2023 (9) TMI 39 - HC - GST

Rejection of appeal - delay in filing the appeal manually in absence of the proper instruction/guidelines and /or facility in the GST portal - HELD THAT - The appeal that was filed by the petitioner manually on 12.06.2023 already complies with the requirements of the N/N. 29/2023-Central Tax dated 31.07.2023 barring the delay in filing the appeal in time as per Section 107 of the respective Goods and Service Tax Act, 2017. Since the clarification was issued for the first time only on 31.07.2023, the appeal filed by the petitioner prior to its issuance on 12.06.2023 has to be construed to have been filed in time. Therefore, the impugned order/communication of the 1st respondent is liable to be quashed. It is accordingly quashed. The second respondent is therefore directed to number the appeal filed by the petitioner on 12.06.2023 and dispose the same on merits and in accordance with law on its turn - Petition allowed.

Summary

Issues Involved:
The issues involved in this case are the rejection of an appeal filed by the petitioner due to delay in filing, technical glitches preventing electronic filing, and subsequent manual filing of the appeal.

Issue 1 - Rejection of Appeal:
The petitioner filed a writ petition to quash the impugned order rejecting the appeal filed, citing Rule 108(1) of PGST Rules, 2017. The impugned communication emphasized the requirement of electronic filing of appeals as per Section 107(1) PGST Act, 2017, within three months from the date of the decision or order communicated. The appellant's attempt to file electronically was hindered by technical issues on the GST portal, leading to manual filing after the expiry of three months. The court held that the delay in manual filing without proper instructions cannot be a reason for rejection, especially considering the petitioner's earlier unsuccessful attempts at electronic filing.

Issue 2 - Manual Filing and Government Notification:
The petitioner's manual appeal was rejected by the second respondent based on the delay in filing. However, a subsequent government notification issued a special procedure for filing appeals against orders passed by the proper officer under Section 73 or 74 of the Central Goods and Services Tax Act, 2017. The notification allowed manual filing of appeals in duplicate, without the need for depositing any amount as a pre-condition. The appeal filed by the petitioner manually on 12.06.2023 was found to comply with the requirements of the notification issued on 31.07.2023. The court ruled that since the notification was issued after the petitioner's filing, the appeal should be considered as filed in time, leading to the quashing of the impugned order.

Conclusion:
The writ petition was allowed, directing the second respondent to number and dispose of the appeal filed by the petitioner on its merits and in accordance with the law. The court emphasized that the petitioner should be given a hearing before the appeal is disposed of. No costs were awarded in this case.