The Supreme Court directed the Union of India to submit detailed data on the level of compliance by assessees with the statutory timelines prescribed under the Goods and Services Tax (GST) law for availing Input Tax Credit (ITC).
The order came during the hearing of Bar Code India Ltd. vs. Union of India & Others (SLP (C) No. 7500/2025), which challenges a 2024 judgment of the Punjab and Haryana High Court concerning the interpretation of Section 16(4) read with Sections 37(3) and 39(9) of the Central Goods and Services Tax (CGST) Act, 2017.
A Bench of Justice Sanjay Kumar and Justice Alok Aradhe directed the Additional Solicitor General (ASG) N. Venkataraman, representing the Union of India, to file an affidavit furnishing data on how other assessees across the country have adhered to the statutory timelines for claiming ITC.
The Court observed that the data would be crucial to assess the extent of compliance and the practical challenges faced by taxpayers in meeting the deadlines specified under Section 16(4) — a provision that has been at the center of numerous disputes regarding the cut-off date for availing input tax credit.
The Bench listed the matter for further hearing on December 2, 2025, directing that it should retain its position on the cause list, thereby treating it as a matter of continuing importance.
Section 16(4) of the CGST Act sets a time limit for availing ITC on invoices or debit notes for a financial year — generally up to November 30 of the following year or the filing date of the annual return, whichever is earlier.
Sections 37(3) and 39(9) relate to the filing and rectification of details of outward and inward supplies, respectively, linking the ITC claim timeline to the GST return process.
Case Details
Case Title: Bar Code India Ltd. vs. Union of India & Others
Case No.: SLP (C) No. 7500/2025
Date: 07-10-2025
Counsel For Petitioner: Pranay Shridhar Chitale, AOR
Counsel For Respondent: N. Venkataraman, A.S.G.
