BharatTaxGST

Roy Jacob vs. The Assistant Commissioner(Works Contract)

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WP(C)/41117/2018HC KeralaGSTCNR KLHC01095256201808 July 2019Bench: HONOURABLE MR.JUSTICE S.V.BHATTI16 pages
For Petitioner: SRI.P.S.SOMAN, SMT.T.RADHAMANY, SRI.K.SUNDAR, SRI.V.SATHEESH (S-3495)For Respondent: SRI.K.M.FIROZ, SMT.M.SHAJNA
AI SummaryDismissed

Facts

A batch of petitioners challenged assessment orders/demand notices, contending that Section 174 of the KSGST Act was ultra vires the state's legislative power or that the demand was barred by limitation under Section 25(1) of the KVAT Act.

Held

The High Court dismissed all writ petitions, following the ratio established in its earlier judgment in W.P.(C)No.11335 of 2018. It granted the petitioners liberty to pursue statutory appeals or revisions, directing the authorities to consider the time spent in the writ proceedings for delay condonation.

Key Issues

The key legal issues were the constitutional validity (vires) of Section 174 of the KSGST Act and whether the tax demands were time-barred under Section 25(1) of the KVAT Act.

Sections Cited

Section 174 (KSGST Act), Section 25(1) (KVAT Act)

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.714 of 2019 PETITIONER: ROYAL GRANITES, NEDUMKUNNAM P.O, PIN-686 542 REPRESENTED BY MANAGING PARTNER, ELDHO P.T. BY ADV. SRI.V.V.GEORGEKUTTY RESPONDENTS: 1 STATE TAX OFFICER, 2ND CIRCLE, CHANGANACHERRY-686 101 2 THE COMMISSIONER OF STATE TAXES TAX TOWER, KARAMANA, THIRUVANANTHAPURAM-695 002 3 THE STATE OF KERALA REPRESENTED BY IT'S SECRETARY TO TAXES, SECRETARIAT, THIRUVANANTHAPURAM-695 001 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).120/2019, WP(C).718/2019, WP(C).40914/2018, WP(C).41054/2018, WP(C).41117/2018, WP(C).41465/2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 2 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.120 of 2019 PETITIONER: T.P.MATHEW AND CO. (PVT) LTD., T.P.M.HOUSE, BRISTOW ROAD, WILLINGTON ISLAND, KOCHI - 682 003, REPRESENTED BY ITS DIRECTOR ELIAS MATHEW. BY ADVS. SRI.K.M.FIROZ SMT.M.SHAJNA RESPONDENTS: 1 THE STATE TAX OFFICER, 2ND CIRCLE, DEPARTMENT OF COMMERCIAL TAXES, MATTANCERRY - 682 002. 2 COMMISSIONER OF STATE GOODS AND SERVICE TAX STATE GST DEPARTMENT, TAX TOWERS, THIRUVANANTHAPURAM - 695 001. 3 THE STATE OF KERALA REPRESENTED BY ITS CHIEF SECRETARY, SECRETARIAT, THIRUVANANTHAPURAM - 695 001. 4 SECRETARY, TAXES DEPARTMENT, GOVERNMENT OF KERALA, SECRETARIAT, THIRUVANANTHAPURAM - 695 001. 5 UNION OF INDIA REPRESENTED BY REVENUE SECRETARY, DEPARTMENT OF REVENUE, MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NORTH BLOCK, NEW DELHI - 110 001. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).40914/2018, WP(C).41054/2018, WP(C).41117/2018, WP(C).41465/2018, WP(C).714/2019, WP(C).718/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 3 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.718 of 2019 PETITIONER: K.N.ANIRUDHAN,AGED 66 YEARS S/O NEELAKANTAN PANICKER,PROPRIETOR M/S LLOYDS RESIDENCY,PUNNAMADA,ZILLA COURT WARD, ALAPPUZHA. BY ADV. SRI.R.UMASANKAR RESPONDENTS: 1 THE STATE TAX OFFICER (LT), OFFICE OF THE DEPUTY COMMISSIONER, STATE TAX OFFICER(LT),ALAPPUZHA-688001. 2 THE COMMISSIONER STATE GOODS AND SERVICE TAX DEPARTMENT, THIRUVANNATHAPURAM-695001. 3 STATE OF KERALA REPRESENTED BY SECRETARY TO TAXES, FINANCE DEPARTMENT,SECRETARIAT, THIRUVANANTHAPURAM-695001. 4 THE UNION OF INDIA, REPRESENTED BY SECRETARY TO FINANCE, FINANCE DEPARTMENT,NEW DELHI-110001. BY ADV. SRI.M.N.MANMADAN, CGC THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).40914/2018, WP(C).41054/2018, WP(C).41117/2018, WP(C).41465/2018, WP(C).120/2019, WP(C).714/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 4 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.40914 of 2018 PETITIONER: M/S VEE YES AGENCIES, 35/3100,VELUTHEDATH HOUSE,PALARIVATTOM, PIN 682 025,ERNAKULAM,REPRESENTED BY ITS PROPRIETOR MR.V.H.SEENIL KUMAR. BY ADV. SRI.TOMSON T.EMMANUEL RESPONDENTS: 1 THE STATE OF KERLA, REPRESENTED BY THE PRINCIPAL SECRETARY TO GOVERNMENT,TAXES DEPARTMENT,GOVERNMENT SECRETARIAT,THIRUVANANTHAPURAM 695 001 2 THE STATE TAX OFFICER, SGST DEPARTMENT,2ND CIRCLE,KALAMASSERY AT CIVIL STATION,KAKKANANDU,PIN 682 030 3 UNION OF INDIA, REPRESENTED BY THE SECRETARY,DEPARTMENT OF REVENUE,MINISTRY OF FINANCE,ROOM NO 46,NORTH BLOCK,NEW DELHI-110001. OTHER PRESENT: SPL. GP. SRI. C.E. UNNIKRISHNAN THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).41054/2018, WP(C).41117/2018, WP(C).41465/2018, WP(C).120/2019, WP(C).714/2019, WP(C).718/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 5 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.41054 of 2018 PETITIONER: V.SUSHAMA, PROPRIETRIX, AGED 52 YEARS, M/S.SUSHARA APPLIANCES AND ELECTRONICS, OPPOSITE TO URBAN BANK, NEDUMANGAD, THIRUVANANTHAPURAM - 695 541. BY ADVS. SRI.P.S.SOMAN SMT.T.RADHAMANY SRI.K.SUNDAR SRI.V.SATHEESH (S-3495) RESPONDENTS: 1 COMMERCIAL TAX OFFICER COMMERCIAL TAX DEPARTMENT, REVENUE TOWER, NEDUMANGAD P.O., THIRUVANANTHAPURAM - 695 541. 2 THE COMMISSIONER STATE GOODS AND SERVICE TAX DEPARTMENT, TAX TOWER, KARAMANA P.O., THIRUVANANTHAPURAM - 695 001. 3 THE SECRETARY, TAXES DEPARTMENT, GOVERNMENT OF KERALA, SECRETARIAT, THIRUVANANTHAPURAM - 695 001. 4 CENTRAL BOARD OF EXCISE AND CUSTOMS DEPARTMENT OF REVENUE, MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NEW DELHI - 110 001. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).40914/2018, WP(C).41117/2018, WP(C).41465/2018, WP(C).120/2019, WP(C).714/2019, WP(C).718/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 6 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.41117 of 2018 PETITIONER: ROY JACOB,AGED 53 YEARS (PROPRIETOR), THATTARAKKUNNEL ENTERPRISES, ROOM NO.5, THEKKENETH BUILDING, KADAVANTHARA, KOCHI- 682 020. BY ADV. SRI.RAMESH CHERIAN JOHN RESPONDENTS: 1 THE ASSISTANT COMMISSIONER(WORKS CONTRACT) O/O THE DEPUTY COMMISSIONER, STATE GOODS AND SERVICE TAX DEPARTMENT, STATE GOODS AND SERVICE TAX COMPLEX, PERUMANOOR P.O., KOCHI-682 015. 2 STATE OF KERALA REPRESENTED BY THE COMMISSIONER OF GOODS AND SERVICE TAX, O/O THE COMMISSIONER OF GOODS AND SERVICE TAXES, TAX TOWERS, KARAMANA P.O., THIRUVANANTHAPURAM-695002. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).40914/2018, WP(C).41054/2018, WP(C).41465/2018, WP(C).120/2019, WP(C).714/2019, WP(C).718/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 7 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI MONDAY, THE 08TH DAY OF JULY 2019 / 17TH ASHADHA, 1941 WP(C).No.41465 of 2018 PETITIONER: M/S FAMOUS FOOD PRODUCTS PUNNAKKAD, KARUVARAKUNDU, MALAPPURAM-676 523, REPRESENTED BY IT'S MANAGING PARTNER ABDUL AZEEZ. BY ADVS. SMT.M.K.HAJARA SRI.C.RAMACHANDRAN RESPONDENTS: 1 THE INTELLIGENCE OFFICER (IB) DEPARTMENT OF COMMERCIAL TAXES, MALAPPURAM-676 553 2 THE STATE TAX OFFICER-1 STATE GOODS AND SERVICES TAX DEPARTMENT, NILAMBUR, MALAPPURAM DISTRICT-679 329 3 THE STATE OF KERALA REPRESENTED BY ITS SECRETARY TO TAXES, SECRETARIAT, THIRUVANANTHAPURAM-695 001 4 THE CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS REPRESENTED BY ITS CHAIRMAN DEPARTMENT OF REVENUE, NORTH BLOCK, NEW DELHI-110 001 5 THE UNION OF INDIA REPRESENTED BY ITS PRINCIPAL SECRETARY, MINISTRY OF FINANCE, DEPARTMENT OF REVENUE, NORTH BLOCK, NEW DELHI-110 001 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08.07.2019, ALONG WITH WP(C).40914/2018, WP(C).41054/2018, WP(C).41117/2018, WP(C).120/2019, WP(C).714/2019, WP(C).718/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.714/2019 & conn.cases 8

JUDGMENT [ WP(C) 714/2019 ,WP(C).120/2019 ,WP(C).718/2019 ,WP(C).40914/2018 ,WP(C).41054/2018 ,WP(C).41117/2018 ,WP(C).41465/2018 ] In this batch of writ petitions the petitioners have laid challenge amongst others that Section 174 of the KSGST Act is ultra virus of the state's legislative power or on the ground that the demand is barred by limitation under Section 25(1) of the KVAT Act. In some cases, both the grounds have been taken.

2.

Heard the learned counsel for the petitioners and the learned Government Pleader.

3.

Keeping in view the judgment of this Court in W.P. (C)No.11335 of 2018 dated 11.1.2019, the ratio laid down therein and with the consent of the counsel on either side, the following order is made.

4.

The writ petitions are dismissed by referring to and following the judgment in W.P.(C)No.11335 of 2018. The counsel for the petitioners for the present do not invite a finding, though it is against the petitioners in view of the decisions of this Court in WPC No.714/2019 & conn.cases 9 M/s.Sheen Golden Jewels (India) Pvt.Ltd. v. The State Tax Officer (IB)-11. 5. The petitioners if so advised, can avail the remedy of appeal or revision before the appellate authority/revisional authority as the case may be and avail such remedy of appeal or revision along with an application for condonation of delay. The appellate/principal authority takes note of the time spent by the petitioner/assessee in working out the writ prayer and passes orders appropriately so that the statutory remedy of appeal/revision is not rendered ineffective or remedy is lost to an aggrieved party. S.V.BHATTI JUDGE Css/ 1 Judgement dated 11.1.2019 in WPC No.11335 of 2018 & conn.cases

WPC No.714/2019 & conn.cases 10 APPENDIX OF WP(C) 714/2019 PETITIONER'S EXHIBITS: EXHIBIT P1OF THE ASSESSMENT ORDER AND DEMAND NOTICE FOR THE YEAR 2015-16 DATED 21.8.2018 ISSUED BY THE 1ST RESPONDENT

WPC No.714/2019 & conn.cases 11 APPENDIX OF WP(C) 120/2019 PETITIONER'S EXHIBITS: EXHIBIT P1OF ASSESSMENT ORDER NO.32150649778/2015-16 DATED 14/12/2018 AND DEMAND NOTICE ISSUED BY THE 1ST RESPONDENT FOR THE ASSESSMENT YEAR 2015-16. WPC No.714/2019 & conn.cases 12 APPENDIX OF WP(C) 718/2019 PETITIONER'S EXHIBITS: EXHIBIT P1OF THE NOTICE DATED 23.11.2018 ISSUED BY 1ST RESPONDENT FOR THE YEAR 2015-

16.

EXHIBIT P1 AOF ASSESSMENT ORDER DATED 21.12.18 PASSED BY 1ST RESPONDENT FOR THE YEAR 2016-17. EXHIBIT P2OF ASSESSMENT ORDER DATED 21.12.18.PASSED BY 1ST RESPONDENT FOR THE YEAR 2016-17. EXHIBIT P2 AOF ASSESSMENT ORDER DATED 21.12.18 PASSED BY 1ST RESPONDENT FOR THE YEAR 2016-17. EXHIBIT P3OF THE INTERIM STAY ORDER DATED 27.11.2018 BY THIS HON'BLE COURT,IN W.P(c)NO.38273 OF 2018. WPC No.714/2019 & conn.cases 13 APPENDIX OF WP(C) 40914/2018 PETITIONER'S EXHIBITS: EXHIBIT P1OF NOTICE DATED 3.11.2018 FOR THE YEAR 2011-12 ISSUED BY THE 2ND RESPONDENT EXHIBIT P2OF NOTICE DATED 3.11.2018 FOR THE YEAR 2012-13 ISSUED BY THE 2ND RESPONDENT EXHIBIT P3OF NOTICE DATED 3.11.2018 FOR THE YEAR 2014-15 ISSUED BY THE 2ND RESPONDENT EXHIBIT P4OF NOTICE DATED 3.11.2018 FOR THE YEAR 2015-16 ISSUED BY THE 2ND RESPONDENT EXHIBIT P5OF NOTICE DATED 3.11.2018 FOR THE YEAR 2016 -17 ISSUED BY THE 2ND RESPONDENT

WPC No.714/2019 & conn.cases 14 APPENDIX OF WP(C) 41054/2018 PETITIONER'S EXHIBITS: EXHIBIT P1OF THE ASSESSMENT ORDER NO.32011063705/07-08 DATED 25/09/2017 ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2007-08. EXHIBIT P2OF THE INTERIM ORDER PASSED BY THIS HON'ABLE COURT IN WP(C) NO.11335/2018 DATED 04/04/2018. WPC No.714/2019 & conn.cases 15 APPENDIX OF WP(C) 41117/2018 PETITIONER'S EXHIBITS: EXHIBIT P1 TRUE COPIES OF THE ORDERS OF ASSESSMENT DATED 25.9.2018 FOR THE PERIOD 2011-12. EXHIBIT P2 TRUE COPIES OF THE ORDERS OF ASSESSMENT DATED 25.9.2018 FOR THE PERIOD 2012-13. EXHIBIT P3 TRUE COPIES OF THE ORDERS OF ASSESSMENT DATED 25.9.2018 FOR THE PERIODS 2013-14. EXHIBIT P4OF THE ENVELOPE ENCLOSING THE ORDERS OF ASSESSMENT BY THE FIRST RESPONDENT ADDRESSED TO THE RESIDENTIAL ADDRESS OF THE PETITIONER.

WPC No.714/2019 & conn.cases 16 APPENDIX OF WP(C) 41465/2018 PETITIONER'S EXHIBITS: EXHIBIT P1 AOF THE PENALTY ORDER NO. IB/MPM/ENQ/134/2016-17 ISSUED FOR THE YEAR 2016-17 DATED 12.10.2018 EXHIBIT P2 AOF INTERIM ORDER IN WP(C) NO. 13930/18 DATED 13.4.2018

Reproduced from the public record of the Kerala High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.