Order to Be Set Aside as ITC Cannot Be Denied Due to Wrong Address and GSTN in Invoices | HC

Case Details: B Braun Medical India (P.) Ltd. vs. Union of India - [2025] 172 taxmann.com 534 (Delhi)

Judiciary and Counsel Details

• Pratibha M. Singh & Rajneesh Kumar Gupta, JJ.
• Tarun Gulati, Sr. Adv., Ms Ashwini Chandrasekaran, Mahir Chablani & Devansh, Advs. for the Petitioner.
• Shubham Tyagi, SSC for the Respondent.

Facts of the Case

The petitioner, a registered taxpayer, was subjected to a demand order alleging an excess claim of input tax credit (ITC) due to an inadvertent error in the invoices issued by the supplier. The invoices correctly mentioned the petitioner’s name; however, they reflected the GSTN and address of the petitioner’s Bombay office instead of its Delhi office, where the credit was availed. The tax authorities, relying solely on this discrepancy, denied the ITC claim. The petitioner contended that this was a clerical error on the part of the supplier and argued that such a minor error should not result in a significant financial burden, particularly when the transaction was genuine and all other details were correctly reflected.

High Court Held

The Hon’ble High Court held that the only basis for rejecting ITC was the mention of the Bombay office GSTN instead of the Delhi office GSTN. The court noted that the petitioner’s name was correctly mentioned in the invoices, and there was no dispute regarding the genuineness of the transaction. It was observed that if credit was not granted due to such an error on the part of the supplier, it would cause substantial financial loss to the petitioner. Accordingly, the court set aside the impugned order and ruled in favour of the petitioner.