2025 (3) TMI 167 - HC - GST

Maintainability of the present petition - petitioner has an alternative remedy under the Arbitration Act - Seeking reimbursement of extra GST amount paid @ 6% - HELD THAT - Respondent No.4 which is a State GST Department according to which also the rate of GST has been enhanced from 12% to 18% and same is liable to be paid by respondent No.2 which is a Government Entity. The respondent No.2 is directed to pay the difference of GST amount to the petitioner @ 6% from 01.01.2022 to 24.01.2022 within a period of three months from the date of receipt of certified copy of this order failing which the petitioner shall be entitled for interest @ 6% per annum from the date of entitlement. Petition disposed off.

Summary

The Madhya Pradesh High Court, in a case regarding GST payment discrepancy, ruled in favor of the petitioner, a partnership firm involved in construction work. The petitioner sought reimbursement for the excess GST paid at 18% instead of the revised rate of 12% from January 1, 2022, to January 24, 2022. The court rejected objections to the petition's maintainability based on alternative dispute resolution mechanisms, noting the absence of disputed facts. It directed the respondent, a government entity, to pay the petitioner the 6% difference in GST amount within three months, with interest at 6% per annum if delayed. The writ petition was thus resolved in the petitioner's favor.