M/S Maa Shakambari Steel Limited vs. The Assistant Commissioner Of State Tax
Facts
The Petitioner, M/s Maa Shakambari Steel Limited, filed a writ petition challenging an order dated 20.01.2023 passed by the Assistant Commissioner of State Tax under Section 107(11) of the Chhattisgarh Goods & Services Tax Act, 2017. The Petitioner also challenged a subsequent order dated 10.03.2025 rejecting their application filed under Section 161 of the Act. The Petitioner argued that the Ministry of Finance, through Circular No. 224/18/2024-GST dated 11.07.2024, provided guidelines for recovery of outstanding dues when the Appellate Tribunal is not yet constituted. The Petitioner sought to avail this facility by filing an undertaking and making the pre-deposit. The State Counsel did not oppose the prayer.
Held
The Court held that the Petitioner could avail the alternative recovery mechanism provided by the circulars. The Court noted the existence of explicit guidelines for recovery of outstanding dues in cases where the first appeal has been disposed of and the Appellate Tribunal is not yet operational. Therefore, the Court found no further adjudication was required 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 once 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 of receiving the order copy, if not already deposited. Upon compliance, the recovery of the remaining demand would remain stayed as per sub-section (9) of Section 112 of the CGST Act. The order would lose efficacy if the deposit was not made within the stipulated period.
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, which provides for a mechanism to stay recovery of confirmed demands when the Appellate Tribunal is not in operation, by filing an undertaking and making the pre-deposit amount? Petitioner's Arguments: The Petitioner contended that the CBIC circular dated 11.07.2024, along with the Central Goods and Services Tax (Ninth Removal of Difficulties) Order, 2019 dated 03.12.2019, and Notification No. S.O. 4220(E) dated 17th September, 2025 (notifying 30th June, 2026 as the extended date for filing appeals), provides a clear procedure for taxpayers to deposit pre-deposit amounts and file an undertaking to stay recovery of the remaining demand until the Appellate Tribunal becomes functional. They argued that this mechanism should be allowed to be utilized. Revenue/State's Arguments: The State Counsel did not oppose the prayer made by the Petitioner.
Sections Cited
Section 107(11), Section 161, Section 112, Section 112(8), Section 112(9)
AI-generated summary — verify with the full judgment below
1
2026:CGHC:12066
NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPT No. 168 of 2023 M/s Maa Shakambari Steel Limited, Through Its Authorized Signatory Mr. Sudhir Mishra, Having Its Office At Hamirpur Road, Sambalpuri, Raigarh - 496001. ... Petitioner versus 1 - The Assistant Commissioner of State Tax Raigarh-1 Bilaspur, Division-2 Chhattisgarh,
Atal
Nagar
Naya
Raipur
Chhattisgarh
492101 2 - The Commissioner, Head Office Commercial Tax -GST Department, North Block, Sector - 19, Atal Nagar Naya Raipur Chhattisgarh 492101. 3 - The Union of India, Through Its Secretary, Department of Revenue, Ministry of Finance, North Block, New Delhi -110001
... Respondent(s) For Petitioner : Mr. Moulik Bhanshali, Advocate on behalf of Mr. Vivek Chopda, Advocate For State :Ms. Anuradha Jain, Deputy Government Advocate For Respondent No.3 :Ms. Annapurna A Tiwari, Advocate
Hon’ble Shri Justice Rakesh Mohan Pandey Order on Board 13/03/2026
Heard on admission.
Admit.
With the consent of the parties, matter is heard finally. NADIM MOHLE
The judgment continues below.
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