Karnataka HC Grants Fresh Hearing Before GST Demand Enforcement

The Karnataka High Court, by its order dated 10 June 2026, granted relief to a taxpayer whose GST demand under Section 74 had been confirmed ex parte and whose appeal was dismissed as time-barred. 

Observing that the adjudicating authority ignored the taxpayer's earlier response to Form GST DRC-01A, along with invoices, e-way bills and bank statements, the Court deferred enforcement of the demand and directed the assessing authority to provide one final opportunity to establish the genuineness of the transactions before proceeding further.