2019 (3) TMI 1761 - HC - GST

Validity of Section 174 of the KSGST Act - time limitation - HELD THAT - The issue decided in the case of M/S. SHEEN GOLDEN JEWELS (INDIA) PVT. LTD. VERSUS THE STATE TAX OFFICER (IB) -1, AND OTHERS 2019 (2) TMI 300 - KERALA HIGH COURT where The petitioner's plea is rejected that the State lacks the vires to graft Section 174 into KSGST Act, 2017. The writ petition need to be remitted for a fresh consideration on the question of bar of limitation provided under Section 25(1) of the KVAT Act - Appeal allowed.

Summary

Issues:
Challenge to assessment order under KVAT Act, validity of Section 174 of Kerala State Goods and Service Tax Act, 2017, limitation under Section 25(1) of KVAT Act.

Analysis:
The petitioner challenged the assessment order under the Kerala Value Added Tax (KVAT) Act, contending that the assessment is barred under Section 25(1) of the Act. Additionally, there was a challenge against the 101st amendment of the Constitution and the provision of Section 174 of the Kerala State Goods and Service Tax Act, 2017.

The writ petition, along with others, was dismissed by the learned Single Judge, citing a previous judgment that only addressed the validity of Section 174 of the Kerala State Goods and Service Tax Act, 2017, not considering the limitation under Section 25(1) of the KVAT Act. The Special Government Pleader acknowledged this omission, leading to the decision to remit the writ petition for fresh consideration specifically on the question of limitation under Section 25(1) of the KVAT Act.

Consequently, the writ appeal was allowed, setting aside the impugned judgment and restoring the writ petition. The Registry was instructed to place the writ petition before the appropriate Single Judge for reconsideration. It was clarified that the previous judgment on the validity of Section 174 of the KSGST Act would be binding. Any interim order in effect before the dismissal of the writ petition would continue to remain in force.