M/S Eastmen Auto And Power Limited vs. The Union Of INDIA
Facts
The petitioner, M/s Eastmen Auto and Power Limited, filed a writ petition before the Patna High Court challenging an order passed by the Joint Commissioner of State Tax, Patna South Circle. The petitioner contended that they were not afforded the minimum statutory period of 30 days as mandated under Section 74(A) of the CGST/BGST Act, 2017, to make a payment. The notice issued on June 1, 2019, directed the petitioner to file a reply by June 10, 2019, which was within the 30-day period. The assessing officer proceeded to pass an ex parte order before the expiry of the stipulated 30 days. The petitioner sought to quash the notice and the subsequent order.
Held
The Court held that the minimum statutory period of 30 days mandated under Section 74(A) of the CGST/BGST Act, 2017, was not afforded to the petitioner. The notice dated June 1, 2019, directed the petitioner to file a reply on June 10, 2019, which was within the 30-day period. The Court found that the assessing officer proceeded to pass an ex parte order before the expiry of the statutory 30 days. The Court emphasized that the mandate of law requires 30 days' period to be afforded to the parties, which was not done in this case. Consequently, the Court quashed the notice dated June 1, 2019, the order dated August 20, 2019, passed by the Joint Commissioner of State Tax, and the summary of the order in GST DRC-07 dated August 20, 2019. The Court directed the assessing officer to issue a fresh notice in light of the statutory provisions and pass an appropriate order in accordance with law. The petitioner undertook to cooperate fully.
Key Issues
1. Whether the statutory period of 30 days mandated under Section 74(A) of the CGST/BGST Act, 2017, was afforded to the petitioner for making payment? Petitioner's Arguments: The petitioner argued that the notice dated June 1, 2019, requiring a reply by June 10, 2019, did not provide the mandatory 30-day period stipulated by Section 74(A) of the CGST/BGST Act, 2017. They contended that the assessing officer proceeded to pass an ex parte order prematurely, violating the statutory mandate. The petitioner relied on the principle that statutory periods must be adhered to. Revenue's Arguments: The judgment does not record any specific arguments made by the revenue or state respondents regarding this issue.
Sections Cited
Section 74(A)
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT OF JUDICATURE AT PATNA Civil Writ Juri iction Case No.5050 of 2022 ====================================================== M/s Eastmen Auto and Power Limited Address- Khata No. 890, Plot No.- 526, P.S.- Gopalpur, Block- Sampatchak, District- Patna 800001 through its Proprietor Akhilesh Kumar, aged about 55 years, Male, Son of Janak Singh, Resident of Samaspur Nandu Bigha, District- Gaya. ... ... Petitioner/s Versus
The Union of India through the Principal Chief Commissioner of Central Tax, Government of India, New Delhi.
The Principal Commissioner of Central Tax, Government of India, New Delhi.
The Commissioner Central Tax, Government of India, New Delhi.
The State of Bihar through the Principal Chief Commissioner, State Tax, Bihar, Patna.
The Chief Commissioner, State Tax, Bihar, Patna.
The Joint Commissioner, State Tax, Patna South Circle, Patna.
The Assistant Commissioner of State Tax, Patna South Circle, Patna.
The Deputy Commissioner State Tax, Patna South Circle, Patna. ... ... Respondent/s ====================================================== Appearance : For the Petitioner/s : Mr. Ranjeet Kumar, Advocate Mr. Yogesh Kumar, Adv
The judgment continues below.
Read the full judgment
A free account opens 10 full GST judgments a month (one account works on both bharattax.net and this site). Re-reading one you have already opened does not count again.
The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.
Reproduced from the public record of the Patna High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.