2025 (3) TMI 614 - HC - GST

Validity of Section 16(4) of the Central Goods and Services Tax Act 2017 - extension of time limit for passing the orders under Section 73 of the CGST Act - HELD THAT - The impugned order dated 22.12.2023 passed by the respondent No.8 is set aside. The matter is remitted to the respondent No.8 to decide the matter afresh in accordance with the provisions of Section 16 of the CGST Act as amended after providing an opportunity of hearing to the petitioner within a period of 2(two) months from the date of production of a certified copy of this order. Petition disposed off.

Summary

**Summary of the Judgment:**The Gauhati High Court, presided over by Hon'ble Chief Justice Mr. Vijay Bishnoi and Hon'ble Mr. Justice N. Unni Krishnan Nair, addressed a writ petition challenging the validity of Section 16(4) of the Central Goods and Services Tax Act, 2017 (CGST Act). The petitioner sought to quash the Notification dated 31.03.2023, which extended the time limit for orders under Section 73 of the CGST Act, and an order dated 22.12.2023 issued by respondent No.8.The petitioner argued that the insertion of sub-section (5) in Section 16 by the Finance Act, 2024, partially resolved their grievance regarding input tax credit. However, they contended that the impugned order was issued without a hearing. Both parties agreed to remit the matter back to the concerned authority for a fresh decision, ensuring compliance with the amended Section 16 and providing the petitioner an opportunity for a hearing.The court set aside the impugned order and directed respondent No.8 to decide the matter anew within two months, following the amended provisions of the CGST Act. The writ petition was disposed of with these directions.