Also by G Natarajan The GST regime will complete seven years in July. There has been a substantial increase in the number of show-cause notices and other recovery proceedings in the last few years. The timelines have been extended for the passing of orders and there has been an avalanche of orders just before the expiry of the timelines, creating various demands on issues such as mere reconciliation, return mismatches, input tax credit (ITC) denials for suppliers’ defaults, time-barred ITC claims and ITC on account of blocked credit. Further, there are classification disputes arising out of differential rates of tax because of multiple notifications, many not fully aligned with customs tariff. Unfortunately, most of the demands pertaining to denial of ITC are based on a comparison of GSTR-3B and GSTR-2A which is not even legally permissible before January 1, 2022. A large number of disputes have also arisen because of a lack of understanding of the new law and procedures, numerous amendments and the impact of frequent portal glitches. In many cases, the First Appellate …