M/S Rajeev Ranjan Security Agency vs. The State Of Bihar
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The petitioner, M/s Rajeev Ranjan Security Agency, filed a writ application challenging an order dated 11.02.2025 passed by the Additional Commissioner of State Taxes (Appeal). The appeal was rejected solely on the grounds of delay. The petitioner stated that the assessment order, passed by the adjudicating authority on 08.04.2024, was not uploaded on the portal. However, a demand notice was sent via email on 14.10.2024. Upon receiving this notice, the petitioner obtained the detailed order and filed an appeal on 30.01.2025, which they contend was within 120 days from the email communication and thus condonable. The revenue contended that the assessment order was uploaded on the portal on 20.12.2023, making the appeal time-barred from that date.
Held
The Court held that considering the dispute regarding the date of uploading of the assessment order on the portal and the petitioner's contention that they became aware of the order only upon receiving the demand notice via email on 14.10.2024, the matter requires reconsideration. The Court found that if the date of email communication is taken into account, the appeal might fall within the condonable delay period as per Section 107(4) of the GST Act. Therefore, to ensure justice and allow the petitioner to present their case on merits, the Court decided to remand the matter back to the appellate authority. The appellate authority is directed to pass a fresh order within two months, after considering a petition for condonation of delay to be filed by the petitioner within 15 days. The Court expressly left undecided the merits of the appeal itself, focusing only on the procedural aspect of delay.
Key Issues
1. Whether the appeal filed by the petitioner before the appellate authority was within the condonable period of delay as per Section 107(4) of the GST Act, considering the date of communication of the assessment order. Petitioner's arguments: The petitioner argued that the appeal was filed within 120 days from the date of receiving the demand notice via email on 14.10.2024. They relied on Section 107(4) of the GST Act, which allows the appellate authority to condone a delay of up to one month beyond the initial 90 days. The petitioner's appeal was filed after 106 days from the email communication, which they argued falls within this condonable period. They further contended that the appellate authority mechanically rejected the appeal without considering this aspect. Revenue's arguments: The revenue argued that the assessment order was uploaded on the portal on 20.12.2023. From this date, the appeal was time-barred and not condonable under Section 107 of the GST Act.
Sections Cited
Section 107(4), Section 107
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Cause title — parties, addresses and appearances
ORAL ORDER (Per: HONOURABLE MR. JUSTICE ANIL KUMAR SINHA) 5 06-08-2026
The petitioner has filed the present writ application challenging the order dated 11.02.2025 passed by the appellate authority, i.e., Additional Commissioner of State Taxes (Appeal), by which the appeal of the petitioner has been rejected on the ground of delay. The petitioner is a proprietor of M/s Rajeev Ranjan Security Agency and is a dealer registered having GSTIN No. 10AEWPR4178N1ZP. The petitioner submitted the returns and the adjudicating authority passed the assessment order on 08.04.2024, imposing tax liability upon the 2/4 petitioner.
It is the case of the petitioner that the order passed by the adjudicating authority was not uploaded on the portal and/or petitioner could not visit the portal, however, the demand notice, pursuant to the assessment order, was sent to the petitioner through email on 14.10.2024. The petitioner, after receipt of demand notice, obtained the detailed order and filed appeal before the appellate authority within a period of 120 days on 30.01.2025. 3. Referring to Section 107 (4) of the GST Act, learned counsel submits that the appellate authority has the power to condone the delay after 90 days to the extent of one month. The appeal of the petitioner has been filed after 106 days and the same is condonable under the statute. The appellate authority, without taking into consideration this aspect of the matter, has mechanically rejected the appeal of the petitioner on the ground of delay.
Learned counsel next submits that if the date of sending demand notice to the petitioner on his email, i.e. on 14.10.2024, is taken into consideration, the appeal filed by the petitioner was within 120 days.
Mr. G.P.-7, learned counsel for the State, on the 3/4 other hand, opposes the submission of the petitioner and submits that the assessment order was uploaded on the portal on 20.12.2023, and from the date of uploading of the assessment order, the appeal is time barred and was not condonable under the provisions of Section 107 of the GST Act.
We have heard learned counsel for the parties and have gone through the material facts including the relevant provisions of the Act.
The case of the respondent is that the order passed by the assessing authority was uploaded on the portal much earlier on 20.12.2023, however, the petitioner is disputing this fact and has submitted that he came to know about the assessment order after the demand notice was served upon him on 14.10.2024 and if the date of communication on the email is taken into account, the appeal has been filed within a period of 120 days and it comes under the condonable delay.
Considering the aforesaid discussion and the interest of justice, we remand the matter back before the appellate authority to pass a fresh order in accordance with law within a period of two months after considering the petition to be filed by the petitioner for condonation of delay within a period of 15 days.
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With the aforesaid direction, the present writ application is disposed.
HarshPandey/- (Anil Kumar Sinha, J) ( Vikash Kumar, J) U
Reproduced from the public record of the Patna High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.