Petitioner | Hinron Steel (P) Ltd. |
Respondent | Union Of India |
Decision by | Gujarat High Court |
Date of order or Judgement | 20-April-2022 |
Citation no. | 2022 (4) GSTPanacea 16 HC Gujarat R/SPECIAL CIVIL APPLICATION NO. 7458 of 2022 |
Hon’ble Judge | Justice J.B.Pardiwala, Justice Nisha M. Thakore |
Decision | In favour of Assessee |
Pre-Deposit for Filing Appeal-If Pre-Deposit deposited within the stipulated time then the appeal shall be restored to its original file.
Pre-Deposit for Filing Appeal-Facts of the Case
Pre-Deposit for Filing Appeal-The petitioner, is engaged in the business of supply of goods like iron and steel. The petitioner is registered under the CGST Act. and assessed towards his liability under the GST by the Joint Commissioner, Central GST, Gandhidham.
The Joint Commissioner upon conclusion of the assessment proceedings passed an order in original, dated 6-1-2021 determining the total liability of the petitioner to the tune of Rs. 1,10,89,614.
The petitioner being dissatisfied with the order in original passed by the Joint Commissioner, Central GST, Gandhidham, preferred an appeal before the Commissioner(Appeals) under section 107 of the CGST Act.
In appeal, the Appellate Authority asked the petitioner to make a pre-deposit of 10% of his total liability. 10% of the total liability is to the tune of Rs. 11,08,961.
Argument Before Court
Pre-Deposit for Filing Appeal-Petitioner’s Contention
Pre-Deposit for Filing Appeal-Petitioner contended that on account of some communication gap, he was not in a position to make the pre-deposit and in such circumstances, the appeal came to be dismissed vide Order, dated 18-8-2021.
No sooner the appeal came to be dismissed then the petitioner started receiving notice towards recovery. In such circumstances referred to above, the petitioner filled this writ application.
Appearing for the writ applicant submit that he is ready and willing to deposit an amount of Rs. 11,08,961 in accordance with section 107(6) of the Act within a period of two weeks from today. His request is that his client may be permitted to deposit this amount so that his appeal can be restored and heard on merits.
Pre-Deposit for Filing Appeal-Respondent’s Argument
Pre-Deposit for Filing Appeal-The adjudicating authority said that the Appellant had wrongly transitioned input tax credit through TRAN-1 and confirmed the said amount under section 74 of the Act. The Appellant has challenged such confirmation of amount under section 74 of the Act by filing the present appeal. Under the circumstances, the Appellant is required to pre-deposit 10% of confirmed amount i.e. Rs. 11,08,961 in terms of section 107(6) of the Act. Since, the Appellant has not made pre-deposit, the appeal filed by them is not sustainable.
Gujarat High Court held
Pre-Deposit for Filing Appeal-Honorable HC is in the view that there should not be any difficulty in acceding to the request made by the petitioner.
Honorable HC dispose of this writ application with a direction that the petitioner shall deposit the amount of Rs. 11,08,961 within a period of two weeks with the Office of the Commissioner(Appeals) in accordance with section 107(6) of the Act. If this amount is deposited within the stipulated time then the appeal shall be restored to its original file and the Commissioner(Appeals) shall proceed to hear the appeal on its own merits.
With the aforesaid, this writ application stands disposed of.
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Hinron Steel Pvt. Ltd.
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Gujarat High Court