Kanumuru Rahul Raju vs. Assistant Commissioner (St)

WP/37/2025HC TelanganaGSTCNR HBHC01000013202506 January 2025Bench: SUJOY PAUL,G.RADHA RANI5 pages

For Petitioner: Ms. K. UMAFor Respondent: SRI B. MUKHERJEE REP, SRI GADI PRAVEEN KUMAR, DY. SOLICITOR GENERAL OF INDIA

AI SummaryPartly Allowed

Facts

The petitioner, Kanumuru Rahul Raju, challenged a notification and a Government Order that extended the limitation period for concluding adjudication proceedings under Section 73 of the GST Acts for the tax period 2018-19. The petitioner argued that these extensions, specifically Notification No. 56/2023-Central Tax dated 28.11.2023 and G.O.Ms.No.170 dated 31.10.2024, were ultra-vires the relevant sections of the CGST and Telangana GST Acts, and also arbitrary and violative of Article 14 of the Constitution. The petitioner also sought to declare the impugned order dated 28.4.2024, passed by the Assistant Commissioner (ST) for the tax period April 2018 to March 2019, as time-barred. The petitioner sought a stay on further proceedings pursuant to the impugned order.

Held

The Court disposed of the Writ Petition by reserving liberty to the petitioner to avail the remedy of statutory appeal. If the appeal is preferred by the petitioner within 45 days from the date of the order, the appellate authority shall consider and decide the appeal on merits without dismissing it on the ground of limitation. The Court explicitly stated that it had not expressed any opinion on the merits of the case. The operative direction was to allow the petitioner to file a statutory appeal with a condonation of delay for 45 days. No issue was expressly left undecided, as the Court chose not to adjudicate on the merits of the ultra-vires and time-barred arguments.

Key Issues

1. Whether Notification No. 56/2023-Central Tax dated 28.11.2023, issued under Section 168-A of the Central Goods and Services Tax Act, 2017, and G.O.Ms.No.170 dated 31.10.2024, issued under Section 168-A of the Telangana Goods and Services Tax Act, 2017, extending the limitation for concluding adjudication under Section 73 for the tax period 2018-19, are ultra-vires the said sections and Article 14 of the Constitution. Petitioner's arguments: The petitioner contended that the impugned notifications and Government Order are ultra-vires Section 168-A of both the Central and Telangana GST Acts, as these provisions do not grant the power to extend the limitation period for adjudication. Furthermore, the petitioner argued that these extensions are manifestly arbitrary and violative of Article 14 of the Constitution. The petitioner also argued that the impugned order dated 28.4.2024 is time-barred. Respondents' arguments: The respondents did not record any specific arguments against the petitioner's claims in the provided judgment excerpt. The judgment notes that the other side had no objection to the matter being disposed of in terms of a previous order.

Sections Cited

Section 73, Section 168-A

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

[ 3430 I HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) MONDAY ,THE SIXTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTIGE SUJOY PAUL AND THE HONOURABLE DR. JUSTICE G.RADHA RANI Between: AND 1 2 2 4 Kanumuru Rahul Raju, 8-2-2481117116/17, Lakshmi Towers, Nagarjuna Hills, Punjagutta' Hyderabad-S0O 082' ...pETrroNER Assistant Commissioner (ST), Jadcherla Circle, Nagar Kurnool, Nalgonda Division. State of Telangana, rep. by its Chief Secretary, and Special Chief Secretary to Government (FAC), State Tax Department, Secretariat, Hyderabad. Union of lndia, rep. by its Secretary, Ministry of Finance, Government of India, 3rd Floor, Jeevan Deep Building, Sansad Marg, New Delhi-1 10 001. Central Board of lndirect Taxes and Customs, GST Policy Wing, Government of lndia, Ministry of Finance, New Delhi, rep. by its Commissioner (GST). ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ of Mandamus or any other appropriate writ or order or d irection- (a) declare Notification No.56/2023-Central Tax dated 2811212023 issued by the 4th Respondent under Section 168-4 of the Central Goods and Services Tax Act, 2017 and G.O.Ms.No.170 dated 31lOBl2O24 issued by the 2nd Respondent under Section '168-A of the Telangana Goods and Services Tax Act, 201 7 extending the limitation for concluding the adjudication of show cause notice and order issued under Section 73 for the tax period 2018-19 as ultra-vires Section 168-4 of the Central Goods and Service Tax Act, 2017 and as ultra-vires Section 168-4 of the Telangana Goods and Services Tax Act, 2017 and also manifestly arbitrary and violative Article '14 of the Constitution and (a) declare the impugned order dated 28.4.2024 passed by the 1't Respondent for the tax period April, 2018 to March, 2019 as time barred WRIT PETITION NO: 37 OF 2025 lA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affldavit filed in support of the petition, the High Court may be pleased to grant stay of all further proceedings pursuant to the impugned order dated 28.4.2024 passed l)y the 'l 't Respondent for the tax period April, 201 B to March, 2019 under the Central Goods and Services Tax Act, 2017, pending disposal of the Writ Petition as otherwise the Petitioner will be put to severe loss and hardship. Counsel for the Petitioner: Ms. K. UMA Counsel for the Respondent Nos. 'l&2: SPECIAL GOVT PLEADER FOR STATE TAX Counsel for the Respondent No.3: SRI B. MUKHERJEE REP SRI GADI PRAVEEN KUMAR, DY. SOLICITOR GENERAL OF INDIA Counsel for the Rerspondent No.4: SRI DOMINIC FERNANDES, SC FOR CBIC

The Court made the following: ORDER

THE HONOURABLE SRI JUSTICE SUJOY PAUL AND THE HON'BLE DT. JUSTICE G. RADHA RANI IVRIT PETITION No.37 of 2o25 ORDER (per Hon'ble SP,J) Ms. K. Uma, learned counsel for the petitioner; Sri Swaroop Oorilla, learned Special Government Pleader for State Tax, for respondent Nos.1 & 2; Sri B. Mukherjee, learned counsel representing Sri Gadi Praveen Kumar, learned Deputy Solicitor General of India, for respondent No.3 and Sri Dominic Fernandes, learned Senior Standing Counsel for CBIC, for respondent No.4. 2. Learned counsel for the petitioner at the outset submits that this matter is covered by recent order passed by this Court in W.P.No.2123 of 2024 and batch and it may be disposed of in same terms.

The other side has no objection.

Accordingly, tJlis Writ Petition is disposed of by reserving liberty to the petitioner to avail the remedy of statutory appeal. If the appeal is preferred by the petitioner within 45 days from today before the appellate authority, the said authority shall consider and decide the appeal on merits and it shall not be throu.n overboard on the ground of limitation. It is made clear that this Court has not ! ! I I I i ll I ,l ! l I i I I I I I I { I

2 expressed any opinion on merits of the case. There shall be no order as to costsi. Interlocutory applications, if any pending, shaLl also stand //// . P.Ch. NAISABHUSHAMBA ASSISTANT REGISTRAR OFFICER to'',. an" Assistant Commissioner (ST), Jadcherla Circle' Nagar Kurnool' Nalgonda Division.

The Chief Secretary' and Special. Chief, Secretary to Government (FAC)' -- State Tax Department, Secretariat' HyderaDao'

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HIGH COURT DATED:0610112025 ORDER WP.No.37 o12025 DISPOSING OF THE WRIT PETITION WITHOUT COSTS 0 4 lq\i Oi:S F, ^j (:. 425 J (. .:( .. 1 I e STA re tv\A6 I ,t 'l \ I \ \v, @r*

Reproduced from the public record of the Telangana High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.