Terra Motors INDIA PVT.LTD. vs. The Assistant Commisssioner, State Tax And Ors
Facts
The petitioner, Terra Motors India Private Limited, filed a writ petition challenging an adjudication order and an order of the Appellate Authority concerning Electric Vehicles. The petitioner contended that these orders were contrary to Circular No. 179/11//2022-GST dated August 3, 2022, issued by the Government of India, Ministry of Finance. This circular, according to the petitioner, entitled them to a refund of excess GST collected. The State GST authority, represented by Mr. Ghosh, acknowledged that while the State Government had not yet issued a similar circular, it intended to do so shortly. The State suggested remanding the matter to the Adjudicating Authority to consider the refund claim in light of the Central Government's circular.
Held
The Court set aside the impugned adjudication order and the appeal order. The Court accepted the submission of the parties and the facts presented. The matter was remanded back to the Adjudicating Authority. The Adjudicating Authority is directed to pass a fresh order considering the benefit provided to the assessee/petitioners in the Circular dated August 3, 2022. This fresh order is to be passed within a period of eight weeks from the date of communication of this order. The Court did not expressly leave any issue undecided, as the remand implicitly addresses the petitioner's claim based on the circular.
Key Issues
1. Whether the impugned adjudication order and the order of the Appellate Authority are contrary to Circular No. 179/11//2022-GST dated August 3, 2022, issued by the Government of India, Ministry of Finance, concerning Electric Vehicles. Petitioner's Arguments: The petitioner argued that the aforementioned circular grants them entitlement to a refund of excess GST collected, and the impugned orders, which did not consider this benefit, are therefore erroneous. Revenue's Arguments: The State GST authority conceded that the State Government had not yet issued a similar circular but indicated its intention to do so shortly. They submitted that the matter should be remanded to the Adjudicating Authority to consider the petitioner's refund claim in light of the Central Government's circular.
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2022 Howah & Ors.
Mr. Ankit Kanodia, Ms. Megha Agarwal, Ms. Payal Shaw … For the Petitioner.
Mr. A. Ry, Ld. GP., Mr. D. Ghosh, Mr. N. Chatterjee, Mr. D. Sahu … For the State.
Heard learned Advocates appearing for the parties.
This application has been filed in connection with the main writ petition drawing attention of the court about a Circular dated 3rd August, 2022 being No.179/11//2022-GST issued by the Government of India, Ministry of Finance and relying on such Circular petitioners submit that the impugned adjudication order and order of the Appellate Authority relating to Electric Vehicles, is contrary to the aforesaid Circular and petitioners are entitled to refund of the excess GST collected. Though till date the State Government has not issued any such Circular, Mr. Ghosh, learned Advocate representing the State GST authority submits that the State Government is going to issue the Circular
The judgment continues below.
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