M/S P.R. Rolling Mills PVT LTD vs. The Deputy Commissioner

CW/2912/2024HC RajasthanGSTCNR RJHC02014896202430 May 2025Bench: AVNEESH JHINGAN,ANAND SHARMA (V. J.)3 pages

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Facts

The petitioner, M/s P.r. Rolling Mills Pvt Ltd, filed a writ petition before the Rajasthan High Court challenging an order dated 27.11.2019. A primary grievance raised by the petitioner was that they were left remediless because the Goods and Services Tax Tribunal (GST) had not been functional since the implementation of GST in 2017. The Court, referencing a previous order in D.B.Civil Writ Petition No.1113/2024, noted that the Tribunal was not yet constituted. The respondents submitted that the process of constitution was ongoing and suggested disposing of the petition with protection under Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017, allowing the petitioner to file an appeal within a stipulated period from the Tribunal's constitution. The petitioner agreed to this condition.

Held

The Court held that the petitioner was indeed facing a procedural impediment due to the non-functional status of the GST Tribunal. Following the precedent set in D.B.Civil Writ Petition No.1113/2024, the Court disposed of the present petition. The operative directions were that the petitioner must deposit the amount as per the provisions of Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017, within six weeks from the date of the order. Furthermore, if the petitioner files an appeal within three months from the date of the constitution of the Tribunal, it shall be considered to have been filed within the limitation period. The petitioner was also granted liberty to request an early disposal of the appeal, which would be considered expeditiously in accordance with law. The Court did not expressly leave any issue undecided.

Key Issues

1. Whether the petitioner is remediless due to the non-functional status of the GST Tribunal, and if so, what interim relief can be granted? (Mixed question of law and fact, concerning the procedural remedies available under the GST regime). Petitioner's arguments: The petitioner contended that the non-constitution of the GST Tribunal rendered the statutory appeal mechanism unavailable, leaving them without a remedy against the impugned order. They sought appropriate directions from the Court to address this procedural deadlock. Respondents' arguments: The respondents acknowledged that the Tribunal was not yet constituted and that the process was ongoing. They proposed that the petition be disposed of with a direction allowing the petitioner to file an appeal within a stipulated period from the date of the Tribunal's constitution, provided the petitioner makes the payment as per Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017. They relied on a circular dated 23.03.2020 issued by the Government of Rajasthan, Finance Department (Tax Division).

Sections Cited

Section 112(8)

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Cause title — parties, addresses and appearances

[2025:RJ-JP:22785-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No. 2912/2024 M/s P.r. Rolling Mills Pvt Ltd, Through Its Director Rajeev Maheshwari S/o Late Shri Prakash Chand Maheshwari Aged About 54- Years, Resident Of C-5, Bani Park Jaipur- 302006 (Raj.) ----Petitioner Versus 1. The Deputy Commissioner, Circle-E Jaipur-I, And Having Presently Situated At Circle-A, Zone-4, State Goods And Service Tax Department Zonal Kar Bhawan J-12, Jhalana Industrial Area Jaipur, Rajasthan 2. State Of Rajasthan, Through Its Additional Chief Secretary, Department Of Finance Secretariat Jaipur, Rajasthan. 3. Appellate Authority Frist, State Goods And Service Tax Department, Kar Bhawan, Ambedkar Circle, Jaipur. 4. Union Of India, Through Its Finance Secretary, Ministry Of Finance, Government Of India, New Delhi. ----Respondents For Petitioner(s) : Mr. DP Sharma with Mr. Mukund Sharma For Respondent(s) : Mr. Kapil Sharma with Ms. Ishika Kothari Ms. Kinjal Surana, AGC for Mr. Sandeep Taneja, AAG HON'BLE MR. JUSTICE AVNEESH JHINGAN HON'BLE MR. JUSTICE ANAND SHARMA

Order 30/05/2025

The petition is filed seeking quashing of impugned order dated 27.11.2019. 2. One of the grievance raised is that the petitioner has been left remediless as the Goods and Service Tax Tribunal (for short

[2025:RJ-JP:22785-DB] (2 of 3) [CW-2912/2024] ‘the tribunal’) is not functional till date inspite of implementation of the GST in 2017. 3. This Court vide order dated 15.02.2024 has disposed of D.B.Civil Writ Petition No.1113/2024 with the following directions:- “Though the matter comes up for admission today, with the consent of the parties, the petition is being disposed of finally. At the outset, learned counsel for the respondents has submitted that at present the Tribunal has not been constituted and the process towards constitution of the Tribunal is going on, therefore, in these circumstances, the petition may not be kept pending but with appropriate protection available under Section 112(8) of the Rajasthan Goods and Services Tax, 2017 (for short ‘the Act’), this petition may be disposed off with liberty to the petitioner to file appeal within stipulated period from the date the Tribunal is constituted. In support of his submission, he places reliance upon a circular dated 23.03.2020 issued by Government of Rajasthan Finance Department (Tax Division).

Learned counsel for the petitioner agrees to the disposal of the petition on the aforesaid condition.

Accordingly, this petition, at this stage, is disposed off with a direction that in case petitioner makes payment as per provisions contained in Sub-section (8) of Section 112 of the Act, further proceedings shall not be drawn for recovery of the balance amount, provided that the petitioner avails statutory remedy of appeal within a period

[2025:RJ-JP:22785-DB] (3 of 3) [CW-2912/2024] of three months from the date of the constitution of the Tribunal.”

The petition is disposed of in the same terms. Let the petitioner deposit the amount as per the provisions of Section 112(8) of the Act within six weeks from today.

Considering that as on date the tribunal is not functional, in the eventuality of the petitioner filing an appeal within three months from the date of constitution of the tribunal, the same shall be considered to have been filed within limitation. Thereafter, the petitioner shall be at liberty to make a request for early disposal of the appeal and the same shall be considered in accordance with law expeditiously. (ANAND SHARMA),J (AVNEESH JHINGAN),J Chandan/69

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