Case Details: Dar Al Handasah Consultants (Shair and Partners) India (P) Ltd. vs. Union of India [2026] 182 taxmann.com 821 (Bombay)
Judiciary and Counsel Details
- G. S. Kulkarni & Aarti Sathe, JJ.
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Prakash Shah, Sr. Adv., Jas Sanghavi & Suyog Bhave for the Petitioner.
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Ram Ochani, Suman Kumar Das, Ashutosh Mishra, Ms Shruti D. Vyas, Addl. G.P. & Aditya R. Deolekar, AGP for the Respondent.
Facts of the Case
The petitioner was engaged in the export of engineering services. It imported capital goods in the past and lawfully claimed exemption under Chapter 6 of the Foreign Trade Policy (FTP). Subsequently, it filed an application to exit the Software Technology Park (STP) scheme and to de-bond the capital goods imported earlier. While exiting, it was required to pay the applicable customs duty, along with IGST. The petitioner availed the IGST amount as ITC in its Electronic Credit Ledger. Later, the petitioner was served with a show cause notice that the tax paid for debonding did not fall under input tax and was not eligible as ITC. The petitioner filed a reply to the notice, denying its liability to pay the amounts demanded. However, the authority passed an Order-in-Original confirming the proposal of demand under the show cause notice. Aggrieved by the order, the petitioner filed a writ petition to the Bombay High Court.
High Court Held
The Court held that the petitioner was to be allowed to file an appeal in respect of the disputed amounts. The petitioner was allowed to file an appeal within six weeks before the Joint Commissioner (Appeals).
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