2023 (8) TMI 1531 - HC - GST

Inaction of the respondent/Department for having failed to reimburse 12% GST on the tender amount - HELD THAT - It is not in dispute that the entire tender process and allocation of work by respondent/Department is post coming into force of Goods and Services Tax. If petitioner, who is a registered Civil Contractor has completed the tender work, respondent/Department being a service recipient is under bounden duty to reimburse GST amount of Rs.2,16,51,903/- in terms of Section 13 of The Central Goods and Services Tax Act, 2017. It is also not in dispute that petitioner, who is a class-I contractor having rendered service, is under mandatory duty to pay GST amount to the department. Equally respondent/Department is under bounden duty to reimburse the GST amount. It is borne out from the records that since necessary payment at the petitioner's end the applicable GST being statutory requirement, the respondent/Department ought to have reimbursed 12% GST amount on the total work done by petitioner. Since, there is total inaction on the part of respondent/Department, this is a fit case where mandamus needs to be issued. The respondent is hereby directed to reimburse GST amount as indicated in the representation dated 15.04.2023 vide Annexure-E - Petition allowed.

Summary

The High Court of Karnataka ordered the respondent/Department to reimburse 12% GST amount of Rs.2,16,51,903 to a registered Civil Contractor for completed work. The Court allowed the writ petition and directed the reimbursement within six weeks.