Calcutta HC allows Petition as Temporary Respite to Taxpayers awaiting Operationalization of GST Appellate Tribunal [Read Order]

In a recent case, the Calcutta High Court allowed writ petition as temporary respite to taxpayers awaiting the operationalization of Goods and Service tax ( GST ) Appellate Tribunal.

 Amit Kumar Singh, the petitioner challenged the order passed under Section 74 of the West Bengal Goods and  Services Tax Act, 2017, as also the appellate order dated 9^th January 2024, passed under Section 107 of the said Act.

Ms. Roy Choudhury, representing the petitioner submitted that an appeal is maintainable from the order passed under Section 107 of the said Act before the Appellate Tribunal. Unfortunately, no  GST Appellate Tribunal within the meaning of Section 112 of the GST Act has  been constituted.  

It was submitted that there are substantial grounds for maintaining an appeal under Section 112 of the said Act. It was submitted that by reasons of the Covid-19 pandemic, the petitioner suffered immensely and unless this Court exempts the petitioner from making payment of the pre-deposit ordinarily required for maintaining the appeal in terms of Section 112 of the GST statute, the petitioner shall suffer irreparable loss.

Mr. Siddiqui representing the State respondents on the other hand, submitted that although, the writ petition may be maintainable by reasons of the Appellate Tribunal not being constituted, however, the instant writ petition should not be entertained unless, the petitioner pays the taxes, already determined, or secures the same.

The single bench of Justice Raja Basu Chowdhury viewed that justice would be sub-served if the petitioner is directed to deposit with the GST authorities the sum equal to 5 % of the remaining amount of tax in dispute, in addition to the deposit already made under sub-section (6) of Section 107 of the said Act. Since the parties agree that the writ petition can be disposed of based on the records available before the Appellate Authority, the court directed the petitioner to enclose all documents filed before the Appellate Authority in a compilation, in the form of a paper book.

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