The Maharashtra GST ( Goods and Services Tax ) Department has issued recovery guidelines for the dues post first appeal disposal till GST Appellate Tribunal’s operation. This trade circular instructed that the taxpayers who submitted Annexure-I are required to pay a certain amount as per Section 112(8) and submit the new Annexure-II within 2 months.
The new Annexure-II must be submitted to the proper officer within two months from the date of this Trade Circular to continue benefiting from the stay.
Failure to comply with this requirement will be interpreted as an unwillingness to appeal against the order of the first appellate authority, thereby allowing recovery proceedings to be initiated as per the law. Proper officers are instructed to ensure that taxpayers who previously submitted Annexure-I are made aware of the need to fulfil these requirements within the stipulated time.
Get a Copy of GST Manual (Acts & Rules), Click here
Furthermore, appellate authorities were directed to incorporate specific paragraphs from this new directive into their appeal orders, as per the guidance provided by the CBIC Circular and in alignment with recent judgments from the High Court. The paragraphs to be incorporated are :
“(a) Appeal against the order of the appellate authority may be made to the Appellate Tribunal, as and when it comes into operation, within the timelines mentioned in section 112 of the MGST Act or date on which the President of the GSTAppellate Tribunal enters office, whichever is later.
(b) The taxpayer also needs to file an undertaking/ declaration in Annexure-II with the jurisdictional proper officer and pay requisite amount as per section 112(8) of MGST Act. On submitting the said Annexure-II and on payment of an amount equal to the amount of pre deposit as per the procedure mentioned in CBIC Circular No. 224 of 2024 dated I July, 2024, the recovery of the remaining amount of demand as per the appeal order will stand stayed as per provisions of sub section (9) of section 112 of MGST Act.”
Get a Copy of GST Manual (Acts & Rules), Click here
These paragraphs instruct taxpayers on the process of appealing to the Appellate Tribunal once it becomes operational and on the submission of the requisite Annexure-II and payment to stay recovery proceedings.
It was stated that the present trade circular will supersedes the earlier Trade Circular No. 9T of 2020 dated May 26, 2020, and Trade Circular No. 20T of 2023 dated July 31, 2023, which were previously issued to address issues related to appeals due to the non-constitution of the Appellate Tribunal.
It clarified that to ensure consistency in the procedures followed, Annexure-II, as appended to this Trade Circular, will now serve as the relevant undertaking/declaration referred to in paragraph 5 of the CBIC Circular. The circular attaches Annexure II and the CBIC’s circular on ‘Guidelines for recovery of outstanding dues, in cases wherein first appeal has been disposed of, till Appellate Tribunal comes into operation.’
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
