Moneycontrol.com-Centre's retrospective GST amendment in Budget 2025 may face legal scrutiny
Centre's decision to amend a section of the Good and Services Tax (GST) Act retrospectively in the Union Budget for 2025-26 may face legal scrutiny, as the government’s review petition on a case related to the issue is expected to come up before the Supreme Court in the coming weeks, tax experts told Moneycontrol.
The case pertains to Section 17(5) of the GST Act which limits the eligibility for Input Tax Credit (ITC) for any item listed under the section. Read more on the proposed amendment here.
The GST amendment pertains to a Supreme Court verdict dated October 11,2024 which had allowed infrastructure companies to offset GST paid on purchase of building materials for a property against GST payable on renting or leasing of such a property.
