Maa Kali Industries vs. State Of Chhattisgarh
Facts
The petitioner, Maa Kali Industries, filed a writ petition challenging an order dated 04.11.2022 passed by the Deputy Commissioner (Respondent No. 3) and an order dated 28.03.2024 passed by the Additional Commissioner (Appeal) (Respondent No. 2) under Section 107(11) of the Chhattisgarh Goods & Services Tax Act, 2017. The petitioner also challenged an attachment notice dated 16.01.2026. The petitioner's counsel submitted that the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes and Customs, had issued Circular No. 224/18/2024-GST dated 11.07.2024, providing guidelines for recovery of outstanding dues when the first appeal has been disposed of and the Appellate Tribunal is not yet constituted. The petitioner sought liberty to avail the alternative recovery mechanism outlined in this circular and a subsequent notification dated 17.09.2025.
Held
The Court held that, considering the explicit guidelines for recovery of outstanding dues in cases where the first appeal has been disposed of and the Appellate Tribunal is not yet in operation, there was nothing further for adjudication in the writ petition. The Court granted liberty to the Petitioner to comply with the conditions stipulated in Circular No. 224/18/2024-GST dated 11.07.2024. This includes filing an undertaking with the jurisdictional proper officer, declaring the intention to file an appeal before the Appellate Tribunal as and when it becomes operational within the timelines specified in Section 112 of the CGST Act and the notification dated 17.09.2025. The Petitioner was also directed to pay the pre-deposit amount as per sub-section (8) of Section 112 of the CGST Act within 15 days from the receipt of the order, if not already deposited. Upon compliance, the recovery of the remaining amount of the orders dated 04.11.2022 and 28.03.2024 shall remain stayed as per sub-section (9) of Section 112 of the CGST Act. The Court clarified that if the amount is not deposited within the specified period, the order would lose its efficacy.
Key Issues
1. Whether the petitioner can avail the benefit of the guidelines issued by the Central Board of Indirect Taxes and Customs (CBIC) in Circular No. 224/18/2024-GST dated 11.07.2024, and Notification No. S.O. 4220(E) dated 17.09.2025, for staying the recovery of confirmed demand pending the constitution of the Appellate Tribunal? Petitioner's arguments: The petitioner contended that Circular No. 224/18/2024-GST provides a mechanism for taxpayers to make pre-deposit payments and obtain a stay on the remaining demand, as per Section 112(8) and 112(9) of the CGST Act, when the Appellate Tribunal is not operational. They highlighted that the circular mandates filing an undertaking to appeal before the Tribunal once it is constituted. The petitioner also referred to Notification No. S.O. 4220(E) dated 17.09.2025, which extends the time for filing appeals. The petitioner sought liberty to comply with these guidelines. Revenue's arguments: The learned State Counsel did not oppose the prayer made by the petitioner.
Sections Cited
Section 107(11), Section 112, Section 112(8), Section 112(9)
AI-generated summary — verify with the full judgment below
1
2026:CGHC:17549
NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPT No. 56 of 2026 Maa Kali Industries Proprietorship Firm Through Its Proprietor Manoj Kumar Dammani, Aged About 39 Years, S/o. Rajkumar Dammani, 189/190, Infront Of Sbi Bank, Ramsagar Para, Raipur (C.G.)
... Petitioner versus
State Of Chhattisgarh Through Its Secretary, Department Fo Commercial Tax Gst, North Block Sector 19, Atal Nagar, Raipur (C.G.)
The Additional Commissioner (Appeal) State Tax, Chhattisgarh (Gst), Commercial Tax Gst Bhawan, North Block, Sector-19, Atal Nagar, Nava Raipur (C.G.)
The Deputy Commissioner State Tax, Raipur Circle I, Raipur (C.G.) 492001
Indian Bank Through Its Branch Manager Raipur Branch,guru Nanak Chowk Raipur, District- Raipur (C.G.) 492001
... Respondent(s) For Petitioner : Mr. Vikram Sharma, Advocate For State : Ms. Anuradha Jain, Dy. Government Advocate Hon’ble Shri Justice Rakesh Mohan Pandey Order on Board 17/04/2026 SIDDHANT TAMRAKAR TAMRAKAR Date: 2026.04.17 13:54:03 +0530
2
Heard on admission.
Adm
The judgment continues below.
Read the full judgment
A free account opens 10 full GST judgments a month (one account works on both bharattax.net and this site). Re-reading one you have already opened does not count again.
The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.
Reproduced from the public record of the Chhattisgarh High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.