The Commissioner Of CGST And Central Excise Kolkata South CGST And Cx Commissionerate vs. M/S Zenith Leisure Holidays LTD And Ors
Facts
The Commissioner of CGST & CX, Kolkata South Commissionerate (the petitioner/appellant) filed an intra-court appeal challenging an order dated 23.06.2023 passed in WPA 5125 of 2022. The respondent/writ petitioner, M/s. Zenith Leisure Holidays Limited, sought a direction to accept their tax payment under the "Sabka Vishwas" (Legacy Dispute Resolution) Scheme, 2019. The dispute centers on whether the payment was made within the extended deadline of 30.06.2020. The petitioner argued that the payment was initiated on 30.06.2020 at 09:28 PM and settled at midnight, with the settlement date appearing as 01.07.2020. The respondent contended that initiating payment before the deadline, even if settled after midnight, satisfied the scheme's requirements as per a Government of India notification dated 14.05.2020.
Held
The Court held that the respondent/writ petitioner was entitled to the benefit of the "Sabka Vishwas" (Legacy Dispute Resolution) Scheme, 2019. The reasoning was based on the factual finding that the payment was initiated before the extended deadline of 30.06.2020, at 09:28 PM. Although the settlement of the amount occurred at midnight and was recorded as 01.07.2020, the Court found that this complied with the Government of India notification dated 14.05.2020, which allowed payment on or before 30.06.2020. The Court found no grounds to interfere with the order passed by the learned Single Judge. The ratio decidendi is that initiating a payment before the stipulated deadline, even if the final settlement occurs slightly after midnight on the last day, satisfies the requirement of timely payment for legacy dispute resolution schemes, provided the notification permits payment by that date.
Key Issues
1. Whether the payment made by the respondent/writ petitioner under the "Sabka Vishwas" (Legacy Dispute Resolution) Scheme, 2019, initiated on 30.06.2020 at 09:28 PM and settled at midnight on that date (appearing as 01.07.2020), qualifies for acceptance under the scheme, considering the Government of India notification dated 14.05.2020 extending the deadline to 30.06.2020. Petitioner's arguments: The petitioner (Department) did not present any arguments against the respondent's claim in the provided text. The judgment focuses on the respondent's compliance. Respondent's arguments: The respondent/writ petitioner argued that initiating the payment before the extended deadline of 30.06.2020, as evidenced by the bank document showing initiation at 09:28 PM on that date, constituted compliance with the scheme's requirements, even if the final settlement occurred at midnight and was recorded as 01.07.2020. They relied on the Government of India notification dated 14.05.2020.
AI-generated summary — verify with the full judgment below
1 05 AN 16.01.2024 Ct. No. 01 MAT 1402 of 2023 with IA No. CAN 1 of 2023 The Commissioner of CGST & CX, Kolkata South Commissionerate Vs. M/s. Zenith Leisure Holidays Limited & ors.
Mr. K. K. Maiti Mr. Tapan Bhanja … for the petitioner Mr. Pranit Bag Mr. Tarun Chatterjee Mr. Rhiddhiman Mukherjee Mr. Raju Mondal … for the respondent
This intra court appeal filed by the Department challenges the order passed in WPA 5125 of 2022 dated 23.06.2023. The respondent/writ petitioner sought for a direction upon the payment to accept the tax amount which was “Sabka Vishwas” (Legacy Dispute Resolution), Scheme, 2019 (SVLDRS-4, 2019).
The learned Single Judge on facts found that the payment was made before the mid night of 30.06.2020 which was the extended date fixed by the Government of India vide notification dated 14.05.2020. The relevant bank document would show that t
The judgment continues below.
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