Shree Shanker Lime Udyog vs. Union Of INDIA
Facts
The petitioner, Shree Shanker Lime Udyog, filed a writ petition challenging show cause notices and assessment orders issued by the GST Department. These notices raised a demand for GST on royalty paid to the Mining Department for a mining lease. The respondents, including the Union of India and the State of Rajasthan, were arrayed as parties. The petitioner's counsel was unable to dispute that the issue of demanding GST on royalty paid for mining leases had already been decided by the High Court in previous cases.
Held
The Court held that the issue concerning the demand of GST on royalty paid to the Mining Department for a mining lease had already been decided by this Court. Specifically, the Court referred to its own order dated September 29, 2022, in Shree Basant Bhandar Int Udyog Vs. Union of India & Ors. and connected matters, which followed the decision in Sudershan Lal Gupta Vs. Union of India & Ors. dated September 27, 2022. In the latter case, the Division Bench had ruled that the imposition of GST on royalty by the respondents was not liable to be interfered with. Since the petitioner's counsel could not dispute this precedent, the Court found no grounds to deviate from its previous pronouncements. Consequently, the writ petition was dismissed in terms of the aforementioned orders.
Key Issues
1. Whether the imposition of GST on royalty paid for a mining lease by the respondent GST authorities is legally sustainable? The petitioner argued that the GST Department's action of imposing GST on royalty paid to the Mining Department for a mining lease was under challenge. The respondents, represented by the learned Additional Advocate General, contended that the issue involved in the present writ petition had already been decided by the High Court. They relied on a previous order dated September 29, 2022, in the case of Shree Basant Bhandar Int Udyog Vs. Union of India & Ors. and other connected writ petitions, which in turn relied on an order dated September 27, 2022, passed by the Jaipur Bench of the High Court in Sudershan Lal Gupta Vs. Union of India & Ors. In Sudershan Lal Gupta's case, the Division Bench had held that the action of the respondents regarding the imposition of GST on royalty was not liable to be interfered with.
AI-generated summary — verify with the full judgment below
[2023/RJJD/017372] HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR D.B. Civil Writ Petition No. 1376/2023 Shree Shanker Lime Udyog, Through Prop. Shri Papu Ram Choudhary S/o Shri Mohan Ram Choudhary, Age About 52 Years, R/o 1-C-9, Kudi Housing Board, District Jodhpur. ----Petitioner Versus
Union of India, Through Secretary, Finance Department, New Delhi.
The State of Rajasthan, Through Secretary, Finance Department (Tax Division), Govt. Of Rajasthan, Jaipur.
The Secretary, Mining And Land Department, Govt. Of Rajasthan, Jaipur.
Deputy Commissioner, Central Goods And Service Tax, Circle Division C-2-E-1, Subhash Enklav, Central School No. 1, Abhaygad Scheme, Jodhpur. ----Respondents For Petitioner(s) : Mr. D.D. Thanvi Mr. Amit Vyas For Respondent(s) : Mr. Sandeep Shah, Sr. Advocate & AAG assisted by Mr. Abhimanyu Singh Rathore Mr. Rajvendra Saraswat Mr. Shreyansh Bhandawat HON'BLE MR. JUSTICE VIJAY BISHNOI HON'BLE MR. JUSTICE YOGENDRA KUMAR PUROHIT Order 25/05/2023
The present writ petition has been filed by the petitioner challenging the show cause notice/assessment orders issued by the respondent - GST Department raising demand of GST on royalty paid to th
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