Indirect Tax and GST : Law on Cross- Examination in Cases involving ITC Answered by HC in a Recent Judgment passed in June 2026

Indirect Tax and GST : Law on Cross- Examination in Cases involving ITC Answered by HC in a Recent Judgment passed in June 2026

It has been held that in quasi-judicial proceedings, the right of cross-examination is not absolute. 

It was noted that in the case at hand, the allegation against the respective petitioner was that ITC was availed without a genuine supply being made. High Court said that this could have been countered by filing an appropriate reply enclosing documents such as invoices, e-way bills, transportation receipts and the like. In this factual context, mere denial of right of cross-examination does not vitiate proceedings against the respective petitioner. 

High Court therefore refused to exercise discretionary jurisdiction under A.226.

However, option of filing appeal was left open. 

Case reference is MNS Enterprise v. Additional Commissioner of GST And Central Excise [2026] GCtR 381 (Madras).