M/S Jp Construction Co, Partnership Firm vs. Commissioner (Appeal), Central GST

Facts

The petitioner, M/s JP Construction Co., filed a writ petition before the Chhattisgarh High Court challenging an order dated 18.08.2025 passed by the Joint Commissioner (Appeal), Central Tax, Raipur, under Section 107 of the Chhattisgarh Goods and Services Tax Act, 2017. The petitioner sought to quash this order. The Goods and Services Tax Appellate Tribunal, though notified in Chhattisgarh, had not yet had its President or members appointed, preventing the petitioner from filing a second appeal as provided by the Act. The petitioner relied on a previous order by a coordinate bench and a circular from the Central Board of Indirect Taxes and Customs regarding the extension of limitation for filing appeals due to the non-constitution of the Tribunal.

Held

The Court held that it was appropriate to direct that as soon as the President or State President enters the office of the Goods and Service Tax Appellate Tribunal constituted under the Act, the petitioner may invoke the provision for filing an appeal after making the statutory deposit. The Court reasoned that this approach aligns with the previous order of a coordinate bench and the circular issued by the Central Board of Indirect Taxes and Customs, which acknowledged difficulties in filing appeals due to the non-constitution of the Tribunal. The statutory stay as provided under Section 112(9) of the Act, 2017, would remain in operation until the decision of the appeal. The Court clarified that if the appeal is not filed within the prescribed limitation period after the Tribunal becomes functional, the State would be at liberty to proceed against the petitioner for recovery. It was also stipulated that if the required amount for filing the appeal is not deposited within 30 days from the date of the order, the current order would lose its efficacy, referencing a Circular dated 11.07.2024. The petition was disposed of with these directions.

Key Issues

1. Whether the petitioner can file a writ petition before the High Court challenging the appellate order when a second appeal is provided under Section 112 of the CGST Act, 2017, given the non-constitution of the Goods and Services Tax Appellate Tribunal in Chhattisgarh? Petitioner's arguments: The petitioner contended that due to the absence of appointed personnel in the Goods and Services Tax Appellate Tribunal, filing a statutory appeal was impossible. They relied on a coordinate bench's order in WPT No.40/2023 (M/s. Divya Steels Vs. State of CG and ors.) dated 09.05.2024, which allowed for filing an appeal once the Tribunal's President or State President entered office. The petitioner also cited Order No.09/2019-Central Tax dated 03.12.2019, clarifying that the limitation period for filing appeals would commence from the date the President or State President enters office, thereby extending the time for filing. Respondents' arguments: The respondents, represented by Mr. Maneesh Sharma, Advocate, did not oppose the petitioner's prayer.