Supreme Court rejects plea by Hero MotoCorp for full budgetary support

But suggests GST Council, states consider mechanism for reimbursing eligible units

The Supreme Court on Monday rejected Hero MotoCorp’s claim seeking full budgetary support in lieu of the pre-existing outright excise duty exemption, notified by the central government in 2003, in the pre-Goods and Service Tax (GST) era.

With the implementation of GST, various area-based exemption notifications were rescinded with effect from July 1, 2017.

Upholding the Delhi High Court’s and the Sikkim High Court’s rulings in the Hero MotoCorp and Sun Pharma cases, respectively, the apex court on Monday held that when an exemption granted earlier is withdrawn by a subsequent notification based on a change in policy (GST), the