Bombay HC says No Percentage-Based Pre-Deposit for Disputed Interest Alone

The Bombay High Court protected a taxpayer from recovery of disputed GST interest while its appeals were pending before the GST Appellate Tribunal. The Court held that Section 112(8)(b) prescribes a percentage-based pre-deposit with reference to the disputed tax, and does not extend that requirement to a dispute confined to interest where the underlying tax has already been paid. Consequently, recovery of the disputed interest stood stayed under Section 112(9), and the consequential bank recovery notices were quashed.