9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (12) TMI 1436 - HC - GSTChallenge to order passed u/s 73(2) of the Finance Act, 1994 read with Section 174(2) of CGST Act, 2017 - recovery of arrears - HELD THAT - Considering the prima facie case, however, at the same time taking note of the fact that already an adjudication order dated 27th March, 2024 has been passed, the petitioner at this stage should be directed to secure at least a portion of the demand raised by the respondents. The petitioner is directed to deposit a sum of Rs. 50,000/- with the learned Registrar General, Appellate Side, High Court, Calcutta within 8th October 2024. Let affidavit-in-opposition to the present writ petition be filed within a period of 6 weeks after the annual vacation. Reply, if any, thereto, be filed within 4 weeks thereafter.
In the case before the Calcutta High Court, presided over by Justice Raja Basu Chowdhury, the petitioners challenged an order dated 27th March 2024, issued under Section 73(2) of the Finance Act, 1994, read with Section 174(2) of the CGST Act, 2017. The petitioners argued that, following the enforcement of Sections 173 and 174(2)(a) and (e) of the CGST Act 2017 from 1st July 2017, no new proceedings should have been initiated under the Finance Act, 1994. They contended that the adjudication made on 27th March 2024 is "non est and unenforceable."
Conversely, the CGST authorities, represented by Mr. Kundalia, argued that Section 174(2)(e) allows for the continuation of investigations and recovery of arrears, treating the Finance Act, 1994 as not omitted. The court recognized the jurisdictional issue raised by the writ petition and decided that the petition should be heard. The court directed the petitioner to deposit Rs. 50,000 with the Registrar General, Appellate Side, High Court, Calcutta by 8th October 2024. An unconditional stay on the order dated 27th March 2024 was granted until that date. The deposit will be placed in an interest-bearing fixed deposit account, pending further court orders. The interim order will remain effective until the writ petition is resolved or further orders are issued. The court allowed for the filing of an affidavit-in-opposition within six weeks after the annual vacation, with a reply due four weeks thereafter.
|
