Vindhya Spinning Mills Private Limited Vs Assistant Commissioner of CGST And Central Excise

Date: July 13, 2026

Court: High Court
Bench: Madras
Type: Writ Petition
Judge(s)/Member(s): D.BHARATHA CHAKRAVARTHY
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Subject Matter

Refund of Accumulated ITC Allowed Even When Principal Input and Output Tax Rates are Identical

Input Tax CreditRefundInverted Duty Structure

Summary

The High Court has allowed two writ petitions, setting aside orders that rejected refund claims for accumulated unutilized input tax credit (ITC). The Court held that a refund under an inverted duty structure (Section 54(3)(ii) of the CGST Act) is pe…

FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT These two writ petitions involve identical issues and are, therefore, taken up together and disposed of by this common order. 2. In W.P.(MD)No.16757 of 2025, the petitioner challenges the order dated 17.03.2025. The petitioner’s case is that it is engaged in the manufacture of combed cotton yarn. For this purpose, the petitioner purchases raw co…

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