Annapurna Gupta vs. Joint Commissioner State Goods And Services Tax

Held

The Court disposed of the writ petition by granting liberty to the petitioner to apply for rectification. The respondents were directed to examine the Rectification Application and take a decision on the same within four weeks. The Court did not make a definitive finding on the correctness of the input tax credit availment or tax payment, deferring the decision to the rectification process. The ratio of the decision is that procedural remedies, such as rectification, should be explored before a final judicial determination, especially when the revenue expresses willingness to consider the matter on merits without raising preliminary objections like limitation.

Facts

The petitioner, Annapurna Gupta, has challenged two orders: one dated 18.11.2023 passed by the Joint Commissioner (Appeal) and another dated 22.08.2023 passed by the Joint Commissioner (Appeal). The adjudication order, passed under Section 73 of the UKGST Act, 2017, was based on the petitioner allegedly availing input tax credit in excess of entitlement and short payment of taxes for the Financial Year 2018-19. The petitioner contends that there was no short payment of tax or incorrect availment of input tax credit.

Key Issues

1. Whether the petitioner had correctly availed input tax credit and made the correct tax payments for the Financial Year 2018-19, as required under the UKGST Act, 2017? Petitioner's contention: The petitioner argues that the amount adjudged as payable is incorrect, asserting that there was no short payment of tax and no incorrect availment of input tax credit. Revenue's contention: The Revenue stated that if the petitioner applies for rectification and provides evidence of due payments, the Department would examine it on merits without raising a limitation objection.