IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9^TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO.4917 OF 2021 (T-RES)

BETWEEN:

M/S INSTAKART SERVICES PRIVATE LIMITED A COMPANY INCORPORATED UNDER THE PROVISIONS OF THE COMPANIES ACT, 2013 HAVING ITS REGISTERED OFFICE AT BUILDINGS ALYSSA, BEGONIA & CLOVER EMBASSY TECH VILLAGE OUTER RING ROAD, DEVARABEESANAHALLY VILLAGE VARTHUR HOBLI BENGALURU – 560 103 THROUGH ITS AUTHORISED REPRESENTIVE MR SIMHADRI C N …PETITIONER (BY SRI. TARUN GULATI, SENIOR COUNSEL FOR SRI KISHORE KUNAL, SRI. RUNJHUN PARE &

Di gitally SRI. PRADEEP NAYAK, ADVOCATES)

signed by CHANDANA AND:

B M Location: 1. THE UNION OF INDIA High Court MINISTRY OF FINANCE of DEPARTMENT OF REVENUE Karnataka GOVERNMENT OF INDIA CENTRAL SECRETARIAT, NORTH BLOCK, NEW DELHI-110001 REPRESENTED BY THE SECRETARY

2. THE CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS NORTH BLOCK, NEW DELHI - 110 001 THROUGH ITS CHAIRMAN Retyped and replaced vide Court order dated 07.04.2026

3. THE GOODS AND SERVICE TAX COUNCIL OFFICE OF THE GST COUNCIL SECRETARIAT

5^TH FLOOR, TOWER II JEEVAN BHARTI BUILDING JANPATH ROAD, CONNAUGHT PLACE DELHI – 110 001

4. THE PRINCIPAL COMMISSIONER OF CENTRAL TAX BENGALURU EAST C R BUILDING, QUEENS ROAD, BENGALURU – 560 001.

5. THE STATE OF KARNATAKA FINANCE DEPARTMENT

255, VIDHAN SOUDHA BENGALURU – 560 001 THROUGH THE ADDITIONAL CHIEF SECRETARY …RESPONDENTS (BY SRI. MADANAN PILLAI, CGC FOR R1;

SRI. M.UNNIKRISHNAN, ADVOCATE FOR R2, R3 & R4;

SRI. HEMA KUMAR, AGA FOR R5)

THIS WP IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO DECLARE SECTION 16(2) (c) OF THE CENTRAL GOODS AND SERVICES TAX ACT, 2017 AND THE KARNATAKA GOODS AND SERVICES TAX ACT, 2017 ANNEXURE-A AS NULL AND VOID AND HOLD IT TO BE UNCONSTITUTIONAL BEING VIOLATIVE OF ARTICLES 14 AND 19(1)(g), ARTICLE 265 AND ARTICLE 300A OF THE CONSTITUTION OF INDIA AND STRIKE DOWN THE SAME, ETC., THIS PETITION, COMING ON FOR FURTHER HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

ORAL ORDER

In this petition, petitioner seeks the following reliefs:

“ (a) Issue a Writ, order or directions in the nature of declaration or any other writ, order or direction of like nature to declare Section 16 (2) (c) of the Central Goods and Services Tax Act, 2017 and the Karnataka Goods and Services Tax Act, 2017 [Annexure A] as null and void and hold it to be unconstitutional being violative of Articles 14 and 19 (1) (g), Article 265 and Article 300A of the Constitution of India and strike down the same;

(b) Alternatively, issue a Writ of mandamus, or a Writ in the nature of mandamus, or any other appropriate Writ, Order or directions, reading down Section 16(2) (c) of the Central Goods and Services Tax Act, 2017 and the Karnataka Goods and Services Tax Act, 2017 in such a manner which allows the benefit of ITC to bona fide recipients such as the Petitioner which has complied with all the other conditions under Section 16 (2) of the Central Goods and Services Tax Act, 2017 and the Karnataka Goods and Services Tax Act, 2017 despite any fault/lapse or non-payment of tax to the Government by the suppliers;

(c) Issue a Writ, order or directions in the nature of declaration or certiorari or any other writ, order or direction of like nature to declare Rule 36 (4) of the Central Goods and Services Tax Rules, 2017 and Karnataka Goods and Service Tax Rules, 2017 [Annexure B] as null and void and hold it to be ultra vires the Central Goods and Services Tax Act, 2017 and Karnataka Goods and Services Tax Act, 2017 as also declaring the same as unconstitutional being violative of Articles 14 and 19 (1) (g), Article 265 and Article 300A of the Constitution of India and strike down/quash the same; (d) Issue a Writ of mandamus, or a Writ in the nature of mandamus, or any other appropriate Writ, Order or directions, directing the Respondents not to proceed against the Petitioner in terms of the Impugned Provision