2019 (11) TMI 885 - HC - GST

Levy of IGST on freight - entry 10 in Notification no. 10/2017-Integrated Tax (Rate) and entry 9(ii) in Notification no. 8/2017-Integrated Tax (Rate), both dated 28th June, 2017 - HELD THAT - Mr. Banerjee, learned advocate appearing on behalf of revenue does not dispute his client s position on similar challenges, of having had chosen to accept the interim order and proceed for adjudication on merits. In view of above this is a fit case for issuance of similar interim order. No coercive action shall be taken against petitioners. List on 13th December, 2019.

Summary

Issues: Challenge against levy of IGST on freight imported on CIF basis.

The judgment delivered by the High Court of Calcutta addressed the challenge against the levy of Integrated Goods and Service Tax (IGST) on freight imported on a Cost, Insurance, and Freight (CIF) basis. The petitioner argued that since customs duty was already paid, which includes a component for freight, there should not be an additional levy of IGST on the same. The petitioner's advocate referenced interim orders from the High Courts of Andhra Pradesh and Gujarat, which restrained the revenue from taking coercive action against similar challenges. The revenue, represented by its advocate, did not dispute this position and had chosen to proceed for adjudication on merits. Consequently, the High Court of Calcutta deemed it appropriate to issue a similar interim order in the present case, preventing any coercive action against the petitioners until further proceedings. The revenue was granted the liberty to file an affidavit within three weeks, with the petitioner entitled to respond upon receiving an advance copy. The case was listed for further proceedings on 13th December 2019.