Wednesday, 26 May 2021

Legal Maxims in GST

 

Legal Maxims simple meaning is legal phrase and in the Latin language, these are used to interpret or explain a legal principle. Though there are plenty of legal maxims, here are 5 commonly used Legal Maxims with meaning & application in GST

1. 𝘕𝘰𝘯-𝘰𝘣𝘴𝘵𝘢𝘯𝘵𝘦
Means ‘Notwithstanding’, used for overruling sections
Provision of blocked credit [Section 17(5)] is a non-obstante clause
 
2. 𝘔𝘰𝘥𝘶𝘴 𝘖𝘱𝘦𝘳𝘢𝘯𝘥𝘪
Refers to a specific mode of operation
Normally, used to describe the method of working of fictitious firms
 
3. 𝘔𝘶𝘵𝘢𝘵𝘪𝘴 𝘔𝘶𝘵��𝘯𝘥𝘪𝘴
Means making necessary changes without affecting the main point
Provision of refund, audit, ITC, etc., from the CGST Act are applicable under the IGST Act as well [Section 20]
 
4. 𝘘𝘶𝘪𝘥 𝘗𝘳𝘰 𝘘𝘶𝘰
Favour granted in return for something
Generally, used in the context of supply being made in exchange of consideration
 
5. 𝘈𝘶𝘥𝘪 𝘈𝘭𝘵𝘦𝘳𝘢𝘮 𝘗𝘢𝘳𝘵𝘦𝘮
Means the other side be heard as well; indicates principles of natural justice
‘Opportunity of being heard given to a person before passing an order  

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