Omission of Rule 96 10

The Calcutta High Court quashed GST proceedings initiated for recovery of IGST refunds allegedly availed in contravention of Rule 96(10) of the CGST Rules. 

The petitioner challenged an order-in-original dated 04.02.2025 passed under Section 74(9) of the CGST Act, 2017 along with consequential GST DRC-07 demands covering the tax periods from April 2018 to March 2022. 

The Court held that once Rule 96(10) was omitted from the statute book by Notification No. 20/2024-Central Tax dated 08.10.2024, and in the absence of any saving clause preserving pending proceedings, actions founded exclusively on the omitted rule could not survive. 

Applying settled Supreme Court jurisprudence on the effect of omission of statutory rules, the Court concluded that all pending proceedings based on Rule 96(10) stood lapsed.