M/S Komatsu INDIA Private Limited vs. Union Of INDIA

CW/14753/2025HC RajasthanGSTCNR RJHC02080764202508 January 2026Bench: SANJEEV PRAKASH SHARMA,SANGEETA SHARMA3 pages

AI SummaryPartly Allowed

Facts

The petitioner, M/s Komatsu India Private Limited, filed a writ petition before the Rajasthan High Court challenging an order passed by the Appellate Authority-III, State Tax, Jaipur. The petitioner had filed an appeal before the Appellate Authority, which was rejected on the grounds of limitation. The petitioner had applied for cancellation of their GST registration, and subsequently, an order was passed against them after approximately 15 months. The petitioner contended that the delay in filing the appeal was due to reasonable grounds, as they were not actively monitoring the portal after applying for registration cancellation. The impugned orders were passed by the Deputy Commissioner, State Tax, Circle-I, Zone Jaipur-III, and the Appellate Authority-III, State Tax.

Held

The Court held that while the Appellate Authority was correct in rejecting the appeal on the ground of limitation as the limitation period cannot be extended beyond that provided under Section 107 of the CGST Act, 2017, it found that the delay in filing the appeal was on reasonable grounds. The Court acknowledged that the petitioner had applied for cancellation of registration and would not have been monitoring the portal. Given that the order was passed after 15 months, the delay in not noticing the impugned order was deemed reasonable and deserved to be condoned. Consequently, the writ petition was allowed to this extent. The Court directed the Appellate Authority to hear the appeal on merits and decide it preferably within six months. The impugned orders dated 28.11.2023 and 11.07.2025 were quashed and set aside.

Key Issues

1. Whether the Appellate Authority was correct in rejecting the petitioner's appeal solely on the grounds of limitation, as provided under Section 107 of the CGST Act, 2017? Petitioner's arguments: The petitioner argued that the delay in filing the appeal was on reasonable grounds. They had applied for cancellation of their GST registration and were not actively monitoring the portal thereafter. The impugned order was passed after a significant delay of 15 months from the application for cancellation, and therefore, the delay in not noticing the order was justifiable. Revenue's arguments: The judgment does not record any specific arguments made by the revenue regarding the limitation period. However, the Appellate Authority's decision, upheld in part by the High Court, was based on the strict interpretation of the limitation period prescribed under Section 107 of the CGST Act, 2017.

Sections Cited

Section 107

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

[2026:RJ-JP:547-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No. 14753/2025 M/s Komatsu India Private Limited, 603, Ambition Tower, Agrasen Circle, Subhash Marg, C-Scheme, Jaipur - 302001 Through Its Authorized Signatory Shri Mysore Srivatsa Raghvendra, Son Of Shri M.r. Srivatsa, Aged 56 Years, Resident Of 23, F 2, 4Th Model House Sstreet, Basavanagudi, Bangalore - 560004. ----Petitioner Versus 1. Union Of India, Through Secretary, Ministry Of Finance No. 137, North Block, Near Delhi - 110001. 2. The State Of Rajasthan, Through Principal Secretary, Ministry Of Finance, Secretariat, Jaipur. 3. The Chief Commissioner, State Goods And Services Tax Department, Kar Bhawan, Ambedkar Circle, Jaipur. 4. The Appellate Authority - III, State Tax, Kar Bhawan, Jaipur, Rajasthan. 5. The Deputy Commissioner, State Tax, Circle-I, Zone Jaipur - III, Jaipur, Rajasthan. ----Respondents For Petitioner(s) : Mr. Yashasvi Sharma, Adv. Mr. Ayush Sharma, Adv. For Respondent(s) : Ms. Mahi Yadav, AAG with Mr. Aaditya Godara, AAAG Ms. Harshita Verma, Adv. Mr. Rohan Mittal, Adv. Mr. Janardan Pandit Garge, Adv. HON'BLE THE ACTING CHIEF JUSTICE MR. SANJEEV PRAKASH SHARMA HON'BLE MRS. JUSTICE SANGEETA SHARMA

Order 08/01/2026

Both the learned counsels fairly state that the issue raised in the present writ petition stands finally adjudicated by this Court in

[2026:RJ-JP:547-DB] (2 of 3) [CW-14753/2025] the case of Eagle Trans Shipping and Logisitics India Private Limited vs Union of India & Ors: D.B. Civil Writ Petition No.15466/2025 decided on 06.11.2025, wherein this Court has considered the law as laid down in the case of Akshansh Consultancy Services Pvt. Ltd. Vs Deputy Commissioner, Jaipur- III; D.B. Civil Writ Petition No.2957/2024 reported in (2025) 30 Technimont ICB Private Limited) vs State of Punjab & Ors: (2021) 12 SCC 477. 2. Accordingly, we hold that so far as the appellate authority is concerned, it was correct in rejecting the appeal on the ground of limitation, as the limitation period cannot be extended beyond the period as provided under Section 107 of the CGST Act, 2017. However, considering the nature of the case and the submissions raised before us, we find that the delay in filing the appeal was on reasonable grounds.

It is an admitted position that the petitioner had already moved application and had already applied for cancellation of the registration, therefore, of course they would not be following the portal after the said period. The order has been passed after 15 months thereto and therefore, the delay in not noticing the impugned order is found to be reasonable and deserves to be condoned by this Court.

Accordingly, we allow the writ petition to the aforesaid extent and direct the Appellate Authority to hear the appeal on merits and preferably decide the same within a period of six months.

[2026:RJ-JP:547-DB] (3 of 3) [CW-14753/2025]

The impugned orders dated 28.11.2023 passed by Deputy Commissioner State Tax, Circle-I, Zone Jaipur-III and 11.07.2025 passed by Appellate Authority-III, State Tax, stand quashed and set aside.

All pending application(s), if any, stand disposed. (SANGEETA SHARMA),J (SANJEEV PRAKASH SHARMA), ACJ HEENA/30

Reproduced from the public record of the Rajasthan High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.