M/S. Srivally Devarai vs. Superintendent Of Central Tax
Facts
The petitioner, M/s. Srivally Devarai, represented by its Proprietrix, filed a writ petition before the Telangana High Court. The petition challenged an Order-in-Original dated August 26, 2024, and the Summary of the order in Form GST DRC-07 dated August 31, 2024, passed by the Superintendent of Central Tax for the tax period 2019-2020. The impugned order imposed tax and penalty. The petitioner also sought a stay on the collection of the disputed tax amount of Rs. 2,92,268/- and penalty of Rs. 29,226/-. The primary grievance was that the Form GST DRC-07 was unsigned, and mandatory intimation in Form GST DRC-01A was not issued as required under the un-amended Rule 142(1A) of the GST Rules, 2017.
Held
The Court did not delve into the merits of the petitioner's contentions regarding the unsigned Form GST DRC-07 or the absence of Form GST DRC-01A. Instead, upon hearing the parties, the Court granted the petitioner liberty to prefer an appeal against the Order-in-Original. The Court directed that if the petitioner files an appeal within two weeks, along with a delay condonation application and statutory pre-deposit, the appellate authority should consider it sympathetically. This consideration should take into account that the petitioner had been pursuing the writ remedy. The petitioner was also granted liberty to raise all grounds, both on law and facts, before the appellate authority. The appellate authority was instructed to entertain the appeal on merits if the delay was adequately explained. The Court explicitly stated it would not make any comment on the merits of the contentions raised by the parties.
Key Issues
1. Whether the unsigned Form GST DRC-07 renders the impugned order illegal and unsustainable, thereby preventing the petitioner from filing an appeal? (Question of law, concerning procedural compliance under GST Rules, 2017). The petitioner argued that the absence of a digital signature on the Summary of the order in Form GST DRC-07 made it impossible to file an appeal, and thus the Court should intervene. The respondents, represented by the Senior Standing Counsel for CBIC, did not contest the petitioner's liberty to prefer an appeal, stating that the petitioner could take all available grounds before the appellate authority.
Sections Cited
Section 73, Rule 142(1A)
AI-generated summary — verify with the full judgment below
[ 3488 l Between: M/s. Srivally Devarai, Rep. by its Proprietrix, Devarai_Srivally, Ltgft -69^5, Bharat Nagir Colony, Moosapet, Kukatpally, Hyderabad, Telangana- 500018 HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Juri iction) WEDNE AY, THE ELEVENTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE THE CHIEF JUSTICE SRI APARESH KUMAR SINGH AND THE HONOURABLE SRIJUSTICE G.M. MOHIUDDIN :4073 ...PETITIONER AND 1. 'superintendent of Central Tax, Moosapet Range, 3'd Fl_oor, Lords Court, Plot No.80,81, Sy No.166, Usha Mullapudi Road, Near South lndia Shopping Mall, A.S Raju Nagar, KPHB, Hyderabad- 500072
Union of lndia, Rep. bythe Secretary, Ministry of Finance, No.136-A, North Block, New Delhi.
State of Telangana, Rep. by its Principal Secretary to Government, Revenue (CT-ll) Department, Secretariat, Hyderabad. ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate Writ, Order or Direction more particularly in the nature of MANDAMUS declaring the action of the 1st Respondent in passing the impugn
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