2024 (5) TMI 1030 - HC - GST

Challenge to notice issued in Form GST ASMT-10 under TNGST Act - imposition of GST under the reverse charge mechanism on the seigniorage paid by the petitioner to the Government - HELD THAT - The issue decided in the case of TVL. A. VENKATACHALAM VERSUS THE ASSISTANT COMMISSIONER (ST) 2024 (2) TMI 488 - MADRAS HIGH COURT where it was held that the orders of adjudication shall be kept in abeyance until the Nine Judge Constitution Bench decides the issue as to the nature of royalty. These petitions are liable to be disposed of.

Summary

Issues involved: Challenge to notice issued u/s GST ASMT-10 under Tamil Nadu Goods and Services Tax Act, 2017 regarding imposition of GST under reverse charge mechanism on seigniorage paid to Government.

Judgment Summary:

The petitioner challenged the notice issued in Form GST ASMT-10 under the Tamil Nadu Goods and Services Tax Act, 2017, related to the imposition of GST under the reverse charge mechanism on seigniorage paid to the Government. The Government Advocate accepted the notice and referred to a recent judgment of the Division Bench in A. Venkatachalam v. Assistant Commissioner. The directions issued in the judgment included the submission of objections within four weeks, adjudication after hearing the petitioners, keeping adjudication orders in abeyance until a decision by the Nine Judge Constitution Bench on royalty nature, no recovery of GST on royalty until the Nine Judge Constitution Bench decision, redressal of grievances before appropriate forum, acting upon notification and circular after the Nine Judge Constitution Bench decision, and leaving all contentions open for future proceedings. Consequently, the petitions were disposed of in line with the directions issued in the A. Venkatachalam case, with no costs incurred. Additionally, related W.M.P. Nos. 4025, 4026, 4028, 4029, 4030, 4031, 4033, and 4034 of 2024 were closed without costs.