Sanjay Maheshwari vs. Union Of INDIA & Ors.

Facts

The Petitioner, Sanjay Maheshwari, filed two writ petitions before the Delhi High Court challenging orders related to GST. In W.P.(C) 5792/2025, the Petitioner sought to quash a Form DR-01, a Show Cause Notice (SCN), and an Order-in-Original (OIO) for the Financial Year 2017-2018. The Petitioner contended that the OIO was time-barred under Section 74(9) of the CGST Act. The Respondents stated the OIO was issued on 16.01.2025, within the limitation period under Section 74(10), and sent via email on 05.01.2025. In W.P.(C) 5832/2025, the Petitioner challenged an SCN dated 25.07.2024 and an OIO dated 16.01.2025, arguing the SCN was issued beyond the limitation period. The Respondents countered that the SCN was uploaded on 09.08.2024 and emailed on 03.08.2025, before the 05.08.2025 deadline.

Held

The Court noted that in both writ petitions, an efficacious remedy of appeal was available to the Petitioner against the respective impugned Orders-in-Original. The rival contentions raised by both parties involved disputed questions of fact, which the Court deemed more appropriately examinable by the Appellate Authority. Consequently, the Court relegated the Petitioners to the remedy of appeal in both petitions. The Court further observed that if the Petitioners sought exclusion of the period during which the writ petitions remained pending, under Section 14 of the Limitation Act, 1963, the Appellate Authority would consider such request in accordance with law. The Court did not decide on the merits of the limitation arguments presented by either side.

Key Issues

1. Whether the Order-in-Original dated 27.01.2025 in W.P.(C) 5792/2025, pertaining to Financial Year 2017-2018, was issued beyond the period of limitation prescribed under Section 74(9) of the Central Goods and Services Tax Act, 2017. 2. Whether the Show Cause Notice dated 25.07.2024 in W.P.(C) 5832/2025 was issued beyond the prescribed period of limitation. Petitioner's Contentions: The Petitioner argued that the impugned OIO in the first petition was barred by time as per Section 74(9) of the CGST Act. In the second petition, the Petitioner contended that the SCN was issued beyond the prescribed limitation period. Respondents' Contentions: The Respondents asserted that the OIO in the first petition was issued within the limitation period under Section 74(10) of the CGST Act, having been sent via email on 05.01.2025, before the last date of 05.02.2025. Regarding the second petition, they stated that the SCN, though uploaded on 09.08.2024, was emailed on 03.08.2025, prior to the expiry of the limitation period on 05.08.2025.