Essar Steel Suppliers Thr Vikarm Ashok Gupta vs. Union Of INDIA Thr Its Secretary And Ors
Facts
The petitioner, Essar Steel Suppliers, filed a writ petition challenging an Order-in-Appeal dated 21 April 2021 passed by the Commissioner of Central Taxes, Central Excise & Service Tax (Appeals), Raigarh. The petitioner had a statutory right to appeal this order to the Appellate Tribunal under Section 112 of the Central Goods and Service Tax Act, 2017. However, the Appellate Tribunal had not been constituted at the time of filing the writ petition. The Central Board of Indirect Taxes and Customs (CBIC) issued a circular dated 18 March 2020 providing clarification on appeals in light of the non-constitution of the Tribunal, referencing the Central Goods and Services Tax (Ninth Removal of Difficulties) Order, 2019.
Held
The Court held that the period for filing an appeal to the Appellate Tribunal would stand extended as indicated in Clause 4.2 of the CBIC Circular dated 18 March 2020. The Court further directed that the impugned Order-in-Appeal would not be given effect until two weeks after the period prescribed for filing an appeal, as per Clause 4.2 of the Circular, is over. This decision was made by respectfully following a co-ordinate bench's order in a similar case, Rochem India Pvt. Ltd. vs. The Union of India & Ors. All contentions of the parties were kept open. The ratio decidendi is that in the absence of a functional Appellate Tribunal, the statutory period for appeal is extended by virtue of the government's removal of difficulties orders and circulars, and the impugned order's enforceability is deferred.
Key Issues
1. Whether the period for filing an appeal to the Appellate Tribunal, which has not yet been constituted, should be extended as per the CBIC Circular dated 18 March 2020 and the Central Goods and Services Tax (Ninth Removal of Difficulties) Order, 2019? The petitioner argued that due to the non-constitution of the Tribunal, the statutory period for filing an appeal should be extended in line with the government's clarification. The respondents did not record any specific arguments in the judgment. The Court had to decide the procedural consequence of the non-constitution of the Appellate Tribunal on the time limit for filing an appeal and the enforceability of the impugned order.
Sections Cited
Section 112
AI-generated summary — verify with the full judgment below
12-wp 2301-22.odt Prajakta Vartak IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURI ICTION WRIT PETITION NO. 2301 OF 2022 Essar Steel Suppliers ..Petitioner Vs. Union of India & Ors. ..Respondents __________ Mr. Abhishek Rastogi i/b. Mr. Sushant Valimbe for Petitioner. Mr. Jitendra Mishra with Ms. Maya Majumdar for Respondents. __________
CORAM : G. S. KULKARNI & JITENDRA S. JAIN, JJ.
DATE : JULY 03, 2023 P.C.:
Heard learned counsel for the parties.
This petition under Article 226 of the Constitution of India challenges an Order-in-Appeal dated 21 April, 2021 passed by the Commissioner of Central Taxes, Central Excise & Service Tax (Appeals), Raigarh. Against the said order, an appeal is provided under Section 112 of the Central Goods and Service Tax Act, 2017 to the Appellate Tribunal. However, till today, the Tribunal is not set up. The Central Board of Indirect Taxes and Customs have issued a circular dated 18 March, 2020 in respect of appeal in regard to non-constitution of Appellate Tribunal. Para 4.2 of the said clarification reads as under : “The appellate tribunal has not been constituted in view of the order by Madras High
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