M/S New Fair Deal And Ors. vs. State Of West Bengal And Ors.
Original PDF →Facts
The petitioners, M/s New Fair Deal & Ors., filed a writ petition challenging an order dated 3rd November 2023, passed under Section 73 of the CGST/WBGST Act, 2017, for the tax period April 2018 – March 2019. The respondents, the State of West Bengal & Ors., argued that the petitioners had an efficacious alternative remedy of appeal before the appellate authority and thus the writ petition should not be entertained. The petitioners were represented by Mr. Prithvijoy Das, and the State by Mr. Anirban Ray, Ld.GP, along with other counsel.
Held
The Court held that the writ petition should not be entertained due to the existence of an efficacious alternative remedy. However, acknowledging that the Appellate Tribunal is yet to be constituted, the Court permitted the petitioners to approach the appellate authority under Section 107 of the CGST/WBGST Act, 2017. The reasoning was based on the principle that statutory remedies should generally be exhausted before approaching the writ jurisdiction. The ratio decidendi is that while writ petitions are not to be entertained when an alternative remedy exists, courts may grant indulgence to approach the appellate authority, especially when procedural hurdles like the non-constitution of tribunals exist. The operative direction was to allow the petitioners to file an appeal within two weeks, and upon compliance, the appellate authority was directed to hear and dispose of the appeal on merits expeditiously, preferably within ten weeks.
Key Issues
1. Whether the writ petition should be entertained given the existence of an efficacious alternative remedy of appeal under Section 107 of the CGST/WBGST Act, 2017? The petitioner argued for the entertainment of the writ petition. The revenue, represented by the State, contended that the writ petition should not be entertained because the petitioners possess an efficacious alternative remedy in the form of an appeal before the appellate authority, as provided under the said Act. The judgment does not record any specific arguments from the petitioner beyond the filing of the writ petition itself, nor does it detail any reliance on specific precedents or circulars by either party.
Sections Cited
Section 73, Section 107
AI-generated summary — verify with the full judgment below
M/L 47 04.09.2024 sb Ct 5
IN THE HIGH COURT AT CALCUTTA CONSTITUTIONAL WRIT JURI ICTION APPELLATE SIDE
WPA 17598 of 2024
M/s New Fair Deal & Ors. Versus The State of West Bengal & Ors.
Mr. Prithvijoy Das
Ms. Ishani Ghosal
Mr. Shami Das
Ms. Papiya Naskar
… For the petitioners.
Mr. Anirban Ray, Ld.GP
Mr. T. M. Siddiqui
Mr. Tanoy Chakraborty
Mr. Saptak Sanyal
… For the State.
Affidavit of service filed in Court today is taken on record.
Challenging the order dated 3rd November, 2023 passed under Section 73 of the CGST/WBGST Act, 2017 (hereinafter referred to as the “said Act”) for the tax period April 2018 – March 2019, the present writ petition has been filed.
Mr. Siddiqui, learned Additional Government Pleader appearing on behalf of the respondents at the very outset would submit that the petitioners have an efficacious alternative remedy in the form of an appeal before the appellate authority, the writ petition should not be entertained.
2
Having heard the learned advocates appearing for the respective parties and considering the fact that the petitioners have an efficacious alternative remedy in the form of an appeal, I am of the view that the writ petition should not be entertained. However, taking note of the fact that the Appellate Tribunal is yet to be constituted, I permit the petitioners to approach the appellate authority under Section 107 of the said Act. In the event, the petitioners approach the appellate authority within a period of two weeks from date, subject to compliance of other formalities, the appellate authority shall hear out and dispose of the same on merits as expeditiously as possible, preferably within a period of ten weeks from the date of communication of this order.
With the above observations and directions, the writ petition is disposed of. Urgent Photostat certified copy of this order, if applied for, be made available to the parties upon compliance of requisite formalities.
(Raja Basu Chowdhury, J.)
Reproduced from the public record of the Calcutta High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.