M/S. Nilgiri Estates vs. The Additional Commissioner Of Central Tax
Original PDF →Facts
The petitioner, V/. Nilgiri Eglates, filed a writ petition before the Telangana High Court challenging an Order-in-Original dated 12.10.2023, passed by the Additional Commissioner of Central Tax (Respondent No. 1). The order was served on the petitioner on 20.10.2023. The petitioner sought to declare the said order as void, arbitrary, illegal, without jurisdiction, and violative of principles of natural justice and constitutional provisions, and to set it aside. The petitioner also filed an interim application seeking a stay on the operation of the impugned order. The respondents included various authorities from the Central Tax department and the Union of India.
Held
The Court held that the Writ Petition is not sustainable because the petitioner has an alternative efficacious statutory remedy under Section 107 of the Central Goods and Services Tax Act, 2017. The Court reasoned that the availability of a statutory appeal mechanism under Section 107 provides a proper avenue for the petitioner to challenge the Order-in-Original. Therefore, the High Court declined to entertain the writ petition on merits. The ratio decidendi is that High Courts should generally relegate parties to statutory remedies when they are available and efficacious, rather than exercising extraordinary writ jurisdiction. The Court disposed of the writ petition, reserving the right of the petitioner to avail the statutory remedy of appeal. No order as to costs was made, and pending miscellaneous petitions were closed.
Key Issues
1. Whether the Writ Petition is maintainable when an alternative efficacious statutory remedy is available to the petitioner under Section 107 of the Central Goods and Services Tax Act, 2017? Petitioner's Argument: The petitioner argued that the Order-in-Original was void, arbitrary, illegal, without jurisdiction, violative of the principles of natural justice, and violative of Articles 14, 19(1)(g), and 265 of the Constitution of India. While not explicitly stated, the implication is that these grounds would warrant bypassing the statutory remedy. Revenue's Argument: The respondents argued that the petitioner has an alternative efficacious statutory remedy under Section 107 of the CGST Act, 2017, implying that the writ petition should not be entertained.
Sections Cited
Section 107
AI-generated summary — verify with the full judgment below
Cause title — parties, addresses and appearances
The Court made the following: ORDER 'l
THE HONOURABLE SRI JUSTICE P.SA&I KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION No.1294 OF 2024 ORDER:per Hon'ble Sn iustice P.SAM KOSHY) The present is a Writ Petition assailing the order-in- original dated 12.10.2023 passed by respondent No.1, served upon the petitioner on 20.1O .2023. 2. At the outset, we are of the considered opinion that the Writ Petition would not be sustainable for the reason that the petitioner has an alternative efficacious statutory remedy under Section 107 of the Centra-l Goods and Services Tax Act, 2Ol7 .
Therefore, the Writ Petition is disposed of reserving the right of the petitioner to avail the statutory remedy of appeal. No order as to costs. Consequently, miscellaneous -petitions pendin-gt if any' shall stand closed T. JA'ASREE ASSISTANT REG TRAR //// SECTION O FICER To, 1 . The Additional commissioner of central Tax, secunderabad GST Commissionerate GST Bhavan, L.B Stadium Road, Basheerbagh Hyderabad- 500004
The Additional Commissioner oi Central Tax, Airdit-ll Commissionerate, D. No. 1- g8lBl2}, 21, Sanvi Yamuna Pride, Krithika Layout, Hitech City, Madhapur, Hvderabad- 500081
Tlie Assistant Commissioner of Central Tax, D. No. 1-98lBl2O, 2'1, Sanvi Yamuna Pride, Krithika Layout Hitech City, Madhapur, Hyderabad-500081
The Secretary, Union of lndia, Iviinistry of Finance-,- No(h Block, New Delhi-1 1 0001
One CC to Sii M.Naga Deepak, Advocale. IOPUC]
One CC to Sri Domiiic Fernandes, (SeniorStanding Counsel for CBIC) LqBUC-l
One CC to Sri Gadi Praveen Kumar, (Deputy Solicit'or General of lndia), [OPUC]
Two CD Copies. BSK o'$<
HIGH COURT DATED:1210112024 ORDER WP.No.1294 of 2024 DISPOSING OF THE WRIT PETITION WITHOUT COSTS ,./ L4 t' ./.. ,,,| , 'iv ,-.r- .F \ ;) .-\* cv , a * c t]
Reproduced from the public record of the Telangana High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.