Validity of TR-6 Challan for Import IGST Credit: Madras High Court to Examine
Validity of TR-6 Challan for Import IGST Credit: Madras High Court to Examine
The Madras High Court is set to examine the issue of the validity of TR-6 Challan for Import Integrated Goods and Service Tax (IGST) Credit.
The bench of Justice G. R. Swaminathan has has issued notice and granted interim relief to petitioner/assessee, Data Patterns India Ltd., in a case where credit on IGST paid on imports was denied on the grounds that TR-6 challan is not a valid document for Input Tax Credit (ITC).
Form TR-6 or TR-6 challan (as commonly known), introduced under the Customs Act, 1962, facilitates the payment of customs duties, interest and penalties, serving as an acknowledgment of payment by importers and exporters.
The department has declined ITC claim citing TR-6 challan (used for paying IGST on imports) as insufficient documentary proof for credit eligibility under GST.
The issue raised was whether TR-6 challan qualifies as a valid tax-paying document under Section 16 r/w Rule 36 of the CGST Rules, 2017 – a question with nationwide ramifications for importers.
The Court has issued notice to the Department Granted an interim stay on recovery and allowed the Petitioner to seek further extension of interim relief, if needed.
Case Details
Case Title: M/s Data Patterns India Limited versus Joint Commissioner Of Central Tax
Case No.: WP No. 18161 of 2025 and W.M.P.No.20340 of 2025
Date: 16-05-2025
Counsel For Petitioner: Mr.Nithyesh Nataraj
Counsel For Respondent: S.M.Deenadayalan
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Mariya is the Senior Editor at JurisHour. She has 5+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started as a freelance tax reporter in the leading online legal news companies like LiveLaw & Taxscan.
