2024 (7) TMI 1027 - HC - GST

Condonation of delay of 17 days in filing appeal - authority's competence to condone the delay - sufficient cause for delay or not - HELD THAT - From the application for condonation of delay filed by petitioner before the appellate authority, it would transpire that there was a delay of 17 days in filing the said appeal and the same was due to the medical reasons. From the documents disclosed by the petitioner it appears that the petitioner s advocate, by reasons of his father s illness, could not prepare the appeal in time. It is submitted that the petitioner s advocate s father ultimately, succumbed to the illness and expired on 17th February, 2024. The aforesaid had occasioned the delay in preferring the appeal. Although, the petitioner had taken all steps to have the appeal filed within the time prescribed, unfortunately, by reasons of the circumstances which are beyond the control of the petitioner, the delay had occasioned. The appellate authority had glossed over the aforesaid explanation given by the petitioner and had purported to reject the appeal, inter alia, on the ground that the appellate authority is only competent to condone the delay provided the same is filed within the period of one month beyond the time prescribed. The petitioner, having sufficiently explained the delay, the appellate authority ought to have appropriately considered the same. There appears to be a jurisdictional error on the part of the appellate authority in failing to consider the petitioner s application for condonation of delay. Petition disposed off.

Summary

Issues Involved:
Challenging the rejection of an appeal under Section 107 of the Central/West Bengal Goods and Services Tax Act, 2017 based on delay in filing the appeal and the authority's competence to condone the delay.

Analysis:
The petitioner challenged the order of rejection of their appeal under Section 107 of the said Act, emphasizing that the appellate authority had mechanically rejected the appeal without considering the grounds for maintaining it. The petitioner had filed the appeal against an order dated 16th October, 2023, under Section 73 (9) for the tax period July 2017 to March 2018, along with the required pre-deposit. The delay in filing the appeal was explained to be due to medical reasons, specifically the illness and subsequent demise of the petitioner's advocate's father, causing a delay of 17 days. The appellate authority failed to consider this explanation adequately, leading to the rejection of the appeal based on a strict interpretation of the time limit for condoning delays.

The High Court found that there was no lack of bona fide on the petitioner's part in filing the appeal, given the circumstances leading to the delay. The Court noted that the appellate authority's decision to reject the appeal solely based on the time limit for condonation of delay was inconsistent with a previous judgment recognizing the right to condone delays in appropriate cases. The Court held that the appellate authority had committed a jurisdictional error by not properly considering the petitioner's application for condonation of delay. Consequently, the Court set aside the order of rejection, condoned the delay, and directed the appellate authority to hear and dispose of the appeal on its merits after providing the petitioner with an opportunity for a hearing.

In conclusion, the writ petition challenging the rejection of the appeal was disposed of with no order as to costs, and the Court directed the parties to receive a certified copy of the order upon compliance with formalities.