2025 (2) TMI 730 - HC - GST

Condonation of delay in filing appeal - Dismissal of appeal on the ground of delay - appeal filed after more than 7 months of passing of the impugned order - whether in view of specific provision under Section 107(4) of GST Act that only delay of 30 days can be condoned whether other provisions of Limitation Act would apply to the appeal filed under Section 107 of GST Act or not? - HELD THAT - It is clear from Section 107(4) of GST Act that the Appellate Authority has jurisdiction to condone the delay of 30 days only. Admittedly in the present case the appeal was barred by more than 3 months. Accordingly the Appellate Authority has rightly held that since it has jurisdiction to condone delay of 30 days only and the appeal is barred by more than 3 months therefore the delay cannot be condoned. Section 107 of GST Act is a complete code in itself. Since Section 107(4) of GST Act provides for condonation of delay of 30 days only therefore the provision of Section 5 of Limitation Act would not apply. Counsel for petitioner could not point out any provision order or judgment which empowers the Appellate Authority to condone the delay of more than one month. As appellate authority had no jurisdiction to condone the delay of more than one month no illegality was committed by the Appellate Authority by dismissing the appeal as barred by time. Conclusion - Since the Appellate Authority could only condone a delay of 30 days as per Section 107(4) of the GST Act and no other provision empowered it to condone a delay of more than one month the dismissal of the appeal due to delay was justified. Petition dismissed.

Summary

The High Court of Madhya Pradesh considered a petition filed under Article 226 of the Constitution of India challenging an order dated 15.10.2024 passed by the Joint Commissioner (Appeals) and an order dated 06.02.2023 passed by the Superintendent of Central Goods and Services Tax & Central Excise. The main issue was whether the Appellate Authority had the jurisdiction to condone a delay in filing an appeal beyond the prescribed time limit under Section 107 of the GST Act.The relevant legal framework was Section 107 of the GST Act, which stipulates that any person aggrieved by a decision or order must appeal to the Appellate Authority within three months from the date of communication of the decision or order. The provision also allows for the condonation of delay of up to 30 days if sufficient cause is shown. The Court noted that the Appellate Authority can only condone a delay of 30 days as per Section 107(4) of the GST Act.The Court interpreted Section 107 of the GST Act as a complete code in itself, emphasizing that since the provision specifically allows for the condonation of a delay of 30 days only, the general provisions of the Limitation Act, particularly Section 5, would not apply. The Court held that the Appellate Authority did not have the jurisdiction to condone a delay of more than one month, as no provision, order, or judgment was cited to support such condonation.The key evidence considered was the timeline of events, with the appeal being filed more than seven months after the impugned order. The Court found that the appeal was clearly barred by the prescribed time limit under Section 107 of the GST Act and that the Appellate Authority was correct in dismissing the appeal on the grounds of delay.In conclusion, the Court held that since the Appellate Authority could only condone a delay of 30 days as per Section 107(4) of the GST Act, and no other provision empowered it to condone a delay of more than one month, the dismissal of the appeal due to delay was justified. Therefore, the petition was dismissed.Overall, the Court's decision hinged on the specific language of Section 107 of the GST Act, which limited the Appellate Authority's power to condone delays, and the absence of any legal basis for extending the condonation period beyond what was expressly provided for in the statute.