2020 (3) TMI 803 - HC - GST

Alleged deduction of GST instead of VAT as per the stipulations contained in Tender Notification - HELD THAT - This Writ Petition is disposed off reserving liberty to the petitioners to make an appropriate representation to the jurisdictional respondents producing all evidentiary material in support of his claim within three weeks; if such a representation is made within three weeks, the respondents concerned shall take a decision thereon after giving a personal hearing to the petitioners or their agent and further that the result of such consideration shall be made known to the petitioners, within eight weeks. If the delay is brooked in taking such a decision within the period prescribed as above the jurisdictional respondents shall be liable to pay a cost of ₹ 5,000/- for the delay of each week, to the petitioners collectively and from their own purse.

Summary

Issues: Alleged deduction of GST instead of VAT as per Tender Notification.

The judgment addresses the grievance raised by the petitioners regarding the deduction of GST instead of VAT as per the stipulations in the Tender Notification. The petitioners argue that GST was not applicable before 1.7.2017, and VAT should have been levied instead. The respondents, represented by their Panel Counsel, contest the petition by stating that the petition lacks material particulars regarding the works completed. They suggest that if the petitioners provide evidence showing that certain works were done before 1.7.2017 and GST was incorrectly applied, the matter will be reviewed promptly after a personal hearing. The court acknowledges the respondents' stance as fair and reasonable.

The court disposes of the Writ Petition, granting the petitioners the liberty to submit a detailed representation with supporting evidence to the jurisdictional respondents within three weeks. The respondents are instructed to make a decision on the representation after giving a personal hearing to the petitioners or their representative. The outcome of this consideration must be communicated to the petitioners within eight weeks. The judgment imposes a penalty of ?5,000 per week on the jurisdictional respondents if there is a delay in making a decision, to be paid collectively to the petitioners. The respondents are permitted to request any necessary information or documents from the petitioners for decision-making purposes, with a caution against causing unjustified delays.

The court emphasizes that all contentions of the parties remain open for future consideration. No costs are awarded at present.