HC puts on hold over` 16000 Cr GST notice to J&K Bank

Srinagar, Apr 8: The High Court of J&K and Ladakh Tuesday stayed demand notice issued by the Goods and Services Tax (GST) Department against J&K Bank asking it to pay  Rs 16,000 Crore – Rs 8000 crore as Service Tax and Rs 8000 crore as penalty for three financial years.

Seeking response to a plea challenging show-cause notice and demand notice against the Bank, a bench of Justice Rajnesh Oswal and Justice Muhammad Yousuf Wani said: “In the meantime subject to the objections from other side, the operation of the orders impugned in this petition shall remain stayed”.

The court put on hold the show-cause and demand notice after it noted that certain issues raised by the Bank were required to be adjudicated.

J&K Bank through its counsel Tasaduq H Khawja has petitioned Court challenging the show-cause notice and demand notice against the Bank.

The Court issued notice to Ministry of Finance, Department of Revenue, Government of India, through its Secretary (Revenue), Goods and Services Tax Council through its Chairperson, Ministry of Finance; Central Board of Indirect Taxes & Customs through its Chairman, Commissioner Central Goods and Services Tax, Divisional-Jammu and Additional Commissioner/Joint Commissioner  Central Goods and Services Tax Jammu and Assistant Commissioner (Preventive), Central Goods & Services Tax, Divisional-Jammu.

Besides it issued notice to J&K government through its Principal Secretary Finance Department.

Source : https://www.greaterkashmir.com/business/hc-puts-on-hold-over-16000-cr-gst-notice-to-jk-bank/