2024 (10) TMI 966 - HC - GST

Dismissal of appeal on the ground of non-payment of pre-deposit envisaged under Section 107 of the CGST Act - HELD THAT - This Court is of the view that neither the provisions of Section 107(6)(a) nor of Section 107(6)(b) of the CGST Act would be attracted in Cases where the Assessee deposits the entire amount while challenging/disputing the same, however, the same amount shall be treated to be sufficient for the purpose of hearing the Appeal without insisting on pre-deposit. The petitioner in the present case having already deposited the entire amount, though in dispute, it needs not be further asked to deposit amount either in terms of Section 107(6)(a) or 107(6)(b) of the CGST Act. The orders dated 31.05.2024 (Annexure P-1), rejecting the prayer of the petitioner for allowing its Appeal to be heard on merits and insisting on pre-deposit, is set aside with a further direction to the respondents to decide the Appeal expeditiously on merits. The Writ Petition is allowed.

Summary

The petitioner appealed under Section 107 of the CGST Act, but the appeal was not entertained due to non-payment of pre-deposit. The court ruled that the petitioner had already deposited the entire disputed amount, so further deposit was not required. The court set aside the order rejecting the appeal and directed the respondents to decide the appeal on merits. The writ petition was allowed.