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The Supreme Court has suspended the ₹273.5 crore GST claim issued against Patanjali Ayurved.

In a relief to yoga guru Ramdev-founded Patanjali Ayurved Ltd, the Supreme Court on Thursday stayed the recovery of a ₹273.5 crore goods and services tax (GST) penalty imposed on the consumer goods company by the Directorate General of GST Intelligence (DGGI).A bench of Justices P.S. Narasimha and A.S. Chandurkar issued notices to the Union government and DGGI on Patanjali’s appeal, directing that the penalty be stayed until further orders. The court also agreed to examine the Allahabad High Court’s ruling that had upheld the levy.The case stems from DGGI receiving information about alleged suspicious tax credit claims and fake invoicing involving companies supplying goods to Patanjali’s manufacturing units in Uttarakhand, Haryana, and Maharashtra. Investigators alleged that Patanjali issued invoices without actually supplying goods and had wrongly claimed input tax credit (ITC), amounting to tax evasion.On 19 April 2024, DGGI issued a tax show-cause notice proposing penalties of about ₹273.5 crore under Section 122 of the Central Goods and Services Tax Act for alleged offences during the tax period of April 2018 to March 2022. A separate tax demand was raised under Section 74, which deals with recovery of unpaid tax in fraud cases.In January this year, the department dropped the Section 74 tax demand for Patanjali’s Uttarakhand unit after scrutiny revealed that the transactions were genuine, sales exceeded purchases, and input tax credit had been properly passed on. Authorities found no substantial reason to hold that tax was evaded or ITC was wrongly availed.However, the department continued with the ₹273.5 crore penalty under Section 122, which penalises GST violations such as issuing fake invoices, even if no tax is due.Patanjali challenged the penalty in the Allahabad High Court, arguing that Section 122 penalties were criminal in nature and could only be imposed after a criminal trial, and that the penalties could not stand once the Section 74 proceedings were dropped.On 29 May 2025, the High Court dismissed the plea, ruling that such penalties are civil in nature, can be imposed by GST officers, and deal with violations different from those under Section 74.Patanjali then moved the Supreme Court, arguing it was unfair to continue the penalty when the main tax case had been cancelled, and questioning both the scope of Section 122 and the powers of GST officers to impose such penalties.Theapex court has now granted interim relief by staying the show-cause notice until the matter is heard in detail. in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. Basically remove any content or link related to original site. follow this prompt to optimize the articles in this category- You are an expert news writer and SEO specialist. Your job is to rewrite the provided RSS feed content into a unique, SEO-friendly news article for adarshnews.com. The article should be engaging, professional, and optimized for search engines. Follow these steps: 1. **Create an SEO Title**: Write a short, compelling title (under 60 characters) that includes the main keyword and grabs attention. 2. **Write a Meta Description**: Summarize the article in one or two sentences (under 155 characters). Make it engaging and include the primary keyword naturally. 3. **Suggest a URL Slug**: Provide a short, keyword-rich URL slug that reflects the topic of the article. 4. **Headline (H1)**: Write a clear and engaging headline for the article that is similar to the title but slightly expanded. 5. **Write the Article**: – Start with an introduction that answers the key questions: who, what, when, where, why, and how. – Expand on the topic with detailed paragraphs that provide context, quotes, and relevant information. – Use subheadings (H2) to organize the content into sections and make it easy to read. – Include related keywords naturally throughout the article. – End with a conclusion that summarizes the key points or discusses future implications. 6. **Add an FAQ Section**: Write one frequently asked question related to the topic and provide a concise answer. Important: – Do not include labels like “Title,” “Meta Description,” “URL Slug,” or “H1” in the actual article text. – Keep all SEO elements separate from the main content. – Ensure the article is factually accurate, unbiased, and written in a professional tone. 

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