M/S. Subodh Enterprises vs. The Union Of INDIA

Held

The Court held that the service of an order passed by the Commissioner (Appeals) only in Hindi language is not permissible. The Court referred to the Official Language Act, 1963, and the Official Language (Use for Official Purposes of the Union) Rules, 1976, which mandate the use of both Hindi and English for official communications, especially for documents referred to in Section 3(3) of the Act. Rule 3(3) of the Rules further stipulates that communications from a Central Government office to a State or Union territory in region 'C' (which includes Andhra Pradesh) shall be in English. Therefore, the Commissioner (Appeals) is required to serve a copy of the order in English, or in both Hindi and English. The Court directed the Commissioner (Appeals) to furnish English copies of the orders to the petitioners within three weeks. The operative effect of the Commissioner (Appeals)'s orders was postponed until English copies were served, and the limitation period for the petitioners to take further steps would commence from the date of such service. The Court did not decide on the merits of the classification of goods or the validity of the circular in the writ petitions concerning M/s. Subodh Enterprises, as the primary relief granted was procedural.

Facts

The petitioners, M/s. Subodh Enterprises and Andhra Pradesh Township And Infrastructure Development Corporation Limited, filed writ petitions challenging orders passed by GST authorities. The core issue in the petitions filed by M/s. Subodh Enterprises (WP Nos. 13043 & 13046 of 2024) concerns the classification of wood logs supplied for pulping, with the petitioner arguing for classification under Chapter Heading 4403, while the revenue adopted Chapter Heading 4401. The petitioner also challenged the validity and prospective application of Circular No. 80/54/2018-GST. In WP No. 14904 of 2024, the petitioner, Andhra Pradesh Township And Infrastructure Development Corporation Limited, sought a certified English translated copy of an Order-in-Appeal dated 06.02.2024, as the copy provided was in Hindi.

Key Issues

1. Whether the classification of wood logs supplied for pulping by M/s. Subodh Enterprises under Chapter Heading 4401, as adopted by the revenue, is correct, or if it should be classified under Chapter Heading 4403 as contended by the petitioner? (Issue of classification of goods under the GST Act). 2. Whether Circular No. 80/54/2018-GST is bad in law to the extent it provides clarification on the classification of wood logs under Chapter Heading 4403, or alternatively, whether its application should be prospective? (Issue concerning the validity and application of a GST circular). 3. Whether the service of an Order-in-Appeal by the Commissioner (Appeals) in Hindi is permissible, or if it should be provided in English, particularly to non-Hindi speaking areas? (Issue of procedural compliance and language of official communication). Petitioner's arguments (M/s. Subodh Enterprises): The supply of wood logs for pulping is classifiable under Chapter Heading 4403. Circular No. 80/54/2018-GST is bad in law or should be applied prospectively. The impugned orders are arbitrary, illegal, unconstitutional, and contrary to settled principles of law. Revenue's arguments: Not recorded in the provided text.