M/S Micro Info Solution PVT. LTD. vs. The State Of Bihar

Held

The Court acknowledged that the petitioner had an equally efficacious alternative remedy of preferring an appeal under the Bihar Goods and Services Tax Act, 2017. The petitioner expressed willingness to pursue this statutory remedy. The revenue agreed to accept the appeal, hear it, and decide it on its merits, provided it was filed by February 18, 2020, waiving the limitation period. The Court expressed hope that the appropriate authority would consider and decide the appeal with reasonable dispatch. All issues were left open for consideration by the appellate authority. The writ petition was disposed of with the liberty granted to the petitioner to file the statutory appeal.

Facts

The petitioner, M/s Micro Info Solution Pvt. Ltd., sought to quash an order dated May 30, 2019, passed by the Assistant Commissioner, State Tax, Gandhi Maidan, Patna. This order imposed a demand of Rs. 97,378/- towards tax, interest, and penalty by rejecting the petitioner's claim for transitional credit of SGST under Section 140 of the GST Act, 2017. The petitioner approached the High Court by way of a writ petition. The respondents, represented by the State of Bihar and its tax authorities, acknowledged that the petitioner possessed an equally efficacious alternative remedy of filing an appeal under the Bihar Goods and Services Tax Act, 2017.

Key Issues

1. Whether the petitioner has an equally efficacious alternative remedy available under the Bihar Goods and Services Tax Act, 2017, to challenge the order dated May 30, 2019, passed by the Assistant Commissioner, State Tax, Gandhi Maidan, Patna, which rejected the claim for transitional credit of SGST under Section 140 of the GST Act, 2017, and imposed a demand of Rs. 97,378/-. Petitioner's Contention: The petitioner stated that they would be content if permitted to exhaust the statutory remedy of appeal. Revenue's Contention: The State's counsel, Mr. Vikash Kumar, conceded that the petitioner has an equally efficacious alternative remedy of preferring an appeal under the provisions of the Bihar Goods and Services Tax Act, 2017. The revenue further agreed that any such appeal preferred by the petitioner would be taken on record, heard, and decided in accordance with law, and that the issue of limitation would not be a bar if the appeal was filed on or before February 18, 2020.