Kushala Singh S/O Shri Hardeva Ram vs. Assistant Commissioner, State Tax

CW/6724/2020HC RajasthanGSTCNR RJHC02034128202028 March 2024Bench: MANINDRA MOHAN SHRIVASTAVA,BHUWAN GOYAL2 pages

AI SummaryRemanded

Facts

The petitioner, Kushala Singh, filed a writ petition before the Rajasthan High Court at Jaipur. The respondent was the Assistant Commissioner, State Tax, Anti-Evasion, Jaipur. The petition was listed for admission but was disposed of finally with the consent of both parties. The core of the issue revolved around the non-constitution of the GST Tribunal. The respondent counsel submitted that due to the absence of the Tribunal, the petition should not be kept pending but disposed of with liberty to the petitioner to file an appeal within a stipulated period from the date the Tribunal is constituted, relying on Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017, and a circular dated 23.03.2020.

Held

The Court disposed of the writ petition with a specific direction. It held that if the petitioner makes the payment as stipulated in Sub-section (8) of Section 112 of the Rajasthan Goods and Services Tax Act, 2017, no further proceedings shall be initiated for the recovery of the balance amount. This relief is contingent upon the petitioner availing the statutory remedy of appeal within a period of three months from the date the GST Tribunal is constituted. The Court accepted the submission of the respondent and the agreement of the petitioner to dispose of the matter on these terms, acknowledging the current procedural impediment of the non-constituted Tribunal. The ratio decidendi is that in the absence of a functional appellate tribunal, the High Court can provide interim protection and a pathway for appeal upon fulfillment of pre-deposit requirements, as per statutory provisions and administrative directives.

Key Issues

1. Whether the writ petition should be kept pending or disposed of in light of the non-constitution of the GST Tribunal, considering the provisions of Section 112(8) of the Rajasthan Goods and Services Tax Act, 2017, and the circular dated 23.03.2020? Petitioner's Contention: The petitioner agreed to the disposal of the petition on the condition proposed by the respondent. Respondent's Contention: The respondent argued that since the Tribunal has not been constituted and the process is ongoing, the petition should not be kept pending. Instead, it should be disposed of with appropriate protection under Section 112(8) of the Act, allowing the petitioner to file an appeal within a stipulated period from the Tribunal's constitution. Reliance was placed on a circular dated 23.03.2020 issued by the Government of Rajasthan, Finance Department (Tax Division).

Sections Cited

Section 112(8)

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

[2024:RJ-JP:15143-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No.6724/2020 Kushala Singh S/o Shri Hardeva Ram, Ward-No-3, Ahir Ka Bass, Sikar-Rajasthan ----Petitioner Versus Assistant Commissioner, State Tax, Ward-II, Anti-Evasion- Rajasthan, Circle-III, Jaipur, Rajasthan ----Respondent For Petitioner(s) : Mr. Sarvesh Jain, Advocate For Respondent(s) : Mr. Sandeep Pathak, Advocate HON'BLE THE CHIEF JUSTICE MR. MANINDRA MOHAN SHRIVASTAVA HON'BLE MR. JUSTICE BHUWAN GOYAL

Order 28/03/2024

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, this 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).

[2024:RJ-JP:15143-DB] (2 of 2) [CW-6724/2020]

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 of three months from the date of the constitution of the Tribunal. (BHUWAN GOYAL),J (MANINDRA MOHAN SHRIVASTAVA),CJ Karan/21

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.