Constitutional Validity of Section 16 (2) (c) upheld

In a very big move, the Supreme Court dismissed the batch of Special Leave Petitions challenging the Gujarat High Court's judgment on Section 16(2)(c) of the CGST Act. 

Endorsing the Gujarat High Court's detailed analysis, the Court held that the statutory condition linking ITC to actual payment of tax by the supplier is constitutionally valid and forms an integral part of the GST framework and is neither unconstitutional nor can it be read down.