In a partial relief to the Hindustan Petroleum, the Bombay High Court has restored the SVLDR-1 declaration and directed the GST Department to grant personal hearing.
The Petitioner, Hindustan Petroleum Corporation has prayed for a writ of mandamus for restoring the SVLDRS-1 declaration filed by the Petitioner and consider the same on merit, as if the said scheme is still in existence, and regularize the same by issuing necessary discharge certificate in Form SVLDRS-4.
The Petitioner approached the Designated Committee and the Commissioner on various occasions. It was the case of the Petitioner that Superior Kerosene Oil is not an “excisable goods” under Fourth Schedule to Central Excise Act. Relevant portion from The Constitution (One hundred & First Amendment) Act, 2016 was also pressed in service in their support. It was the case of the Petitioner that the dispute pertains to valuation of Superior Kerosene Oil sold by the Petitioner to other Oil Marketing Companies like BPCL and IOCL under Public Distribution System and that Superior Kerosene Oil although mentioned in Fourth Schedule to Central Excise Act, the same is not “excisable goods”.
Ms. Padmavati Patil, the counsel for the Petitioner invited our attention to the Form SVLDRS-1 filed by the Petitioner and the order passed by the Commissioner thereon rejecting the said application on the ground that the application belongs to goods of Fourth Schedule.
The division bench of Justice R.M.Modak and Justice R.D.Dhanuka quashed the Order. The declaration filed by the Petitioner in Form SVLDR-1 under the SVLDR Scheme is restored to file.
The court has directed the Respondents togrant personal hearing to the Petitioner. After granting such an opportunity of being heard, the Respondents shall pass a fresh Order without being influenced by the observations made and the conclusions drawn in the rejection order.
Hindustan Petroleum Corporation Ltd. A Government of India Enterprise vs The Union of India
CITATION: 2022 TAXSCAN (HC) 205
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