9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (4) TMI 1120 - HC - GSTConstitutional Validity of levy of IGST on ocean freight paid by the petitioners in view of Sr. No. 9(ii) of Notification No. 8/2017- IT(Rate) dated 28.6.2017 read with Sr. No. 10 of Notification No. 8/2017-IT (Rate) dated 28.06.2017 read with Sr. No. 10 of Notification No. 10/2017-IT (Rate) dated 28.06.2017 - seeking refund of amount paid by the petitioners as IGST on ocean freight of goods imported during July, 2017 to December, 2019 along with appropriate interest for delayed refund. HELD THAT - The Division Bench of this Court vide judgment and order dated 23.1.2020 2020 (1) TMI 974 - GUJARAT HIGH COURT passed in the captioned writ petition along with other writ petitions allowed the writ petitions and declared Entry No. 10 of Notification No. 10/2017- IGST (Rate) dated 28.6.2017 as ultra vires the Act - the notifications impugned in this petition have already been declared ultra vires. Therefore, the said prayer in this petition did not require any further consideration. Refund of the amount of Rs. 6,98,00,420/- paid by the petitioner as IGST on ocean freight of goods imported during July, 2017 to December, 2019 - HELD THAT - The competent authority of the respondents is directed that if such amount of IGST has been collected by the authorities, the same shall be refunded to the petitioner within six weeks from the date of receipt of this order alongwith the statutory rate of interest. Petition allowed.
Issues:
The issues involved in the judgment are the levy of IGST on ocean freight and the refund of the IGST amount paid by the petitioner. Levy of IGST on Ocean Freight: The petitioner sought a declaration that the levy of IGST on ocean freight paid by them was unconstitutional and ultra vires of the IGST Act, 2017. The notifications in question prescribed rates of IGST for transportation of goods by vessel from a place outside India up to the customs station of clearance in India. The petitioner, as an importer, paid IGST on ocean freight under the reverse charge basis. The liability of tax was imposed on the petitioner importer due to deeming provisions in the notifications. The petitioner paid IGST amounting to Rs. 6,98,00,420/- on ocean freight during the period from June, 2017 to December, 2019. The court referred to previous decisions holding similar notifications as unconstitutional and ultra vires. Refund of IGST Amount: The court noted that previous decisions had declared the impugned notifications as ultra vires. Therefore, the prayer regarding the levy of IGST did not require further consideration. Regarding the refund of the IGST amount paid by the petitioner, the court directed the competent authority of the respondents to refund the amount of Rs. 6,98,00,420/- within six weeks from the date of the order, along with the statutory rate of interest. The petition was allowed and disposed of accordingly.
|
