2023 (10) TMI 1337 - HC - GST

Jurisdiction - power of assessing order to review its own order - stand of the petitioner in the rectification application is that the petitioner mistakenly claimed excess input tax credit for SGST and same amount for CGST and this excess claim was rectified in the month of April, 2018 which is reflected in GSTR 3B - HELD THAT - The assessing authority, however, by the impugned order has been of the view that the assessment order was finalised and it was passed as per the records made available. The assessing authority could not be justified by the subsequent event to review the assessment order. The view taken by the assessing authority in Exhibit P-5 does not appear to be incorrect. There is difference between rectification and an order on review. There is no power on the assessing authority to review its assessment order. This writ petition has no merit and the same is hereby dismissed - However, it is open to the petitioner to file an appeal in accordance with the law before the appellate authority challenging Exhibit P-1 and Exhibit P-5 orders in accordance with the law. If the petitioner files the appeal, the same shall be considered expeditiously in accordance with law.

Summary

Issues Involved:
The judgment involves the assessment of excess input tax credit claimed by the petitioner, rectification application filed by the petitioner, and the validity of the assessment order passed by the assessing authority.

Assessment of Excess Input Tax Credit:
The petitioner claimed excess input tax credit of Rs.2,74,570/- for CGST and SGST in the assessment proceedings. The assessing authority directed the petitioner to remit the said amount as tax, along with interest and penalty. The petitioner filed a rectification application stating that the excess claim was rectified in GSTR 3B for both CGST and SGST.

Rectification Application:
The petitioner filed a rectification application (Exhibit P-4) to correct the mistake of claiming excess input tax credit. The petitioner argued that since the mistake had been rectified, the assessment order should be corrected accordingly. However, the assessing authority, in the impugned order (Exhibit P-5), maintained that the assessment order was final and could not be reviewed based on subsequent events. The court noted the distinction between rectification and a review of an order, stating that the assessing authority lacked the power to review its assessment order.

Validity of Assessment Order:
The court found that the writ petition lacked merit and dismissed it. The petitioner was advised to file an appeal before the appellate authority challenging the assessment orders. If an appeal is filed, it will be considered expeditiously in accordance with the law.