M/S Star Stone Crusher vs. Union Of INDIA

CW/8835/2024HC RajasthanGSTCNR RJHC02045546202429 May 2024Bench: MANINDRA MOHAN SHRIVASTAVA,BHUWAN GOYAL2 pages

AI SummaryRemanded

Facts

The petitioner, M/s Star Stone Crusher, through its partner, filed a writ petition before the Rajasthan High Court. The respondents included the Union of India, the State of Rajasthan, the Appellate Authority Central Excise and CGST, and the Superintendent of Central Goods and Service Tax. The petition was listed for admission but was disposed of finally with the consent of both parties. The core issue revolved around the non-constitution of the GST Tribunal and the petitioner's right to appeal.

Held

The Court disposed of the writ petition. It directed that if the petitioner makes the payment as stipulated in Sub-section (8) of Section 112 of the Rajasthan Goods and Services Tax Act, 2017, no recovery proceedings shall be initiated for the balance amount. This relief is contingent upon the petitioner availing the statutory remedy of appeal within a period of three months from the date the GST Tribunal is constituted. The Court accepted the proposal made by the respondents and agreed to by the petitioner, acknowledging the current situation of the Tribunal's non-constitution. The reasoning is based on providing a procedural safeguard to the petitioner while awaiting the establishment of the appellate mechanism.

Key Issues

1. Whether the writ petition should be kept pending or disposed of given the non-constitution of the GST Tribunal, and if disposed of, what protection should be afforded to the petitioner regarding the balance amount of tax in dispute, considering the provisions of Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017. Petitioner's Contention: The petitioner agreed to the disposal of the petition on the condition proposed by the respondents. Respondents' Contention: The respondents argued that since the Tribunal has not yet been constituted, the petition should not be kept pending. They proposed that the petition be disposed of with appropriate protection under Section 112(8) of the Act, allowing the petitioner to file an appeal within a stipulated period from the date of the Tribunal's constitution. They relied on a circular dated 23.03.2020 issued by the Government of Rajasthan, Finance Department (Tax Division).

Sections Cited

Section 112(8)

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

[2024:RJ-JP:25603-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No. 8835/2024 M/s Star Stone Crusher, Dhani Kurla Ki, Near Raipur Mod, Via Dokan Tehsil Neem Ka Thana, Sikar, Rajasthan 332718 Through Partner Sunder Mal Saini S/o Kesar Dev Saini Age About 65 Years. ----Petitioner Versus 1. Union Of India, Through Office Of The Chief Commissioner, Central Goods And Services Tax, Jaipur Zone, New Central Revenue Building, Statue Circle, C Scheme, Jaipur-302005. 2. State Of Rajasthan, Through Chief Commissioner State Taxes Kar Bhawan, Ambedkar Circle, Jaipur (Raj.) 3. Appellate Authority Central Excise And CGST, Jaipur NCRB, Statue Circle, Jaipur-302005. 4. Superintendent, Central Goods And Service Tax, Range- XXXIII, Sikar ----Respondents For Petitioner(s) : Mr. P.K. Kasliwal, Adv. For Respondent(s) : Mr. Bharat Vyas, AAG with Ms. Pratyushi Mehta, Adv. Mr. Ajay Shukla, Adv. with Mr. Raghav Sharma, Adv. & Mr. Pushpendra Badgati, Adv. Mr. Arnav Singh, Adv. for Mr. Sandeep Pathak, Adv. HON'BLE THE CHIEF JUSTICE MR. MANINDRA MOHAN SHRIVASTAVA HON'BLE MR. JUSTICE BHUWAN GOYAL

Judgment/Order 29/05/2024

Though the matter comes up for admission today, with the consent of the parties, the petition is being disposed of finally.

[2024:RJ-JP:25603-DB] (2 of 2) [CW-8835/2024]

At the outset, learned counsel for the respondents has submitted that at present the Tribunal has not been constituted and the process towards constitution of the Tribunal is going on, therefore, in these circumstances, this petition may not be kept pending but with appropriate protection available under Section 112(8) of the Rajasthan Goods and Services Tax, 2017 (for short 'the Act'), this petition may be disposed off with liberty to the petitioner to file appeal within stipulated period from the date the Tribunal is constituted. In support of his submission, he places reliance upon a circular dated 23.03.2020 issued by Government of Rajasthan Finance Department (Tax Division).

Learned counsel for the petitioner agrees to the disposal of the petition on the aforesaid condition.

Accordingly, this petition, at this stage, is disposed off with a direction that in case petitioner makes payment as per provisions contained in Sub-section(8) of Section 112 of the Act, further proceedings shall not be drawn for recovery of the balance amount, provided that the petitioner avails statutory remedy of appeal within a period of three months from the date of the constitution of the Tribunal. (BHUWAN GOYAL),J (MANINDRA MOHAN SHRIVASTAVA),CJ Mohita/Inder-87

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.