2024 (7) TMI 1152 - HC - GST

Input tax credit - Time limitation - period July 2017 to March 2019 - Section 6(2)(b) of the CGST Act and RGST Act 2017 - HELD THAT - Taking into consideration the submissions of learned counsel for the petitioner that in respect of the same transaction, an ITC claim of the petitioner pertaining to the assessment period July 2017 to March 2019, based on similar set of transactions, already a notice under Section 73 of the CGST Act 2017 has been issued by Central Goods and Services Tax Authorities, subsequent notice by the State Authorities under RGST Act 2017 in respect of the same matter is barred under Section 6(2)(b) of the CGST Act and RGST Act 2017, respondent Nos.2,3 4 are restrained from proceedings further pursuant to impugned show cause notice dated 31.01.2024. Issue notice to respondent Nos.2,3 4 on payment of PF and notice within one week, returnable within three weeks.

Summary

Issues involved:
1. Service of advance copy to respondent Nos. 2, 3 & 4
2. Bar on subsequent notice by State Authorities under CGST and RGST Act
3. Interim order restraining respondent Nos. 2, 3 & 4 from further proceedings
4. Clarification on the interim order not affecting proceedings by CGST Authorities
5. Listing the case with another Civil Writ Petition
6. Direction for the Registry to publish the name of the representing counsel

Analysis:

1. The High Court noted that while an advance copy had been served to respondent No.1, no appearance was made on behalf of respondent Nos. 2, 3 & 4. Consequently, the Court decided to issue notice to the absent respondents regarding payment of PF and the notice, returnable within three weeks.

2. The Court considered the submissions made by the petitioner's counsel regarding a notice issued by the Central Goods and Services Tax Authorities under the CGST Act 2017 concerning a similar transaction. Based on this, the Court concluded that a subsequent notice by the State Authorities under the RGST Act 2017 for the same matter was barred under Section 6(2)(b) of the CGST Act and RGST Act 2017. Therefore, the Court restrained respondent Nos. 2, 3 & 4 from proceeding further pursuant to the impugned show cause notice dated 31.01.2024.

3. An interim order was passed by the Court, specifying that the restriction on further proceedings by respondent Nos. 2, 3 & 4 should not impede respondent No.1 or the CGST Authorities from continuing with the notice issued by the CGST Authorities to the petitioner on 17.03.2022.

4. The Court directed the case to be listed along with another Civil Writ Petition for further proceedings and consolidation.

5. Additionally, the Court instructed the Registry to publish the name of Mr. Bharat Vyas, AAG, who typically represents the Department of Finance, Government of Rajasthan, in this matter.