Kannan Paint & Radhas Hardware vs. The Deputy Commissioner Of State Tax SGST Department
Held
The Court acknowledged the petitioner's bona fide mistake due to initial GST regime difficulties but noted the petitioner's lack of vigilance in responding to notices. It directed the refund of interest after adjusting for the period from 01.04.2021 to 31.07.2022, and exempted the petitioner from any penalty or late fee.
Facts
The petitioner mistakenly remitted Kerala Flood Cess (KFC) along with GSTR-3B returns instead of filing KFC-A returns. After receiving notices and a court order, the petitioner paid the KFC in the correct head along with interest, subsequently seeking a refund of this interest. The petitioner argued the mistake was bona fide and relied on Section 77 of the CGST Act.
Key Issues
Whether a dealer is liable for interest on Kerala Flood Cess paid under the wrong head due to a bona fide mistake, and if so, for what period, considering delayed response to official notices.
Sections Cited
Section 77 of the CGST Act
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH FRIDAY, THE 17TH DAY OF NOVEMBER 2023 / 26TH KARTHIKA, 1945 WP(C) NO. 21570 OF 2022 PETITIONER/S:
KANNAN PAINT & RADHAS HARDWARE NO. XXVI/32A, 32B, 32C, K.P. ROAD, PUNALUR 691 331. BY ADVS. G.HARIKUMAR (GOPINATHAN NAIR) AKHIL SURESH ANU BALAKRISHNAN NAMBIAR
RESPONDENT/S:
1 THE DEPUTY COMMISSIONER OF STATE TAX SGST DEPARTMENT, SPECIAL CIRCLE KERALA, KOTTARAKARA 691 506. 2 UNION OF INDIA, REPRESENTED BY REVENUE SECRETARY, NORTH BLOCK, NEW DELHI 110 001. 3 CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS DEPARTMENT OF REVENUE, MINISTRY OF FINANCE, NEW DELHI 110 001. 4 GOODS AND SERVICE TAX NETWORK, WORLDMARK 1, EAST WING, 4TH FLOOR, AEROCITY, NEW DELHI, DELHI 110 037. BY ADVS. SUNIL.J M.S.AMAL DHARSAN -2-
OTHER PRESENT:
RESHMITA RAMACHANDRAN-GP
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 17.11.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
-3-
J U D G M E N T
The present writ petition under Article 226 of the Constitution of India has been fil
The judgment continues below.
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