Mangilal Sharma S/O Shri Shyam Sunder Sharma vs. Joint Commissioner Business Audit

Held

The Court held that Section 107 of the CGST Act provides a statutory alternate remedy for assailing orders passed under Section 73. The Court noted the Supreme Court's decision in Adinath Enterprises, which affirmed the dismissal of a writ petition due to the availability of an alternate remedy. Consequently, the Court left it open for the petitioner to raise all arguments, including violations of natural justice, before the Appellate Authorities. The Court directed that if an appeal is preferred within one month from the date of the order, it shall be decided positively within three months, with a detailed speaking order.

Facts

The petitioner, Mangilal Sharma, proprietor of M/s Jai Mata Di Energy Systems, filed a writ petition challenging a final order passed under Section 73 of the CGST Act. The petitioner contended that the authorities failed to consider his submissions after the show cause notice was issued and that a significant amount of tax had already been paid, leaving no amount due. The respondents are the Joint Commissioner Business Audit, the State of Rajasthan (SGST), and the Union of India. The petition was filed before the High Court of Judicature for Rajasthan, Bench at Jaipur.

Key Issues

1. Whether the petitioner has a statutory alternate remedy against the order passed under Section 73 of the CGST Act? Petitioner's Argument: The petitioner argued that the authorities failed to consider his submissions and that no tax was due. Revenue's Argument: The revenue relied on Section 107 of the CGST Act, which provides for appeals to the Appellate Authority, and the Supreme Court's decision in Adinath Enterprises vs. Joint Commissioner Central Tax GST Delhi East, which upheld the dismissal of a writ petition on the ground of an available alternate remedy.