Patna HC says Rule 86A Blocking Must Give Way to Timely Review

Vatsamitra Infrastructure's ₹72 lakh ITC was blocked and debited from its Electronic Credit Ledger under Rule 86A on the ground that invoices were issued by a non-existent supplier. Following an earlier coordinate-bench ruling and CBIC guidelines, the High Court directed the Department to consider any request for restoration after hearing the taxpayer and passing a reasoned order.