M/S Tomar Enterprises vs. The Union Of INDIA
Facts
The petitioner, M/s Tomar Enterprises, filed a writ petition before the Rajasthan High Court challenging an action by the GST authorities. The specific order or action under challenge and the tax period(s) are not explicitly detailed in the provided text. The respondents, including the Union of India and the Commissioner and Superintendent of the Central Goods and Service Tax Department, were represented. The core of the dispute appears to relate to the blocking of Input Tax Credit (ITC).
Held
The Court held that the writ petition had become infructuous. This decision was based on a statement made by the learned counsel for the respondents. The counsel stated that the Input Tax Credit (ITC) had been unblocked by the respondents in accordance with the requirements of Rule 86A(3) of the CGST Rules, 2017. Consequently, as the grievance of the petitioner regarding the blocked ITC was addressed by the respondents' action, there was nothing further for the Court to decide in the matter. The ratio decidendi is that if the tax authority rectifies the issue complained of by the taxpayer before the court, the writ petition becomes infructuous. The operative direction was to dispose of the petition as infructuous.
Key Issues
1. Whether the blocking of Input Tax Credit (ITC) by the GST authorities was justified and in accordance with the law? (Question of law, turning on Rule 86A of the CGST Rules, 2017). The petitioner likely argued that the blocking of ITC was arbitrary or without proper justification. The respondents' argument, as indicated by the outcome, was that they had taken action to unblock the ITC as per the requirements of Rule 86A(3) of the CGST Rules, 2017, suggesting their subsequent action rectified any prior grievance.
Sections Cited
Rule 86A(3)
AI-generated summary — verify with the full judgment below
HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No. 970/2022 M/s Tomar Enterprises, 7, Benad Road, Near Baba Ki Chakki, Jaipur-302012, Rajasthan, through its proprietor, Shri Devendra Singh Tomar S/o Shri Briznandan Singh Tomar aged 51 years R/o 7, Nirmal Nagar, Benad Road, Japur-302012. ----Petitioner Versus
The Union of India, Ministry of Finance, Department of Revenue, Room No.46, North Block, New Delh110001, through its secretary
The Commissioner, Central Goods and Service Tax Department, New Central Revenue Building, C-Scheme, Statue Circle, Jaipur-302005. 3. The Superintendent, GST Division-A, Range-V, Central Goods and Service Tax Department, CP-21, 22, 23 Road No.1D, VKI Area, Jaipur ----Respondents For Petitioner(s) : Mr. Akshay Sharma, Adv. For Respondent(s) : Mr. Kinshuk Jain, Adv. HON'BLE THE ACTING CHIEF JUSTICE MR. MANINDRA MOHAN SHRIVASTAVA HON'BLE MR. JUSTICE SAMEER JAIN Order 28/04/2022 In view of the statement made by learned counsel for the respondents that ITC has been unblocked by the respondents as per requirement of Rule 86A(3) of the CGST Rules, 2017, nothing survive in the case. Therefore, the petition is disposed
The judgment continues below.
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