The Andhra Pradesh High Court ruled that a composite GST assessment covering multiple financial years infringed statutory provisions and required individual assessments for each year.
AP HC: Composite GST Assessments for Multiple Years Invalidated
The Andhra Pradesh High Court has set aside a GST assessment order covering multiple financial years, stating that such a composite assessment violates Sections 73 and 74 of the GST Act. The Court has remanded the matter for separate assessment proceedings for each financial year involved.
This ruling clarifies the statutory requirement for distinct assessments per financial year, reflecting the separation of liabilities and limitations periods for GST purposes. The judgment underscores that aggregating periods into a single assessment can lead to confusion and non-compliance with the legal framework.
Tax practitioners should take heed of this decision, as it reinforces the necessity of distinct assessment processes and may influence future cases involving multi-year tax assessments.
Citations
- AP HC (2026)
