BharatTaxGST

Eir Products vs. The Assistant Commissioner

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WP/22009/2025HC Andhra PradeshGSTCNR APHC01043173202519 August 2025Bench: R RAGHUNANDAN RAO,T.C.D.SEKHAR5 pages
For Petitioner: ANIL KUMAR BEZAWADAFor Respondent: GP FOR COMMERCIAL TAX

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Cause title — parties, addresses and appearances
APHC010431732025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3529] WEDNESDAY, THE TWENTIETH DAY OF AUGUST TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 22009/2025 Between: 1. EIR PRODUCTS, REPRESENTED BY SHRI. BHARATH CHOWDARY KANDIMALLA, D NO. 14-37-25/A, GOKEL ROAD, MAHARANIPETA, VISAKHAPATNAM, ANDHRA PRADESH - 530 001. ...PETITIONER AND 1. THE ASSISTANT COMMISSIONER, KURUPAM MARKET CIRCLE, VISAKHAPATNAM - I DIVISION 3RD FLOOR, ARBN COMPLEX, DANDU BAZAR, JAGADAMBA, VISAKHAPATNAM, ANDHRA PRADESH - 530 002. 2. THE STATE OF ANDHRA PRADESH, REPRESENTED BY ITS PRINCIPAL SECRETARY, REVENUE DEPARTMENT (COMMERCIAL TAX), A.P. SECRETARIAT, VELEGAPUDI. 3. UNION OF INDIA, DEPARTMENT OF REVENUE, REPRESENTED BY ITS SECRETARY (REVENUE) NORTH BLOCK, NEW DELHI. ...RESPONDENT(S): Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue a writ of mandamus or any other writ, direction, or order A. quashing the proceedings of the 1st Respondent in 2 RRR, J & TCDS, J W.P.No.22009 of 2025 the demand order passed in Form GST DRC-07 dated 25.04.2024, for the FY 2018-19, denying the Input Tax Credit of IGST Rs. 10,12,200/-, CGST - Rs. 46,367/- and SGST - Rs. 46,367/- and demanding the same along with interest and penalty u/s 73 of the CGST Act 2017, on the ground of violation of Section 16(4) of the CGST Act, 2017, as the Petitioner Is entitled to such credit In light of the extension of time limit for claiming Input Tax Credit for the said period by the Parliament through the retrospective Insertion of Section 16(5) of the CGST Act, 2017, as the Petitioner has availed the said credit within the extended time limit and B. Pass IA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to stay the proceedings of the 1 Respondent in the demand order passed in Form GST DRC-07 dated 25.04.2024, for the FY 2018-19, denying the Input Tax Credit of IGST Rs. 10,12,200/-, CGST - Rs. 46,367/- and SGST - Rs. 46,367/- and demanding the same along with interest and penalty u/s 73 of the CGST Act 2017, in the interest of justice and pass Counsel for the Petitioner: 1. ANIL KUMAR BEZAWADA Counsel for the Respondent(S): 1. GP FOR COMMERCIAL TAX 2. 3 RRR, J & TCDS, J W.P.No.22009 of 2025

The Court made the following order: (per Hon’ble Sri Justice R. Raghunandan Rao)

Heard Sri Anil Kumar Bezawada, learned counsel for the petitioner and the learned Government Pleader for Commercial Tax, appearing for the respondents.

2.

The petitioner, was assessed to tax, under the Central Goods and Service Tax Act, 2017 (for short “the CGST Act”), Andhra Pradesh Goods and Service Tax Act, 2005 (for short “the APGST Act”) and Integrated Goods and Service Tax Act, 2017 (for short “the IGST Act”), by way of an Order, dated 25.04.2024. During the pendency of the assessment, the petitioner sought to take credit available under the credit ledger. However, this request of the petitioner was rejected by the 1st respondent on the ground that the credit was sought, on 11.11.2019, which was 20 days beyond the maximum time available under Section 16(4) of the CGST Act, namely 20.10.2019. 3. Aggrieved by the said order of assessment, the petitioner has approached this Court by way of the present Writ Petition.

4.

Sri Anil Kumar Bezawada, learned counsel for the petitioner would rely upon the amended provision of Section 16 wherein sub-section (5) was inserted by a Finance Act, 2024, with effect from 27.09.2024. The relevant provision of Section 16(5) of the CGST Act reads as follows:

“Section-16(5) Notwithstanding anything contained in sub-section (4), in respect of an invoice or debit note for supply of goods or services or both pertaining to the Financial Years 2017-18, 2018-19, 2019-20 and 2020- 21, the registered person shall be entitled to take input tax credit in any return under Section 39 which is filed up to the thirtieth day of November, 2021.”

5.

By virtue of this provision, and by virtue of the non-obstante clause available in this provision, the petitioner would be entitled to avail the credit, which was rejected by the 1st respondent, as the credit that is sought to be availed relates to the Financial Year 2019-20. Apart from this, the petitioner sought to avail the credit, on 11.11.2019, which is within the time limit of 30.11.2021. 6. In that view of the matter, this Writ Petition is allowed, setting aside the order of assessment, dated 25.04.2024 and the matter is remanded back to the 1st respondent to pass fresh assessment order keeping in view the provision of Section 16(5) of the CGST Act. There shall be no order as to costs. As a sequel, pending miscellaneous applications, if any, shall stand closed.

_______________________ R RAGHUNANDAN RAO, J

_______________ T.C.D.SEKHAR, J

Date: 20.08.2025 MJA THE HON’BLE SRI JUSTICE R RAGHUNANDAN RAO

AND THE HON’BLE SRI JUSTICE T.C.D. SEKHAR

WRIT PETITION NO: 22009 of 2025 (per Hon’ble Sri Justice R. Raghunandan Rao)

20.08.

2025

MJA

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