M/S Ajay Kumar vs. The State Of Bihar

Held

The Court held that based on the petitioner's assertion, the period between April 1, 2017, and June 30, 2017, cannot be taxed under the GST Act, and taxability for this period would fall under the Bihar Value Added Tax Act. However, the Court noted that Annexure-P/2 does not explicitly indicate that any transactions within the period of April 1, 2017, to June 30, 2017, have been included. Given that a rectification application has been filed by the petitioner, the Court directed the petitioner to pursue this application for the claim raised. The Court found no grounds for interference with Annexure-P/2 at that stage based solely on the petitioner's assertion. No issue was expressly left undecided.

Facts

The petitioner, M/s Ajay Kumar, is challenging an order (Annexure-P/2) passed by the Assistant Commissioner, BGST, Patna Central Circle. The petitioner contends that this order, pertaining to the financial year 2017-18, is without jurisdiction because it allegedly includes transactions from April 1, 2017, to June 30, 2017, a period before the Goods and Services Tax (GST) Act came into force on July 1, 2017. The petitioner notes that the initial assessment order (Annexure-P/1) for the same period only considered transactions from July 2017 onwards. A rectification application has been filed by the petitioner concerning the disputed order.

Key Issues

1. Whether the order dated 17-09-2024 (Annexure-P/2) passed by the Assistant Commissioner, BGST, Patna Central Circle, is without jurisdiction due to the alleged inclusion of transactions from April 1, 2017, to June 30, 2017, which predates the GST Act's commencement on July 1, 2017? Petitioner's Contention: The petitioner argues that the impugned order is without jurisdiction as it purportedly includes transactions from the period April 1, 2017, to June 30, 2017, which cannot be taxed under the GST Act. They rely on the fact that the GST Act became effective only on July 1, 2017, and transactions prior to this date would fall under the Bihar Value Added Tax Act. Revenue's Contention: The judgment does not record any specific arguments from the respondent revenue authority regarding the inclusion of the pre-GST period. However, the Court's observation implies that the order does not explicitly indicate the inclusion of transactions from April 1, 2017, to June 30, 2017.