M/S Rama Brick Field vs. Additional Commissioner Grade-2 And 2 Others
Held
The Court held that the authorities failed to verify tax deposits by the seller and did not consider that the seller had filed GSTR-1 and GSTR-3B returns. The impugned orders were therefore unsustainable.
Facts
The petitioner, M/s Rama Brick Field, opted for GST composition scheme. Proceedings were initiated under Section 74 for purchases from Rohit Coal Traders, who was later found to be non-existent. The petitioner argued that since they did not avail input tax credit and the seller had filed returns, the action was unjustified.
Key Issues
Whether proceedings under Section 74 are justified against a composition dealer for purchases from a supplier who later ceased to exist, when the dealer did not avail input tax credit and the supplier had filed returns.
Sections Cited
Section 74, Section 161
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2023:AHC:212496 Reserved Court No. - 5 Case :- WRIT TAX No. - 909 of 2022 Petitioner :- M/S Rama Brick Field Respondent :- Additional Commissioner Grade-2 And 2 Others Counsel for Petitioner :- Suyash Agarwal Counsel for Respondent :- C.S.C. HON’BLE PIYUSH AGRAWAL, J.
Heard Mr. Suyash Agarwal for the petitioner and Mr. Rishi Kumar, learned A.C.S.C. for State-respondents.
The instant Writ Tax is being entertained by this Court in view of the fact that G.S.T. Tribunal is not functional in the State of Uttar Pradesh pursuant to the Gazette notification of the Central Government bearing number CG-DL-E-14092023-248743 dated 14.09.2023. 3. By means of this writ petition, the petitioner is assailing the order dated 15.7.2020 under Section 74 of the Act relating to period of May 2018 to June 2018 for A.Y. 2018-19 and the order dated 20.7.2021 passed by Commercial Tax Officer Sardhana, Sector Meerut, respondent no. 2 as well as order dated 26.10.2021 passed by Additional Commissioner, Grade -2 (Appeal) II, Commercial Tax, Meerut A.Y. 2018-19, under Section 74 /161 of UP GST Act.
Learned counsel for the petitioner has submitted that during period of 1.10.
The judgment continues below.
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