Shubham Plastic vs. Commissioner, State Goods And Services Tax & Anr.

Held

The Delhi High Court held that the issue concerning interest was pending before the Supreme Court in SLP (C) No.3496/2017. As agreed by the counsel for both parties, the High Court directed that the parties would abide by the decision rendered by the Supreme Court in the aforementioned matter concerning interest. The Court did not independently decide the issue of interest but deferred to the apex court's ruling. The refund grievance was noted as satisfied. No specific amount in dispute for interest was recorded. The procedural history that mattered was the pendency of the Supreme Court case.

Facts

The petitioner, Shubham Plastic, filed a writ petition before the Delhi High Court challenging an order or action by the Commissioner, State Goods and Services Tax & Anr. The petitioner's primary grievance was related to a refund, which the petitioner's counsel acknowledged as satisfied. The sole remaining issue for adjudication was concerning interest. Both parties agreed that the Supreme Court was seized of the issue of interest in SLP (C) No.3496/2017, where leave had been granted and the matter was pending final adjudication. The writ petition was filed in 2019.

Key Issues

1. Whether the petitioner is entitled to interest on the refund amount, and if so, to what extent? The petitioner argued that the issue of interest was pending adjudication before the Supreme Court in SLP (C) No.3496/2017, and that the parties should abide by the Supreme Court's decision. The respondents did not present any arguments on this aspect, as recorded in the judgment. The core of the dispute, as presented to the High Court, was the entitlement to interest, which was directly linked to the ongoing Supreme Court proceedings.