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Section89
The Andhra Pradesh Goods and Services Tax Act, 2017

Liability of directors of private company

In force Act 16 of 2017 As on 08 Oct 2026

Read from the scanned gazette. India Code publishes no text for this Act, so the text below was read from the Government's own scan by machine and split into sections by its numbering. It has not been checked against the page word by word. Where it matters, read the scan. Read the scan.

Act 16 of 2017

Read from the scanned gazette. India Code publishes no text for this Act, so this text was read from the Government's own scan by machine and split into sections by its numbering. It has not been checked against the page word by word. Where it matters, read the scan. Read the scan.

Section 89 of the Andhra Pradesh Goods and Services Tax Act, 2017 deals with liability of directors of private company. Notwithstanding anything contained in the Companies Act, 2013, (Act No.18 of 2013) where any tax, interest or penalty due from a private company in respect of any supply of goods or services or both for any period cannot be recovered, then, every person who was a director of the private company duri

Liability of directors of private company- (1) Notwithstanding anything contained in the Companies Act, 2013, (Act No.18 of 2013) where any tax, interest or penalty due from a private company in respect of any supply of goods or services or both for any period cannot be recovered, then, every person who was a director of the private company during such period shall, jointly and severally, be liable for the payment of such tax, interest or penalty unless he proves that the non-recovery cannot be attributed to any gross neglect, misfeasance or breach of duty on his part in relation to the affairs of the company.

(2) Where a private company is converted into a public company and the tax, interest or penalty in respect of any supply of goods or services or both for any period during which such company was a private company cannot be recovered before such conversion, then, nothing contained in sub-section (1) shall apply to any person who was a director of such private company in relation to any tax, interest or penalty in respect of such supply of goods or services or both of such private company:

Provided that nothing contained in this sub-section shall apply to any personal penalty imposed on such director. CO

Section 89, The Andhra Pradesh Goods and Services Tax Act, 2017 (Act 16 of 2017).

Related judgements & precedents

These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.

  1. Nipun A. Bhagat v. State of Gujarat

    High Court 04 Jan 2021 Persuasive (High Court DB) SCA 14931/2020; Oral Judgment 04.01.2021 (Gujarat HC DB — J.B. Pardiwala & Ilesh J. Vora JJ.)

    Court's Decision & Legal Precedent

    DATE VERIFIED Final Order 04.01.2021 (order-3.pdf): DB held Rule 86A cannot be used to block a director’s ITC to recover another public company’s GVAT dues; counsel’s framing that director liability under CGST must follow the statutory s.89 due-process path (vs Rule 86A collateral blocking) was accepted in the analysis rejecting the block.

    On this section: Decided on section 89 of the Central Goods and Services Tax Act, 2017, which The Andhra Pradesh Goods and Services Tax Act, 2017 enacts in the same words.

    Read the full order on eCourts India

The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.

Questions about Section 89

What have the courts held on Section 89 of the Andhra Pradesh Goods and Services Tax Act?

Nipun A. Bhagat v. State of Gujarat (04 Jan 2021) is the leading judgment on this section among those set out below: Decided on section 89 of the Central Goods and Services Tax Act, 2017, which The Andhra Pradesh Goods and Services Tax Act, 2017 enacts in the same words.

How do I find court cases under Section 89 of the Andhra Pradesh Goods and Services Tax Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Andhra Pradesh Goods and Services Tax Act 89, section 89 Andhra Pradesh Goods and Services Tax Act, section 89 of the Andhra Pradesh Goods and Services Tax Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Nipun A. Bhagat v. State of Gujarat (04 Jan 2021).

When was the Andhra Pradesh Goods and Services Tax Act enacted?

Andhra Pradesh Goods and Services Tax Act was enacted in 2017 as Act 16 of 2017. India Code records no commencement date for it. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Read from the Government's own scanned gazette with Azure Document Intelligence, then split into sections by their numbering. India Code publishes no text for this Act. The scan itself is mirrored into our own storage and served at /scan/ae09e997-f14e-41bb-9751-c02969df93a4.pdf, so the reading here can be checked against the page it came from without depending on India Code's own copy staying where it is (it was at https://indiacode.gov.in/server/api/core/bitstreams/7b15f2d9-be9b-4564-bc6d-caa873553605/content). This page is not a substitute for legal advice.