits
Investment patterns

Unless there is clear evidence of:

Bogus entities
Private benefit
Diversion of funds
Non-charitable use

⚖️ Important Legal Principle Clarified:

Issues like:

Application of income
Violation of Section 11/13
Computation issues
Mode of investment
Allowability of exemption

👉 These belong to the Assessing Officer during assessment u/s 143(3)
👉 NOT at the registration/renewal stage.

📌 Why This Is Big?

Many large trusts (₹500–800+ crore receipts) were facing:

Unnecessary objections
Deep-dive scrutiny
Delayed renewals
Technical rejections

This ruling limits administrative overreach and restores the true legislative intent behind Section 12AB.

👏 Bench:

Sh. Anubhav Sharma (JM)
Sh. Krinwant Sahay (AM)

Clear, structured, and legally sound reasoning.

📚 If you manage or audit:

Charitable Trust
Hospital/Medical College Trust
NGO
12AB / 80G registered entity

👉 This order is worth keeping in your legal reference folder.

⚠️ Educational post only. Each case depends on facts. Always examine specific trust documents before relying on precedent.

゚ RK GST Helper Facebook

🚨 Myth vs Fact: E-Way Bill & 50 KM Rule
Myth:

“If goods are transported within 50 km, E-Way Bill is not required.”
❌ False

✅ Correct Rule (As per GST Law)
🔹 E-Way Bill is mandatory when the consignment value exceeds ₹50,000
🔹 Distance (1 km or 500 km) does not matter

🤔 Then where does the 50 KM rule apply?
The 50 km relaxation is only for Part-B (Vehicle Details) in specific cases:
✔ Movement within the same state
✔ From consignor to transporter or vice versa
✔ Distance is within 50 km

👉 In such cases, Part-B may not be required,
but E-Way Bill generation is still compulsory (if value > ₹50,000).

🎯 Final Takeaway
Value decides E-Way Bill, NOT distance.
₹50,000+ consignment = E-Way Bill Required, even for 1 km transport.

“Distance doesn’t matter. Value triggers the E-Way Bill!”
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🚨 GST INVOICE MYTH BUSTED 🚨

“If cash payment exceeds ₹50,000, full buyer details are mandatory on the GST invoice.”

❌ This belief is legally incorrect.

📜 What the law actually says (Rule 46(e), CGST Rules):
The ₹50,000 limit is NOT linked to cash payment.
It applies to the taxable value per invoice, not the mode of payment.

✅ When are buyer details mandatory?

Only if:
✔️ The buyer is unregistered, and
✔️ Taxable value per invoice exceeds ₹50,000

🧾 What needs to be mentioned on the invoice?

🔹 If taxable value is ₹50,000 or less:
✔️ Mentioning “Cash / Cash Sale” is sufficient
❌ Buyer name and address are not mandatory

🔹 If taxable value exceeds ₹50,000:
✔️ Buyer Name
✔️ Buyer Address
✔️ State Code

❌ PAN is not mandatory
❌ Aadhaar is not required
❌ Full KYC is not required

⚖️ Important Practical GST Point

A minor invoice defect does not automatically attract penalty,
unless intent to evade tax is established.

🎯 This clarity is crucial for:

✅ GST Audits
✅ Department inspections
✅ SCN replies
✅ Day-to-day billing compliance

📌 In GST, compliance is driven by rules — not assumptions.

👉 Save | Share | Educate your accounts team

—
RK GST Helper
096705 00090
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🚨 Don’t Let Your GST Appeal Become TIME-BARRED! 🚨

Under Section 107 CGST Act:

✅ 3 months from communication of order
✅ Maximum 1 month condonable delay
❌ After 120 days – Appeal is dead in most cases

High Courts are clear – statutory timelines cannot be stretched casually.

🔎 Pro Tips from RK GST Helper

• Track communication date (not just order date)
• File early – avoid last-day portal risks
• If delayed, file condonation within that extra 1 month
• Maintain medical / technical evidence properly

⚠ Limitation is procedural — but consequences are substantive.

Save this post. Share with clients. Deadlines don’t forgive.

Disclaimer: Educational post only. Limitation issues are fact-specific. Consult your tax professional before acting.

゚ Adv Rajan Pandey

🚨 GST Cancellation? Don’t Ignore ITC Reversal — It’s Mandatory! ⚠️

If your GST registration is being cancelled — whether voluntarily or by the department

— remember:

You are legally required to reverse ITC under Section 29(5) of the CGST Act read with Rule 44.

You must reverse ITC on:

✅ Inputs lying in stock
✅ Inputs contained in semi-finished goods
✅ Inputs contained in finished goods
✅ Capital goods (ITC reduced @ 5% per quarter, i.e., over 5 years)

📌 Critical Compliance Points (2026 Ready)
🔹 Calculation must be done as on the day immediately preceding the date of cancellation
🔹 Amount payable is treated as output tax liability
🔹 Can be paid via Electronic Credit Ledger or Cash Ledger
🔹 File Final Return – GSTR-10 within 3 months from date of cancellation order (Section 45 + Rule 81)

Failure to comply may trigger:
Demand notices
Interest liability
Recovery proceedings

⚖️ Important Judicial Relief
Recent High Court rulings (including Andhra Pradesh HC) indicate:
If the GST cancellation order is later set aside or revoked, the consequential ITC reversal demand may not survive.

However, this depends on facts of each case — proper legal follow-up is essential.

💡 Practical Advice Before Applying for Cancellation
✔ File all pending returns
✔ Reconcile ITC with stock register
✔ Compute capital goods reversal correctly
✔ Maintain working papers for future audit
✔ Take professional advice before submitting REG-16

GST cancellation is not just a formality — it has financial consequences.

Have you handled ITC reversal during cancellation recently?
Share your experience below 👇
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**Death Sent Him to Heaven,

But the System Sent His Family a GST Demand**

A Conversation That Stayed With Me

Yesterday, a young man came to meet me.

There was exhaustion in his eyes.
Fear in his voice.
And confusion in every word.

He said:

“Sir…
My father passed away a few days ago.
Even the rituals are not over yet…
And a GST Demand Order has arrived in his name.”

He paused.

Then softly added:

“I don’t know anything about my father’s business.
I never managed it.
I don’t intend to continue it either.

This GST mess…
How do I get out of it?”

At that moment, it was clear—

👉 This is not just his problem.
👉 This is the problem of hundreds of families
who lose a loved one—and then are forced to fight notices instead of grieving.

That is why this article.

Where Does the Problem Begin?

The story is almost always the same:

🔥 A sole proprietor passes away
🔥 The family is in mourning
🔥 But the GST registration remains active

And then—

📩 Show Cause Notices
📄 Demand Orders

Issued in the name of a person who is no longer alive.

Naturally, families ask:

❓ Who will reply?
❓ Who will attend hearings?
❓ From whom will recovery be made?

And the department often gives one standard answer:

“Section 93 is applicable.”

But the real question is—

👉 What does Section 93 actually say?
👉 And is the department using it correctly?

Section 93 of the CGST Act — Truth vs Misconception

Section 93 provides that:

If a taxable person dies—

1️⃣ If the business is continued,
the person who continues it becomes fully liable.

OR

2️⃣ If the business is discontinued,
the legal heir is liable only to the extent of the estate inherited.

So far, so good.

But here is the most ignored and most important point:

⚠️ Section 93 is a recovery provision.
⚠️ It is NOT an adjudication or assessment provision.

Meaning—

✔️ It explains from whom tax can be recovered
❌ It does NOT explain against whom proceedings can be initiated

So the real legal questions are:

❓ In whose name can a notice be issued?
❓ Who must be heard?
❓ In whose name can an order be passed?

These questions go to the root of legality.

When Courts Were Asked to Decide
1️⃣ Rajvanti Devi vs State of U.P.

Writ Tax No. 142 of 2026
Allahabad High Court | 29.01.2026

In this case:

The department passed an order in the name of a deceased person

And attempted recovery from the legal representative

The Court clearly held:

👉 Section 93 talks about liability,
👉 But it does not permit adjudication against a dead person

Therefore:

🔥 Any SCN or order issued in the name of a deceased person is invalid.

The Court further ruled:

✔️ If the department wants to hold a legal representative liable,
✔️ They must issue notice to that legal representative
✔️ And grant proper opportunity of hearing

This is not a formality—
It is a mandatory legal requirement.

2️⃣ Baratham Satish vs JC of Central Tax

Writ Petition No. 6029 of 2025
Andhra Pradesh High Court | 24.12.2025

The Court went even further and clarified:

👉 Proceedings cannot continue against a dead person.

However—

✔️ Tax dues can be determined afresh
✔️ By involving the legal representative

But with one strict limitation:

❌ Personal income or personal assets of the legal heir cannot be touched
✔️ Recovery is limited only to the estate inherited

In Simple Words

You cannot issue notices
to someone who can no longer hear.
You cannot demand explanations
from someone who no longer exists.

Law does not permit
convenience at the cost of justice.

Who Is a “Legal Representative”?

Not decided by:

❌ Relationship alone
❌ Name in records

It is decided by reality:

✔️ Who inherited the assets
✔️ Who received the estate

That person—and only that person—can be treated as a legal representative.

What Families Should Do After Death of a Sole Proprietor

1️⃣ Immediately submit the Death Certificate to the department

2️⃣ If the business is continued

Change authorised signatory

Transfer ITC using ITC-02

3️⃣ If the business is discontinued

Inform the department

Apply for GST cancellation

4️⃣ In all communications:

Mention the relationship clearly

Use the term “legal representative” cautiously

5️⃣ If you inherit assets,

You inherit responsibility only to that extent

6️⃣ Remember—
This is a digital ecosystem
Banks, GST portal, property records—all are interconnected
Every decision must be taken consciously

The Principle Is Simple

Whoever inherits the estate,
answers to the demand—
only to that extent.

Whoever inherits nothing,
owes nothing.

Disclaimer

⚠️ This article is for general awareness only
⚠️ Creative narration is used for easier understanding
⚠️ Do not take tax or legal decisions solely based on this article
⚠️ Always consult your Tax Consultant or Legal Advisor
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🔔 GST Update – Composition Scheme (FY 2026–27)
Form CMP-02 is now available on the GST portal.
🗓️ Last date to apply: 31st March 2026

👉 Path: Services → Registration → Application to Opt for Composition Levy

✔️ Simplified compliance
✔️ Fixed rate GST

📌 Check eligibility before filing.

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RK GST Helper Adv Rajan Pandey