This stay provides temporary relief to the petitioner until the court reaches a decision on the pending matters.

In a recent ruling, the Gujarat High Court has stayed the Show Cause Notice (SCN) issued under the Goods and Services Tax (GST) regarding the transaction of assignment of long-term leasehold rights, citing a similar matter pending before the court. The representative of the petitioner, Mahaveer Housing and Logistics, submitted that the assessee received a notice in GST Form DRC-01 from the GST authorities for the financial year 2019-20. The notice called upon the assessee to explain why GST should not be levied on the transaction of assignment of long-term leasehold rights under the provisions of the Goods and Services Tax Act, 2017. The counsel for the petitioner further informed the court that a similar case, Special Civil Application No. 11345 of 2023, is currently pending adjudication before the Gujarat High Court. Thus, considering the submission of the assessee-counsel, Palak Kahstriya for advocate Hardik Vora, the bench of Justice Bhargava D. Karia and Niral R. Mehta issued a notice returnable on August 1, 2024. The court also granted ad-interim relief, stating that no further proceedings shall continue pursuant to the impugned show-cause notice. The matter will be heard along with Special Civil Application and other related cases. Direct service via email is permitted. This stay provides temporary relief to the petitioner until the court reaches a decision on the pending matters.