2015 (12) TMI 1213 - HC - Central Excise

Refund claim - Provisional refund - Since the commencement of the Act, due to deduction of tax at source and input tax, credit tax available on the purchases made by the petitioner within the State of Punjab, the petitioner gets refund every quarter - petitioner submitted that for the relief claimed in the writ petition, the petitioner has submitted an application dated 24.8.2015 followed by another application-cum-reminder dated 19.10.2015 to respondent No. 4, but no action has so far been taken thereon. - Held that - Perusing the present petition and without expressing any opinion on the merits of the case, we dispose of the present petition by directing respondent No.3 to decide the applications dated 24.8.2015 (Annexure P-5) and dated 19.10.2015 (Annexure P-9), in accordance with law by passing a speaking order and after affording an opportunity of hearing to the petitioner within a period of one month from the date of receipt of certified copy of the order. It is further directed that in case any amount is found payable to the petitioner, the same be released to it within next one month - Appeal disposed of.

Summary

Issues:
1. Petitioner seeking a writ for refund of taxes for 2014-15 quarters.
2. Delay in processing refund applications by the respondents.

Issue 1: Petitioner seeking a writ for refund of taxes for 2014-15 quarters

The petitioner, a partnership firm engaged in construction activities in Punjab, filed a writ petition under Articles 226/227 of the Constitution of India, requesting a mandamus for the refund of taxes for the four quarters of 2014-15. The petitioner, a registered dealer under the Punjab Value Added Tax Act, submitted applications for provisional refunds based on quarterly VAT returns. Despite assurances from the respondents, the refunds were not issued within the stipulated time frame. The petitioner approached the High Court seeking relief through a writ petition.

Issue 2: Delay in processing refund applications by the respondents

The petitioner's counsel highlighted the delay in processing the refund applications submitted on 24.8.2015 and 19.10.2015 to respondent No. 4. The court, after hearing the petitioner's counsel, directed respondent No. 3 to decide on the applications within one month and release any payable amount to the petitioner within the subsequent month. The court emphasized the need for a speaking order and providing an opportunity for the petitioner to be heard, ensuring compliance with the law.

In conclusion, the High Court of Punjab & Haryana addressed the petitioner's plea for tax refunds for the 2014-15 quarters. The court directed the concerned respondent to process the refund applications promptly, issue a speaking order, and release any payable amount to the petitioner within the specified time frame. This judgment emphasizes adherence to legal procedures and timely resolution of refund claims in accordance with the law.