📰 Bombay High Court Slams Tax Authorities: Illegal Debit of INR 62,32,400 Without Consent

📢 Bombay High Court condemned the tax authorities for high-handed actions and harassment of taxpayers after they debited INR 62,32,400 from the petitioner's account without proper legal authority or consent.

🔍 𝗙𝗮𝗰𝘁𝘀: 𝗖𝗮𝘀𝗲 𝗧𝗶𝘁𝗹𝗲: Pradeep Kumar Siddha vs Tax Authorities 𝗖𝗮𝘀𝗲 𝗡𝘂𝗺𝗯𝗲𝗿: WRIT PETITION NO. 8298 OF 2022 𝗗𝗮𝘁𝗲: 28-Apr-2023

𝗜𝘀𝘀𝘂𝗲: The tax authorities froze and debited funds from the petitioner's Axis Bank account, despite a previous court order to unfreeze the account. They relied on Section 79(1)(c)(i) of the CGST Act, which the court later found inapplicable.

𝗣𝗿𝗼𝗰𝗲𝗲𝗱𝗶𝗻𝗴𝘀: The court demanded a personal affidavit from the officer responsible, explaining the legal grounds for this action. It further criticized the authorities for abusing their power, which led to harassment of the taxpayer.

⚖ 𝗝𝘂𝗱𝗴𝗺𝗲𝗻𝘁: The court ordered the respondents to deposit the wrongfully debited amount with the Registrar, and ultimately directed the amount to be credited back to the petitioner's account. The court also warned of potential action against the responsible officer if the explanation provided was unsatisfactory.

📜 This case serves as a critical reminder of the need for accountability, transparency, and fair treatment of taxpayers. It highlights the importance of preventing misuse of power by tax authorities, especially in situations where taxpayers are wrongfully targeted. Team GSTpanacea 7503031378