M/S Surya Prakash Aroma vs. State Of Uttar Pradesh And 2 Others
Held
The Court set aside the appellate order dated 04.07.2025, which had dismissed the appeal on the ground of limitation. The delay in filing the appeal was condoned, and the appeal was restored to its original number. The appellate authority was directed to hear the appeal on merits and decide it within three months from the date of production of a certified copy of the order. As a condition for condoning the delay and for the appeal to be decided, the petitioner was directed to deposit Rs. 10,000/- by 13.11.2026. The Court explicitly stated that it had not adjudicated on the merits of the case. The benefit of this order was made contingent upon the deposit of the specified amount.
Facts
The petitioner, M/s Surya Prakash Aroma, a proprietorship firm, filed its annual return in Form GSTR-9 for the financial year 2017-18, showing nil Input Tax Credit (ITC) availed in Column 6A, while ITC of Rs. 2,21,940/- each under CGST and SGST auto-populated in Column 8A. The Assistant Commissioner, State Tax, Bareilly, issued a notice under Section 61 of the Act on 25.07.2023 for discrepancies. Subsequently, a show cause notice under Section 73(1) was issued on 19.09.2023, proposing tax of Rs. 4,43,880/- along with interest and penalty. An assessment order was passed on 06.12.2023 without a personal hearing. The petitioner's appeal against this order, filed approximately 18 months late, was rejected on 04.07.2025 by the Additional Commissioner Grade-II (Appeal-II), State Tax, Bareilly, on grounds of limitation.
Key Issues
1. Whether the appellate authority erred in rejecting the appeal solely on the ground of limitation, without considering the reasons for the delay, particularly in light of the petitioner's sole proprietor suffering from cancer? The petitioner argued that the delay in filing the appeal was unintentional and beyond their control, attributing it to the sole proprietor's serious illness (cancer). They contended that the appellate order was non-speaking, failing to consider the grounds for delay and the hardship faced. The petitioner expressed willingness to abide by any conditions imposed by the Court. The revenue argued that the appeal was filed beyond the statutory period and Section 107 of the Act does not grant power to condone delay beyond the prescribed period. The revenue suggested restoring the appeal subject to deposit of cost.
Sections Cited
Section 61, Section 73(1), Section 107
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HIGH COURT OF JUDICATURE AT ALLAHABAD WRIT TAX No. - 4337 of 2026 Court No. - 53 HON'BLE VIKAS BUDHWAR, J.
Heard Sri Pranjal Shukla, learned counsel for the petitioner and Sri Shashikant Mishra, learned Standing Counsel for the State.
A joint statement has been made by learned counsel for the parties that they do not propose to file any affidavit and the petition be decided on the basis of the documents available on record. With the consent of the parties, the petition be decided at the fresh stage.
The case of the petitioner is that it happens to be a proprietorship firm by the name and style of M/s Surya Prakash Aroma, situated in Bareilly, engaged in business. As per the petitioner, with respect to annual return in Form GSTR-9 for the financial year 2017-18, Input Tax Credit of Rs. 2,21,940/- each under CGST and SGST which was appearing in Column 8A got auto populated, while in Column 6A, where the Input Tax Credit was availed, the petitioner had shown nil Input Tax Credit. A notice in Form GST ASMT-10 dated 25.07.2023 under Section 61 of the Act came to be issued by the third respondent i.e. Assistant Commissioner, State Tax, Jurisdiction Bareilly, Sector
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