Shri Venketesha Heavy Ecquipments vs. The Asst. Commissioner
Facts
The petitioner, M/s. Shri Venkatesha Heavy Equipments, filed a writ petition before the Kerala High Court challenging recovery steps initiated by the respondents (State Goods & Services Tax Department) for amounts confirmed by Ext.P1 assessment order under the Kerala Value Added Tax Act. The petitioner had preferred an appeal (Ext.P2) along with a stay petition (Ext.P3) before the 2nd respondent, the Dy. Commissioner (Appeals), SGST Department. The petitioner contended that recovery steps were being taken even before the stay petition was considered. The petition was admitted and heard by the High Court.
Held
The Court held that recovery steps for the amounts confirmed by Ext.P1 assessment order should be kept in abeyance until the 2nd respondent considers and passes reasoned orders on the petitioner's stay petition (Ext.P3). The Court directed the 2nd respondent to consider and pass reasoned orders on the stay petition within a period of four months from the date of receipt of a copy of the judgment, after hearing the petitioner. The recovery steps were to remain suspended until such orders were passed and communicated to the petitioner. The petitioner was directed to furnish a copy of the writ petition and the judgment to the 2nd respondent for further action. The Court did not decide on the merits of the assessment order itself or the appeal.
Key Issues
1. Whether the recovery steps for amounts confirmed by the assessment order can be initiated before the disposal of the stay petition filed along with the appeal? Petitioner's contention: The petitioner argued that recovery steps were being pursued by the respondents for the amounts confirmed by Ext.P1 assessment order even prior to the consideration of their stay petition (Ext.P3) filed before the 2nd respondent. This action, according to the petitioner, was premature and prejudicial. Respondents' contention: The judgment records no specific argument from the respondents regarding the propriety of initiating recovery steps before the disposal of the stay petition. The Government Pleader appeared for the respondents.
Sections Cited
Kerala Value Added Tax Act
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR MONDAY, THE 10TH DAY OF AUGUST 2020/19TH SRAVANA, 1942 WP(C).No.16291 OF 2020(J) PETITIONER: M/S.SHRI VENKATESHA HEAVY EQUIPMENTS, SIVAM BUILDING NO.III/74-A, NEAR IRIMPANAM POST OFFICE SEAPORT AIR PORT ROAD IRIMPANAM, TRIPUNITHURA REPRESENTED BY ITS PARTNER, KARTHIK JOB BY ADVS.SRI.HARISANKAR V. MENON SMT.MEERA V.MENON SMT.K.KRISHNA RESPONDENTS: 1 2 THE ASST. COMMISSIONER, SPECIAL CIRCLE-III STATE GOODS & SERVICES TAX DEPARTMENT, ERNAKULAM-682 015 THE DY. COMMISSIONER (APPEALS) SGST DEPARTMENT ERNAKULAM-682 015 BY GOVT.PLEADER SMT.DR. THUSHARA JAMES THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 10.08.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C).No.16291 OF 2020(J) 2
J U D G M E N T Against Ext.P1 assessment order under the Kerala Value Added Tax Act, the petitioner has preferred Ext.P2 appeal together with Ext.P3 stay petition before the 2nd respondent. It is the case of the petitioner that even prior to considering the stay petition, recovery steps are taken by the respondents against the petitioner for recovery of the amounts confirmed by Ext.
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