ITC denial for non-compliance with foreign inward remittance certificate format set aside matter remanded {Benayah Solutions v/s Asst. Comm of Commercial Taxes (2025) 33 Centax 277 (Kar.)}
Facts:
- Period 2018–19, ITC was denied to the assessee.
- Reason – Foreign inward remittance certificate (FIRC) not submitted in the prescribed format.
- Later, assessee submitted certificate in correct format, but by then order denying credit was already passed.
- In appeal, assessee filed the documents, but appeal was rejected on ground of delay.
Issue:
Whether ITC can be denied merely because FIRC was not furnished in the prescribed format, despite the assessee having the relevant documents.
Held:
- Assessee had produced documents, though not in the format desired by the department.
- Just because the format was different, it could not be said that no documents were furnished.
- Department should have considered the documents submitted.
- Denial of ITC deprived assessee of a valuable right.
- Orders set aside, matter remanded for fresh consideration.
