M/S S.P. Singla Constructions PVT. LTD. vs. The Union Of INDIA

Held

The Court held that the petitioner had already availed the remedy of appeal before the Appellate Authority against the order determining tax. As per the scheme of the GST Act, there is a provision for filing an appeal before the Tribunal under Section 112, which the petitioner had not availed. The Court noted that two Division Benches of the High Court had previously upheld the validity of the notification dated 28.12.2023 (which appears to be a reference to the notification extending time limits, though dated differently in the judgment) extending the time limit prescribed under sub-section (10) of Section 73 of the GST Act. Furthermore, the Supreme Court had not passed any interim order in favour of the petitioner in a related matter. Therefore, the Court was of the opinion that the petitioner should avail the remedy before the Tribunal. The writ application was disposed of with liberty to the petitioner to file an appeal before the Tribunal within four weeks, with a direction that the Tribunal should consider the appeal on merits without going into the question of delay if filed within the stipulated period.

Facts

The petitioner, M/s S.P. Singla Constructions Pvt. Ltd., filed a writ application challenging an order dated 23.07.2025 passed by the Appellate Authority under Section 107 of the GST Act. The petitioner argued that the assessment order for the financial year 2019-20 was passed on 04.04.2025, which was beyond the extended time limit stipulated by a Government of India notification dated 31.03.2023. This notification extended the time limit for issuing orders under Section 73(9) of the GST Act for various financial years. The petitioner contended that the statutory time limit could not be extended by a government notification. The respondents argued that the validity of this notification was upheld by a Division Bench of the High Court in a previous case, and the petitioner had already availed the remedy of appeal before the Appellate Authority, with further appeal available before the Tribunal under Section 112 of the GST Act.

Key Issues

1. Whether the Government of India notification dated 31.03.2023, extending the time limit for issuing orders under Section 73(9) of the GST Act, is valid, particularly concerning the assessment for the financial year 2019-20 when the order was passed on 04.04.2025. Petitioner's contention: The petitioner argued that the statutory time limit prescribed under Section 73(10) of the GST Act for passing an assessment order could not be extended by a mere Government notification. They relied on the principle that statutory provisions prevail over executive instructions or notifications that seek to alter them. Revenue/State's contention: The State argued that the validity of the notification dated 31.03.2023 had already been upheld by a Division Bench of this Court in CWJC No. 4180 of 2024, M/s Barhonia Engicon Private Limited Versus State of Bihar & Ors. They also pointed out that the petitioner had already availed the remedy of appeal before the Appellate Authority and had a further remedy before the GST Tribunal under Section 112 of the Act. They further noted that a similar issue was pending before the Supreme Court in an SLP filed by the petitioner in another case, but no interim order had been granted.