Sardarshehar Petroleum Dealers Association vs. Union Of INDIA

CW/19712/2022HC RajasthanGSTCNR RJHC01090435202219 February 2024Bench: MANINDRA MOHAN SHRIVASTAVA,MUNNURI LAXMAN1 pages

AI SummaryDismissed

Facts

The petitioner, Sardarshehar Petroleum Dealers Association, through its Secretary, filed a writ petition before the Rajasthan High Court at Jodhpur. The petition sought directions from the respondents, including the Union of India, the Ministry of Petroleum and Natural Gas, and the Goods and Services Tax Council. The core of the petition concerned the inclusion or exclusion of petroleum products, specifically MS (Motor Spirit) and HSD (High-Speed Diesel), under the purview of the Goods and Services Tax Act, 2017. The specific tax period or amount in dispute was not recorded. The procedural history leading to this writ petition was not detailed.

Held

The Court held that there is no constitutional or legislative mandate that empowers it to issue directions to the respondents regarding the inclusion or exclusion of petroleum products (MS-HSD) under the purview of the Goods and Services Tax Act, 2017. The reasoning was that such decisions fall within the domain of policy-making, which is the prerogative of the executive and legislative branches, not the judiciary, in the absence of any specific legal provision or constitutional obligation. The ratio decidendi is that courts cannot direct the government to include or exclude items from a tax regime without a clear legal basis. The Court dismissed the writ petition, granting no relief to the petitioner. No issues were expressly left undecided.

Key Issues

1. Whether there is a constitutional or legislative mandate to issue directions for the inclusion or exclusion of petroleum products (MS-HSD) under the purview of the Goods and Services Tax Act, 2017? The petitioner argued that directions should be issued to bring petroleum products under GST. The respondents did not present any arguments as recorded in the judgment. The Court had to decide if it could compel the government to include or exclude specific items from the GST regime without a clear statutory or constitutional basis. The issue hinges on the scope of judicial review and the executive's power to decide tax policy.

Sections Cited

Goods and Services Tax Act, 2017

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

[2024:RJ-JD:8433-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR D.B. Civil Writ Petition No. 19712/2022 Sardarshehar Petroleum Dealers Association, Through Its Secretary Mrs. Durga Rani Rathore W/o Rajendra Singh Bhati, Aged About 44 Years, R/o Bhawani Niketan, Near Purva Guest House, Bahadur Singh Colony, Sardarshahar, District Churu, Rajasthan. ----Petitioner Versus 1. Union Of India, Through The Secretary, Ministry Of Finance, Government Of India, North Block, New Delhi 110001. 2. The Secretary, Ministry Of Petroleum And Natural Gas, Government Of India, Shastri Bhawan, New Delhi 110001. 3. The Goods And Services Tax Council, Through Its Secretary, Office Of The Gst Council, Secretariat, 5Th Block, Power 2Nd, Jeevan Bharti Building, Janpath Road, Connaught Place, New Delhi. ----Respondents For Petitioner(s) : Mr. Vivek Mathur For Respondent(s) : -- HON'BLE THE CHIEF JUSTICE MR. MANINDRA MOHAN SHRIVASTAVA HON'BLE MR. JUSTICE MUNNURI LAXMAN

Order 19/02/2024 This petition, if we may say so, is as frivolous as it could be.

In the absence of any constitutional or legislative mandate, no direction can be issued to the respondents in the matter of inclusion/ exclusion of petroleum products (MS-H ) under the purview of Goods and Services Tax Act, 2017. The writ petition is accordingly dismissed. (MUNNURI LAXMAN),J (MANINDRA MOHAN SHRIVASTAVA),CJ 2-divyaP/-

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.