The Hon’ble Madras High Court in M/s. Fathima Traders v. The Deputy Commercial Tax Officer [W.P. Nos. 22419, 22420 & 22422 of 2023 dated June 12, 2026] quashed the orders passed by the Adjudicating Authority denying Input Tax Credit (“ITC”) to the Assessee solely on the ground that the supplier’s GST registration had been cancelled with retrospective effect from July 01, 2017 and held that without examining whether the Assessee had established genuine supply of goods through invoices, e-way bills, lorry receipts and other supporting documents, the ITC claim could not have been rejected merely on the ground of retrospective cancellation of the supplier’s registration.
