Ultratech Cement Limited vs. The State Of Bihar And Ors

Held

The Court held that the writ petition is not maintainable due to the availability of an alternative statutory remedy. The Court noted that no one appeared on behalf of the petitioner to press the writ petition. The respondent's submission regarding the availability of an alternative remedy under Section 72 of the VAT Act, as supported by the precedent in Supreme Road Transport Private Ltd. vs. State of Bihar, was accepted. The Court further acknowledged that the VAT Act has been repealed by the GST Act, 2017, but the right to appeal is saved under Section 147 of the GST Act. Consequently, the Court disposed of the writ petition with liberty to the petitioner to avail the appellate remedy. To address the likely expiry of the limitation period, the Court granted four weeks' time for the petitioner to file the appeal, accompanied by a petition for condonation of delay. The Appellate Authority was directed to consider and dispose of the appeal on its merits, taking into account the pendency of the matter before the High Court.

Facts

The petitioner, Ultratech Cement Limited, filed a writ petition challenging an order dated 14.08.2016 passed by the Commercial Taxes Officer, Rajauli Integrated Check Post. This order seized a truck bearing registration no. JH12F8954 for alleged violation of Section 60 of the Bihar Value Added Tax, 2005. The dispute arose from the classification of goods: the petitioner claimed the consignment was iron & steel for plant & machinery, taxable at 5%, while the department contended it was 'painted gratings', taxable at 14.5%. The respondent State raised a preliminary objection regarding the maintainability of the writ petition, arguing that the petitioner had not availed the alternative remedy under the VAT Act. The State also noted that the VAT Act has been repealed by the GST Act, 2017, but the right to appeal is saved under Section 147 of the GST Act.

Key Issues

1. Whether the writ petition is maintainable before this Court, given the availability of an alternative statutory remedy under the Bihar Value Added Tax Act, 2005? (Question of law) Contentions: Petitioner/Appellant: None appeared to press the petition. Revenue/State: The learned SC 11 for the State argued that the writ petition is not maintainable as the petitioner has rushed to this Court without availing the alternative remedy available under Section 72 of the VAT Act. Reliance was placed on the Division Bench judgment in the case of Supreme Road Transport Private Ltd. vs. State of Bihar (2015(1) PLJR 995), paragraph 20, which held that an alternative remedy exists. Furthermore, it was submitted that even after the repeal of the VAT Act by the GST Act, 2017, the right to appeal is saved under Section 147 of the GST Act, preserving the petitioner's recourse to appellate remedies.